Best business bank accounts for sole proprietors in the US

Key takeaways

• About 27% of small business owners still run personal and business finances through one bank account, even though a dedicated account saves 15 to 20 bookkeeping hours a year.¹

• A dedicated business account serves as a strategic asset for growth, optimizing cash flow and cutting operational friction for self-employed individuals.

• Airwallex offers the best business account for multi-currency operations and financial teams with expanding global footprints.

Modern sole proprietors require an account that works as a strategic asset, rather than a passive place to park capital. Choosing the right platform involves examining connectivity with existing invoicing, expense management, and global expansion tools. This guide compares the leading business accounts and business bank accounts to help solo entrepreneurs optimize cash flow and reduce operational friction.

The best business accounts and business bank accounts for sole proprietors at a glance

Top-rated business accounts and business bank accounts for sole proprietors in the US

Most accounts a sole proprietor will shortlist now come from digital-first platforms rather than branch networks. Only one option below is a bank in the legal sense. The rest are financial technology platforms that hold customer funds at partner banks, which changes how money is protected and who protects it.

Airwallex

Airwallex consolidates cross-border money movement into one financial platform: multi-currency accounts, local payment collection, corporate cards, and transfers to over 200 countries and regions.² Businesses selling across borders, paying overseas suppliers, or working with contractors in multiple markets can manage operations from a single account instead of opening separate provider relationships in every region.

Airwallex is a fintech company, not a bank. US customer funds are held with FDIC-insured partner banks, including Evolve Bank & Trust, and are eligible for FDIC pass-through insurance of up to $250,000 per qualified customer account and banking institution.

Ideal for

Solo entrepreneurs with international suppliers, remote contractors, or global customers, particularly those selling on platforms like Shopify, Amazon, or eBay. It is the stronger choice for scaling firms that need native multi-currency wallets to avoid the forced conversions that erode margins.⁴

Less ideal for

Sole proprietors with cash-heavy, in-person operations who need branch access or a domestic line of credit from the same provider.

Our take

An Airwallex Business Account combines Airwallex’s global financial infrastructure with intelligent automation to move funds at agentic speed across entities, currencies, and markets. Standard bank cards often carry a 3% markup on international spend. Airwallex Corporate Cards pull directly from multi-currency balances instead, removing that cost. The ability to generate local bank details in over 20 currencies enables a sole proprietor to receive payments from customers in the UK, EU, or Australia as if the business had a local office there.

That removes the "banking tax" that often stops small businesses from competing globally. The 2% flat cashback on USD spend also gives a consistent reward structure that tends to be more useful for scaling firms than category-specific points.

Pros

• US$0 monthly fee on the Explore plan, with no minimum balance requirement²,³

• Access to interbank FX rates on conversions, regardless of transaction size

• Issue multi-currency corporate debit cards with 0% international transaction fees⁴

• Native integration with Xero, QuickBooks, and Shopify for real-time reconciliation

Cons

• Limited for businesses with physical operations, as POS Payments for accepting in-person card payments is not yet available in the US

• Airwallex Corporate Cards are generally debit cards that draw on held balances 

• The free Explore plan caps at 10 Spend users, and multi-conditional approvals require the Grow plan at US$12 per Spend user a month plus a platform fee. Purchase orders require Accelerate, which is custom-priced

Bluevine

Bluevine optimizes for earnings on working capital, offering interest-bearing checking accounts that let solo entrepreneurs put idle cash to work without giving up liquidity. It has become a strong option for US small businesses that want domestic lines of credit and competitive rates directly on operating balances. Bluevine is a fintech platform, and deposits are held at its partner bank.

Ideal for

Sole proprietors who hold significant cash balances and want to maximize interest income while still paying bills and running daily operations from one account.

Less ideal for

Businesses with complex international payment needs, since the platform lacks the native multi-currency infrastructure of global-first providers.

Our take

Bluevine rewards companies that keep substantial balances with tiered APY that can reach 3.0% on checking. On the free Standard plan, teams earn 1.30% APY on balances up to US$250,000 by spending US$500 monthly via debit card or receiving US$2,500 in customer payments. High-cash sole proprietors may prefer the Premier tier, which yields 3.0% APY for a US$95 monthly fee (waivable with a US100,000 average daily balance). Because Bluevine pays yield directly on checking, holding US$100,000 in reserves on the Premier plan earns roughly US$3,000 a year.

