The importance of a business savings account
Does your business have a savings account? It should! Here at First Utah Bank, our business savings account has a no minimum balance requirement and no monthly service fee. How can you make such an account work best for your business?
As a business owner, it’s important for you to continue to grow your business. However, you also need to keep in mind that it’s helpful to have some money in reserve for surprise needs, such as equipment replacement, hiring a consultant for a specific task or other short-term projects. A savings account gives you extra funds to help your business through the slow periods, or through a natural disaster.
As you take money out of savings for any of these uses, make sure your regular cash flow is sufficient to pay your employees, regular bills and loan payments as well as your required payroll taxes.
Don’t have a business savings account? We welcome your call or branch visit to start talking about a business savings account. And then start saving some of your earnings instead of spending or reinvesting them all. Not sure you can start saving? Bring your accountant into the conversation as well. They may be able to help you find extra savings areas within your business.