If you’re starting a business or even if you’ve been operating one for a while, then you should consider opening a business account. Opening a business account only takes a few minutes, and if you choose an online business account from Prospa, there are no monthly fees or minimum balance requirements. With our no-fee business account, you are free to focus on your business and won’t need to be concerned about monthly fees eating into your profit margins.
The online business account from Prospa includes the Prospa card that can be used at any location that accepts Visa, with Apple Pay and Google Pay coming very soon. With this card, there are no foreign exchange fees, which is ideal if you purchase stock from overseas or order equipment using a different currency. Your account is available 24/7, which means you can check your balance or do your accounting when it suits your schedule.
What is the purpose of a business account?
The main purpose for opening a business account is to better manage the incoming funds or outgoing expenses associated with running a business. If you’re operating a registered company, trust or partnership, a separate account is a requirement. While you can use a personal account if you’re a sole trader, having a business account is highly beneficial and helpful, especially when completing your taxes.
Having a separate business account provides the following benefits:
- Clear separation of personal and business accounting. When it is time to complete your taxes, it can be challenging to make sure you account for all possible deductions when you have an account that is used for both business and personal expenses.
- Tracking expenses and payments. In using a single account, it is easier to see your expenses for the month and if you need to adjust your budget.
- Maintaining a professional appearance. Using a dedicated business account is seen as professional, so more people might be willing to do business with you.
- Making your tax calculations easier. Separate accounts for business and personal use will draw a clear line between what items were purchased and used for your business and what wasn’t. What documents do I need to open a business account?
At Prospa, you can get started right away by filling out the information for your online business account. You can upload any required documentation during the application process. When you’re setting up a business account, the owners or the company directors need to complete the application themselves.
You may need to provide ID such as your driver’s licence, and as the account is for business purposes, you’ll also need to supply a valid ABN. Opening a business account is one of the first steps of most new ventures, but if you’ve been operating for a while, it’s never too late to get started with a new small business account or switch to an account that better suits your business needs.
How to open a business account?
At Prospa, we’ve been providing small business loans for many years and have a good understanding of what support and tools most companies require in a business account. Many businesses will only need a basic business account, so why not talk to Prospa about opening a business account online to handle all your transactions.
The only real eligibility requirement to open a business account with Prospa is to have a valid ABN. There may be some other basic requirements but you will find out more once you start the application process. Only a director or the owner of the business can open the business account. There is no deposit required when you first open the account, and we suggest you spend some time familiarising yourself with the online business account after it is opened. Remember, with Prospa there is no monthly fee and no minimum balance requirement.
If you need any assistance filling out the application to open a business account with Prospa, you can call our customer service team at 1300 671 307. Our team can assist with your query and explain anything about your new account. Once your account is opened, you may need to update any invoices and ensure your customers or vendors know your new account details.