New York may be the world’s financial capital, but what does that mean for the state’s small businesses? From Buffalo to Brooklyn, small businesses account for 98% of the state’s enterprises and employ 40% of the private sector workforce. That’s a lot of responsibility for New York’s entrepreneurs, who have to navigate the challenge of running their business in one of the world’s most competitive markets. What they may not realize is that working with the right business bank can set them up for success.

A bank is more than just a place to deposit checks; it’s your gateway to a wide range of financial services, from simple transactions to loans for expansion. Ideally, your bank should also offer tailored solutions to facilitate growth and manage your business effectively. Here’s what we found. We researched the top financial institutions in the Empire State to help you find the best bank for small business in New York

The Top Banks for Small Businesses in New York

To find the best banks for small businesses, we evaluated factors affecting financial health, such as fees for checking accounts, interest rate structures, and financing options. We prioritized user-friendly online banking platforms with features like remote check deposits and strong customer service.

1. North One

North One is a banking service specifically for startups and growing businesses. Their focus on small businesses gives them unique insight into common challenges, from cash flow fluctuations and payroll issues to the hassle of connecting all your systems. This attention to entrepreneurs’ unique needs makes North One a leading contender for the best bank for small business in New York.

They offer a suite of features to streamline your finances and help you thrive, like a toolbox to manage your cash flow effectively, traditional check handling and faster ACH transfers. You can even withdraw cash at millions of ATMs worldwide and deposit at over 90,000 Green Dot locations.

North One prioritizes your time with a user-friendly online platform and mobile app for on-the-go banking. If your small business has multiple owners, North One’s team banking feature provides each co-owner individual logins and debit cards, promoting transparency and simplifying expense management.

Additionally, North One offers flexible lines of credit to bridge short-term gaps and term loans for strategic investments. They even streamline the loan approval process so you can secure funding quickly when your business needs it. Finally, North One’s fully online banking service comes with a responsive customer support team that’s always a tap or phone call away, ready to answer your questions and provide the assistance you need.

2. The Business Bank of New York (BNY Mellon)

The Business Bank of New York (BNY Mellon) might be a good fit for your small business if you’re looking for a bank with a strong international presence and a wide range of treasury management solutions. With a history dating back 240 years, BNY Mellon is a well-established player in the financial world. They offer a variety of services specifically designed to help businesses manage their cash flow and finances efficiently.

BNY Mellon has a strong correspondent banking network and offers multicurrency payment and foreign exchange services. BNY Mellon’s global reach can also be beneficial if you have overseas suppliers or customers. Their experience navigating the complexities of international finance can help you avoid costly mistakes and ensure your transactions are completed smoothly.

They can also help you navigate SBA loan programs, which can provide you with the capital you need to expand. SBA loans offer competitive interest rates, long repayment terms and flexible eligibility requirements. BNY Mellon’s experience working with SBA loans can help you choose the right program for your business and ensure a smooth application process.

The bank also offers a comprehensive suite of treasury management solutions, including online tools for managing payments, receivables and liquidity. These tools can help you automate tasks, improve efficiency, and gain greater control over your finances. For example, BNY Mellon’s positive pay service can help you prevent fraudulent checks from being cashed, and their automated receivables processing can save you time and money. Finally, BNY Mellon’s liquidity management solutions can help you optimize your cash flow and earn interest on your idle funds.

3. New York Community Bancorp (NYCB)

New York Community Bancorp (NYCB) could be a great fit for your small business loans, especially if you’re located in an underserved community. They’ve partnered with the National Community Reinvestment Coalition (NCRC) to dedicate $28 billion in loans, investments and other financial support to underserved communities over the next few years. This translates to significant benefits for small businesses, including $542 million in loans specifically designated for businesses with revenue under $1 million and those located in low- and moderate-income (LMI) or minority-majority communities. 

NYCB also works with local community development financial institutions (CDFIs) to connect you with additional resources and explore innovative loan options like the “CRA small business loan” which offers flexible underwriting and technical assistance. Beyond loans, NYCB prioritizes community development. This means they’re familiar with the challenges faced by small businesses in your area and are more likely to be a partner in your success. With their recent merger with Flagstar, they’re increasing access to banking services in underserved communities. NYCB’s focus on underserved communities, diverse loan options and commitment to community development makes them a strong contender for your small business loan needs.

