Business money market accounts (MMAs) are generally low-risk and tend to offer higher interest rates than regular savings accounts. They also provide convenience through features like check-writing and debit cards. These accounts are ideal for short-term financial goals, as they can assist small businesses in establishing an emergency fund for unexpected expenses or saving for significant purchases, such as equipment and machinery.
The best business money market accounts typically offer high interest rates, low initial deposits, minimal balance requirements, and high transaction limits.
Here is a list of the seven best business money market accounts.
- Best overall bank for business money market account: U.S. Bank
- Best digital bank for MMA with tiered APY: Prime Alliance
- Best bank for money market accounts with no opening deposit: NBKC Bank
- Best high-yield MMA bundled with business checking: Grasshopper
- Best full-service bank with high business money market rates: Truist
- Best high-yield money market and loan offerings: TAB Bank
- Best MMA with ATM surcharge rebates: First Internet Bank
Best business money market accounts quick comparison
The table below reflects the top factors I evaluated for the seven best business money market accounts.
Our rating: 4.74 out of 5
U.S. Bank offers three types of business money market accounts, each with a minimum deposit requirement of $100. You can easily apply for the Platinum Business Money Market account online. However, to open a Preferred Business Money Market or a Premium Business Money Market account, you must schedule an appointment.
One key feature that distinguishes the Platinum Business Money Market account is the additional bonus APY of 3.56%
which you can earn by opening a new account and maintaining a daily balance of $25,000 after your initial deposit of $25,000.
Why I chose it
U.S. Bank is my best overall choice for a business money market account because it offers a high bonus APY when you meet the qualifying criteria. Additionally, you can link it to your checking account for seamless fund transfers.
The bank’s Silver Business Checking account is fee-free and easy to open online. You also receive a substantial welcome bonus once you fulfill specific conditions. These factors are why it ranks highly in our guide to the best small business checking accounts.
Monthly fees
- Platinum Business Money Market account: $15, waived with a $10,000 minimum daily balance.
- Preferred Business Money Market account: $10, waived with a $1,000 minimum daily balance.
- Premium Business Money Market account: Varies by market.
Features
- The first 25 deposit transactions are free.
- Three business money market options.
- Waivable monthly maintenance fees.
- Daily interest is accrued.
- Interest is paid monthly.
Pros and cons
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Our rating: 4.10 out of 5
NBKC Bank offers a money market account with an APY of 2.75% on all balances. There is no opening deposit required, and to earn interest, you only need to maintain a minimum account balance of just 1 cent.
This account structure ensures that you can earn interest on any balance, reducing the pressure to keep high amounts in the account. You can start earning interest without the need to maintain a high balance.
Why I chose it
Few providers allow you to open a money market account without an initial deposit, which makes NBKC’s Business Money Market account stand out. I appreciate that this feature simplifies the process of starting a savings account while offering a higher yield than traditional savings products.
Additionally, NBKC is known for its zero-cost business checking account, allowing you to easily open one alongside your money market account. This way, you can transfer funds seamlessly from your savings to your checking account when you need to make additional payments.
Monthly fees
- NBKC Business Money Market: None.
Features
- A solid APY rate is applied to all balances.
- No account opening deposit.
- 1 cent minimum account balance required to earn interest.
- Four branches located in Kansas and Missouri.
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Grasshopper: Best high-yield MMA bundled with business checking
Our rating: 4.04 out of 5
Grasshopper is a digital bank that offers two types of money market accounts: the Innovator Money Market Savings and the Accelerator Money Market Savings. Both require a minimum deposit of $100. The APY rates are tiered, starting at balances of $25,000 for the Innovator account and $50,000 for the Accelerator account. The Innovator products are designed for small and mid-sized enterprises, while the Accelerator products cater to startups and venture capital firms.
Why I chose it
I chose to include Grasshopper’s money market accounts because they are an excellent addition to this list. Bundling a money market account with your business checking account boosts your APY earnings to 3.30% (Innovator) or 3.55% (Accelerator). Having both products benefits users because they can earn solid interest while keeping their funds accessible for everyday transactions.
In our roundup of the best free business checking accounts, Grasshopper stands out for its interest-earning checking accounts, which is rare among business checking products. Additionally, users can earn unlimited cash back rewards when using their debit cards.
Monthly fees
- Grasshopper Innovator Money Market Account: None.
- Grasshopper Accelerator Money Market Account: None.
Features
- Online account opening.
- $100 initial deposit.
- Maintaining balances required to earn APY.
- A checking account is required to open an MMA.
Pros and cons
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Truist: Best full-service bank with high business money market rates
Our rating: 3.94 out of 5
The Truist Business Money Market Account offers a standard APY of 0.01%. However, for new accounts and eligible businesses located in Alabama, Arkansas, Florida, Georgia, Indiana, Kentucky, Maryland, Mississippi, North Carolina, New Jersey, Ohio, Pennsylvania, South Carolina, Tennessee, Texas, Virginia, West Virginia, or Washington, D.C., the bank provides a high yield of 4.0%
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To open this MMA, a minimum deposit of $100 is required. Although a monthly maintenance fee of $10 is charged, it can be waived if you meet a daily minimum balance of $5,000 monthly.
Why I chose it
I selected the Truist MMA for this guide because its promotional rate is among the highest if you’re eligible. Additionally, you can write checks and open a Dynamic Business Checking account once your balances grow. This opens up more benefits, such as discounts and waived fees. Truist also offers a wide range of business banking products and services, plus several branch locations.
