One of the most important aspects of maintaining a business is its growth. Savings account rewards can be a valuable resource to help that growth. For a finance manager, the financial health of your organization is of utmost importance. The value of savings account rewards go beyond capital gains. Consider these motivations for how savings account rewards can improve your financial status.
An attractive quality of business savings account rewards is the higher-than-average APY (annual percentage yield). Online banks tend to offer more competitive rates. Due to a lack of physical branch locations, they can afford to offer interest rates well over 1% APY. This is huge compared to the national average: 0.09%. The more money deposited into a higher-yield account, the more that investment increases over time. For this reason, look for the highest yield savings account for your company. At face value, a higher APY is one of the ways savings account rewards can improve your financial status.
Limits Personal Liability
Opening a business savings account rewards you by protecting personal liability. By separating personal assets from business assets, anyone who goes after your business will be unable to touch any personal accounts. Granted, in order for this to work effectively you must have registered your business as an LLC or corporation. However, these two steps working in tandem will ensure personal assets are generally protected. Security is important, so opening a business savings account is a great way to protect your liability and secure your financial status as an individual, as well as your business.
Easy Access to Funds
Savings account rewards are not always about putting money into the account. A business savings account provides you with easy access to your funds. In the event of an emergency expense, you will have a clear view of how much liquid assets you can withdraw to offset the inevitable rainy-day. Typically, businesses use savings accounts for saving. However, it serves the purpose of preparing yourself for unforeseen expenses as well. Emergency money plays a crucial role in any business. Having that money at the ready allows you a quicker come-back, empowering you to improve your financial status in the future.
New Account Bonuses
An immediate benefit of savings account rewards are new account bonuses. Online banks are eager to sign new customers. As an incentive, many banks offer a cash bonus upon signing up, depositing, and maintaining a minimum balance. For example, one bank offers a bonus of $100 following a balance of $10,000. These offers and conditions tend to vary, so be sure to compare options. Find the terms and limits that work for you, and you can start using savings account rewards to improve your financial status further.
Some savings account rewards are more obscure. However, there is a substantial amount of merit and credibility that goes with a business account in the eyes of clientele. Clients are more inclined to trust checks and payments that are received under a business account’s name, rather than a personal account. Furthermore, having a business savings account legitimizes your business in the event you apply for a business credit card or a business loan. The more credible your business appears, the more people, banks, and other businesses will trust you. This trust is a convenience in business that can only improve your financial status moving forward.
A business savings account is a great way to enhance your financial status and encourage growth. Higher-than-average APYs generate more for each dollar you save. By separating business from personal accounts, you are taking an extra step in ensuring your liability is protected. Your business funds are always easily accessible in case of inevitable expenses. Signing up for new accounts delivers bonuses anywhere from $25 to as high as $300 in some cases. Lastly, the added credibility of maintaining a business account speaks volumes for your business’ legitimacy. If a goal of yours is to improve your business’ financial status, take advantage of savings account rewards.