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  • #1000232
    TMGPS
    Member
    • Total posts: 7

    Hi all,
    Hoping someone can point me in the right direction and give some advice on what they’ve used. I’ve had a look for myself but just want to be sure of my decision before I open one.
    I am ready to open my business bank account and am going to be importing products from Pakistan.
    Which bank is best for low/no account fees and a cheap international transaction fee?

    #1223474
    Jason Ramage
    Participant
    • Total posts: 3,161

    Howdy

    Little bit more info wise may help, IMO… are you a company? a sole trader etc etc What are your long term goals? just relationships with banks can repay themselves thousands of times over if you get it right initially..

    Example, if you shop just price…. you will get just price… If you want to build a relationship with a long term partner who will value your ongoing business, dont just look at fees – they are so negligible monthly, why would you not look at all your options and entertain a value proposition as well as opposed to cost savings?

    re international transactions, what type? TTs or other? Sometimes, the bank is not the best answer although this will depend on the service you are looking for… Example, sometimes FOREX partners such as AMEX or similar are good options.. Sometimes avoiding FOREX altogether can be beneficial like using an international bank account through Stripe or Transferwise or similar..

    The more you share, the more you may get from the post :)

    Look forward to learning more..

    Jason

    Jason Ramage | Lucas Arthur Pty Ltd | E: hello@lucasarthur.net.au   P: 61 3 8324 0344    M: 61 412 244 888
    #1223476
    TMGPS
    Member
    • Total posts: 7

    Hi Jason,

    I really appreciate your reply.
    I will be setting up as a sole trader but am still wanting to set up a separate bank account from the start to keep my finances separated.

    The business in Pakistan is selling me custom cricket products and will accept bank transfer or PayPal but not so sure about using PayPal. Would personally prefer to bank transfer.

    Any advice would be greatly appreciated. Thanks for your time.

    #1223477
    Paul – FS Concierge
    Moderator
    • Total posts: 3,141

    Hi and welcome to Flying Solo [USER=118104]@TMGPS[/USER]

    I hope you get the answers you are looking for.

    Can you share what your expected international turnover might be?

    Jason is an ex-banker who really knows his stuff.

    Cheers

    #1223478
    TMGPS
    Member
    • Total posts: 7

    Hi Paul,

    Thank you. I’m honestly not 100% sure at the stage. I’m about to put in my first order to test the quality and the market. But all of my products will be from the same supplier as not many make this style of product

    #1223479
    TMGPS
    Member
    • Total posts: 7

    [USER=78928]@Paul – FS Concierge[/USER] [USER=34537]@LucasArthur[/USER]

    #1223480
    bb1
    Participant
    • Total posts: 4,485
    LucasArthur, post: 270085, member: 34537 wrote:
    Example, if you shop just price…. you will get just price… If you want to build a relationship with a long term partner who will value your ongoing business, dont just look at fees – they are so negligible monthly, why would you not look at all your options and entertain a value proposition as well as opposed to cost savings?

    Jason great answer, but I think you have been out of the banking world to long, banks no longer look at partnerships with your average small business, they look at where best to rip us off, we have a royal commission which shows that.
    I raised a formal request to my ”business partner” 3 months ago, silence so far, my physical branch seems to have a new manager almost on a weekly, possibly daily, basis, last time I spoke to one, they said that last week they were working in a factory, but someone ran out of the bank while they were walking past and asked if they would like to be a manager. Yes we did have ”business partners” back when I was just starting out, but now some 40 plus years later, that doesnt apply.

    #1223481
    Jason Ramage
    Participant
    • Total posts: 3,161
    bb1, post: 270092, member: 53375 wrote:
    Jason great answer, but I think you have been out of the banking world to long, banks no longer look at partnerships with your average small business, they look at where best to rip us off, we have a royal commission which shows that.
    I raised a formal request to my ”business partner” 3 months ago, silence so far, my physical branch seems to have a new manager almost on a weekly, possibly daily, basis, last time I spoke to one, they said that last week they were working in a factory, but someone ran out of the bank while they were walking past and asked if they would like to be a manager. Yes we did have ”business partners” back when I was just starting out, but now some 40 plus years later, that doesnt apply.

