You are your own boss with your business, and you don’t have any employees. It may seem like a waste of time, money, and effort to open a bank account for your business. You might think that your personal life would be enough, right? But how is a business bank account different from a personal bank account?
A business bank account makes rmb remittance more convenient and it is easier to keep track of your funds. It makes your company look even more like a ‘real’ business. Also, your business can take advantage of grants, loans, and credit that are only offered to business bank accounts. If you want to know why it is crucial to have a business bank account, read on.
Separate Business and Personal Finances
It might have been practical to use your bank account to manage your business’ finances when you first started. But now that your company is growing, it is high time you get a separate bank account. This way, it is easier to keep track of income and expenses for bookkeeping. You also don’t get the business and personal finances mixed up.
Legal Protection Against Personal Liability
A separate business account protects your personal savings from company financial issues and vice versa. Remember that suits and insurance claims can only be made against a trade owner’s company account if they deal with legal problems related to their business. If you are charged with a crime, there is no way for prosecutors to get your personal money.
Company Look Like A “Real” Business
In a business, how your company looks is very important. When customers pay for products and services, having a business bank account makes it more legit. This is the same when you are doing a transaction with a vendor. If you do so through your business bank account using a check or credit card, you look like you know exactly what you’re doing.
If you want to open up an rmb business bank account, you should consider DBS SME Banking. As the market activity between mainland China and Hong Kong continues to grow, the DBS RMB Corporate Account will give you a full range of business banking services and opportunities to grow your business in China. This is specifically designed for all companies that execute cross-border transactions with mainland China. It is easier for you to manage your inward and outward remittances, save on foreign exchange costs, and efficiently finance your trade.