Are you about to establish a small business to cater to the local communities? So, opening a current bank account is one of the inevitable requirements during the inception of your business. Innumerable private and public banks are there offering attractive current account facilities.
But, how do you pick one among them? Isn’t it challenging for you to choose a particular bank and end up getting annoyed? We understand how cumbersome it could be for an emerging entrepreneur who isn’t satisfied with the banking services!
This is because the current bank account plays a crucial role in business development. Therefore, it’s necessary to select the best bank to ensure that your small business touches the culmination of success.
So, if you are asked to go for a current bank account, what do you prefer? That bank with maximum interest, right? But, this is one of the most general mistakes often done by entrepreneurs!
As a matter of fact, current accounts don’t offer any interest rate. Is this confusing? Read on to know more about the best banks for creating a current account, things to consider while choosing one of them, and the seamless benefits of current accounts! Let’s get started!
Document Requirements for Opening a Current Account
You need to go through all the terms and conditions before submitting the mandated documents along with the application form.
The standard documents needed by the banks are:
- PAN Number
- ID and address proof of the partners
- The business copy registration
- Partnership Deed
- Incorporation certificate
- A check for creating a current bank account
- GST Certificate or Proprietorship
- Address proof of the local organization
- Memorandum of association
Exclusive Benefits of Current Account
- Overdraft Facility
The current account enables the money withdrawal process beyond the actual limit set by the bank. However, the rate of interest is liable on the overdraft amount taken by banks.
- Extravagant Amenities
A current account offers some exclusive amenities, including free pay order, multi-location fund transfer, free demand draft services, and many more. Moreover, it provides customized services and devoted customer support.
- Phone Banking and Internet Banking
These two save a plethora of time and additional effort for small business owners to do a hassle-free transaction.
5 Best Banks for Current Account for Small Business in India
1. Axis Bank Current Account
Axis bank is one of the best current account banks among all due to its zero credit facility. In this account, you can seamlessly enjoy its superior benefits despite its zero balance criterion. Moreover, some extraordinary benefits offered by Axis bank are 75 free transactions every month.
Also, it charges approx a total sum of Rs. 1999 based on its annual charging. Here is a twist! If your account balance is more than Rs. 50000, no annual charges will be deducted from you. On the other hand, it also provides a broad network of ATM facilities along with mobile and internet banking.
However, some of the most brilliant features of Axis bank are shown below:
- 75 completely free transactions per month
- No obligations on maintaining the minimum average balance
- A wide array of online banking facilities
- Axis eDGE aware facility program for a slew of services and transactions
[N.B: Axis bank offers several other current account facilities. So, don’t forget to go through various details of other accounts.]
2. HDFC Bank Current Account
Are you in a startup business mode? Avail of the smartest startup solutions for small business owners, the HDFC Bank. This bank becomes the first choice for aspiring entrepreneurs and also the owner of corporate firms. Like various other current banks, HDFC also provides countless amenities and options to open a current account with this. It includes:
- Max Current Account
- Premium Current Account
- Ultima Current Account
- Smart Up solution for startups account
- Plus Current Account
- Apex Current Account
This Smart-Up solution for Startup account is the best for aspiring entrepreneurs and small business owners. So, some of its premium features are shown below:
- Free check collection and hassle-free payment services
- Customers can choose between Smart-Up and Smart-Up Alpha (a zero balance account)
- Avail of its special forex charges
- Free NEFT and RTGS services
3. ICICI Bank Current Account
The small business owners who choose ICICI’s current bank account will get the most interactive technology for banking products. Are you looking for an online account opening or, internet banking platform?
ICICI’s user-friendly technical features help businessmen to do hassle-free mobile banking transactions. Therefore, technologically impressive banking platforms are the unique selling point of ICICI Bank. It also offers a myriad of current bank accounts, like:
- Subhaarambh Current Account
- New Start-Up Current Account
- Roaming Current Account
- Smart Business Account
Your startup business requires this Subhaarambh Current Account. However, ICICI bank also enables a cardless cash withdrawal facility at ATMs.
So, it is advantageous for paying the beneficiary who doesn’t have any bank account. However, some of the most remarkable features of the ICICI Current Bank account are shown below:
- iBizz mobile application facility for seamless banking
- CMS payments
- Trade online approvals for BG, LC, bill payments, and remittances
- Committed Forex service and advisory
- The best-class benefit of fulfilling private equity player and venture capitalist through bank
4. Kotak Mahindra Current Bank Account
Kotak Mahindra provides all types of current account needs for small business owners. If you have started your business recently, this bank has some world-class facilities for its customers. So, almost everyone can avail of its amenities starting from startups, growing businesses, startups, to large organizations.
In brief, Kotak Mahindra Bank possesses a feature named Kotak Circle. Several businesses can merge countless current and savings accounts here. Therefore, it helps in amazing account balance maintenance and fund utilization. Furthermore, Kotak Mahindra Bank provides countless options for current bank accounts, such as:
- Startup Premium
- Global Trade
- Start-up Regular
This Neo Current Account of Kotak Mahindra Bank is particularly made for small business owners. Its best features are shown below:
- Superior Forex Rates
- A minimum of Quarterly Average Balance of Rs. 10000
- Free RTGS, Mobile Banking, NEFT, Net Banking facility
- Free cash withdrawal and deposit at a nearby branch location
5. YES Bank Current Account
YES current bank account included in the top 5 list of best banks as it offers best-in-class features and amenities like others. As far as its unique benefits are concerned, YES bank doesn’t have a minimum balance requirement for the first year. So, businessmen can enjoy its complimentary amenities like:
- ATM transaction
- Mobile and net banking
- Payment collection via check
However, some of the most prominent current accounts given by YES bank are the following:
- Prime Business
- Exclusive Business
- Edge Business
- YES Head-startup account
Therefore, the YES Head-startup account is highly recommended for small and startups. Some of its crucial features are following:
- Foreign Direct Investment Advisory
- Free payment collection via check
- Premium value-added services for entrepreneurs
Factors to Consider While Choosing a Current Bank Account?
It would be best if you consider the below-mentioned factors while choosing one that suits your needs:
Users must pick that bank while considering its accessibility and location. It must be at your business location and accessible as per your business requirements. Moreover, it should offer mobile banking, network, ATM facility, and internet banking according to your needs.
While opting for a current bank account, you must consider and compare the service charges applicable to numerous services. These are online fund transfer, demand draft, debit card, and so on.
Over Draft Limit
Never forget to consider the bank’s overdraft limit and its capability to organize an overdraft with a specific limit.
One should also look into the seamless customized services and banking transactions. If you don’t bother about the costs, avail of its premium services for additional amenities.
All these are the best private banks, offering numerous yet attractive facilities to small business owners. During evaluating the current bank accounts, public banks don’t offer much lucrative and customized services.
So, this article didn’t include these banks while summing up the list of top-notch banks providing current account opening facilities. To conclude, you must act sensibly and assess all your business needs before opening one. If you have any queries regarding this, kindly let us know by commenting below!