Novo Business Checking Review

The video provides an in-depth review of Novo’s business checking account based on nearly two years of personal use by a small online business owner operating an LLC set up as an S corporation in the U.S.

Main Financial Strategies and Business Trends:

• Online-focused banking: Novo is ideal for businesses that do not handle cash and operate primarily online.
• Use of business credit cards for rewards: The presenter prefers using business credit cards to earn points and pays them off via the Novo checking account.
• Integration with business tools: Novo offers perks and integrations with popular business platforms such as Stripe, QuickBooks, Xero, Gusto, Slack, Wise, and Zapier, which can help streamline business operations.
• Cost-saving on payment processing: Novo provides credits or fee waivers on Stripe fees, which can significantly reduce payment processing costs.

Key Features and Pros:

• No fees: No monthly fees, no minimum balance requirements, and reportedly no overdraft fees.
• Free invoicing: Novo offers free invoicing without the fees charged by some platforms like Stripe.
• User-friendly interface: Both desktop and app versions are clean, simple, and easy to navigate.
• Perks and integrations: Regularly updated discounts, rebates, and credits on integrated services, especially beneficial for small business owners.
• Physical and virtual cards: Novo provides a physical debit card and virtual cards, although the presenter mainly uses credit cards instead.

Cons and Areas for Improvement:

• No interest or APY: The account does not earn interest, which is a downside compared to some competitors.
• App bugs: Issues with the Android app include unexpected logouts and unreliable push notifications, which have been partially resolved by reinstalling the app but remain inconvenient.
• Lack of notifications: Push notifications for transactions are inconsistent, sometimes toggling off without user input.
• Limited use of “reserves” feature: Novo allows up to 20 separate reserves (sub-accounts) for budgeting purposes but does not pay interest on these funds.

Methodology/Step-by-Step Guide to Accessing Perks:

• Log into the Novo desktop account.
• Click on the “Apps” tab.
• Navigate to “External Connections.”
• Click on “Perks” at the top and select “View Perks.”
• Review and activate available perks such as Stripe credits or discounts on other services.

Overall Conclusion:

Novo business checking is highly recommended for solopreneurs and small online businesses due to its simplicity, lack of fees, and useful integrations. While there are some app-related bugs and no interest earnings, these issues are not dealbreakers for the presenter. Novo is positioned as a practical, user-friendly banking option tailored to digital-first small businesses.

Presenter:

The review is presented by a small online business owner who has used Novo for nearly two years. The video is not sponsored but includes a referral link for viewers.