How does the tiered APY work on Exchange Bank Business Money Market?

Business Money Market at Exchange Bank uses balance-tier pricing. Lower tiers cover balances from the $1,000 opening deposit up to $24,999. Middle tiers cover $25,000 to $99,999. Upper tiers apply to $100,000 and above. Each tier earns a different annual percentage yield, and the entire balance earns the tier rate that matches the day-end collected balance. Rates are reviewed weekly against short-term Treasury yields and published on the business-savings rate sheet in-branch and through the business banker line.

What are the Business CD term options at Exchange Bank?

Business Certificates of Deposit at Exchange Bank run from 3 months through 60 months. The most common laddering pattern for Sonoma County operators is a four-rung ladder (12, 24, 36, 48 months) rolling a quarter of the balance each year. A 6-month and 9-month rung is available for seasonal operators who need to realign principal to a harvest or tourism cycle. Minimum opening deposit is $5,000. Early-withdrawal penalties apply by term length, with the 60-month penalty at 365 days of interest and the 3-month at 30 days.

Are Exchange Bank business deposits FDIC-insured per entity?

Yes. FDIC deposit insurance at Exchange Bank applies per entity, per ownership category, per bank, up to the statutory limit. A single-member LLC and its owner are counted as the same entity for insurance purposes; multi-member LLCs, S-corps, C-corps, partnerships and non-profits are insured separately as distinct legal entities. A business running multiple related companies often structures balances across the entities to maximise aggregate coverage. The bank's business banker team walks through the calculation during account opening for anyone with balances approaching the single-entity limit.

What is the minimum opening deposit on Business Money Market?

Business Money Market at Exchange Bank requires a $2,500 opening deposit. The monthly maintenance fee is waived when the average collected balance stays above $5,000. Six outbound convenient transfers per statement cycle are permitted under pre-2020 Reg D carryover practice, though the Federal Reserve formally lifted the six-transfer cap; the bank retains the convention for account-type distinction. Deposits, in-branch withdrawals and transfers between the depositor's own accounts at the bank are unlimited.

Small Business Savings at Exchange Bank: Business Money Market, CDs and Sweep Accounts

Q: How does the Business Sweep Account work?

The Business Sweep Account links an Exchange Bank business checking account to a business savings or money-market account. Each night, any collected balance in checking above a threshold the account owner sets is automatically moved to the savings leg, earning the savings tier APY. When checking drops below a floor threshold the next morning, funds sweep back. Sweep eliminates the manual transfer cycle, captures interest on operating capital that would otherwise sit idle overnight, and still keeps funds same-day accessible.

Exchange Bank structures business savings around four products — Business Savings, Business Money Market with tiered APY, Business Certificates of Deposit from 3 to 60 months, and a Business Sweep Account that links the operating checking leg to an interest-earning savings leg. Each is designed so idle operating capital is not sitting flat at zero yield while still staying same-day accessible.

Deposits are FDIC-insured per entity, per ownership category, up to the statutory limit. Multi-entity groups — a holding company, two operating LLCs and a real-estate entity, for example — are covered separately. The FDIC deposit insurance calculator is the authoritative reference for maximum coverage structures.

Open a Business Savings Account Compare Business Checking

Business Savings

Business Savings is the entry-level interest-earning account at Exchange Bank. Minimum opening deposit is $100, and the $5 monthly fee is waived when the average daily balance stays above $300. Business Savings is the right home for a small reserve tied to a specific operating purpose — quarterly sales-tax holdings, an annual insurance-premium sinking fund, or a single-project retention account. Interest posts monthly at the published rate. Free online banking, free transfers to and from the linked business checking account and in-branch withdrawals complete the feature set.

Business Money Market

Business Money Market carries a $2,500 opening deposit and uses tiered APY pricing. Lower tiers (under $25,000) earn a competitive short-term yield. Middle tiers ($25,000 to $99,999) earn a materially higher rate. Upper tiers ($100,000 and above) step up again. The account supports six convenience transfers per cycle under the bank's retained Reg D convention, while deposits and in-branch withdrawals remain unlimited. Business Money Market is the default home for six-figure operating reserves that need same-day liquidity without being swept to a term product.

Business Certificates of Deposit

Business CDs at Exchange Bank run 3, 6, 9, 12, 24, 36, 48 and 60 months. Minimum opening deposit is $5,000. A common ladder for a Sonoma County vineyard with a $500,000 reserve is $125,000 each in 12-, 24-, 36- and 48-month rungs, rolling the 12-month rung to 48 months each year as it matures. This keeps the average term stable and captures the higher end of the yield curve without locking the full balance to a single maturity. Early-withdrawal penalties run 30 days of interest on short terms up to 365 days on the 60-month.

Business Sweep Account

The Business Sweep Account links the operating business checking to a business savings or money-market leg. A threshold balance is set — say $35,000 — and each night balances above the threshold move to the savings leg. When a morning balance falls below the threshold, funds sweep back in, sized to restore the target. Sweep is the right answer for operators who want interest on idle balances without managing manual transfers on a weekly or nightly basis. Setup happens in a 15-minute business-banker meeting and can be adjusted any time.

