For those of you with more than one company, do you keep all of your business banking with one institution or do you use different ones?
Right now we have biz accounts at Wachovia and BofA and we need to setup another business account, would/do you keep using the same banks or would you go to a different one?
Your thoughts on this would be appreciated
Regards,
Lee
i would suggest using your same bank since they know you as a customer and well they know your needs you dont want to switch banks here and there since you wont get any grace periods really like your normal bank since they know your stability or other things.
Matt.
we have our personal bank accounts plus business bank accounts at 1 bank my other half well he is changing from bank one to washington mutual as well where we have the business account at and well i have my personal account at.
Well I learnt ages ago, never put all of your eggs in one basket. Myself, I use four different banks. With online banking its a snap to make bank to bank transfers.
While at the outset it is indeed difficult, but over time you build up the rapport and then you have a solid reputation with more than one. Saves you if ever something drastic happens to one, least you have more than one backup.
There is also one added reason explained to me why to try and use different banks for different companies... called keeping them at arms length...
Just my pennies worth
Ian
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i'm with ian, here. b of a in southern california has been known to terminate accounts if it comes to their attention they are adult-related. i know of smaller banks that have done the same thing.
there are SO many things that can happen, i feel it's best to separate our accounts. hopefully nothing every will go wrong, but it still couldn't hurt.
We have different banks for different projects, let alone different companies. Too many eggs in one basket is a baaad idea, especially in this industry.
No matter what business you are in, keep your personal accounts at a separate bank from your business accounts.
Chad Belville, Esq
Phoenix, Arizona
www.chadknowslaw.com
Keeping you out of trouble is easier than getting you out of trouble!
Chad can you tell me the reason why.Originally Posted by chadknowslaw
Thanks,
Mark
* IntenseCash.com - If you can't convert us you better look for a new job!
For tax purposes, keeping your accounts at separate banks prevents monies going into the wrong account.
For legal reasons, in the event that you are subject to a judgement either personally or business then levying on "all acccounts at ABC Bank" protects your accounts at the other bank.
Keeping accounts at separate banks also makes the small business owner think twice before making a transfer from business to personal. Transfers between two banks instead of two accounts creates a better paper trail for your accountant and tax preparer.
Banking is an area where you should never ever ever never mix business and personal.
There is also the general rule of not keeping all eggs in one basket, which I totally agree.
Chad Belville, Esq
Phoenix, Arizona
www.chadknowslaw.com
Keeping you out of trouble is easier than getting you out of trouble!
Since I use BofA, I'm curious as to which banks in southern cal did this?
And legally, how the heck can they get away with that? What was there reason they gave for closing said accounts?
several b of a's in socal did that. the one silvercash used to use did it to them, and several smaller webmasters had the same experience - as i recall, the same thing happened to the hawgs, but that was another state. they were all told that the bank didn't care to do business with companies involving adult.
topbucks still uses b of a in arizona, so i figure this is either a state by state or even bank by bank decision.
it is all in your agreement with the bank. if you read through all the fine print, they and you can terminate the agreement at any time without prejudice. i know several people whose accounts were terminated from smaller banks for adult, as well.
for what it's worth, wells fargo was happy to get new accounts, and they know how those accounts made their money.
B of A closed our account when they merged with Fleet. (It was originally a Fleet account.) They didn't say it was because of the adult stuff, but they hinted it was.
Banks are businesses and they can make the business decision not to deal with you for any reason other than race, sex, religion or gender.
I could decide never to accept fishermen for clients and nobody could do a thing about it--banks can terminate your account because of the nature of the business if they want!!
Chad Belville, Esq
Phoenix, Arizona
www.chadknowslaw.com
Keeping you out of trouble is easier than getting you out of trouble!
RBS (Royal Bank of Scotland) closed my business account a few years back when i was operating an online book store out of the UK after i left school, the really stupid thing about it was, they didnt close it because it was 'porn' related instead i guess the branch manager at the time didnt like the fact that i sold 'gay' books, the same sort Amazon sold at the time and he found that err.. Im going to say immoral.
Id agree with Chad about keeping biz and personal accounts at seperate banks and i think we're going to setup with another bank fr this new company to just to be on the safe side
Regards,
Lee
I would agree with gaystoryman, basschick, and chadknowslaw. If something happened to one of those accounts, the bank might not differientate between the other accounts.
One story that I heard from a merchant when he was using B of A. He had a lot of chargebacks on his merchant account (thru B of A). So B of A shut down his merchant account as well as his checking account. And it was much more difficult for him to open up a new checking account than for us to open a new merchant account.
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