The platform also provides 5 sub-accounts on the free Standard plan and up to 50 on Premier, each with its own account number, which is rare and makes budgeting for taxes or payroll far easier.

Pros

• High-yield APY up to 3.0% on all checking balances under the Premier plan

• Integrated access to lines of credit up to US$250,000

• Free checkbooks, plus cash deposits at 90,000+ Green Dot locations and 1,500+ Allpoint+ ATMs (deposit fees apply)

• Advanced sub-account structure with unique account numbers for each bucket

Cons

• Monthly fees up to US$95 apply to higher interest tiers

• Limited international receiving options compared to multi-currency specialists

Novo

Novo takes a connection-first approach built for digital-first businesses that care about their tech stack. It is a streamlined option for freelancers and early-stage startups that want a straightforward, fee-free account for domestic operations. Novo is a financial technology platform, and deposits are held at its partner bank, Middlesex Federal Savings, F.A. (Member FDIC).

Ideal for

New business owners and digital freelancers who prioritize simplicity, no-fee accounts, and solid integrations with platforms such as Stripe and Shopify.

Less ideal for

Businesses that want to earn interest on deposits, or that need to hold and manage multiple foreign currencies natively.

Our take

Novo excels at stripping complexity out of early-stage business banking. Its direct Stripe integration is crucial for online collections, as payouts land in the account and reconcile without a manual step. Novo checking accounts do not earn interest; instead, the platform utilizes Novo Reserves, which allows businesses to allocate funds into buckets for taxes or payroll. It serves as a reasonable starting point for frequently moving money through connected workflows while avoiding traditional institution fees.

Pros

• No monthly fees, no minimum balance, and unlimited digital transactions

• Reimburses up to US$7 per month in ATM fees for nationwide access

• AI-powered bookkeeping classifies expenses for tax-readiness

• Direct integrations with platforms like Etsy, eBay, and WooCommerce

Cons

• Checking accounts do not earn interest (0% APY)

• Support runs through the app and website only, Monday to Friday, 9am to 6pm ET

• Cannot hold multiple currencies natively within the account³

• Direct cash deposits are entirely unsupported (users must rely on external transfers or depositing checks)

Relay

Relay is a digital platform built around financial organization and granular cash control. It appeals to firms that manage funds across different operational purposes or follow methodologies like Profit First. Relay is a fintech platform, and deposits are held at its partner bank.

Ideal for

Sole proprietors who want high visibility into cash flow through multiple distinct checking accounts.

Less ideal for

Businesses that need integrated lending products directly from their primary provider.

Our take

Relay's main differentiator is up to 20 independent checking accounts, each with its own routing and account number. That allows genuine systematic separation of cash, such as keeping tax reserves fully independent from operating expenses without relying on spreadsheets.

Relay also supports up to 50 physical and virtual debit cards with individual spending limits, useful for solo operators who bring in contractors for specific projects. Relay is a strong tool for USD-only budgeting. Airwallex is the better fit for global scale.

Pros

• Up to 20 checking accounts with unique routing numbers on the free plan

• Deep integration with Xero and QuickBooks Online

• Automated transfer rules for Profit First allocations

Cons

• Operational checking accounts do not earn interest

• Lacks direct lending products and relies on third-party partnerships

• No physical branches for in-person support

Chase Business Complete Banking

Chase is the one true bank account on this list. It offers the security and convenience of a large physical branch network, which suits businesses that handle frequent cash transactions or prefer a traditional banking relationship. As the largest bank in the US, it brings domestic stability and a product suite digital-only platforms cannot always match.

Ideal for

Sole proprietors with cash-heavy operations, such as local retail or home services, who value in-person support and the ability to deposit cash at branches.

Less ideal for

Digital-first sole proprietors who want to avoid monthly fees and minimize international transaction costs.

Our take

Chase operates a traditional model, with security anchored in more than 5,000 branches and nearly 15,000 ATMs. A fee-free account is usually the goal, and sole proprietors can waive the US$15 monthly maintenance fee by maintaining a US$2,000 minimum daily balance, spending US$2,000 on a Chase business credit card, or processing US$2,000 in customer payments through Chase QuickAccept. Assess the most frequent transaction types before dismissing Chase. International operations are expensive here due to SWIFT wire fees and significant FX markups on conversion.

