Independent educational resource. We are not a bank, broker, financial advisor, or affiliate of any issuer listed. APYs are re-verified against issuer rate sheets and the major rate trackers on the date noted at the top of each rate table. Rates change frequently -- verify directly with the issuer before opening an account. FDIC insurance limits sourced from FDIC.gov. Nothing on this site is personalised financial advice. Consult a qualified advisor before making decisions about your savings strategy.

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Depends on structure

Best Business Savings and Money Market Accounts in 2026: LLC and sole proprietor picks

Reserve cash for your business deserves separate, FDIC-insured, yield-bearing accounts. Here is the 2026 landscape.

Neobank vs traditional bank: the FDIC difference

Mercury, Bluevine, Relay, and Novo are fintech companies, not FDIC-insured banks themselves. They partner with FDIC-insured banks and sweep your deposits to those partner banks. This typically gives you multi-bank FDIC coverage ($1M-$5M) -- well above the single-bank $250k limit.

Traditional banks (Capital One Spark, Live Oak, BMO Business) are direct FDIC members. Coverage is $250k per depositor per institution, as standard. If your reserve cash exceeds $250k, the neobank sweep model or IntraFi ICS at a traditional bank is the cleaner solution.

Top business savings picks for 2026

Mercury TreasuryUp to ~3.6%
SIPC up to $500k (not FDIC)Fee: $0Mid-market / scaling

Automated cash management into short-term government and money-market funds. Net yield around 3.6%, varies by portfolio. Not FDIC; SIPC-covered. Best for larger reserves ($250k+).

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Capital One Business Advantage SavingsUp to 3.50%
FDIC direct ($250k)Fee: $0Small business

Top rate is a promotional APY guaranteed for the first 3 months, tiered by balance afterward. Branch access. Integrates with Capital One business checking.

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Bluevine Business CheckingUp to 3.00%
FDIC up to $3M via sweepFee: $0 (Premier tier has a fee)Solo / LLC

Premier plan pays 3.00% APY on balances up to $3M; the free Standard and Plus tiers pay less. Strong accounting integrations.

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Relay Business SavingsUp to 3.00%
FDIC up to $3M via sweepFee: $0Solo / small LLC

Scale plan pays the top rate; lower tiers pay less. Multi-bank FDIC sweep via Thread Bank. Strong bookkeeping integrations.

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Live Oak Bank Business Savings2.85%
FDIC direct ($250k)Fee: $0Small-medium business

FDIC-insured traditional bank. No monthly fees. Strong for businesses that want a traditional bank relationship.

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BMO Business Money MarketUp to 2.30%
FDIC direct ($250k)Fee: $5/mo (waivable)Small-medium business

Business Platinum Money Market; the top tier needs $500k+. Full access features but a lower rate than online options.

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Decision by business size

Solo / sole proprietor

Bluevine or Relay -- no minimum, no fees, accounting integrations, multi-bank FDIC coverage. Start here.

Small LLC ($25k-$250k reserve)

Live Oak Bank Business Savings or Capital One Spark -- direct FDIC, traditional bank relationship, no fees.

Mid-market ($250k+ reserve)

Mercury Treasury (T-bill yield, higher rate) or IntraFi ICS account at a traditional bank. Cover the full balance.

Frequently asked questions

Is business savings account interest taxed differently than personal savings?⌄
The interest itself is taxed the same way -- as ordinary income. The difference is the 1099-INT form. A personal savings account issues a 1099-INT using your Social Security Number. A business savings account at a business entity (LLC, S-corp, C-corp) issues the 1099-INT using the EIN. For sole proprietors using their SSN as the EIN, it typically goes on Schedule C. Consult your accountant for your specific structure.
How does FDIC coverage work for my business savings account?⌄
The FDIC treats a business entity (LLC, corporation) as a separate depositor from its owners. So if you personally have $250,000 at a bank and your LLC has $250,000 at the same bank, both can be fully insured -- the business is a different depositor. However, if your business has over $250,000 at one bank, you need multiple banks, IntraFi ICS sweep programs, or other coverage strategies. Neobanks like Mercury and Wealthfront offer multi-bank FDIC sweep programs up to $3-5M.
What is a neobank FDIC sweep program?⌄
Neobanks like Mercury, Bluevine, Relay, and Wealthfront are not themselves FDIC-insured banks. Instead, they partner with FDIC-insured banks and sweep your deposits across multiple partner banks, with each bank holding up to $250,000. This gives you FDIC coverage well above the single-bank $250k limit -- Mercury offers up to $5M and Bluevine up to $3M in FDIC coverage through their partner networks. The sweep is invisible to you; you just see one account balance.
Can a sole proprietor open a business savings account?⌄
Yes. A sole proprietor can open a business savings account using their SSN or EIN. Most banks require proof of business (trade name registration, business license, or in some states just the DBA filing). Online business banks like Mercury and Bluevine often only need your EIN and a few minutes of online verification. Keeping your business reserve cash separate from your personal accounts is a key financial hygiene practice even if you are a solo freelancer.
Which business savings account is best for a new LLC?⌄
For a new LLC, Bluevine and Mercury are popular starting points: no minimum balance, no monthly fees, and excellent integrations with accounting software (QuickBooks, Xero, FreshBooks). Note that Mercury's plain savings does not pay interest; its yield comes through Mercury Treasury (around 3.6% net of fees, in short-term government and money-market funds) for larger reserves. For a more traditional bank feel with branch access, Capital One Business Advantage Savings and Live Oak Bank are solid choices.
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