Business/Corporate account

A corporate account is a type of bank account used by businesses and organizations to manage their financial transactions. This type of account allows a company to keep track of expenses, manage employee’s salary, receive payments and convey finances to investors. Business owners can manage their cash flow more effectively and separate personal finances from business funds. Corporate accounts allow businesses to perform a wide range of financial transactions, including accepting electronic payments, making large purchases, and managing payroll. Small and medium sized business are adviced to open a corporate account for business banking and its numerous benefits.

Benefits of corporate Account

So what exactly do you get with ECB’s business account?

Creating reliability

The credibility of a corporate account refers to the level of trust and confidence that stakeholders, such as employees, suppliers, customers. A credible corporate account can increase the attractiveness of a company to potential investors, as it demonstrates the company's ability to manage its finances effectively and responsibly because a credible corporate account provides accurate financial information, which is critical for making informed business decisions, creating budgets, and preparing financial projections.

Liability Protection

A corporate account can offer liability protection for the owners and managers of a business or organization. This refers to the protection of their personal assets from any legal judgments or debts that may arise from the business's operations. By incorporating as a limited liability company (LLC) or a corporation, a company can separate its financial assets from those of its owners, reducing the personal liability of the owners for the company's debts or legal judgments.

Investment strategies

Corporate accounts can offer a number of investment opportunities for businesses and organizations, including: setting up stock portfolio, real estate investments, mutual funds, retirement plans.

Financial planning

Financial management in a corporate account involves the effective management of the financial resources of a business or organization. This includes tasks such as monitoring cash flow, preparing financial statements, creating budgets, and making investment decisions while keeping accurate record which is essential for effective financial management in a corporate account.

Simplified banking process

Easier financial transactions are one of the key benefits of using a corporate account with a digital bank. Euro credit banks offer online banking platforms that allow businesses to manage their finances from anywhere with an internet connection. This makes it easier for companies to access account information, make transactions, and monitor their finances in real-time.

How to open a corporate account

It is important to note that the qualifications and documentation needed to establish a corporate account differ based on the type of business structure. The following are some of the crucial aspects to consider when opening a corporate account:

• For smaller businesses without a board of directors, the owner can open a new corporate account without seeking approval or a vote from anyone.
• Companies usually appoint a specific individual, usually the board's treasurer, to take care of opening and running their corporate bank accounts.
• The company that the owner intends to open a corporate account for must have a board of directors.
• Companies require authorisation from their board of directors to establish a corporate account. The normal process involves holding a meeting where a decision is made through a vote. The directors engage in an in-depth examination of the account's intended use, access methods, and capabilities.
• Only registered businesses, not individuals, are qualified to open corporate accounts.

Essential Documents for Corporate Account Establishment

The following documents are necessary for opening a corporate account: Completed application form:

• Articles of Association
• Memorandum of Association
• Board Resolution
• Incorporation Certificate
• Address Verification Evidence