Choosing the Right Business Bank Account in Singapore: A 2025 Guide for SMEs

Editor’s note: The views and opinions expressed in this article are solely those of the writer and do not reflect the official stance of any organisation or entity. It is essential to conduct your own research and due diligence when choosing a business bank account. This article is intended to provide general insights and should not be considered as professional advice. Always consult with financial experts or conduct thorough research before making any decisions regarding your business banking needs. 

Introduction

Whether you’re an SME owner, an entrepreneur with side ventures, or a freelancer managing creative projects, selecting the right business bank account can be a stressful decision. With numerous options from local to international banks, it can be overwhelming to decide which bank account best suits your needs best. In this article, I’ll share my personal experiences and insights, just like a friend sharing tips over a cup of kopi c kosong, on the key factors to consider when opening a business bank account in Singapore. Lastly, I’ll give my personal take on which bank account(s) I’d choose. 

Key Factors: What REALLY Matters

When choosing a business bank account, here are the factors that matter most to me:

1. Initial Deposit and Minimum Balance 

• Why it matters: Cash flow can be unpredictable, especially for new businesses or projects. I found that bank accounts with no initial deposit and no minimum balance requirements provide the best flexibility. 

• Recommended banks: AirWallex, ANEXT Bank, and CIMB offer accounts that fit this bill, making them ideal for businesses with variable income. If you’re looking at local banks, OCBC has a relatively low initial deposit and minimum balance of S$1000 respectively. UOB’s eBusiness Account and DBS Business Multi-Currency Accounts have higher minimum average daily balance requirements of S$5000 and S$10,000 respectively.

2. Fees, Fees, Fees

• Why it matters: We all know that maintaining a business bank account isn’t just about leaving cash in there. There’s a lot more that goes in with the account, and with every action taken, we may incur costs. Costs that are sometimes disguised in the form of monthly fees, annual fees, and transaction fees.. and all these can quickly add up. Hence, I tried to look for accounts with fee waivers or low fees, especially for small transactions. 

• Recommended banks: For local banks, OCBC’s Business Growth Account sometimes offers fee waivers for new customers, which can be beneficial for start-ups. DBS’s Business Multi-Currency Account and UOB’s Corporate Current Account have no monthly maintenance fees,  but charge annual fees of S$50 and $35 respectively. GXS’s Biz Account has no annual fees. 

3. Transaction Costs (FAST, GIRO, etc)

• Why it matters: FAST and GIRO are the two most popular ways to send money between local bank accounts. While GIRO typically takes 1-2 business days to process transfers, FAST is processed almost instantly. If you frequently receive or make payments via FAST or GIRO, you’d know that the costs would add up really quickly. What I’d look out for is bank accounts that give unlimited transactions. Alternatively, discounted transactions can help save a significant amount of money over time.

• Recommended banks: OCBC offers 80 FAST/GIRO transactions (including bulk payments). UOB offers free local transfers for the first 60 transactions per month. DBS offers unlimited transactions at no cost in its Starter Bundle, but this excludes payroll and bulk payments. One thing to note is that UOB offers 100% rebate on bulk GIRO payroll transaction charges.

4. Digital Banking and Mobile App Functionality

• Why it matters: I’m a fan of beautifully-designed platforms, or at least modern and user-friendly ones. With more features being added to online platforms and apps everyday, it’s crucial for me to have a good experience using them to track my expenses and make payments on the go. 

• Recommended banks: OCBC Velocity and DBS IDEAL are known for their intuitive interfaces. UOB also offers digital banking solutions through its UOB Infinity platform, though I personally think the UOB TMRW app (for personal banking customers) looks better (I love the interest tracker).

5. Multi-Currency Support

• Why it matters: If you work with international clients and vendors, a multi-currency account can save you a lot on exchange rates and simplify transactions. I think multi-currency support is going to one of the key decision factors in the gig economy. 

• Recommended banks: AirWallex and DBS Business Multi-Currency Account supports the most foreign currencies, making them ideal for international transactions.

6. Software Integrations

• Why it matters: If you’re someone that uses various software for your business, you’ll know that it’s important that the numbers are always synced accurately. For example, seamless integration with accounting and payroll software really helps me save time and reduce errors. I wanted the convenience of having my expenses, payroll, and banking all synced easily from one system to another.

• Recommended banks: UOB’s direct integration with Talenox is particularly noteworthy. This integration allows for direct salary payment feeds, making payroll management super easy for me.

7. Customer Support and Access to Physical Branches

• Why it matters: Access to reliable and responsive customer support is crucial for resolving issues quickly and efficiently. I look for banks with toll-free customer service hotlines (that don’t take an hour for the customer representative to pick up my call), online chat support, or even dedicated relationship managers. Despite the rise of digital banking, physical branches remain important for certain transactions, such as cash deposits or meeting with a relationship manager. Call me old school – but for my business needs, I prefer banks with conveniently located physical branches.

• Recommended banks: DBS offers 24/7 support through its BusinessCare team, while UOB and HSBC provide a customer service hotline (during office hours) and relationship managers for business account holders. In addition, most local banks have conveniently located physical branches in Singapore. 

My Top Recommendations (and what I picked)

Here are some of my top recommendations, each offering unique features suitable for different business needs:

UOB eBusiness Account (*My pick)

Generally quite a well-rounded bank account for SMEs and start-ups. It has a low annual account fee of $35, has a decent minimum balance of S$5000, a low minimum initial deposit, and offers free incoming PayNow transactions until 31 December 2025. It also has 60 free FAST and GIRO (120 combined) transactions, which is plenty for a small venture. Most importantly, I like that there integration features with various business software (especially Talenox – running payroll and disbursing salaries is so easy).  

CIMB SME Account

With no initial deposit or minimum balance requirements (for the first 12 months), it is probably the best for early-stage businesses focusing on cost-effectiveness. It suits businesses that focus mainly on local payments/transfers as well, and do not require multi-currency support.

ANEXT Business Account or WISE Business Account

It’s quite a toss-up between the two. I would say these accounts best suit business owners or freelancers who value transparent and competitive pricing with low fees for currency exchange and international payments. These two banks also suit those who do not require in-person banking. ANEXT triumphs if you holds funds in 4 currencies: SGD, CNH, USD, and EUR, and allows free local transfers in 9 currencies. WISE offers many more currencies, but may have additional account set-up costs compared to ANEXT. 

Closing Notes

Selecting the right business bank account in Singapore is a bit like finding the perfect match – it requires understanding your needs, values, and long-term goals. Just like in dating, you want someone who complements your lifestyle and supports you in your goals. For business bank accounts, this means considering factors like fees, features, and digital/physical support. Whether you’re an SME owner, an entrepreneur with side ventures, or a freelancer, taking the time to research and compare these options will ensure you find a banking partner that supports your growth and success. So, take a deep breath, grab another cup of kopi c kosong, and carry on. I hope this article has provided you with a head-start – you got this!