5 Best Business Bank Accounts in Australia: A 2024 Guide

Australia houses over 2.6 million active trading businesses.

If you're eyeing a spot, one of the first steps is setting up your business bank account in Australia. A dedicated business bank account can strengthen your financial management and your credibility, helping your business grow effectively in this competitive market. 

Fortunately, Australia offers a strong business banking landscape. In fact, the market size of the National and Regional Commercial Banks industry in Australia is projected to reach 231.3 billion in 2024. 

However, with about 95 banks operating in Australia, how do you choose the right bank for your business? 

The good news is we have already done the research, so you don’t have to. In this article, we will share 5 of the best business bank accounts in Australia, including their features, fees, and eligibility to help you choose the right provider for your business.  

A business bank account is a bank account designed for business purposes, typically registered in the name of the company or entity. These accounts will have features designed for businesses, such as higher transaction limits, access to business loans, expense reporting, and more.

In Australia, you are required to maintain a business bank account if you run a business as a partnership, company, or trust. Sole traders, including freelancers and independent contractors, are not required to use business accounts, but it's strongly recommended to use one to separate business and personal funds for clearer financial management. 

The most common type of business account in Australia is a business transaction account for everyday business activities. This account functions like a business checking or current account, just under a different name. Other common ones are savings accounts, term deposit accounts, and specialised accounts for specific niches.

In terms of the banking landscape, four major institutions—the Big 4—dominate in Australia, including Commonwealth Bank, Westpac, Australia & New Zealand Banking Group, and National Australia Bank.

Choosing the right bank account is key to managing your finances effectively. Different accounts meet different business needs, whether it’s for daily transactions or saving for future investments. Here are some of the most common types of business accounts you can find in Australia.

• Business Transaction Account: Used for daily business transactions such as payments, payroll, and receiving income. It often includes features like a linked debit card, online banking, and expense-tracking tools.
• Business Savings Account: Earns interest on surplus funds. Ideal for saving for future investments or tax obligations, often with features to separate GST and other tax payments. Most major banks in Australia require an initial deposit of around AUD 5,000 to open a business savings account. 
• Business Term Deposit: A fixed-term investment account where funds are locked for a specific period, earning a guaranteed interest rate. Suitable for businesses wanting a secure and predictable return on excess funds. Common term options include 1 to 12 months or multiple-year terms.
• Business Foreign Currency Account: This allows businesses to hold and manage multiple currencies. It is useful for those dealing with international transactions, as it avoids frequent currency conversion fees.
• Specialised Business Accounts: Tailored for specific industries, including trust accounts for legal and real estate sectors and merchant accounts for processing high volumes of credit card transactions. A common option in Australia is the farm management account, designed for agricultural businesses.

Here are the benefits of having a business bank account:

• Separating business and personal finances leads to better bookkeeping and simplifies tax management.
• Having a business bank account enhances your credibility with clients and suppliers. This makes it easier for them to trust your business. 
• Business bank accounts come with features designed for businesses, such as connections to merchant accounts for receiving payments, business lines of credit, and integration with accounting software. Some accounts also offer multi-currency capabilities for international sales.
• For limited companies, having a business account helps separate personal liability from business liability, protecting personal assets from business debts and reducing the risk of piercing the corporate veil. 

Next,  let's take a look at the best business bank accounts in Australia.

Australia and New Zealand Banking Group (ANZ), headquartered in Melbourne, is a multinational banking and financial services institution in Australia. ANZ Bank is one of the "big four" banks in Australia by asset size and market capitalisation, with assets totalling AUD 1.09 trillion for the fiscal half-year ending March 2024.

The bank provides a comprehensive range of personal, business, and institutional banking products and services. In terms of business solutions, ANZ covers business finances, accounts, merchant, and payment services. It also offers specialised international banking services tailored for indigenous small business owners.

ANZ serves over 8.5 million retail and business clients across nearly 30 markets globally.

ANZ business accounts include business transaction accounts, savings accounts, specialist accounts, and term deposits. Transaction account also comes with a debit card. 

Here are the key features:

• Monthly fee: AUD 0 - AUD 10
• Electronic transactions: Free
• Cheque deposits and staff-assisted transactions: AUD 2.50 (20 free per month for ANZ Business Extra)
• International transactions: 3%

For more information on fees, please visit the ANZ Fees and Charges page.

