Business bank accounts let you manage your day-to-day business spending, but often come with high monthly fees or transactional costs that quickly add up. But a free business bank account lets you manage your company’s day-to-day budget without the hassle of paying a monthly account fee.
The good news is that you can find a no monthly fee business bank account in Canada offered by a variety of financial institutions, including digital banks, fintechs and traditional banks. While paying no monthly fee can be a positive, you’ll also need to watch out for other costs like transaction fees, e-Transfer fees, currency conversion costs and more. To help keep your business bank account costs as low as possible, keep reading our guide to the best no monthly fee business bank accounts in Canada.
Quick view: Best free business bank accounts in Canada
- Best free business bank account for rewards: Loop
- Best free business bank account for international payments: Wise Business
- Best free business bank account for multiple currencies: Vault
- Best free business account: BMO eBusiness Plan
- Best free business savings account: Scotiabank Right Size Savings for Business Account
Best free business account for rewards: Loop
Loop Global Business Banking Account
Monthly Account Fee
Multicurrency Accounts
Currency Conversion Fee
- Earn reward points for your business spending
- Hold and spend funds in multiple currencies
- Competitive foreign exchange rates
- Only one free plan available
- Read the fine print for details of other fees
- No Apple Pay or Google Pay
Monthly Account Fee | $0 |
---|---|
Multicurrency Accounts | CAD, USD, GBP, EUR |
Currency Coversion Fee | 0.1% - 0.5% |
GIC Available | No |
Best free business bank account for international payments: Wise Business
Wise Business
Monthly Account Fee
Multicurrency Accounts
Currency Conversion Fee
- Get the mid-market exchange rate
- Hold funds in nine currencies
- User-friendly platform
- Transfer fees apply
- Doesn't accept cash or cheque deposits
Monthly Account Fee | $0 |
---|---|
Multicurrency Accounts | CAD, USD, GBP, EUR, AUD, HUF, NZD, RON, SGD, TRY |
Currency Coversion Fee | 0.43% |
GIC Available | No |
Best free business bank account for multiple currencies: Vault
Vault Business Banking Account
Monthly Account Fee
Multicurrency Accounts
Currency Conversion Fee
- Easy online signup process
- Send funds in over 30 currencies
- Earn cash back on spending
- Not available for sole proprietors or partnerships
- Not available in Quebec
- Can't accept credit card payments
Monthly Account Fee | $0 |
---|---|
Multicurrency Accounts | CAD, USD, GBP, EUR |
Currency Coversion Fee | 0.35% |
GIC Available | Yes |
Best free business bank account: BMO eBusiness Plan
![BMO eBusiness Plan](https://www.finder.com/niche-builder/61a073898f68c.png)
BMO eBusiness Plan
Monthly Account Fee
Multicurrency Accounts
Currency Conversion Fee
- Unlimited electronic transactions
- No minimum balance requirement
- Unlimited transfers between your accounts
- Not suitable if you need to make regular cash and cheque deposits
- You need to book an appointment to open an account
Monthly Account Fee | $0 |
---|---|
Multicurrency Accounts | CAD |
GIC Available | Yes |
Best free business savings account: Scotiabank Right Size Savings for Business Account
![Scotiabank Right Size Savings for Business](https://www.finder.com/niche-builder/62ffc0137d863.jpg)
Scotiabank Right Size Savings for Business
Monthly Account Fee
Multicurrency Accounts
Currency Conversion Fee
- Competitive interest rate
- Unlimited free self-service transfers
- Withdraw your money at any time
- You'll need to deposit at least $10,000 to earn interest
- Tiered rate means you may not qualify for the highest advertised rate
- Watch out for fees on bill payments and Interac payments
Monthly Account Fee | $0 |
---|---|
Multicurrency Accounts | CAD |
GIC Available | Yes |
How to find the best free business bank account in Canada
There’s no “one size fits all” best free business chequing account that will suit every business. The right account for your company depends on a few factors, such as how many transactions you anticipate making each month, type of transactions, and how you manage your money.
That’s why the first step to finding the best free business bank account is to realistically decide what your business needs from a financial institution. Do you need many transactions in multiple currencies? Would access to credit be helpful? Or do you just want a no-frills business bank account? To help, here is a list of factors that influence cost and suitability:
No monthly account fee requirements
Some business bank accounts come with no monthly fee. Other accounts charge a monthly fee, but the fee is waived if you keep a minimum account balance in the account. Be sure to check when and if fees are waived and whether it’s realistic to keep money in the account to avoid monthly account fees.
Included transactions
Check to see how many transactions you can perform each month without incurring any additional fees. For instance, there may be limits on the number of e-transfers you can send, the number of cheques you can deposit or the amount of cash you can deposit. Does the business bank account you are considering offer enough monthly transactions to suit the needs of your growing business?