Monthly fees
- Truist Business Money Market Account: $10; waived by maintaining a $5,000 minimum daily balance.
Features
- Initial deposit of $100.
- Ten monthly deposited items.
- Interest is calculated and compounded daily.
- Monthly crediting of interest.
- It offers check-writing capabilities.
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TAB Bank: Best high-yield money market and loan offerings
Our rating: 3.73 out of 5
TAB Bank offers a money market account with competitive rates. You will earn 3.50% APY on the first one million dollars in your balance and 0.25% APY on any remaining balance. To open this account, a minimum deposit of $25 is required. However, you only need $1 to start earning interest. Unlike other banks, TAB Bank does not provide a debit card or offer check-writing options.
Why I chose it
I picked TAB Bank as one of the best options for a business money market account because it provides a solid APY with a minimal initial deposit requirement. Additionally, the fact that only one dollar is needed to start earning interest makes it accessible for many users.
TAB Bank also offers a variety of business products, including traditional savings accounts, CDs, and checking accounts. Its robust lending options include lines of credit, term loans, commercial real estate (CRE) loans, equipment financing, asset-based lending, accounts receivable financing, and invoice factoring.
Monthly fees
- TAB Bank Business Money Market: None.
Features
- APY of 3.50% for balances up to $1 million, plus 0.25% for excess amount.
- Interest compounds monthly.
- $1 balance to earn interest.
- Robust lending products.
- No debit card.
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First Internet Bank: Best MMA with ATM surcharge rebates
Our rating: 3.51 out of 5
First Internet Bank offers a business money market account with a minimum opening deposit of $100. The account comes with a monthly fee of $5, which can be waived by maintaining a daily balance of $4,000. If your daily balance is $5 million or below, you’ll earn an APY of 3.46%. Balances above $5 million earn a higher APY of 4.69%.
This account fits sole proprietors who prefer having ATM access, as a debit card is available only for this group. Additionally, when you use non-network ATMs, you will receive a rebate of up to $10 to cover third-party ATM operator surcharges.
Why I chose it
First Internet Bank’s money market account is a cost-effective option for sole proprietors looking to save on ATM fees, thanks to its ATM fee refunds. This account also benefits those seeking to limit ATM access to increase their savings. In addition to the MMA, users can open regular savings accounts and CDs, and apply for various financing, which includes commercial lending, SBA loans, CRE loans, and term loans.
Monthly fees
- First Internet Bank Money Market Savings: $5; waived by maintaining a minimum daily balance of $4,000.
Features
- Competitive interest.
- $10 ATM fee rebates.
- Transaction limit up to six.
- Traditional savings accounts and CDs are available.
- Customer service is available from Monday to Saturday.
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How to choose the best money market account for business
Before selecting the best money market account for your business, it’s important to compare the fees and features of different financial institutions. Here are the criteria to focus on:
- Interest rates.
- Requirements to qualify for promotional rates.
- Monthly maintenance fee.
- Initial opening deposits.
- Minimum balance requirements to earn interest.
- Withdrawal and transfer limits.
- Fees for excess transactions.
- Options for cash deposits.
- Availability of a debit card.
- Check-writing capabilities.
Additionally, consider these factors:
- The frequency of cash deposits and withdrawals: If your business relies heavily on cash or you prefer in-person banking services, choose a provider with physical locations and a debit card option.
- Your company’s short-term goals: If you are saving for specific business purchases and do not plan to access your funds soon, consider other options like CDs for potentially higher yields. However, if you intend to use the account for daily business expenses, it may make more sense to open a fee-free business checking account.
Methodology
To select the best business money market accounts for this buyer’s guide, I reviewed the websites of various providers. I examined their fee structures and assigned ratings to rank them accordingly. Aside from considering monthly fees, interest rates, and required minimum balances, I also looked at other business products and services offered by each provider.
Furthermore, I assessed whether a provider allowed cash deposits or ATM withdrawals for added convenience and flexibility. I took into account transaction limits, the availability of customer support, and app ratings to gauge overall user satisfaction, although these ratings reflect the company’s entire product line.
Frequently asked questions
What is a business money market account?
A business money market account is a low-risk savings product that typically offers a higher interest rate than a traditional savings account. Similar to a checking account, it provides check-writing capabilities and allows ATM access through a debit card.
Is a money market account for business good?
Yes, money market accounts for businesses are good because they offer flexibility to business owners. Many accounts allow check-writing and provide debit cards for convenient deposits and withdrawals. Additionally, they can help you earn more interest, allowing you to reach your short-term financial goals more quickly.
What are the tax implications of business money market accounts?
The interest earned on your business money market account is taxable, just like the yields from other deposit products, such as CDs or checking accounts. However, you will only be taxed on the interest earned, not your entire account balance.
Can a business account be a money market account?
Yes, a money market account can be classified as a business account. It is considered a savings product.
Are money market accounts profitable?
Yes, they are profitable. Business money market account rates are generally higher than traditional savings accounts.
How much money can you put in a money market account?
You can make unlimited deposits into a money market account. Deposits are typically insured up to the standard FDIC coverage limit of $250,000 per depositor and ownership category.
Can I have two money market accounts?
Yes, you can have two or more money market accounts. There are no restrictions on the number of money market accounts you can open.
