What is Lili Bank? An overview for freelancers and small business owners
Founded in 2019, Lili Bank is a financial technology company, not a traditional bank. Unlike traditional banks, Lili focuses on digital-first solutions tailored for freelancers, small business owners, and entrepreneurs. Banking services are provided by Sunrise Banks, N.A., a member of the Federal Deposit Insurance Corporation (FDIC), ensuring customer deposits are insured up to the FDIC limit. This partnership allows Lili to offer essential banking features without being a traditional bank.
Lili users can enjoy a variety of accounting and tax tools, as well as a credit-building program. Plus, there are four plans to choose from, including one free option, to accommodate varying needs and preferences.
Since its inception, Lili has accumulated more than 200,000 customers and deposited over $2 billion. Let’s take a closer look at what Lili Bank is and how it works so you can decide whether it’s a good option for your small business.
Lili Bank account features: What makes it different
Lili Bank challenges traditional business banking norms with a robust checking account that enables freelancers and small business owners to improve efficiencies and scale. Its platform offers integrated financial tools for expense management, budgeting, and seamless accounting, supporting growing businesses as they expand. Lili also supports payment apps integration and external bank account linking for streamlined money transfers. Here’s an overview of its top features:
Tax management tools for freelancers
With a Lili Bank account, you can automatically save for taxes in a “tax bucket” and alleviate some stress come tax time. Lili offers automatic tax savings and tax savings tools that help you set aside funds for taxes throughout the year, optimizing your tax savings and making tax management easier. These tools also assist in managing and tracking your business expenses, with features like receipt scanning and expense categorization. You may also sort your transactions into tax categories to stay organized and take full advantage of any deductions you may be entitled to. In addition, Lili will provide you with pre-filled tax forms and the chance to download expense reports as needed.
Freelancer-focused financial management
Lili builds accounting tools into business bank accounts, allowing you to track and categorize your expenses in real-time. The platform also integrates seamlessly with popular accounting software like QuickBooks, Xero, Wave, and Sage, making it easy to streamline bookkeeping, expenses, and tax preparation.
Plus, you can create financial reports, such as Profit and Loss statements, with one click and generate invoices for your clients in minutes, helping you manage and improve your cash flow. Thanks to the Accountant AI tool, you’ll receive instant financial advice to reduce errors and ensure accuracy.
Emergency funds and safety net features
With Lily’s automated savings capabilities, you can build a healthy business emergency fund (and a great deal of peace of mind) without much thought. You may also avoid overdrafts with overdraft protection and utilize the Early Payment feature to access incoming deposits up to two days earlier.
Lili Bank account types and pricing
Since every freelancer, entrepreneur, and small business has their own unique budget and needs, Lili offers four types of accounts, each with specific eligibility criteria tailored for different business structures. Lili business accounts do not require a minimum balance to open or maintain, and there are no hidden fees. Account holders benefit from FDIC insurance and enhanced security, with funds insured through a network of sweep program banks. The account fees and monthly fees structure are transparent—some plans have no monthly fee, while others have a clear monthly fee with no surprise account fees. Let’s dive deeper into what each one entails.
Lili Basic account
If you’re looking for a free Lili business checking account, Lili Basic might be a solid choice. It comes with a Lili Visa Debit Card, which is a Visa business debit card offering cash-back rewards on eligible purchases. The account supports automatic savings, early direct deposits, wire transfers, fee-free ATM withdrawals, and allows cash deposits at select retail locations.
Lili Pro account
For $15 per month, Lili Pro will add fee-free overdrafts, a competitive APY on savings, and expense management tools to its business bank account. You’ll be able to organize expenses, attach receipts, add notes, and quickly create expense reports.
Lili Smart account
The Lili Smart plan will run you $35 per month and includes everything in Lili Pro, plus integrated accounting software and advanced financial tools. With Lili Smart, you can expect to generate a wider array of financial reports, manage expenses and budgeting, pay your bills instantly, allocate funds towards taxes automatically, and receive pre-filled tax forms.
