How to open a business bank account in Australia

Key takeaways

• Opening a business bank account in Australia involves choosing a provider, gathering your business documents (ABN/ACN, ID, proof of address), and submitting an application, which can be completed online in 1–3 business days.

• Legal requirements vary by structure: Companies, partnerships, and trusts must have a dedicated business account, while sole traders aren't legally required to but benefit from separating personal and business finances.

• The Big Four banks offer in-branch support and local lending, while modern fintech platforms like Airwallex provide faster set-up, multi-currency capabilities, and lower international fees.

Opening a business bank account in Australia is a straightforward process that means you'll choose a provider, gather your business documents, and submit an application. A dedicated account keeps your personal and company finances separate, which can help you manage tax, track cash flow, and stay compliant.

In this guide, we'll walk you through the exact steps to open an account, the documents you'll need for your business structure, and how to choose between a traditional bank and a modern fintech provider. We'll also explore powerful digital business accounts that are changing how Australian businesses manage their financial operations, and how you can apply for them.

What is a business bank account?

A business bank account is a financial account specifically designed for business transactions, offered by a financial institution with a banking licence in Australia. These accounts help you separate personal and business finances, make tax reporting easier, and manage cash flow more effectively.

It's worth noting the terminology: a 'business bank account' refers to accounts from licensed banks, while a 'business account' typically describes fintech solutions that offer similar features – like international transfers and expense tracking – without holding a banking licence. Fintech options like these are increasingly popular with businesses seeking faster set-up, better integration, and lower international fees.

Do I need an Australian business bank account?

In Australia, almost all registered businesses, from small startups to large corporations, choose to open business bank accounts or a specialised business account from a non-bank financial provider to manage their finances.

So, should you open a business bank account? Here's what you need to know based on your business structure:

• Sole trader: You don't legally need one, but it makes managing business finances much easier.

• Partnership, company, or trust: You are legally required to have a dedicated Australian bank account for tax purposes.

If you’re not sure what type of business structure you have, you can search your Australian Business Number (ABN) on the ABN Lookup site to see your business registration.

What documents do I need to open a business bank account in Australia?

For Australian business owners, opening a business bank account or business account can be straightforward, but the exact requirements depend on which provider you choose. You'll generally need to provide your business registration details, your business structure, and your industry so the provider can match you with the right account type. If you apply with a fintech platform such as Airwallex, this process is generally quick and completely digital.

The documents you'll need vary depending on your business structure. Here's what to prepare:

For companies:

• Australian Company Number (ACN)

• Certificate of incorporation

• Company constitution or board resolution

• ID for directors and beneficial owners

For sole traders/freelancers:

• Australian Business Number (ABN)

• Valid photo ID (passport, driver's licence, or other government-issued ID)

• Proof of business address (e.g., utility bill or lease agreement)

For partnerships or trusts:

• Partnership agreement or trust deed

• ABN and tax file number (TFN)

• ID for all partners or trustees

In most cases, you can use a passport or driving licence, or a combination of other documents that show your identity and address together.

How to open a business bank account in 5 steps

A business account, whether from a bank or non-bank fintech platform, is relatively simple to open. Here is how the process generally works:

1. Research providers: Start by comparing your options based on what your business needs – fees, tools such as business cards and multi-currency access, and the kind of support you're looking for.

2. Gather your documents: If you're a sole trader, you'll usually need an ABN and photo ID. Companies will also need their ACN and documentation about directors and shareholders. Trusts and partnerships may require trust deeds or partnership agreements.

3. Start your application: Most providers allow you to submit an application online. However, some traditional banks may require you to verify your identity in-branch.

4. Submit your documents: Upload or hand over what's needed, and respond to any requests for more information.

5. Get everything set up: Once you're verified, you can deposit funds, order cards, connect your account to any necessary applications, such as Xero, and start using your new account.

Watch: How to choose the best business account

Can I open a business bank account online?

Yes, most providers in Australia let you apply online. However, the experience is different depending on whether you go with a traditional bank or a modern fintech provider.

• Traditional banks: The Big Four banks allow you to apply for a business bank account online. Depending on your business structure and how they verify you, you might still need to pop into a branch to confirm your identity.

