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10 Best Current Bank Account for Small Business in India

If you’re an aspiring entrepreneur or for any other small-scale company, the best current bank account for small business in India is crucial in the growth of your business.

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Best Current Bank Account For Small Business In India

Best Current Bank Account For Small Business In India

If you’re an aspiring entrepreneur or for any other small-scale company, the best current bank account for small business in India is crucial in the growth of your business.  If an entrepreneur is asked to select an account with a current balance is likely to choose the account that has the highest rate of interest. 

If you are thinking about starting your own small-scale business and opening a Current Banking Account is among the most important prerequisites. There are many banks, both private and public, that offer many best current bank accounts for small business in India, making it difficult to select the most suitable current account for small-scale businesses in India.

How to Open a bank account with Indian Banking System?

The procedure of opening a new bank account can be broken down into five phases:

The Bank You Choose: You must start by choosing the right bank. You should choose the best current bank account for small business in India which provides the highest level of customer service and transaction services. But, you are able to assess the bank on its net banking services as well as loan and overdraft services as well as other features.

Choose a current bank account: Banks provide a selection of current bank accounts that are tailored to the unique demands of various businesses. Choose the account that is most appropriate for your company. To be certain contact the bank’s customer service to clarify any doubts.

Visit the branch of the bank: After you have figured out what kind of current account you’d like to open and have narrowed your list to 2-3 banks, you can visit the branch nearest to the bank. You may pick up the application to create the greatest current account for small businesses in India. You can also inquire about the procedure for opening accounts.

Documents required: You must read the conditions and terms of the agreement and complete all the necessary documents in addition to the application form.

The most common documents used by banks include:

  • Identification and Address documents for all partners
  • PAN Number
  • address proof of the firm/company
  • Partnership Agreement (if the business is a partnership)
  • A duplicate of the business’s
  • Certificate of Incorporation
  • A statement made in accordance with Form 60 or Form 61 of the Income Tax Act
  • Articles of Association
  • Proprietorship (GST Certificate)
  • An official bank account opening check.
  • Memorandum of Association

Everything is prepared: Finally, after all the required paperwork and paperwork is complete, the bank might or might not require the name of a person who has introduced them to you, but only if you were not already an existing customer. Once you’ve submitted your application, the bank will be able to review your application and once it’s approved, you’ll receive the best current bank account for small business in India Kit at the email address you provided to them.

The process of opening a current account is a breeze as nearly all banks in India offer services in order to manage and open an existing account.

Some of the benefits peerless offered by current accounts are:

  • There is no limit. It’s up to you when and how much money you want to withdraw and deposit, with no restrictions..
  • It allows you to accept direct payments via different methods like cheques, demand drafts, or even pay orders.
  • The current account offers both telephone and internet banking services. This is advantageous for businesses as it can save a lot of time and effort.
  • The best current bank account for small business in India also comes with an overdraft option, which allows the withdrawal of funds in excess of the maximum limit that is set by the institution. A rate of interest is calculated on the amount of an overdraft loan by banks.

After obtaining detailed information about the current account and the facilities, it is important to look at the various factors that affect choosing the most appropriate current account of the many options.

The components that we must consider are as follows:

  • It should be taken into account as a vital factor. The best current bank account for small business in India should be accessible and have easy access to service the needs of business easily. Alongside great access, services such as excellent interruptible ATM networks, online banking, and mobile banking have to be offered by the bank.
  • Limits on overdrafts are one of the most useful features offered through current accounts. Limits for overdrafts play an extremely important function in managing a business. Before you decide to open the current or current accounts, make sure to check whether the bank is able to offer an overdraft that has set limits.
  • The monthly minimum balance is among the most crucial elements. An initial investment of more money is required for each entrepreneur or firm. To ensure that you do not incur additional burdens during the initial stage of your company choose an account that has the minimum or no monthly balance requirements.

The Top 10 Current Accounts In India For Small Businesses

Here is a list of the top 10 current bank accounts based on all of the aforementioned factors:

1. Current Account at ICICI Bank

The best current bank account for small business in India has a range of current accounts that are specifically designed for the start-up of businesses, such as new Startup Current Account, Subhaarambh Current Account Small Business Account as well as a Roaming Current Account is available.

It gives you the advantage of no balance for the initial six months. After that INR 25000 will be required for the minimum balance. A dedicated Forex Service and advice offer personalized assistance. Deposit cash for free up to 12 times and free RTGS and NEFT cards, as well as a checkbook, online, and mobile banking.

