Switching business bank accounts: a checklist

The safest switch runs both accounts side by side for a while. Do not close the old account until every payment has moved.

Before you open the new account

1. List every automatic payment that leaves the old account: rent, software, loans, taxes, insurance, payroll.
2. List every source of money coming in: clients paying by ACH, payment processors, marketplaces, government payments.
3. Download statements you may need for taxes or bookkeeping.
4. Check whether the old account has a closing fee or a minimum balance you need to keep until you close it.

After the new account is open

1. Update your payment processors and marketplaces with the new account details.
2. Send clients your new payment details, in writing, and update your invoice template.
3. Move payroll and update direct deposit and tax payment accounts.
4. Move each automatic bill payment, one by one, and tick it off your list.
5. Connect the new account to your accounting software.
6. Keep enough money in the old account to cover anything you might have missed.

Before you close the old account

1. Wait at least one full billing cycle with no activity on the old account.
2. Confirm that no checks are still outstanding.
3. Transfer the remaining balance, then ask the bank to close the account and confirm it in writing.