Why a Separate Business Bank Account Is Not Optional

A separate business bank account does three things:

1. Maintains your LLC’s corporate veil. Mixing personal and business money is the number one reason courts pierce the veil. A separate account makes the separation real and provable.
2. Makes taxes simple. When tax time comes, your business account is a clean record of every dollar in and out. No digging through personal statements trying to separate personal from business.
3. Looks professional. Customers writing checks to your LLC or business name, PayPal and Square deposits going to a business account — it signals that you run a real operation.

Best Bank Accounts for Home Bakers

You do not need a bank with physical branches. Online business banks have eliminated most fees and offer better features for small businesses.

• Relay (relay.fi) — free business checking, no monthly fees, no minimum balance. You can open up to 20 individual accounts in one dashboard — use one for operating cash, one for taxes, one for savings. This is the top recommendation for bakers who want organized finances without complicated bookkeeping.
• Bluevine (bluevine.com) — free business checking plus high-yield interest on your balance (currently competitive rates). Good if you maintain a steady balance and want your money earning interest.
• Your local credit union — if you prefer a physical branch relationship or plan to apply for a small business loan in the future, a relationship with a local credit union can be valuable. Fee structures vary.
• Chase Business Complete Banking — widely available, integrates with many payment processors, but has a $15/month fee that’s waived if you meet minimum balance or transaction requirements.

What You’ll Need to Open

• Your EIN (this is why Episode 5 comes before Episode 6)
• Your business formation documents (LLC certificate or DBA filing)
• A government-issued ID
• Initial deposit (varies by bank; Relay and Bluevine have no minimum)

Set Up Your Account Structure from Day One

If you use Relay or another bank that allows multiple accounts under one login, create three from the start:

• Operating account — where income comes in and expenses are paid from
• Tax savings — 25–30% of every deposit goes here automatically
• Business savings — for equipment purchases, slow periods, and investment in growth

This structure makes financial management almost automatic. You never need to decide what to do with money — the structure does it for you.