• Fintech platforms: Digital-first providers like Airwallex offer business accounts (not-bank accounts) that you can open entirely online, often in just a few minutes. The identity verification process is fully digital, with no need for branch visits.

Choosing an online-only provider can make the process a lot faster, so you can access your account details and start using it within 1–3 business days.

How to choose the right business account provider

Both established banks and non-bank specialist providers in Australia offer a huge range of business accounts. Business accounts include features that can streamline your operations and give you benefits that go beyond the basics, which can play a big role in your business's success.

Of course, opening and running your business account comes with costs, and you'll probably want to keep these as low as possible. They vary depending on which provider you pick.

When you're comparing providers, a few key factors can help you make the right choice:

• Account and transaction fees: Look at the account and transaction fees to make sure you're getting what you pay for. For small businesses, a fee-free account can work well, particularly for online-only transactions. Alternatively, consider an account with a fee waivers or that offers you generous features and an all-in-one platform in return for what you’re paying.

• International fees: If you're sending and receiving money internationally, you'll want to find a provider with competitive rates.

• Online services and customer support: Check whether the provider has an easy-to-use online platform and, if you need it, a way to contact customer support when issues come up.

• Business features: Make sure you can easily manage EFT, multiple and batch payments, and integrate your account with your business management and accounting software.

Platforms with integrated business banking

If you need a platform with business accounts built for modern businesses, Airwallex offers financial services through a single account that handles everything. With one platform, you can access a multi-currency account, digital tools, integrations, competitive FX rates, and no hidden fees.

How are business bank accounts different from personal accounts?

Business accounts or business bank accounts are the hub for your business's finances where you deposit revenue, manage expenses, and process payroll.

They're not fundamentally different from personal accounts, but they do include features built for businesses. This means you might be able to handle larger transaction volumes, and potentially get access to business lending options (depending on your account type and provider), along with other services you won't find with a personal account, such as the ability to issue employee cards and tools for financial analysis and reporting.

Banks and financial providers offer different kinds of business accounts, each with their own set of rules and perks and often customised to fit particular business sizes or industries. You'll usually find benefits and features built specifically for business use.

While there are many benefits, it's important to check for any fees or charges that may apply. For example, business accounts may charge you for features like bank transfers that come free with personal accounts.

If you're looking to move money internationally, there may be other associated costs with some accounts. You might want to go with a provider that offers low-cost international money transfers to keep these costs down.

What's the difference between a Business Account and a Business Bank Account?

You open a business bank account with a financial institution that holds a formal banking licence. Banking regulations govern these accounts, and they support businesses that need traditional services like secure deposits, lending options, and in-branch support.

A business account, in contrast, typically refers to an account from a fintech platform (such as Airwallex) that holds other financial licences from regulators to keep your money secure. These accounts usually offer modern tools for collecting payments, managing expenses, and making international transfers. However, you will find that most fintech platforms do not have in-branch services.

What fintech providers like Airwallex offer is flexibility. You can expect faster onboarding, streamlined international payments, smart integrations with platforms like Xero, and tools that help you manage multiple currencies or issue employee cards – all without needing a bricks-and-mortar bank.

5 things to consider before opening a business bank account

1. Fees and charges

Take a close look at the fee structure of any business account you're considering. Look for monthly maintenance fees, transaction fees (such as charges for transfers), and potential hidden costs like excess transaction fees or early account closure penalties. Understanding these fees can help you budget accurately and avoid surprises.

2. Interest rates and benefits

Some business accounts offer interest or returns on the balances maintained, which can help your cash flow. Also, take a look at other benefits like discounts on business software, reduced rates on business loans, or cash back on corporate spending. These perks can give you a lot more than just basic account features.

3. Digital capabilities

Check out the digital tools that come with the account. Look for strong online platforms, mobile apps, and financial reporting tools that give you the details you need. Make sure these services work well for what you need, like payroll management, expense tracking, and easy financial reconciliation.

4. Customer support

High-quality customer support is essential for navigating business banking complexities. Check how available the support team is and how quickly they respond – phone, email, chat, or dedicated account managers. Great support can save you a lot of time and frustration as your business grows.