    Howdy BB1,

    Respectfully disagree on this.. think you have been out longer .. IMO, relationships through the hard times are more important that the good!

    What is important is the relevant touch points you create within the institutions and understanding how to navigate them with integrity and efficiency.. Personally, i have NEVER spoken to a branch manager when i am trying to achieve a level of commercial banking solutions.. Sadly, managers are not well versed in commercial lending (unless you come across one cross trained or was previously in commercial) or products as it has differing legal ramifications and requirements and even processes, and as such Branch Managers are trained in what the majority of their customers are – that being retail lending and deposit skill sets.

    My inference is purely around building relationships, creating long term positive influences within an institution you can work with moving forward (each of the 4 pillars run differently and geared for differing clients) and build on that… Your history makes a difference… Your engagement and ability to get to the right person is the biggest battle, most try retail lenders for commercial interactions and this is where you get people coming to the forums saying things like ‘i just got a personal loan for my new business venture, as the banker told me its easier’ – this is completely against both Bank policy and Commercial Lending Policies.. You actually sign contracts saying its not to be used for commercial use :(

    We recently engaged a bank for some assistance, post Covid with little objections.. Furthermore, it will also depend on the strength of the client.. The history and the ability to succeed.. This is why i asked about how they are operating, if they are operating and so forth as this history is also important.. Sole trader, has no bearing on this as its still based on the individual…

    If you are a worthy customer, and operate your business with integrity and have cash flow (positive meaning potentially profitable) with historical data (within the institution of choice), your chances of gaining some form of assistance (dont be unrealistic) is vastly improved.

    As with any bank conversations, the merit of the customer will enhance or hinder the level of discussion.. Both financially and maturity.. Those that approach a bank with very little or none of those, are also the ones that come to the forums indicating banks are unwilling to help – a bank is NOT a charity… a bank is a financial institution ‘gambling’ with assessment on the merit of the opportunity. During times like this or like GFC, things are tighter, harder, more hurdles and more tasks to tick off to do things – but again, if you are in good stead, you are still a valuable asset to a bank.. It may be stacked in the banks favour, but it is their (well shareholders) money to protect….

    Partnerships are formed for a prosperous outcome, sadly times have changed.. its vastly faster paced through the development of online ecomm, easier shipping (generally, just not at present) from overseas suppliers (also cheaper) and so forth.. This has created many people that think they are a business simply by drop shipping items, or investing $500 in a generic item from OS (not pointed at OP) that they feel will make them the next billionaire… Its created a generation that feel they can become independently wealthy without having to work – and actually, before they have even bought there first product.. This has an on-flow effect with the entire supply chain, from freight forwarders, retailers, wholesalers and yes BANKS… These ‘business’ owners feel they are entitled (sound familiar) to get access to what you and i have worked hard to achieve and support.. This is not the case… Rarely have i seen the association between todays current retail entitled individuals to entitled business owners, but i sadly think it is there.

    But Bert, i appreciate the banter.. hope you enjoyed the war and peace rebuttal :)

    Jason

    Jason Ramage | Lucas Arthur Pty Ltd | E: hello@lucasarthur.net.au   P: 61 3 8324 0344    M: 61 412 244 888
    #1223482
    Paul – FS Concierge
    Moderator
    • Total posts: 3,141

    The banter was epic. I literally laughed out loud to yours Bert and the points even within the context of Jason’s reply, have been observed by me too (probably why I laughed so hard).

    Just a warning: OP has a serious business question and reply’s need to be on topic to OP’s question.

    To that end, not knowing about this stuff, I have a query relating to OP’s situation.

    Would a service in the ilk of Transferwise be a viable solution?

    #1223483
    Jason Ramage
    Participant
    • Total posts: 3,161
    Paul – FS Concierge, post: 270094, member: 78928 wrote:
    The banter was epic. I literally laughed out loud to yours Bert and the points even within the context of Jason’s reply, have been observed by me too (probably why I laughed so hard).