To be eligible for business checking and savings accounts, you must:

• Be 18 years of age or older
• Have an Australian business
• Be the owner or director of the business
• Provide two forms of ID and your ABN or ACN for verification

The Commonwealth Bank of Australia, commonly known as CommBank, is an Australian multinational bank offering retail and commercial banking services primarily in Australia and New Zealand. Commonwealth Bank holds the top position among preferred brands in Australia as of September 2024. In terms of financial performance, the annual report for 2024 indicates an operating income of AUD 27.174 billion.

CommBank provides a wide range of business services and products, including various bank accounts, payment solutions such as Smart EFTPOS terminals, business loans, equipment finance, business cards, and support for businesses at various stages. 

Currently, they serve over 17 million customers in Australia and are one of the leading banks.

Their key business accounts include a business transaction account, an online savings account, and a term deposit account. The transaction account also gives the account holder access to a business debit card. The key features are as follows:

• Monthly fee: AUD 0 to AUD 10
• Electronic transactions: Free
• Staff-assisted transactions: AUD 5 (first 5 free with an In-branch Business Transaction Account)
• QuickCash deposit: AUD 10 (first 5 free with an In-branch Business Transaction Account)
• International transactions: 3.5%

For more details, please visit CommBank Business Transaction Account Rates and Fees.

You can open an account if you have:

• An Australian Business Number (ABN)
• An Australian Company Number (ACN) (if applicable)
• A registered business name

You can open an account online if you are:

• A sole trader
• An Australian private company (Pty Ltd)
• A self-managed super fund (SMSF)
• A partnership with up to 4 individuals as partners
• Your ACN must be linked to your ABN

Otherwise, you will need to visit a branch to apply.

National Australia Bank, or NAB, is one of Australia's top financial institutions, ranking among the largest in terms of market capitalisation, earnings, and customer base. NAB's half-year results summary for 2024 highlights a statutory net profit of AUD 3,494 million.

The bank caters to a diverse range of financial needs, including personal accounts, small, medium, and large businesses, private clients, and government and institutional entities.

With a global workforce exceeding 38,000 colleagues, NAB serves over eight and a half million customers across Australia, New Zealand, and various international locations.

The key business accounts are business transaction accounts, savings and term deposit accounts, and specialised accounts. The key features are as follows:

• Monthly fee: AUD 0 to AUD 10
• Electronic transactions: Free
• Staff-assisted transactions: AUD 3 per transaction (15 free for higher-tiered accounts with 10 monthly fees)
• International transactions: 3%

For more information about NAB fees, please visit the NAB business banking fees and charges page.

You are eligible if:

• You are a sole trader, partner, director of an Australian private company, or trustee of a trust.
• You reside in Australia and are an Australian tax resident.
• You have an active ABN or ACN unless you are a sole trader without an ABN.

Established as Australia's first bank and longest-standing company, Westpac Bank has a rich history spanning over two centuries. With Westpac Banking Corporation (WBC) holding assets totalling over one trillion Australian dollars as of September 2024, it ranks among Australia's four major banking institutions and is a leading bank in New Zealand. 

Westpac operates through a diverse portfolio of financial service brands and businesses, providing an extensive suite of consumer, business, and institutional banking services alongside wealth management solutions.

Westpac and its other subsidiaries collectively cater to over 12.7 million customers.

Westpac offers a variety of business accounts, including business transaction accounts, business cash reserves, term deposits, and foreign currency accounts. Here are the key benefits of the primary transaction account:

• Monthly fee: AUD 0 - 10
• Electronic transactions: Free
• Staff-assisted transactions: AUD 3 (First 25 free for Business One Plus accounts)
• Foreign transaction fee: 2.2% - 3%

For detailed information on account fees, please refer to the Westpac Bank fee document.

You are eligible if you meet the following criteria:

• You are a sole trader, partnership, company, association, SMSF, trust, or not-for-profit.
• You operate in Australia with an Australian address.
• You and all signatories are more than 18 years old.

You can open an account online if you're a sole trader, a 1-director company, or already a Westpac business customer. If you don't meet these criteria, we recommend visiting one of their branches.

