After some top-level online discussion of general banking issues for very small businesses, I hit the streets to investigate business checking options. I certainly didn’t look into all of the potential banks, but I think the five options detailed below (in alphabetical order) provide a good cross-section of what’s out there – at least as far as free business checking goes. The information is also available in a public spreadsheet here.

Capital One

• Fees: none
• Signers: need to visit local branch
• Debit card: one per signer
• Online services: free online banking and bill pay
• Minimum balance: $100 to open, none to maintain
• Transactions: max of 500 total per month
• Cash deposits: max of $10,000 per month ($1.20/$1000 thereafter)
• Checks: paid service
• Merchant services: paid service, in-house
• Payroll services: paid service, in-house
• Miscellaneous notes: only have locations in Texas and Louisiana

Chase

• Fees: none for the first year if coupled with business savings account
• Signers: required information can be obtained via mail
• Debit card: one per signer
• Online services: free online banking and bill pay
• Minimum balance: none
• Transactions: max of 200 total per month
• Cash deposits: unlimited
• Checks: paid service
• Merchant services: paid service, in-house
• Payroll services: paid service, in-house or outsourced to ADP
• Miscellaneous notes: are working on something equivalent to the free personal checking options but on the business side to be available in 2008

Wachovia

• Fees: none
• Signers: all account signers would need to visit a branch
• Debit card: one per signer
• Online services: free online banking and bill pay
• Minimum balance: $100 to open, none to maintain
• Transactions: max of 150 total per month
• Cash deposits: max of $5000 per month ($.15/$100 thereafter)
• Checks: paid service, outsourced to Deluxe Business Systems
• Merchant services: paid service, outsourced to Nova
• Payroll services: paid service, outsourced to Hewitt
• Mischellaneous notes: stressed highly rated customer service and a "true" national network (meaning account services are possible at any branch nationwide)

Washington Mutual

• Fees: none
• Signers: required information can be obtained via mail
• Debit card: one per signer
• Online services: free online banking and bill pay
• Minimum balance: $100 to open, none to maintain
• Transactions: unlimited, but checks are held for a month during the first 90 days
• Cash deposits: max of $5000 per month ($.30/$100 thereafter)
• Checks: paid service
• Merchant services: paid service, outsourced to TransFirst
• Payroll services: paid service, outsourced to Paychecks
• Miscellaneous notes: stressed a promotion offering a free set of checks when you open two accounts, and overdraft protection if the account is open for more than a year

Wells Fargo

• Fees: none (assuming it is bundled with other services, such as a business savings account, merchant, payroll, business line of credit, business credit card, etc.)
• Signers: required information can be gathered through phone/fax
• Debit card: one per signer
• Online services: free online banking and bill pay
• Minimum balance: $6,000 (including bundles credit cards, lines of credit, etc.)
• Transactions: max 300 in, no limit out
• Cash deposits: max of $5000 per month ($.30/$100 thereafter)
• Checks: free
• Merchant services: paid service, in-house
• Payroll services: paid service, in-house
• Miscellaneous notes: stressed being "up front" about all costs and to offer great business services (e.g., rewards on credit cards, good lines of credit, etc.)

I should also note there were large discrepancies in the competency and approach of the bank sales associates. Perhaps it was difficult to take me seriously, given I was in jeans, a t-shirt, and flip-flops (yes, you can wear flip-flops in December in Houston), but Wachovia and Wells Fargo were the only locations who seemed interested in my business needs – actually asking questions about the business structure, owners, etc. The other bank reps seemed like it was either their first day out of school, or they were personal bankers covering for business bankers (the Chase banker even admitted to doing this).

My choice? I think Wachovia has the edge. WaMu also provides nationwide, truly free business checking (i.e., no required bundled services or time limits), but Wachovia holds the advantage in its national network and claimed/perceived customer service.