Lili Premium account
If you want all the bells and whistles because you’re an established freelancer or fast-growing business, Lili Premium is likely your best bet. Designed to support growing businesses and help drive business success, Lili Premium offers features tailored for expanding companies. For $55 per month, you’ll receive priority support seven days a week and be able to grant account access to multiple people.
Lili Business bank account vs. personal account
If you own a small business but already have a personal account, you might ask yourself whether a Lili business bank account is worth it. In many cases, the answer is yes. Business accounts are designed to help you separate your personal and business finances, making it easier to manage and track business expenses.
This will simplify expense tracking, bookkeeping, and most importantly, taxes. With a Lili bank account, you’ll also benefit from financial management tools like receipt scanning and expense categorization, making it much easier to prevent errors that can cost your business a lot of time, money, and headaches down the road.
How to open a Lili Bank account
Fortunately, it’s quick and easy to create a Lili Bank account. The process is fully digital, so you can complete it at your convenience, from the comfort of your own home or office in less than three minutes. Opening a business account with Lili does not impact your credit profile, as no hard credit check is required.
Step-by-step Lili Bank account application process
To open a Lili bank account, follow these steps:
- Check eligibility: You can apply for a Lili business bank account as long as you’re at least 18 years of age (or 19 in Alabama or Nebraska) and own a U.S.-registered business. You should be a U.S. citizen with a U.S. address and Social Security number or a non-U.S. citizen who runs a U.S.-based business that’s not a sole proprietorship.
- Gather required documents: Lili will ask you to submit a few documents to support your application. These will likely include a government-issued ID like a driver’s license, as well as your IRS EIN letter and Articles of Organization.
- Create an account: Visit the Lili website or download the mobile app to plug in your email address and a secure password. This will be your Lili Bank login.
- Complete the application: Fill out the application and double check your work to ensure accuracy and avoid delays.
- Confirm your identity: Lili will ask you to take a photo of your government-issued ID and a selfie to verify you are who you say you are.
- Get approved: You may get approved for a Lili Bank account within minutes, but if your information is inaccurate or Lili would like additional documentation, approval may take longer.
Lili Bank reviews: What users are saying
Before you go ahead and move forward with Lili Bank, it’s a good idea to explore Lili Bank reviews. Many users appreciate Lili business banking for its positive impact on their financial health, citing features that help them monitor expenses, budget effectively, and manage their finances as small business owners or freelancers.
Positive feedback from freelancers and entrepreneurs
Lili Bank earned a 4.7 out of 5 stars, based on almost 4,000 reviews on TrustPilot. Reviewers praise the Lili bank account for its ease of use, convenient tax management tools, and excellent customer service. Many of them state that Lili has “made life easier” for their business. The Lili bank app is also highly rated with 4.6 out of 5 stars on the Apple store and 4.1 out of 5 stars on Google Play.
Common criticisms and limitations
As with any financial product, the Lili bank account comes with some pitfalls. While most users are satisfied with it, some noted that the top-tier plans can be quite expensive, especially for startups and newer small businesses. There are also a few complaints about unexplained account closures and longer approval times than expected. That said, Lili has responded to most complaints and attempted to resolve them promptly.
Lili Bank vs. competitors: How it compares
Compared to other business bank accounts, the Lili business account comes with more advanced accounting and tax preparation features. Its banking services are provided by Sunrise Banks, which adds credibility and security. It’s also geared towards freelancers, solopreneurs, and small businesses with a few employees. Unlike traditional banks, Lili focuses on digital-first solutions and streamlined services without physical branches.
Other larger businesses may be better off with a competitor like Relay that offers individual business bank accounts (instead of one) or BlueVine, as it provides business loans and credit cards, which might be more important if you’re a scaling organization. Once you identify your goal for business banking and shop around, you’ll have a better idea of whether Lili is right for you.