    Just a warning: OP has a serious business question and reply’s need to be on topic to OP’s question.

    To that end, not knowing about this stuff, I have a query relating to OP’s situation.

    Would a service in the ilk of Transferwise be a viable solution?

    Yes mate, a service such as Transferwise/stripe or other could be advantageous to the OP.. Something i may have also eluded to in the initial reply, although further context assists in deciding this..

    Truly though, if i was investing in overseas purchasing (again), i would speak to my accountant and a litany of other professionals to ensure i was on the right path.. From banking, finance, forex, insurance (both for cargo on board when importing through to public liability etc) and so forth…

    Cheers

    Jason Ramage | Lucas Arthur Pty Ltd | E: hello@lucasarthur.net.au   P: 61 3 8324 0344    M: 61 412 244 888
    #1223484
    Propella
    Member
    • Total posts: 3

    Thrive (http://www.plusthrive.com) is a new neobank that has been specifically built for small businesses, freelancers, sole traders and startups.

    #1223485
    Jason Ramage
    Participant
    • Total posts: 3,161
    Propella, post: 270157, member: 115607 wrote:
    Thrive (http://www.plusthrive.com) is a new neobank that has been specifically built for small businesses, freelancers, sole traders and startups.

    How does this help the OP with international transactions, best option for him as a sole trader and so forth? or is this just a spruik, from what i read, the OP cant even access your offers yet as there may be a waiting list before its launched? or am i reading this wrong?

    Jason Ramage | Lucas Arthur Pty Ltd | E: hello@lucasarthur.net.au   P: 61 3 8324 0344    M: 61 412 244 888
    #1223486
    Propella
    Member
    • Total posts: 3
    LucasArthur, post: 270159, member: 34537 wrote:
    How does this help the OP with international transactions, best option for him as a sole trader and so forth? or is this just a spruik, from what i read, the OP cant even access your offers yet as there may be a waiting list before its launched? or am i reading this wrong?

    I’m no more ‘spruiking’ Thrive as you are TransferWise. I was just replying to the original post about a business bank account – of which TransferWise doesn’t offer, so I’m not sure why you would suggest that. Thrive is a business bank designed for small business and sole traders as I said.

    If you’re looking for the best rates on International Transfers, I would use AirWallex, which is again designed for businesses in mind and built in Australia.

    #1223487
    Jason Ramage
    Participant
    • Total posts: 3,161
    Propella, post: 270160, member: 115607 wrote:
    I’m no more ‘spruiking’ Thrive as you are TransferWise. I was just replying to the original post about a business bank account – of which TransferWise doesn’t offer, so I’m not sure why you would suggest that. Thrive is a business bank designed for small business and sole traders as I said.

    If you’re looking for the best rates on International Transfers, I would use AirWallex, which is again designed for businesses in mind and built in Australia.

    Thanks Prop,

    Appreciate the reply, i was obviously overstepping as i thought my initial recommendations of stripe/transferwise/amex and also the advice of building relationships with banks (or even smaller parties like yours being thrive) was a fair spread of offerings that were FSRA compliant and also a suitable starting point for the OP..

    Never had i just ‘spruiked’ one offering or actually have an affiliation with either of the suggested platforms, unlike yourself?

    Cheers
    Jason

    Jason Ramage | Lucas Arthur Pty Ltd | E: hello@lucasarthur.net.au   P: 61 3 8324 0344    M: 61 412 244 888
    #1223488
    Paul – FS Concierge
    Moderator
    • Total posts: 3,141

    Asked an answered with both parties making their points.

    I am going to stop the discussion there and note:

    Jason has been extremely helpful to new members on this Forum for years. He has a proven track record of being honest and caring towards Flying Solo members.

    I mentioned TW as a possible option. Nobody (including me) is a shill for it.

    Flying Solo welcomes all business owners AND has rules that we enforce.

    Personal attacks (even in tone, if not in words,) are not permitted here.

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