Novo is a technology company that offers a business checking account design for small business owners, entrepreneurs and freelancers. Bank Novo charges no monthly fee, requires no minimum balance and integrates with a host of apps ranging from QuickBooks to Shopify to Stripe.
Novo Bank Snapshot
Novo Bank is one of several new startups in the field of online banking. It’s designed specifically for small business owners, offering an FDIC insured checking account. It’s notable in that it charges no monthly fee and requires no minimum balance. It includes a mobile app and business debit card. And it integrates with a range of other business apps including Stripe, Shopify and QuickBooks.
- Backed with FDIC insurance*
- No hidden fees
- No monthly fees or minimum balance requirements
- Simple, easy-to-use mobile apps
- Apply in under 10 minutes
- Human-powered customer service
- Free transfers, mailed checks, and incoming wires
- Integrates with other small business tools
- Refunds all ATM fees
- Thousands of dollars in exclusive perks
Novo Bank Review
Novo Bank describes itself as a business banking platform built for today’s business owners. Founded in 2016 by Michael Rangel and Tyler McIntyre, the technology company has designed tools to make managing money for small businesses easier and free.
Novo Bank offers a business checking account along with tools that help simplify a company’s cash management. For example, a business can accept debit and credit card payments for invoices via Stripe. You can get an email confirmation when an invoice is paid. It also accepts invoice payments via Square.
Novo also enables business owners to set aside money through Novo Reserves. An owner can set aside funds for taxes, profit, payroll, and any other large business expenses. With the noble platform, one can easily move funds into the Reserve. In addition, no go plans to introduce a future that will allow business owners to create multiple Reserves. In this way, the banking platform would be ideal for those that follow the Profit First methodology.
At present, Bank Novo’s account does not pay interest. It does, however, offer free ACH transfers to and from other financial institutions. As such, a business owner could easily move cash to and from a high interest savings account.
One of the strongest selling points for Novo is that accounts are completely free. There are no monthly fees, hidden fees or regularly scheduled fees. There are no fees for ACH transfers, ATM fees or even International ATM fees. In fact, if an ATM owner charges a fee, Nova will refund that fee at the end of the month. In this regard, a business owner doesn’t have to search for an ATM within a given network. Novo refunds all ATM fees.
Novo offers a long list of features that help small business owners manage everything from invoicing to paying contractors as painlessly as possible.
Invoicing: A business owner can create and manage an unlimited number of invoices through the Nova web app.
Payments: Novo can accept payment on an invoice either through ACH electronic transfer, or through pay with a card via Stripe. With Stripe integration, you can accept credit card and debit card payments right in the invoice.
Novo Reserves: You can set aside money in what it calls Novo Reserves. For example, a business owner could set aside money for future taxes, a profit account, payroll or other large business expenses. Funds can be instantly moved to and from the Reserve.
Integrations: Novo offers numerous integration with other apps including TransferWise, Slack, Xero, Stripe and Shopify. These integrations make invoicing and receiving payments extremely easy. Allowing small business owners to seamlessly pay contractors. And a business owner can even set up notifications via Slack. There’s even integration with Zapier and QuickBooks.
Mobile Check Deposit: You can deposit checks remotely from your smartphone. Check deposits are unlimited and free. Simply snap a photo of the check and deposit it into your Novo account in seconds.
Send Payments: Business owners can send payments directly from their Novo account via ACH, international transfers via TransferWise and unlimited free transactions within the U.S.
Novo Debit Card: The account comes with a business debit card that can be used with either Apple pay or Google pay.
Pros & Cons
What we like
- No monthly fees, no ATM fees and no transfer fees
- Excellent mobile app
- Integration with Stripe, Square, QuickBooks and other apps
- Unlimited mobile check deposits
What could be better
- Does not pay interest
- No physical branches
How to Get Started with Novo Bank
You can open a Novo account in just minutes online. The information required is pretty much what you’d expect for a bank account. You’ll need your personal information and your business information. You can start the process by entering your email address and creating a password.
From there you’ll enter your name, confirm your identity and enter information about your business. The process takes just a few minutes. Keep in mind, however, that it can take some time to get your account approved as Novo has to process the information submitted during the application.
Who Novo is Best For
Novo is ideal for small businesses looking for a free checking account. It’s particularly well-suited to those businesses looking to streamline invoicing, customer payments and payments to contractors.
Who Should Use a Different Bank
Novo is not well suited for those looking for a bank with physical branches or for those businesses that need to write physical checks.
Novo Bank Rating
Yes. It was founded in 2016 to bring business banking two small business owners in a way that makes managing cash flow much easier.
Novo offers a free business checking account with no minimum balance or monthly fee, something many traditional Banks don’t offer. In addition, golfers tools and integrations to help business owners manage everything from invoicing to paying contractors to accepting payment.
No. There is an initial $50 deposit required to unlock all of the features of the novo account. But there is no minimum balance required beyond that.
Currently, it does not pay interest on his checking account at, and it does not offer a savings account. Novo is exploring this option.
Yes. Deposits are FDIC-insured through Novo’s partner bank, Middlesex Federal Savings, F.A. (FDIC certificate No. 28368)
No. Novo Bank does not check applicants credit score nor will applying for an account affect and applicants credit score.