Pros

• Vast network of physical branches and ATMs for cash access

• Integrated merchant services for in-store and mobile payments

• Reliable mobile app with robust check deposit and Zelle features

• Opportunity to build a relationship for future SBA loans

Cons

• Monthly fees of US$15 apply unless specific waiver requirements are met

• Significant fees and markups on international wires and FX

• Chase Business Complete Banking does not pay interest on balances

• Limited software integrations compared to fintech specialists

Methodology for evaluating sole proprietor accounts

The evaluation prioritizes total cost of ownership, operational efficiency through software connectivity, and global readiness for scaling solo operators. Higher ratings go to accounts with deep, real-time integrations into accounting software such as Xero and QuickBooks, as those connections are the primary mechanism for recovering the manual bookkeeping hours that burden small business owners. The assessment also weighs the ability to manage multiple currencies without forced conversion, giving higher marks to platforms providing local bank details in foreign regions.

Combining these factors with transaction limits and ease of use helps entrepreneurs compare best business accounts and pick a provider that works as a strategic engine, not just a vault.

A note on Airwallex's inclusion: Airwallex publishes this article. The Airwallex Business Account was scored against the same criteria as every other account here, and its trade-offs are listed just as they are for competing providers.

Understanding business accounts and bank accounts for sole proprietors in the US

A business account for a sole proprietor is the gateway between personal life and commercial enterprise. A sole proprietorship is not a separate legal entity from its owner, but the account creates a functional boundary that makes professional management and regulatory compliance possible.

What is a sole proprietor business account?

A sole proprietor business account is a dedicated account used exclusively for business transactions. It functions as a pre-filtered ledger for the IRS, documenting every dollar in and out as business activity.

The practical payoff of a separate business account is net profit. That is the figure self-employment taxes are calculated on. Without a dedicated account, finding every deductible software subscription or inventory purchase becomes a slow manual job that invites errors.

Business account or business bank account: what's the difference?

A business bank account is opened directly with a chartered bank, and deposits are insured by the FDIC through that bank. A business account from a fintech platform is not a bank account, even though it behaves like one day-to-day. Providers like Airwallex, Bluevine, Novo, and Relay hold customer funds at FDIC-insured partner banks, so for some US customers, eligible balances can qualify for pass-through insurance rather than direct deposit insurance.

The practical difference for a sole proprietor is trade-off, not safety. Banks provide branches, cash handling, and in-house lending. Fintech platforms typically provide lower fees, better FX, faster onboarding, and deeper software integrations.

How business banking for sole proprietorships works

Business banking for sole proprietors follows a cyclical workflow centered on income and expense management. Revenue from sales is deposited into the business account, and operational expenses are paid from it. Owners then take draws by transferring funds from the business account to a personal account to cover living expenses. 

That clear transaction trail is essential for accurate records and for demonstrating financial discipline. Modern accounts automate parts of the cycle, setting aside a percentage of every deposit for taxes or categorizing expenses based on prior spending patterns.

Types of business accounts for the self-employed

A modern sole proprietor's financial stack usually spans several account types, each with a distinct role in treasury management.

Business checking accounts

The checking account is the heart of the business and handles the highest transaction volume. These accounts have evolved from simple transaction vehicles into digital-first platforms with integrated bill pay, remote check deposit, and same-day ACH transfers.

High-yield savings and reserve accounts

High-yield business savings accounts keep excess cash productive while staying liquid. Sole proprietors use them to build reserves for quarterly estimated taxes, equipment upgrades, or emergencies. Digital platforms often add envelopes or reserves that sit under the main account to simplify categorization.

Global multi-currency accounts

For businesses operating internationally, Airwallex multi-currency accounts hold and manage funds in 20+ currencies natively. That avoids the forced conversion fees traditional banks charge and pay global vendors or contractors over local rails.⁴

Merchant services accounts

For teams that accept credit card payments online or in person, a merchant account or payment service provider integration is essential. Modern platforms often bundle these, providing payment links and tap-to-pay that settle funds directly into checking.

Benefits and risks for US-based sole proprietors

Opening a dedicated business account is driven by both the upside of optimizing growth and the need to mitigate real legal and financial risk.

Benefits for sole proprietors

• The IRS requires business deductions to be clearly substantiated, and a separate account is a clean record that makes those deductions easy to identify.¹

• When a customer receives an invoice and sees payment directed to a business name rather than a personal one, it reinforces the legitimacy of the operation.

• Separate accounts enable the generation of accurate profit and loss statements and balance sheets with minimal effort.