Types of Account

  • Current Regular Account
  • Newly created current account
  • Current Account for Subhaarambh
  • Business Account, Smart
  • Gold Smart Business Account
  • Gold Roaming Current Account
  • Roaming Current Account Standard

Facts:

  • The best current bank account for small business in India has a startup account that can assist with registration and networking
  • ICICI Bank has 4,882 branches in the USA.

2. Current Account at HDFC Bank

There are several alternatives available for current accounts, including the Ultima Current Account, Apex Current Account Max Current Account Plus Current Account, Premium Current Account, and Smart Up account solution.

It is your choice to pick plans that range from no balance to any amount based on your preferences. Some of its additional offerings include consulting, co-working space, and digital marketing. Alongside these other facilities such as free RTGS Check, NEFT, collection, and payment services are offered by these companies.

Types of Account

  • Ultima Current Account
  • Exceptional Current Account
  • Current Account Apex
  • Current Account EZEE
  • Current Account Maximum
  • Current Agri Account
  • Current Account Plus
  • Medical Facilities and Nursing Homes Current Account
  • Current Account for Trade
  • Account for Professionals Currently Open
  • Current Account Premium
  • Account for Merchant Advantage Plus
  • Current Account, Regular
  • Current Account with Merchant Advantage
  • Adaptable Current Account
  • Establishment Current Account
  • A start-up, Smart Up
  • An increasing current account
  • Domestic Current Account for RFC
  • Account for Exchange Earned Foreign Currency
  • Current Account for E-mail
  • Saksham Current Account

Facts:

  • Euromoney Excellence Awards named this bank the 2018 India’s Best Bank winner.
  • The Banker Global Private Banking Awards’ list of India’s top private banks
  • HDFC offers more than 15 bank account options

3. Axis Bank Current Account

It’s the 2nd most popular savings account for small companies because due to its no-balance feature.

The benefits offered by them include a free transaction of 75 per month. The company charges Rs.1999 for an annual fee however, if your MAB is more than Rs.50000 there is no annual charge. In addition to offering online and mobile banking, it also offers a wide variety of ATMs.

Types of Account

  • Standard Current Account
  • Community Current Account
  • Account for Business Advantage
  • Enterprise Select Account
  • Commercial Classic Account
  • Current Account Sweep
  • Account with Business Privileges
  • One Channel Account
  • Current Account for Club 50

Facts:

  • The third-largest private sector bank in India is Axis Bank.
  • Seven standard Business Current Accounts are available from Axis Bank, along with accounts for other industries.

4. Current Account at Kotak Mahindra Bank

Current accounts offered by the bank include Ace, Neo Start-Up Premium, and Start-Up Regular Global Trade. Its Neo Current account is one of the most well-known of all of them.

Its minimum balance for the quarter requirements is Rs.10,000. The bank has higher Forex Rates, as well as cash deposit that is free and cash withdrawal, as well as cheque payment collections including NEFT, REGS Net banking, and mobile banking.

Types of Account

  • Account of Neo
  • Ace
  • Astra 05
  • Astra 15
  • Start Up Regular
  • Start Up Premium
  • Global TradePro
  • Edge
  • Elite

Facts:

  • Now, ING Vyasa and Kotak Mahindra are partners.
  • For enterprises, Kotak Mahindra Bank offers a variety of products.

5. Current Account at YES Bank

Yes, the bank provides a wide range of best current bank account for small business in India options, similar to other banks. Edge Business, Prime Business, Exclusive Business, and Yes Head-startup Account are among Yes Bank’s most well-liked current accounts. Yes, Head-startup accounts are the recommended for startups and small-sized businesses.

There is no minimum balance requirement for the first year. It offers free services like the ability to pay and collect cheques, ATM truncation, net banking as well as mobile banking are provided. Specialized services that are value-added are offered to entrepreneurs who are just starting out as well as assistance with foreign direct investments.

Types of Account

  • Business Edge Current Account
  • Current Account Business Value
  • Business Benefit Current Account
  • Business Growth Current Account

Facts:

  • More than 1,122 branches exist for Yes Bank.
  • Its equity shares are listed as bonds on the London Stock Exchange and traded on the Bombay Stock Exchange and the National Stock Exchange of India.

6. Current Account at State Bank of India

The most well-known public institution in India is the State Bank of India. As for their current balance, it’s not at the top of the list of preferred banks similar to ICICI and HDFC however its outstanding customer service makes it a formidable institution. The customer service they provide is truly appreciated and they have an extensive network of ATM networks, strong online banking, and mobile banking options, and access to all services via simple applications.

