Forced To Leave Brex? Three SMB-Focused Banks Worth Your Consideration.
Earlier this month, Silicon Valley lender Brex announced that it was dropping tens of thousands of customers. The surprise move came as the company chose to shift its focus from small- to medium-sized businesses (SMBs) to an exclusive clientele composed of more prominent, venture-backed players.
According to Brex co-founder Henrique Dubugras, current SMB customers have until Aug. 15, 2022, to withdraw their funds from all Brex accounts. The announcement has left many scrambling.
Three Banking Options for Small Businesses to Consider:
Most established business people prefer making smart moves to fast ones, but in this instance, it just might be possible to have both.
In an interesting confluence of events, the online bank Grasshopper re-launched its digital banking platform in March of this year. According to CEO Mike Butler, Grasshopper has small business at the center of its focus, and that’s where it will remain. Butler’s background includes working as a big-bank executive. He knows full well what tends to happen to the SMB owner in that environment. Butler says that Grasshopper is making small business its No. 1 priority.
While SMBs formerly handled by Brex undoubtedly find those words reassuring, many are perhaps understandably wary. Action, of course, will speak louder.
Grasshopper knows this. They have partnered with other award-winning FinTech companies for core technologies, but they’ve also hired in-house engineering staff. The entire Grasshopper team has been charged with delivering its SMB clientele targeted, high-impact products and services personalized for the unique needs of entrepreneurs. In short, they are investing in supporting SMBs both now and into the future.
For those looking for a brick-and-mortar bank with great digital support, Bank of America offers SMBs plenty of support. Bank of America is committed to providing small business owners with the tools, resources, and products they need to operate their businesses while allowing them to bank where, when, and how they want. Bank of America’s high-touch, high-tech strategy delivers industry-leading advice and solutions, along with access to dedicated specialists to address entrepreneurs’ unique needs. Their latest offerings, The Business Advantage Unlimited Cash Rewards Secured credit card and Start a Business Center digital experience are just two of the countless ways Bank of America is there for small business clients.
BlueVine, a leading provider of innovative financial services for small businesses, recently announced the availability of several new Bluevine Business Checking account features, including Account Access, Bills Management, and QuickBooks integration. These new updates will further simplify users’ account dashboards and provide one central hub for customers to handle all their banking needs. By simplifying account access and bill payments and enabling access to QuickBooks data, BlueVine is solving significant pain points that small businesses encounter daily, affording them more time to collaborate, delegate tasks, and grow and scale their business.
“There is a big difference between serving the financial needs of venture-backed startups and main street small businesses and Bluevine has never lost focus of building better financial solutions that put small business owners first,” said Eyal Lifshitz, CEO, and co-founder of Bluevine. “With our single focus on small businesses since our founding in 2013, we understand how small businesses operate and everything we do is in service of helping them bank with ease.”
A Side-by-Side Comparison:
Promises to swoop in and serve the needs of SMB account holders must come as music to the ears of many. However, it bears repeating that this particular segment was — in the recent past — aggressively courted by the folks at Brex. The proof, as they say, will be in the pudding. So how do other financial platforms stack up?
Small to medium-sized business owners have a lot to consider when changing to a new financial platform. Consider first if you want to open an account digitally or in person. Then consider whether or not online-only banking works for you, or if you prefer to use brick-and-mortar services. Finally, consider any fees, tools, and features offered to SMBs. Ultimately, SMB owners should consider how committed each financial platform is to small businesses for the long term.