When solo operators ask which banks have no monthly fees for small business checking, the answer involves a mix of traditional banks and financial technology platforms. As of October 2026, Novo offers a strictly no-fee account. Bluevine, Found, Lili, Mercury, and Relay all provide a free base tier alongside paid premium plans. Wise has no monthly fee and registering is free, though a one-time 31 USD fee opens its full business feature set.

Before a bank will open any of these accounts, you must provide your business formation documents and an Employer Identification Number. If you are just starting and have not formed your business entity yet, a service like ZenBusiness accounting handles the initial formation and the EIN application. This ensures you have the exact paperwork the bank needs when you apply for your account.

The Importance of Separating Personal and Business Finances

Freelancers and solo operators often start out by running their business income through a personal checking account. This approach creates immediate administrative burdens and potential legal risks. The Internal Revenue Service states in Publication 583 that one of the first things you should do when you start a business is open a business checking account. The agency explicitly advises that you should keep your business account separate from your personal checking account.

This separation is not just about making tax time easier. The U.S. Small Business Administration echoes the IRS guidance, noting that to keep personal funds and business funds completely separate you must have two different bank accounts. Failing to separate these funds is a liability question rather than just a tidiness one.

The SBA warns that by mixing funds, you risk forfeiting the legal protections that entity structures offer. Keeping your money in distinct accounts is pivotal for protecting your own assets and credit. If a solo operator runs a single-member LLC but commingles business revenue with personal grocery money, a court could decide the LLC is not a truly separate entity. This would expose the operator's personal assets to business liabilities. A dedicated business checking account is the foundational step in maintaining that liability shield.

Bluevine vs Lili for the Solo Operator

Solo operators often narrow their choices to Bluevine and Lili when looking for an entry-level account. Both operate in the financial technology space rather than as traditional brick-and-mortar banks. Both offer a free entry-level tier, which makes them highly attractive to freelancers operating on thin margins.

Bluevine appeals heavily to freelancers who want to earn interest on their deposits. Its free tier offers an annual percentage yield if you meet specific monthly activity goals. This is relatively rare for a completely free business checking account. Lili targets the solo operator who wants banking and basic tax categorization combined in one application. Lili offers a free core tier, but its advanced tax saving and invoicing tools sit behind a monthly subscription fee.

When choosing between the two, a solo operator must decide whether they prioritize earning a yield on their cash reserves or having built-in software tools to estimate quarterly taxes. Both platforms require you to understand how nonbank deposit insurance works, which is a critical factor we cover further down in this article.

Options for No-Fee and Low-Fee Business Accounts

When comparing options for a solo operator, these are the primary no-fee and low-fee providers on the market as of October 6, 2026. This list is presented in alphabetical order and is not a ranking.

Bluevine

Bluevine offers three tiers for business owners. The Standard plan is $0 per month. The Plus plan is $30 per month, and the Premier plan is $95 per month. The monthly fees for the Plus and Premier tiers are waivable if you meet certain balance or activity thresholds. The annual percentage yield is 1.3% on the Standard plan, which is subject to a monthly activity goal. That yield rises to 1.75% on the Plus plan and reaches 3.0% on the Premier plan.

Found

Found provides built-in bookkeeping and tax tools directly within its platform. The Free plan is $0. The Plus plan costs $35 per month or $315 per year if paid annually. The top-tier Pro plan is $80 per month or $720 per year.

Lili

Lili divides its offerings into four distinct tiers. The Core plan is $0. The Pro plan is $15 per month. The Smart plan is $35 per month, and the Premium plan is $55 per month. Lili sometimes offers a promotional rate of roughly 40% off for three months on the paid tiers. This discount is introductory and must not be treated as the ongoing price. The standard rates apply after the promotional period ends.

Mercury

Mercury is heavily tailored toward technology startups, though it remains available to solo operators. The base plan is $0 per month. The Plus plan is $29.90 per month. The Pro plan costs $299 per month.

Novo

Novo operates with a single tier for all of its users. The account is $0 per month with no monthly maintenance fee.

Relay

Relay allows businesses to open multiple checking accounts to organize funds into different categories. The Starter plan is $0 per month. The Grow plan is $30 per month. The Scale plan is $90 per month.

Wise

Wise focuses almost entirely on international transactions and multi-currency balances. There is no monthly fee, and registering an account is free. Opening the full business feature set requires a one-time 31 USD fee. Wise charges per transaction instead of utilizing a subscription model. Sending and conversion fees start from 0.23% and vary by currency.

ZenBusiness

ZenBusiness does not offer a business bank account. It is an entity formation and compliance service. You use ZenBusiness to create your LLC and secure your Employer Identification Number. These documents are the prerequisites for opening a bank account with any of the financial institutions listed above.

Understanding the Federal Layer and Deposit Insurance

Solo operators must understand where their money actually sits when they open an account. Many modern business accounts are provided by financial technology companies rather than chartered banks. The platforms listed above often act as software layers that partner with backend banks to hold your deposits.

The Federal Deposit Insurance Corporation makes a clear distinction regarding these setups. The FDIC states that nonbank companies themselves are never FDIC-insured. Funds you send to a nonbank company are not eligible for FDIC insurance until the company deposits them in an FDIC-insured bank and after other conditions are met.

This mechanism matters heavily for solo operators managing their own risk. If the fintech platform itself fails, the FDIC does not step in immediately to replace your funds. FDIC deposit insurance does not protect against the insolvency or bankruptcy of a nonbank company. In that scenario, recovery runs through an insolvency or bankruptcy proceeding. The FDIC notes that this process may take some time.

When your funds are safely deposited and held in an insured bank, the protection limits are clearly defined. Business deposit insurance is $250,000. This coverage aggregates your accounts. The FDIC dictates that the deposit accounts of a corporation, partnership, or unincorporated association are insured for up to $250,000. All accounts held by the same entity at one insured bank are combined. If a solo operator opens three separate accounts for different divisions or purposes at the same institution, those accounts do not get separate coverage. They are aggregated under the single $250,000 limit.

What Banks Require to Open an Account

When you are ready to open an account, you will find that the exact requirements vary by bank. There is no single universal list of required documents across the industry.

Bank of America, for example, asks for the business name and address, the state of formation, the EIN or SSN, and the date established. It also requires personal details including the SSN and date of birth for everyone on the application, including those with at least 25% or more ownership. Bank of America may request the Articles of Organization or an equivalent document, along with trade name documentation where the business operates under a different name.

Notably, Bank of America does not list an operating agreement as required. While some banks might ask for one, it is incorrect to assume every bank demands it. This variance highlights why setting up your formal entity structure properly from the beginning is so vital. Using an formation service ensures you have the Articles of Organization and the EIN ready regardless of which bank you choose.

Record retention is an ongoing responsibility once the account is open. The IRS advises keeping records as long as they may be needed for the administration of any provision of the Internal Revenue Code. Having a dedicated business checking account makes this recordkeeping significantly more manageable, as all business transactions are isolated from personal expenses.

Sources

This article provides general information rather than legal, tax or accounting advice, and requirements vary and change over time.