Types of Account

  • Regular Current Account.
  • Gold Current Account.
  • Diamond Current Account.
  • Platinum Current Account.
  • Power POS Current Account (With POS Machine)
  • Surbhi Current Account
  • Power Jyoti
  • Power Jyoti Pul Current Account.

Facts:

  • The biggest companies in the world in 2018. In the Fortune Global 500, State Bank of India came in at position 216.
  • SBI was placed 50th in India for being a trustworthy brand, according to an annual poll conducted by Trust Research Advisory.

7. Current Account at Punjab National Bank

Two different types of current accounts are offered by Punjab National Bank. If you are a small-sized business this could be an ideal choice.

It gives the advantage of opening a current bank account with a minimum amount in the amount of INR 5000. A minimum balance for the quarter starting at INR 1,00,000. The bank also allows unlimited transactions to an available limit, as well as the ability to connect via ATM as well as online and mobile banking.

Types of Account

  • PNB Current Deposit Account
  • PNB Smart Banking Current Account.

Facts:

  • PNB founded its first subsidiary located in India in the early 1900s.
  • As of the month of May, PNB was listed at #717 of the Forbes Global 2000.

8. Current Account at Induslnd Bank

The Industrial Bank is another good option for opening the best current bank account for small business in India. It has a variety of current accounts that meet specific requirements. In general, the current account in the Indus Edge Accounts is highly recommended and preferred.

Types of Account

  • Indus Grain Merchant Flexi
  • Indus Textile Current Account
  • Indus Silver current account
  • Indus Gold Current Account
  • Indus Gold Plus current account
  • Indus Prestige current account
  • Exchange Earners Foreign Currency AccountIndus Infotech Current Account
  • Indus Dollar One – Trade Account
  • Indus Edge Current Account
  • Indus EXIM Trade current account

Facts:

  • The bank opened for business on April 17, 1994.
  • In India, IndusInd Bank has 2453 ATMs and more than 1,588 branches.

9. RBL Bank Current Account

It’s an incredible best current bank account for small business in India with unbeatable services. They offer a unique approach to organize hackathons and regular meet-ups for startups and work with accounting software and coworking spaces. They also offer discounts specifically for start-ups. The minimum balance is Rs.20,000 If you do not maintain the minimum balance, additional charges of 300 rupees are assessed. 300 will be assessed as a fine.

Account Types

  • Exceed Global Elite
  • Traders Current Account
  • Business Account
  • India Start Up Club (ISC) Current Account
  • Exceed Global Trade Current Account
  • Exceed Global ExtraSelf Employed Professional Current Account

Facts:

  • Best Bank for Microfinance at the 2019 Asiamoney Best Bank Awards by Euromoney
  • Business Today and Money Today Financial Awards for Best Small Bank

10. Bank of Baroda Current Account

The current accounts that Bank of Baroda offers are tailored to each individual customer’s needs. With the Bank of Baroda’s current account, you can make daily transactions that are unlimited, as well as customized services. These services are ideal for consultants, doctors chartered accountants and businessmen.
Bank of Baroda also offers an overdraft option that can be used to withdraw cash when you have to meet certain capital needs.

Facts:

  • BOB took received the Global Business Development (Public Sector) & Best Bank awards at the 2014 Polaris Financial Technology Banking Awards (Overall Public Sector Award in Dun and Bradstreet).
  • BOB earned the Best Public Sector Bank Award in the Global Business category of the 2015 Dun & Bradstreet Banking Awards.

Account Types

  • Exceed Global Elite
  • Traders Current Account
  • Business Account
  • India Start Up Club (ISC) Current Account
  • Exceed Global Trade Current Account
  • Exceed Global ExtraSelf Employed Professional Current Account

Facts:

  • Best Bank for Microfinance at the 2019 Asiamoney Best Bank Awards by Euromoney
  • Business Today and Money Today Financial Awards for Best Small Bank

Conclusion

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All current account options above are created to fit small business and entrepreneur needs. They all provide a range of benefits and services. In all options, you must choose the most suitable one for your company to ensure that your company reaches a new level of success.

It is essential to select the right current account in order to ensure your company achieves new heights of success.

If you still have any queries about best current bank account for small business in India. We are Odint Consultancy. We are here to assist you.

FAQ’s

The most reliable current account for business to consider is Bank of Baroda Small Current Business Account.

We recommend that you open three different accounts to ensure you are on top of your small-business financials: checking the money market, checking accounts, as well as high-yield savings.

Current accounts do not accrue any interest because of the ease of use they provide. The number of transactions that may be made on most current accounts is not restricted.

We mentioned previously that the Account that is Current Account is a zero-interest bank account, there is no tax on a Current Account.

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