Established in 1875, Heritage Bank has since grown into one of Australia's leading customer-owned banks, with branches across Queensland and New South Wales and a network of mortgage broker partners nationwide. 

Heritage Bank offers essential financial services for both personal and business banking, such as loans, term deposits, credit cards, and banking accounts designed for small and medium-sized businesses.

Heritage Bank has total consolidated assets of AUD 24.47 billion as of June 2024.

Heritage Bank's main business accounts include the business cheque transaction account, term deposit account, body corporate account, self-managed super fund account, and more. 

Here are the key features:

• Monthly fee: AUD 0
• Direct credits and debits, cheque deposits, and counter cash deposits: Free
• Overseas ATM or counter withdrawals (Visa): AUD 5 plus overseas currency conversion fee

For more information, visit their Business Accounts page.

You can apply if you are a sole trader, partnership, company, trust, association, Australian Government body, body corporate, co-operative, deceased estate, or self-managed super fund.

We could not find other specific information regarding business eligibility on the Heritage Bank page.

Comparing options and finding the most fitting account for your business can be challenging. To help you navigate this process, we've outlined key factors to consider below. 

When choosing a business account based on your business requirements, the different types of business accounts that each provider offers should be able to check all the boxes you need to help your business thrive.

Common products and services to consider are:

• Different types of business accounts, such as transactions, savings, or term deposit
• Business debit, credit, or payment cards. Check if they meet your daily transaction limits and whether employee cards are available if needed.
• Accounting software integrations
• Business loans and insurance options
• Overdraft facilities
• Reporting and analytics tools to help with expense categorisation
• Channels and service hours of customer service

These days, Internet banking can save you a lot of time and money. Make sure to review the transaction features available for digital services on their platform. 

Consider these factors:

• Mobile Banking App Ratings: App store ratings can give insights into the quality of each bank’s mobile experience.
• Digital-Only Accounts: Certain banks offer lower fees for digital-only accounts, which might benefit businesses that don’t require in-person services. However, if you often need branch support, compare these options with full-service accounts.
• ATM Access and Network: For businesses that handle cash, ensure the bank has a nearby ATM network. Some banks offer extensive coverage, while digital-only providers may partner with fewer ATM networks, which could affect your accessibility.

Lastly, be sure to assess the fees to ensure they fit your budget. Many business accounts in Australia come without a monthly account fee and waive fees for electronic transactions. However, here are the most common fees and conditions to be aware of:

• Electronic Transactions: Most Australian banks provide free electronic transactions, but this usually applies only to domestic transfers. Be sure to check the specific conditions, as international transactions often incur additional fees for currency conversion and service charges.
• Staff-Assisted Transactions: Many banks charge extra fees for transactions that require staff assistance, such as in-branch deposits or withdrawals. These fees can vary between banks, so it’s beneficial to compare options if you frequently need in-person services.

Other transactions and deposits also typically incur fees based on your account tier.

Each of the business accounts mentioned is a gWhen opening a business bank account with major Australian banks; the process will depend on the type of account you are applying for and the nature of your business.

Here’s what you’ll typically need:

• Proof of identity: This could include a birth certificate, driver’s license, Medicare card, or passport.
• Business details: You’ll need to provide your business details, such as Australian Business Number (ABN) and Australian Company Number (ACN).
• Proof of address: Acceptable documents include utility bills, bank statements, or a lease agreement.

Some banks allow you to open a business account online if you already hold a personal account with them. However, it’s best to contact your chosen bank to confirm their specific requirements.

For more detailed steps, read the full guide on how to open a business bank account in Australia.reat option if your business is looking to grow further in Australia.

If you're a small business, you may consider the options that offer a great deal and rich features, or opt for those that are ideal to help your business grow as you see fit.

It's also important to stay informed and up to date about the latest features and fees by visiting the bank website to see which option is best for you and your business.

Each of the business accounts mentioned is a great option if your business is looking to grow further in Australia.

If you're a small business, you may consider the options that offer a great deal and rich features, or opt for those that are ideal to help your business grow as you see fit.

It's also important to stay informed and up to date about the latest features and fees by visiting the bank website to see which option is best for you and your business.