Oxygen is an online-only financial institution (or neobank) that makes a speciality of cell banking, providing each a private and enterprise checking account by means of the Oxygen app. With no month-to-month charges and limitless fee-free transactions, the Oxygen enterprise account is well-suited for small-business house owners who’re in search of an inexpensive solution to separate their private and enterprise funds and handle them on the go.
As well as, Oxygen stands out in that it affords nationwide LLC creation providers by means of a 3rd get together, permitting you to kind an LLC from throughout the app, after which open what you are promoting account.
Oxygen enterprise is finest for small-business house owners who:
Need a free enterprise checking account with no minimal steadiness necessities.
Choose to handle most of their funds digitally.
Don’t want entry for a number of licensed customers on their account.
Deposit lower than $10,000 in money on a month-to-month foundation.
Haven’t but fashioned a restricted legal responsibility firm, or LLC, and are contemplating doing so.
Execs & cons
No month-to-month charges, no minimal opening deposit, no minimal steadiness necessities.
Limitless fee-free transactions.
Payment-free ATM entry by means of the Allpoint community; capacity to deposit money by means of Inexperienced Dot community.
Earn money again when utilizing the Oxygen enterprise debit card.
Cell instruments, together with momentary or reusable digital playing cards.
Potential to create an LLC by means of the Oxygen app earlier than signing up for a enterprise account.
$3 payment per withdrawal for utilizing an out-of-network ATM (plus any charges from ATM proprietor).
Service payment of as much as $4.95 for every money deposit.
Can’t ship home or worldwide wires; can’t obtain worldwide wires.
Oxygen enterprise at a look
Minimal opening deposit requirement:
Limitless fee-free transactions
How Oxygen enterprise works
Oxygen enterprise is a very cell checking account. The Oxygen cell app is accessible for each iOS and Android units and is appropriate with smartphones and tablets.
As Oxygen will not be truly a financial institution, its banking providers are offered by The Bancorp Financial institution and deposits are insured as much as $250,000 by the Federal Deposit Insurance coverage Corp.
To open an Oxygen enterprise account, you’ll need to obtain the cell app and create a login by offering an e mail handle and password. You’ll full your utility by offering primary details about your self and what you are promoting, together with your Social Safety quantity, date of start and viable U.S. mailing handle. You might also be requested to supply a duplicate of your driver’s license and figuring out enterprise paperwork.
After you’ve submitted your utility, it may take as much as three to 5 weeks to be accepted. As soon as accepted, it is possible for you to to make use of the Oxygen app to fund your account, generate digital playing cards, view statements, deposit checks and extra.
Additionally, you will obtain a bodily Oxygen Visa® Enterprise Debit card within the mail to be used with the account. This card should be activated earlier than it may be used.
It’s necessary to notice that should you’re eager about LLC formation providers, Oxygen recommends that you simply first join the non-public account as a substitute of the enterprise account. After you’ve utilized and been accepted for the non-public account, it is possible for you to to make use of the Oxygen app to kind an LLC by means of CorpNet. Charges will fluctuate based mostly in your state and the LLC formation providers you select.
The place Oxygen enterprise stands out
Payment free: The Oxygen enterprise account has no month-to-month charges, no minimal opening deposit requirement and no minimal steadiness necessities. As well as, this account affords limitless fee-free transactions, which incorporates ACH transfers, direct deposits, incoming home wire transfers and cell examine deposits. Though the Oxygen enterprise account doesn’t provide paper checks, it does provide a free invoice pay service which supplies you the flexibility to ship mailed checks to people or companies so long as they’re positioned within the U.S.
ATM entry: You should utilize the Oxygen enterprise debit card to withdraw money fee-free at over 55,000 Allpoint ATMs worldwide. Though you can’t deposit money at these ATMs, you possibly can go to over 90,000 taking part Inexperienced Dot areas across the U.S. to deposit money (service payment of as much as $4.95 per deposit), with a most money deposit restrict of $10,000 per 30 days. In distinction, some online-only enterprise financial institution accounts can not accommodate money deposits in any respect.
Money-back rewards program: The Oxygen enterprise account features a rewards program that provides you the flexibility to earn money again for spending along with your Visa enterprise debit card. You may choose cash-back affords displayed within the cash-back web page of the cell app, make purchases at taking part retailers and monitor earned rewards. When you’ve reached the $10 incomes threshold, you possibly can money out your rewards and they are going to be instantly deposited into your Oxygen account.
Though the cash-back rewards are topic to vary, as of this writing, rewards embody:
5% money again on rideshare providers.
5% money again on transport (USPS, FedEx and UPS).
$1 money again on espresso purchases.
Cell instruments: Throughout the cell app, the Oxygen enterprise account contains examine deposit, money circulate projections, invoice pay, account statements and cash-back rewards. As well as, you’ve the flexibility to add and tag deductible bills, monitor transactions and combine the app along with your accounting software program.
Furthermore, you need to use the Oxygen app to create momentary or reusable digital playing cards. These playing cards are linked to your account and can be utilized to make purchases on-line or over the telephone with out presenting your bodily enterprise debit card.
You may generate as much as 10 digital playing cards directly, with a $1,000 restrict on every card. You may also set month-to-month spend and licensed retailers in addition to freeze or cancel your digital playing cards utilizing the cell app.
The place Oxygen enterprise falls brief
Cell solely: In contrast to different online-only banks and nonbanks, which usually provide a web-based and an app-based banking expertise, the Oxygen enterprise account is unique to cell. And, whereas practically 70% of surveyed enterprise house owners mentioned they’d want to open a deposit account on-line, a majority nonetheless did so in particular person, based on a 2019 examine from BAI, a analysis and coaching nonprofit for enterprise house owners. Thus, a mobile-only expertise could also be a barrier to entry for some small-business house owners.
Out-of-network ATM charges: In case you use an out-of-network ATM to withdraw money, you’ll face a $3 payment from Oxygen, plus any charges the ATM supplier could cost. As well as, these charges improve should you use a global ATM: You’ll pay $5 plus a 1% worldwide transaction payment on prime of the charges charged by the ATM supplier. You’ll, nevertheless, obtain a refund on the primary worldwide money withdrawal payment per calendar month ($5), however the worldwide transaction payment will nonetheless apply.
General, all these charges aren’t unusual for enterprise checking accounts from brick-and-mortar banks, however it’s possible you’ll discover on-line opponents that don’t cost out-of-network charges, in addition to people who provide refunds for charges that different ATM suppliers cost.
No multi-user accounts: The Oxygen enterprise account solely accommodates a single licensed person, which might not be adequate for multi-owner or bigger companies. Though you need to use the cell app to create digital playing cards and handle spending on these playing cards, these are restricted account privileges.
Comparatively, different enterprise accounts can provide the flexibility so as to add a number of account customers, customise entry and order enterprise debit playing cards for added house owners and staff.