Unlike in some foreign countries, the purpose of opening a bank account in the United States is usually not for a return on the balance, as the interest rate that you will accrue is next to nothing no matter which institution you choose.
According to CNN Money, the average interest rate of a U.S. Savings account in 2013 was 0.06%, but most major banks paid closer to 0.01% to customers in interest. On the other hand, HSBC France offers interest rates of up to 1.3%. That is a major difference that shocks many of our international business clients.
What is the purpose of opening a Florida business bank account?”
There are many reasons to open a U.S. bank account, depending on your specific situation. Here at Boyer Law Firm, opening a business bank account is typically included in our fees to incorporate a business or form an LLC because creating a separate Florida business bank account is essential for both asset protection purposes and legitimizing the company. It also facilitates accounting and clarifies the satisfaction of the requirement of investments made under the Investor Visa scheme.
If your company ends up being sued for one reason or another, maintaining your business funds in a separate bank account will add a layer of protection for your personal assets. This protection of personal assets is often referred to as the “Corporate Veil.”
By maintaining your business accounts separate from your personal accounts, you are showing that you as an individual are a separate entity from your company. If the accounting for your Florida LLC or Corporation has always been separate from your personal income and bills, then it will be easier for a judge to rule that you are not personally responsible for debts incurred by your business.
On the other hand, if it is hard to determine where the company begins and your personal finances end, the judge could rule that a legitimate operation was never actually in existence and hold you personally liable for the debts against the company.
Maintaining separate bank accounts is just one of the important things to know when forming a business. If you are interested in forming a Florida LLC or Corporation, or if you would like to schedule a one-hour “business planning” session with one of our Corporate Attorneys to discuss how to better protect your business, then contact Boyer Law Firm today.