5. Scalability

Your account should grow with your business. This means it should handle higher transaction volumes and offer more services as your needs change—like enhanced credit options, complex cash management, or better international transaction capabilities. Make sure the provider can support both what you need now and what you'll need later.

Why Australian businesses choose Airwallex

Here's how Airwallex stacks up against other providers:

• Features and benefits: You can set up multi-currency business accounts in a huge range of currencies, so you can send, hold, and receive foreign currencies without forced conversions.

• Virtual debit cards: You can instantly create and use multiple virtual debit cards.

• Physical multi-currency cards: You can order physical debit cards for your team and get them delivered quickly.

• Expense management: Move past the receipts and outdated software to an automatic system your team will find easier to use.

• Accounting integrations: Track your finances more easily with direct integration between your Airwallex Business Account and leading accounting software platforms, which makes financial reconciliation easier.

• Immediate access: Once your account is verified, you can activate it and start using it right away, with no extended wait times or delays.

If you need more than just a basic account, Airwallex can do more. With our Global Business Accounts, you can collect, hold, and pay in multiple currencies without forced conversions. You'll be able to issue employee cards, manage expenses in real time, and automate workflows with our Xero integration. All from one platform, with transparent pricing and strong security.

Create an account in minutes and see how Airwallex can help your business move faster, smarter, and with fewer fees.

How to open a business bank account: Frequently asked questions

How long does it take to open a business account or business bank account?

Application and verification times vary depending on the provider you choose (traditional bank or non-bank alternative) and the method needed to apply (in-branch or online). Modern non-bank alternatives can often get you up and running quickly, allowing you to answer key questions and upload documents online in as little as one or two business days.

Do start-ups need a business account?

Australian registered companies, partnerships, and trusts are required by law to have a separate business account for tax purposes. No matter the legal status of your startup, you're setting yourself up for success by having a business account to manage your finances. It helps separate personal and business transactions, simplifies accounting, and elevates the professional image of your new venture, which can be crucial for attracting investors and establishing credibility with customers.

What is the main purpose of opening a bank account?

The primary purpose of a business bank account is to keep your business finances separate from personal ones. This helps with compliance and tax reporting and simplifies everyday cash flow management, enables payroll, and can improve your business’s professional credibility with clients and suppliers.

Are there any benefits to a business bank account?

Yes. Having a business account makes it easier to track expenses, pay employees, and manage tax. You’ll also gain access to tools like transaction reporting, integrations with accounting platforms, and in some cases, lending options. It’s a foundation for building a reliable financial setup.

What is the best bank to use to open a business account in Australia?

It depends on what you're after. The Big Four banks – CBA, NAB, ANZ, and Westpac – offer reliable options for local transactions and in-branch support. But if you're after faster setup, fewer fees, and better global features like multi-currency accounts and expense tools, fintech providers like Airwallex may be the smarter choice.

Which platform offers integrated business banking services?

There are a few platforms that offer integrated banking services in Australia, and that includes Airwallex. Airwallex offers a global multi-currency account combined with tools such as expense management, accounting integrations, corporate cards, multi-currency capabilities and competitive foreign transfers.

Can a foreign company open a business bank account in Australia?

Yes, but you typically need to register with ASIC and obtain an ABN, ACN or ARBN. Alternatively, fintech providers like Airwallex offer local AUD business accounts that can be opened without an Australian entity.

How long does it take to open a business bank account?

Traditional banks usually take 3–10 business days, especially if a branch visit is required. Digital-first providers like Airwallex can usually approve your account within 1–3 business days.

What is the best provider for a business account in Australia?

It depends on your needs – the Big Four banks offer convenient local services such as in-branch cash tools, while fintech providers like Airwallex excel at international payments, multi-currency management, and faster digital set-up.

Disclaimer: The information in this article is based on our own online research. Airwallex was not able to manually test each tool or provider. The information is provided for educational purposes only and a reader should consider the specific requirements of their business when evaluating providers. This research is reviewed annually. If you would like to request an update, feel free to contact us at [[email protected]]. This information doesn’t take into account your objectives, financial situation, or needs. If you are a customer of Airwallex Pty Ltd (AFSL No. 487221) read the Product Disclosure Statement (PDS) for the Direct Services available here.