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There\u2019s no hard or fast rules around how many accounts a startup should have, but there are some general guidelines you can follow. While almost every company needs a payroll account, for example, not every company may need a merchant services account. With that in mind, we\u2019ve created a tool to give you an idea of what bank accounts your startup may need. When you\u2019ve raised some money, you then have the ability to get a real startup corporate card. Look for a card that does not put personal liability onto the founders – you don\u2019t want to get stuck with a $250,000 bill from Amex if your startup goes under. Also look for cards that \u201cget\u201d startups – ones that know how to extend a line of credit to a startup based on the amount of money you\u2019ve raised or have in the bank.<\/p>\n<\/p>\n
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Basically, one bank is picked because it has a solid product, feature set and UX, and the other is there for safety. Secondly, having an additional bank means that a startup can get double the FDIC coverage limit of $250,000. In a perfect world, it\u2019s not a bad idea to park at least one month of payroll in a second financial institution, so that if there is another financial crisis you\u2019ve got enough cash to pay your employees for the coming month. So your primary operating account might be with a startup-friendly institution with an excellent online interface, and your secondary institution might offer other advantages, like a strong cash management program.<\/p>\n<\/p>\n