Since 2005, online banking has become part of society and is part of everyday life for companies and private individuals alike. This blog post is about the development of online banking in Europe and the advantages that a digital business account offers your company.
What advantages does a digital business account offer for companies and freelancers?
Despite some challenges regarding security, opening a digital business account offers more advantages than disadvantages. This is also increasingly appreciated by companies that have tended to be reluctant to use online banking.
10 Advantages of Online Banking
In the course of their business activities, small and medium-sized companies book a large number of transfers, direct debits, deposits, returned direct debits, fees and much more on their company account. Some credit institutions charge a high price for this booking volume by calculating each booking individually.
Especially if the account is advertised as a free account. A digital business account is usually cheaper. Online banks and fintechs often offer packages for accounts with a certain number of bookings, a basic set of credit cards and possible special offers. Base your comparison of providers on these options.
Information available at any Time
While a visit to a branch bank is dependent on opening hours, digital access to your own business account gives you information 24 hours a day. This way, you always have an overview and can see quickly and anywhere whether money has been received. You can also answer questions from your customers, tax advisors or the tax office at any time.
Comfortable additional Services
Online banks and Fintechs in particular are constantly developing innovative additional services that are practical and convenient for SMEs.
These include a transfer alarm as soon as a payment is received. The constant monitoring makes business operations a little easier. Statistics and tables, which are used for monthly reporting, ensure transparency on the company account.
Image Boosting Effect
Small, medium-sized companies and freelancers who have a digital business account appear contemporary and price-conscious. They are obviously well informed and attach importance to digital development. This cultivates their image.
Uncomplicated Identity Verification on PC and Smartphone
While traditional branch banks mainly work with the cumbersome Postident procedure or with personal identification, online banks use modern procedures. As a rule, identification by video is used to open a digital business account. The process is completed in a few minutes.
Accounting (almost) incidentally
While business accounts offer many a classic bank hardly more convenience than the turnover display and at best its graphic representation, Fintechs, for example, have long since gone much further.
They offer links to accounting programs and invoicing tools, in which the turnover is automatically imported. Links to other bank accounts and payment systems such as PayPal are also often possible. Consider such possibilities in your comparison.
Everything at a Glance
A comparison shows that many offers from direct banks and Fintechs allow the linking of different bank accounts. In this way, the customer can not only keep track of the account at his online bank, but of all accounts. This saves time and avoids bottlenecks due to a lack of overview.
Investment is also not neglected with virtual bank accounts. Their link to trading and consulting platforms enables provider-independent decisions on the investment of one’s own assets. While traditional banks mainly sell their own products, Fintechs enable personal financial management via these channels. This enables the client to have a stronger relationship with his money and a greater freedom of decision.
One of the innovations on the Fintech market is the insurance-optimizing tools. This involves checking amounts debited to insurance companies and researching offers that could optimise the insurance portfolio in terms of price and performance. Depending on the offer, termination dates can also be saved in order to use alternative tariffs.
Innovative Payment Options
Anyone who wants to be “state of the art” should not only have a cost-effective corporate structure and a strong external image, but also score points with modern payment options. This includes not only the bank transfer, which is still very popular in Germany, but also PayPal, Apple Pay, contactless payment options etc.