4. Fiduciary Trust Company International

While Fiduciary Trust Company International doesn’t directly cater to small businesses with traditional banking services like loans or accounts, they can be a valuable partner for established small business owners and entrepreneurs. Their focus lies in wealth management, specifically geared towards the unique needs of small business owners.

Fiduciary Trust recognizes that successful business owners often accumulate significant assets alongside their ventures and that managing these assets alongside a thriving business can be overwhelming.  

Their team of experts can help business owners navigate complex financial matters like tax planning, cash flow management and investment strategies. This holistic approach includes considering your business structure, compensation plans and even estate planning to ensure your wealth benefits your family for generations to come. 

Fiduciary Trust assigns a dedicated team to each client, including a wealth director, relationship manager, portfolio manager, wealth planner and trust officer. This team works collaboratively to ensure your financial goals are met.  They can help with tasks like managing equity compensation, diversifying investment portfolios, and planning for business succession.

Overall, Fiduciary Trust offers a unique and valuable service for established small business owners looking to manage and grow their personal wealth alongside their business success.

5. Empire State Bank

Empire State Bank is a great fit for New York small businesses. They offer various account options specifically designed for small businesses, including Free Small Business Checking with no minimum balance requirements and free online banking. This makes it a strong option for startups and businesses on a tight budget. They also offer Commercial Checking Plus with higher balance requirements for fee waivers, ideal for businesses with a larger cash flow. And for businesses looking to earn interest on their operating balances, Business Interest Checking with tiered interest rates can be a good fit.

In addition to the core checking accounts, Empire State Bank caters to different business needs with other key features. For established businesses seeking a more comprehensive banking experience, they provide a premium EDGE Concierge Business Banking program. This program includes features like priority service, waived fees on everyday transactions and customized financial solutions tailored to your business’s specific goals.

Empire State Bank also offers free mobile and online banking for convenient account management and remote check deposits. This allows business owners to manage their finances anytime, anywhere, streamlining their banking processes and saving them valuable time.

Beyond core banking, Empire State Bank provides additional services like cash management, escrow management and night deposit for a one-stop shop for your business’s financial needs. Cash management services can help businesses automate tasks, improve cash flow visibility and optimize their financial operations. The Attorney Advantage program offers escrow management to simplify the handling of escrow funds, ensuring their safekeeping and disbursement according to your agreements. Night deposit allows businesses to make secure deposits after hours, improving convenience and cash flow management.

Methodology: How We Selected the Best Banks for New York Small Businesses

To identify the best banks for small businesses, we considered factors that directly impact a business’s financial health and day-to-day operations. 

We scrutinized the various fees associated with business checking accounts, including monthly maintenance fees, per-transaction charges, and fees for using ATMs outside the bank’s network.  Banks that offer accounts with low or no minimum balance requirements ranked higher than those with fees. We then evaluated banks’ interest rate structures, including whether they offered tiered rates that reward businesses for maintaining higher balances.

The variety of loan products offered by each bank, including term loans, lines of credit and Small Business Administration (SBA) loans, weighed heavily in our rankings. We also considered the eligibility requirements, interest rates and repayment terms associated with each loan option to ensure they aligned with the needs of different types of businesses.

A user-friendly and feature-rich online banking platform is essential for small businesses.  We prioritized banks that offered platforms with functionalities that streamline business banking processes, such as remote check deposit, automated bill pay and the ability to easily transfer funds between accounts. Secure mobile banking access was also a plus.

Finally, we looked for banks with good access to customer service representatives, either by phone, online chat or in person.

Work With the Best Bank for Small Business in New York

Navigating New York banks can feel overwhelming. However, by prioritizing factors like account fees, interest rates, loan options, online banking features and customer service, you can identify a bank that becomes a true partner in your success. 

Remember, no single bank can claim the title “Best Bank for Small Business in New York,” because a bank isn’t a one-size-fits-all solution. Consider your specific business needs, from cash flow management to growth plans, and choose an institution that offers the tools and resources that align with your unique goals. With careful consideration, you can find a financial partner who empowers you to focus on what matters most — running and growing your business.