Other fees
Read the fine print to find out if there are any other fees attached to your free business bank account, such as:
- Per-transaction fees when you exceed your monthly transaction limit
- e-transfer fees
- Cash deposit fees
- Cheque deposit fees
- In-branch transaction fees
Account accessibility
Think about the type of banking transactions your business requires. Do you manage your finances completely online or through mobile banking? Or do you regularly deal in cash and need convenient branch and ATM access? Do you require a business bank account with multiple currency options or an account that offers large or international money transfers?
Knowing how your business will use the business account is key to finding an account with appropriate access.
Interest rate
If you’re opening a business savings account or a hybrid chequing account that pays interest on your balance, compare interest rates between accounts. Remember that some accounts have tiered interest rates — in other words, a higher interest rate for larger balances — so you may not get the highest advertised rate.
Cashback and other rewards
Some business bank accounts allow you to earn reward points or cashback on your spending. Alternatively, signing up for an account might entitle you to discounts on other business banking products, such as a waived annual fee on a business credit card.
CDIC coverage
Make sure the provider you choose is a member of the Canada Deposit Insurance Corporation. This offers peace of mind by ensuring deposits of up to $100,000 are covered if your bank goes under.
Customer support
Finally, make sure you can access customer support, when you need it. Check what days and hours support is available, as well as the tools used to reach a customer support representative. Remember, full-service, traditional banks will usually offer more robust customer service options and hours, but this service comes at a price. Balance out the need for support with the ongoing cost of this banking product.
Business bank accounts that waive monthly fees
Most business bank accounts from major banks come with a monthly fee. But if your balance stays above a certain level each month, that monthly fee will often be waived.
Keeping a sizable balance in your account will not only help you save on fees but also ensure you have cash on hand to cover unexpected expenses. But having so much money just sitting there can also limit the growth of your business, and you may be better off parking at least some of that balance in an interest-earning savings account.
Check out the table below for a list of business bank accounts from the Big Five with waived monthly fees.
Account | Monthly fee | Minimum balance required to waive fee | Monthly transactions |
---|---|---|---|
BMO Business Builder 3 | $80 | $35,000 |
|
BMO Business Builder 4 | $120 | $80,000 |
|
CIBC Unlimited Business Operating Account | $65 | $45,000 |
|
CIBC Advanced Business Operating Account | $35 | $35,000 |
|
CIBC Everyday Business Operating Account | $20 for self-service access or $25 for full-service access | $15,000 |
|
RBC Ultimate Business Account | $100 | $75,000 |
|
Scotiabank Select Account for Business Plan A | $20 | $20,000 |
|
Scotiabank Select Account for Business Plan B | $40 | $35,000 |
|
Scotiabank Select Account for Business Plan C | $75 | $45,000 |
|
Scotiabank Select Account for Business Unlimited | $120 | $75,000 |
|
Scotiabank Basic Business Account | $10.95 | $8,000 |
|
TD Everyday Business Plan A | $19 | $20,000 |
|
TD Everyday Business Plan B | $39 | $35,000 |
|
TD Everyday Business Plan C | $72 | $45,000 |
|
TD Unlimited Business Plan | $125 | $65,000 |
|
Free business chequing accounts from digital banks vs major banks
So, should you open a fee-free business bank account with a digital bank or stick with a major bank? The answer: it depends on your banking needs.
If you do all of your business banking online, a digital bank or fintech account could be a perfect fit. These accounts commonly have no fees, support unlimited transactions and offer user-friendly online and mobile banking.
What digital bank business accounts don’t typically offer is convenient branch access or a large ATM network, and they also may not accept cheques or cash deposits. So if you need to do lots of in-person banking, you may be better off going with a major bank.
How to open a no-fee business bank account
If you’d like to open a free business bank account in Canada, the application process varies from bank to bank. Some banks and fintechs offer a completely online application, while others will require you to visit a branch or chat with a business banking representative over the phone.
You’ll need to be the age of majority in your province or territory, and your business needs to be registered and operate in Canada. You and anyone else who signs on the account will need to provide:
- Your name and date of birth
- Your SIN
- Your phone number, email address and mailing address
- Two pieces of ID (one indicating your name and address and another indicating your name and date of birth)
You’ll also need to provide business documents, but these vary depending on the structure of your business.
- Sole proprietors: Business registration or trade name registration.
- Partnerships: Partnership registration, partnership agreement, trade name registration or Master Business Licence.
- Corporations: Multiple documents may be required, such as articles of incorporation/association, trade name registration, notice of assessment for income tax and certificate of corporate status.
Bottom line
Most free business bank accounts in Canada allow you to manage your day-to-day spending for your business without having to worry about monthly fees. By taking the time to compare products and services while hunting for a low or no-cost business bank account, you will find a financial tool that helps manage your business spending while giving you access to features that can help you grow your business.
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