The best bank account for a new LLC is one that aligns with how you operate, but you cannot open any account until your LLC is officially formed. Services like ZenBusiness handle the necessary entity formation so you have the required paperwork ready for the bank. Once formed, you can evaluate whether a traditional provider like Chase or Bank of America suits your need for physical branches, or if a digital platform like Bluevine better fits a modern workflow.

Chase and Bank of America are two of the largest traditional banks in the United States. They offer massive physical branch networks, comprehensive merchant services, and in-person support. For a new LLC, deciding between them comes down to comparing their entry-level checking tiers and understanding their fee waiver structures.

Before diving into the features of specific accounts, you must understand the legal prerequisites for opening them. You cannot apply for a commercial account until your business exists as a distinct legal entity. This guide explains the required formation steps, the risks of commingling funds, and how the top banking options compare on price.

Why a dedicated business account is mandatory Operating a business out of a personal checking account is a fundamental error. The U.S. Small Business Administration warns that failing to separate means you risk forfeiting the legal protections that entity structures offer. The corporate veil that protects your personal assets from business lawsuits requires strict financial boundaries. The SBA states clearly that to keep personal funds and business funds completely separate you must have two different bank accounts.

This separation is equally important for tax compliance. The Internal Revenue Service expects a clear paper trail for every business expense and revenue stream. IRS Publication 583 advises that one of the first things you should do when you start a business is open a business checking account. You should keep your business account separate from your personal checking account from the very beginning.

What you need to open the account A bank must verify the legal existence of your business before granting you an account. This process requires formal state paperwork. Bank of America asks for the business name and address, your state of formation, the EIN or SSN, and the date the business was established. Depending on your state, it may request the Articles of Organization or equivalent filing.

Banks must also identify who controls the company. Bank of America requires personal details for everyone on the application, including those with at least 25 percent or more ownership. You will need to provide trade name documentation if your business operates under an assumed name. Notably, Bank of America does not list an operating agreement as required, so do not assume every institution will demand one.

Managing this paperwork is a common bottleneck for new founders. ZenBusiness simplifies this by filing your state formation documents and securing your EIN from the IRS. By ensuring your paperwork is complete, it prepares you for a smooth account application. ZenBusiness also offers a free accounting consultation to customers who form with the service. You can explore the ZenBusiness accounting features to set up your bookkeeping right alongside your new bank account.

Understanding deposit insurance and fintech alternatives When evaluating Chase and Bank of America, you benefit from the direct regulatory protection of a traditional bank charter. The FDIC states that the deposit accounts of a corporation, partnership, or unincorporated association are insured for up to $250,000. This limit applies per institution. All accounts held by the same entity at one insured bank are combined. This means separate accounts for different divisions or purposes do not get separate coverage.

If you consider digital fintech platforms as alternatives, you must understand their different risk profile. The FDIC explicitly states that nonbank companies themselves are never FDIC-insured. Funds you send to a nonbank company are not eligible for FDIC insurance until the company deposits them in an FDIC-insured bank and after other conditions are met.

This means your operating cash relies on the stability of the partner bank holding the funds. More importantly, FDIC deposit insurance does not protect against the insolvency or bankruptcy of a nonbank company. If the fintech platform itself fails, recovery runs through an insolvency or bankruptcy proceeding. The FDIC warns this process may take some time, potentially freezing your business operations.

Comparing Chase and Bank of America Chase and Bank of America offer tiered checking accounts designed to scale with your business. The options below detail their pricing and basic waiver structures. The prices are current as of October 6, 2026.

Bank of America Bank of America structures its entry-level account around early fee waivers. The Business Advantage Fundamentals Banking account costs $0 or $16 per month. Fundamentals has no monthly fee for the first 12 months. After that period, the fee is waived by a $5,000 combined average monthly balance, $500 in new net qualified debit card purchases, or Preferred Rewards for Business membership. The higher-tier Business Advantage Relationship Banking account costs $0 or $29.95 per month.

Chase Chase offers a similar tiered structure aimed at businesses that need robust physical access and cash handling. Business Complete Banking costs $15 per month. The mid-tier Performance Business Checking is $40 per month, and Platinum Business Checking is $95 per month. Each of these fees is waivable based on stated balance or activity conditions.

Other notable banking options If the traditional models of Chase and Bank of America do not fit your needs, the market offers several alternatives. We list these providers alphabetically for comparison.

American Express Business Checking American Express provides a digital checking account with no monthly fee and no minimum balance requirement. It earns 1.00 percent APY on balances up to $500,000.

Axos Bank Axos Bank offers a Basic Business Checking account that costs $0 per month, with no minimum balance and no maintenance fee. Its Business Interest Checking account costs $10 per month, waived with a $5,000 minimum average daily balance, and takes a $100 opening deposit.

Bluevine Bluevine focuses on interest-bearing checking. The Standard account is $0 per month. The Plus tier is $30 per month, and Premier is $95 per month. The Plus and Premier fees are waivable. Bluevine pays an APY of 1.3 percent on the Standard tier subject to a monthly activity goal, 1.75 percent on Plus, and 3.0 percent on Premier.

Mercury Mercury serves venture-backed startups and tech companies. The base account is $0 per month. The Plus tier is $29.90 per month, and the Pro tier is $299 per month.

Novo Novo is a digital platform for freelancers and small teams. Novo charges a $0 per month fee, with no monthly fee to maintain the account. It emphasizes integrations with popular accounting software.

Relay Relay focuses on cash flow visibility. The Starter tier costs $0 per month, Grow is $30 per month, and Scale is $90 per month. It allows founders to issue dedicated cards to team members.

U.S. Bank U.S. Bank is another traditional alternative. Business Essentials costs $0 per month. Gold costs $20 or $0 per month. Platinum is $30 or $0 per month, and Premium is $34 per month. The Gold fee is waived by a merchant account, a $10,000 average collected balance, or larger combined balances. The Platinum fee is waived by a merchant account or a $25,000 average collected balance.

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This article provides general information and is not legal, tax or accounting advice. Requirements vary and change over time.