Lili Bank customer service: Support options and availability
To contact Lili Bank customer service, you can call the Lili Bank phone number (855-545-4380) any time from 9:00 am to 8:00 pm EST on Monday through Friday. Another option is to email [email protected] from 9:00 am to 8:00 pm on Monday through Friday or 9:00 am to 6:00 pm on Saturday and Sunday. You can also access the “Help Center” in the Lili app for chat support. Lili also provides real-time alerts for account activity, helping you stay informed about your business finances. For added convenience, Lili supports integration with payment apps, making it easier to manage and transfer funds.
Account management and security
To log into your Lili bank account, check your balance, and leverage all of its features, go online to the Lili website or the Lili app on your mobile device. From there, you’ll need to type in your email address and password. For added security, Lili uses multi-factor authentication to protect your account during sign-in, and industry-leading fraud monitoring to help detect and prevent unauthorized transactions.
To change your password, visit the mobile app, click on “Need help?” and go to “I forgot my password.” If you lose your Lili debit card and need a replacement, select “Cards” on either the online portal or app and follow the prompts.
Rest assured that Lili Bank accounts are FDIC insured for up to $250,000 through its partner bank, Sunrise Banks, N.A.
Who should consider a Lili Bank account?
If you’re a freelancer, solopreneur, or small business owner with no more than five employees, Lili Bank might be a good fit. Lili offers financial tools designed to support business success and growing businesses, especially if you’re seeking a free plan with a single account or prioritize robust accounting and tax features.
All paid plans come with a 30-day free trial, so you may want to “try it before you buy it.” As you grow your business, you can always upgrade to a higher-level plan or look elsewhere for a business bank account that supports larger organizations and small business financing.
Lili Bank FAQs: Your top questions answered
Here are some common questions about Lili Bank and Lili business bank accounts:
Are my deposits insured with Lili Bank?
Yes, your deposits are insured up to the standard limit by the Federal Deposit Insurance Corporation (FDIC) through Lili’s banking partner, Sunrise Banks, N.A., Member FDIC. This ensures your funds are protected and secure.
Does Lili offer a savings account?
Lili provides a business savings account that allows you to earn interest on your balance. Features include automatic savings options and seamless integration with your online business banking platform, helping you set aside funds, manage cash flow, and handle tax payments efficiently.
Is a secured credit card available with Lili?
Currently, Lili does not offer a secured credit card as part of its business banking tools. However, you can monitor and manage your business credit profile through other integrated features.
Can I use Apple Pay with my Lili account?
Yes, Lili supports Apple Pay, allowing you to make secure and convenient contactless payments using your Apple devices.
Does Lili support international wire transfers?
At this time, Lili does not support international wire transfers. All transfers must be domestic, so cross-border transactions are not available.
Is Lili Bank a Real Bank?
Lili Bank is not a bank. It’s a financial technology company that partners with Sunrise Banks, Member FDIC.
Is Lili a US bank?
No, Lili is not a U.S. bank. Lili is a fintech company that’s headquartered in New York.
What bank is Lili under?
Sunrise Banks, N.A., Member FDIC provides Lili Bank’s business banking services.
Does Lili Bank have Zelle?
Lili Bank does not currently integrate with Zelle.
Can I deposit cash into my Lili account?
Yes, you can make cash deposits into your Lili business bank account at more than 90,000 retail locations, such as CVS, Walgreens, and 7-Eleven. Since Lili does not have physical branches, cash deposits are supported through the Green Dot Network. Visit the Green Dot Network website to find a cash deposit location near you and follow their process to complete your cash deposit.
What is the Lili Bank address?
Lili Bank is headquartered at PO Box 1809, New York, NY 10156. Note that there are no physical locations.
Does Lili Bank have physical branches?
No, Lili Bank is a digital bank without physical branches. Unlike traditional banks, Lili operates entirely online, so you can create and manage a Lili business bank account through their website or the Lili mobile app.
