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New York Banking Guide

Best Banks for Small Businesses in New York

New York is the nation's financial capital, and its small businesses have access to more banking options than virtually any other state. With **585 FDIC-insured institutions** — from global megabanks headquartered in Manhattan to community credit unions serving upstate towns — the challenge isn't finding a bank, it's finding the *right* one.

Updated 2026-03-18 | 8 banks compared

Quick Comparison

Comparison of business bank accounts in New York
Bank Type Monthly Fee APY
Holdings Online $0 1.75%
Chase Business Complete Banking National $15waivable 0.00%
M&T Bank Business Checking* Regional $15waivable 0.00%
Bank of America Business Advantage Fundamentals National $16waivable 0.00%
Wells Fargo Initiate Business Checking National $15waivable 0.00%
TD Bank Business Convenience Checking* Regional $19waivable 0.00%
Bethpage Federal Credit Union* Credit Union $0 0.00%
Capital One Basic Business Checking National $15waivable 0.00%

Detailed Reviews

1

Holdings

Online | $0/mo | Online only

1.75% APY

Nonprofits and small businesses wanting zero fees and high APY

Key Features

  • Built specifically for nonprofits and small businesses
  • 1.75% APY on all balances — checking and savings
  • Unlimited transactions with no hidden fees
Monthly Fee$0
Min to Open$0
Free TxnsUnlimited
Cash DepositsFree via Allpoint ATMs

Pros

  • Truly $0 — no monthly fees, no minimums, no transaction fees
  • 1.75% APY is among the highest in online banking
  • Purpose-built for nonprofits with donation tracking tools

Cons

  • No physical branches — online/mobile only
  • Less name recognition than legacy institutions — less name recognition
2

Chase Business Complete Banking

National | $15/mo | 577 branches

NYC and statewide businesses needing maximum branch access

Key Features

  • 577+ branches across New York — more than any other bank
  • Built-in payment acceptance via Chase QuickAccept
  • Same-day deposits with QuickAccept
Monthly Fee$15
Min to Open$0
Free Txns100
Cash Deposits$5,000/month

Pros

  • Dominant branch network across all of New York
  • Excellent mobile app and digital tools
  • Integrated merchant services

Cons

  • $15/month fee unless $2,000 balance maintained
  • Only 100 free transactions per cycle
  • No interest on business checking
3

M&T Bank Business Checking

Regional | $15/mo | 200 branches

Upstate New York businesses wanting strong regional banking

Key Features

  • Buffalo-headquartered regional bank (~$200B in assets post-People's United merger)
  • Strong upstate New York presence
  • Dedicated small business relationship managers
Monthly Fee$15
Min to Open$25
Free Txns200
Cash Deposits$5,000/month

Pros

  • Deep New York roots — headquartered in Buffalo
  • 200 free transactions per cycle
  • Strong commercial and SBA lending

Cons

  • $5,000 minimum to waive monthly fee
  • Less competitive in NYC vs. upstate
  • Digital banking improving but still behind Chase
4

Bank of America Business Advantage Fundamentals

National | $16/mo | 250 branches

Businesses qualifying for Preferred Rewards tier

Key Features

  • 200 free transactions per statement cycle
  • No monthly fee for first 12 statement cycles
  • Preferred Rewards for Business program
Monthly Fee$16
Min to Open$100
Free Txns200
Cash Deposits$7,500/month

Pros

  • 200 free transactions
  • Strong NYC and metro area presence
  • First year free

Cons

  • $16/month fee after first year
  • Higher minimum to waive fees
  • Less competitive rates
5

Wells Fargo Initiate Business Checking

National | $15/mo | 90 branches

New businesses wanting a national bank with low opening deposit

Key Features

  • Low $25 minimum opening deposit
  • Contactless debit card and digital wallet support
  • Business Online banking with Zelle
Monthly Fee$15
Min to Open$25
Free Txns100
Cash Deposits$5,000/month

Pros

  • Very low opening deposit
  • Strong digital banking
  • Multiple ways to waive fee

Cons

  • Fee increased to $15 effective March 2026
  • Fewer NY branches than Chase or BofA
  • Only 100 free transactions
6

TD Bank Business Convenience Checking

Regional | $19/mo | 180 branches

Businesses needing extended hours and weekend branch access

Key Features

  • Extended hours — 'America's Most Convenient Bank' branding
  • Open 7 days a week at many locations
  • Strong metro NYC/Long Island presence
Monthly Fee$19
Min to Open$0
Free Txns100
Cash Deposits$10,000/month

Pros

  • Open 7 days/week at many locations
  • Higher cash deposit limit ($10,000/mo)
  • Strong customer service reputation

Cons

  • Higher monthly fee ($19)
  • Higher minimum balance to waive ($2,500)
  • Only 100 free transactions
7

Bethpage Federal Credit Union

Credit Union | $0/mo | 35 branches

Long Island and NYC metro businesses wanting credit union benefits

Key Features

  • Largest credit union headquartered in New York
  • Open membership — anyone can join
  • Free business checking with no monthly fees
Monthly Fee$0
Min to Open$1
Free TxnsUnlimited
Cash DepositsIncluded