• Lenders use metrics like the FICO Small Business Scoring Service to evaluate applications, and a dedicated business account is the foundation of that profile.¹

Risks of financial commingling

• A separate account provides a clean record of business earnings and expenditures, which is necessary during a dispute, an audit, or a loan application.

• Commingled transactions are a significant red flag for the IRS and often lead to filing errors that result in interest charges and penalties.

• Without separation, business profit and personal spending blur together, which invites cash crunches.

How to choose the best business account or bank account for sole proprietorships

Choosing well means looking past interest rates and analyzing actual operational workflow and growth plans.

1. Start with geographic reach. With international suppliers or customers, a multi-currency account is essential to avoid the standard 3% markup on international transactions.⁴

2. Next, consider software integration depth. The account should connect directly to the daily accounting, payroll, and invoicing tools.

3. Finally, evaluate access to growth capital. Being able to draw a line of credit or a term loan through the same platform can accelerate expansion.

How to apply for a sole proprietor business account in the US

The steps for opening a business bank account are now digital-first, and many platforms offer a fully online experience that takes only minutes.

Required documentation

Sole proprietors generally need a tax identification number, either a Social Security Number or an Employer Identification Number, plus a valid government-issued ID. Owners often ask whether they can open a business bank account with EIN only, but most US institutions require both for verification. Applicants may also need a residential or business address, and a DBA certificate if the business operates under a name different from its legal one.

Applying online vs. in-branch

Online application is the standard for fintech and digital-first providers, with fully paperless onboarding. Traditional banks still offer in-branch applications, which can help with frequent cash deposits.

Alternatives to sole proprietor accounts

A dedicated business account is strongly recommended, but some individuals consider alternatives.

The most common is using a separate personal checking account for business transactions. Weighing business accounts vs personal accounts, the core trade-off is that personal accounts lack professional features, such as issuing cards in a business name or building a business credit profile.

Another alternative is relying only on payment processors like PayPal or Venmo. These are not full-service replacements and lack robust bill pay and high-yield savings.

Explore different types of business accounts

Airwallex publishes guidance for a range of business structures. Compare tailored features in the roundups of the best business accounts for LLCs and the best business accounts for eCommerce. For a broader view, compare the best business accounts across all available options.

Frequently asked questions about the best business accounts and bank accounts for sole proprietors

Does a sole proprietor legally need a separate business bank account?

No, a sole proprietorship is not a separate legal entity, so no federal law requires a separate account. Separating finances is still an operational and tax necessity, since it creates a clean audit trail and makes deductible expense tracking far simpler.¹

Is a business account the same as a business bank account?

No. A business bank account is held directly with a chartered bank and insured by the FDIC through that bank. A business account from a financial technology platform like Airwallex is not a bank account, though for some US customers funds are held at FDIC-insured partner banks and eligible balances can qualify for pass-through insurance.

Is it possible to open a business account with just a Social Security Number (SSN)?

Yes, sole proprietors can typically open a business account using their SSN as their tax identification number. Many owners still choose to get an EIN to keep their personal SSN private and establish a distinct credit profile for the business.

What business account is the quickest to open online?

Financial technology platforms like Airwallex verify identity automatically, and most accounts are active within one to two business days.

Are there business accounts with no fees and no minimum deposit?

Yes, several modern providers offer no-fee business accounts, including Airwallex, which has a US$0 monthly maintenance fee and no minimum deposit or balance requirement.²,³

Which business account is best for global freelancers and sole traders?

Airwallex is the strongest option for an international focus.²,⁴ Holding over 20 currencies natively and paying over local rails lets global sole traders avoid the high fees that come with cross-border commerce.

Is it possible to open a business account with an EIN only?

No. Most US institutions require both an EIN and the SSN or personal ID to comply with federal Know Your Customer regulations.

Does a business account assist in building business credit?

Yes, a separate business account is a foundational step in building business credit history. Lenders analyze account consistency and deposit history to verify cash flow for future loans or equipment leases.¹

When is the best time for a sole proprietor to open an account?

Open an account before accepting the first payment or making significant purchases. Early separation provides clean financial records from day one and ensures tax deductions aren't missed.

Sources

1. https://www.airwallex.com/en-us/blog/what-is-a-business-account

2. https://www.airwallex.com/en-us/business-account

3. https://www.bluevine.com/blog/perspectives/best-business-bank-account-for-sole-proprietors

4. https://www.nerdwallet.com/business/banking/best/sole-proprietors