Pros

  • No monthly fees
  • Open membership — no restrictions
  • Strong Long Island presence

Cons

  • Limited branch network outside Long Island/NYC
  • Less advanced business banking tools
  • Smaller ATM network than national banks
8

Capital One Basic Business Checking

National | $15/mo | 30 branches

Digital-first NYC businesses

Key Features

  • Unlimited fee-free digital transactions
  • $5,000/month free cash deposits
  • Capital One Cafés in NYC for in-person support
Monthly Fee$15
Min to Open$0
Free TxnsUnlimited
Cash Deposits$5,000/month

Pros

  • Unlimited digital transactions
  • Capital One Cafés offer unique in-person experience
  • Strong mobile/online banking

Cons

  • Limited traditional branch network
  • $15/month unless $2,000 balance maintained
  • Not ideal for high-volume cash businesses

New York Banking Landscape

585

FDIC-Insured Institutions

3+

Major Regional Banks

3+

Major Credit Unions

Top Regional Banks

  • M&T Bank — $200B+
  • New York Community Bancorp (Flagstar) — $115B
  • Signature Bank — Acquired 2023 (was $110B)

Top Credit Unions

  • Bethpage Federal Credit Union — 450,000+ members
  • Teachers Federal Credit Union — 400,000+ members
  • Municipal Credit Union — 600,000+ members

State Banking Programs

  • Empire State Development — loans and tax credits for small businesses
  • Excelsior Jobs Program — refundable tax credits
  • NYC Small Business Services — free legal help, grants, mentoring
  • NY Forward Loan Fund — for pandemic-affected businesses

Regulator: New York Department of Financial Services (DFS)

Starting a Business in New York

Secretary of StateNew York Department of State
LLC Fee$200 (plus publication requirement: $300-$1,500+ depending on county)
Corp Fee$125
Income TaxCorporate franchise tax: 6.5% (higher for large corps). Personal: graduated up to 10.9%. NYC adds unincorporated business tax (4%).
Sales Tax4% state + local additions (up to 8.875% in NYC)
Franchise TaxIncluded in corporate tax structure — franchise tax basis of 6.5% of business income or alternatives

Business Incentives

  • Excelsior Jobs Program — refundable tax credits for job creation
  • START-UP NY — zero taxes for 10 years for businesses near universities
  • NYC Small Business Services — free consulting and legal
  • Empire State Development grants and loans
  • Minority and Women-Owned Business Enterprise (MWBE) certification

Nonprofit Banking in New York

Registration

File Certificate of Incorporation (not-for-profit) with NY Department of State. Fee: $75. Must be approved by NY Attorney General or relevant state agency depending on nonprofit type.

Charitable Solicitation

Register with NY Attorney General's Charities Bureau before soliciting. File CHAR410 (initial registration).

Tax Exemption

Apply for NY sales tax exemption through the NY Department of Taxation and Finance (Form ST-119.2). Separate from federal 501(c)(3).

AG Reporting

Annual CHAR500 filing with NY Attorney General's Charities Bureau. Includes IRS Form 990 and independent audit (if revenue exceeds $750K).

Resources

Best Bank for New York Nonprofits

Holdings offers /bin/sh fees, 1.75% APY, and tools built for 501(c)(3) organizations.

Learn more →

Find Fee-Free ATMs in New York

Holdings cardholders get free access to 55,000+ Allpoint ATMs nationwide, including locations throughout New York.

Find ATMs near you →

Frequently Asked Questions

What is the best bank for a small business in New York?

For zero fees and high yield, Holdings offers $0 monthly fees with 1.75% APY. For branch access in NYC, Chase dominates with 577+ branches statewide. For community banking upstate, M&T Bank and KeyBank are strong regional options.

Can I open a business bank account online in New York?

Yes. Holdings, Chase, Bank of America, Capital One, and many online banks allow full online account opening for New York businesses.

What does it cost to form an LLC in New York?

Filing Articles of Organization with the NY Department of State costs $200. New York also requires a publication requirement that can cost $300-$1,500+ depending on the county.

What taxes do New York small businesses pay?

New York has a corporate franchise tax (6.5% or higher for large corps), personal income tax up to 10.9%, and 4% state sales tax (plus local additions up to 8.875% in NYC). NYC businesses also pay an additional unincorporated business tax.

Are there special programs for NYC small businesses?

Yes. NYC Small Business Services offers free legal help, grants, and mentoring. The NYC Neighborhood Credit initiative and Excelsior Jobs Program provide additional support.

What do nonprofits need to operate in New York?

New York nonprofits must file a Certificate of Incorporation with the Department of State ($75), register with the Attorney General's Charities Bureau before soliciting, and file annual CHAR500 reports.

Which banks have the most branches in New York?

Chase leads with 577+ branches, followed by Bank of America (~250), M&T Bank (~200), and TD Bank (~180). Wells Fargo has ~90 branches in the state.

Ready to open a business bank account?

Holdings offers free banking with 1.75% APY for New York businesses and nonprofits.