Product	Min Deposit	APY	Access	Use	FDIC
Business Savings	$100	Single tier, posted monthly	Unlimited in-branch, 6 convenience transfers	Small project reserves, sinking funds	Per entity, up to statutory limit
Business Money Market	$2,500	Tiered $0-$24,999 / $25,000-$99,999 / $100,000+	Same-day, 6 convenience transfers	Six-figure liquid reserves	Per entity, up to statutory limit
Business CD 3-12 mo	$5,000	Short-end yield curve	At maturity (10-day grace)	Seasonal holdings, quarterly tax reserves	Per entity, per CD, up to limit
Business CD 24-48 mo	$5,000	Mid-curve, locked for term	At maturity	Laddered medium-term reserves	Per entity, per CD, up to limit
Business CD 60 mo	$5,000	Long-curve, locked	At maturity	Long-horizon reserves, retirement-plan trust balances	Per entity, per CD, up to limit
Business Sweep Account	Linked to checking	Savings-leg APY applied nightly above threshold	Next-morning restoration	Automated idle-balance capture	Aggregated with linked leg

Operating Layer, Reserve Layer, Term Layer

The most common structure at Exchange Bank for a mature small-business depositor is three-layered. Layer one is the operating checking account — just enough balance to cover payroll, trade payables and a working buffer. Layer two is a Business Money Market account holding 60-90 days of operating expense, earning tiered APY. Layer three is a Business CD ladder holding long-horizon reserves locked at the higher end of the yield curve. A Business Sweep Account automates the checking-to-money-market move nightly, and CDs are refreshed on maturity.

Per the FDIC's Quarterly Banking Profile, community banks consistently report a majority of small-business deposits in checking and money-market categories, reflecting the operating-then-reserve priority order.

Three-layer business savings structure with operating checking, money market reserve and CD ladder displayed as a stacked diagram

FDIC deposit insurance calculator view showing per-entity coverage across LLC, S-corp and non-profit balances

FDIC Coverage Across Entities

FDIC coverage applies separately to each distinct legal entity. A holding company, two operating LLCs and a real-estate LLC are four separate entities — coverage is calculated per entity per bank. A single-member LLC taxed as a disregarded entity is treated as the same insured depositor as the owner, not as a separate entity, under current FDIC rules. Exchange Bank business bankers walk through a coverage map in the initial account-opening meeting for any depositor approaching the single-entity limit, and point clients at the public FDIC EDIE tool for a third-party validation.

Multi-entity groups in Wine Country hospitality and agriculture often structure $3M-$8M of operating reserves across four or five entities to stay fully insured without moving funds off-balance-sheet.

CD Ladder Construction & Early Withdrawal

A CD ladder is a reserve-structuring technique where a single large balance is split across several maturities. With a $200,000 reserve, the laddered approach places $50,000 each in 12-, 24-, 36- and 48-month Business CDs. Each year one rung matures and the principal is either spent or rolled into a new 48-month rung. The average term of the portfolio stays at 30 months, the blended yield captures the steeper end of the curve, and 25% of the balance is reachable every 12 months without early-withdrawal penalty. For reserves that might need to break a rung, the 3-month and 6-month CDs offer a staging ground before term commitment.

Early-withdrawal penalties on Business CDs at Exchange Bank run from 30 days of interest on the shortest terms to 365 days on the 60-month, reviewed against current CFPB and FDIC disclosure standards.

CD ladder maturity schedule showing 12, 24, 36 and 48 month rungs rolling annually with principal return dates

Boutique Retail, $80K Reserve

Petaluma retail operator with $80,000 in reserves holds the full balance in Business Money Market middle tier. Single product. Monthly APY captured. Same-day access for seasonal inventory purchases. No laddering complexity needed at this scale.

Vineyard, $500K Layered

Sonoma Valley vineyard holds $50,000 operating buffer in checking, $150,000 in Business Money Market, and $300,000 in a four-rung Business CD ladder. Sweep handles the checking-to-money-market layer automatically. Harvest-quarter cash needs serviced from the maturing CD rung.

Non-Profit, $1.2M Multi-Entity

Healdsburg arts foundation with two related 501(c)(3) entities holds a combined $1.2M across Business Savings and Business CDs. Balances split across entities to maximise aggregate FDIC coverage. Board-mandated dual-control on withdrawals.

Match the Right Product to Your Reserves

A business banker at Exchange Bank will map your operating cycle to the right savings structure in a 30-minute working session. Visit any Sonoma County branch or reach the commercial team at 707-524-3000 extension 1100. Account opening takes 20 minutes once signer authority and entity documentation are in hand.

Find Your Branch

How does the tiered APY work on Business Money Market?

Balance-tier pricing with separate rates for under $25K, $25K-$99,999, and $100K+. The entire balance earns the tier rate matching the day-end collected balance.

What are Business CD term options?

3, 6, 9, 12, 24, 36, 48 and 60 months. $5,000 minimum. Early-withdrawal penalties scale by term.

How does the Business Sweep Account work?

Nightly sweep of balances above a threshold from checking to savings or money-market leg, automatic restoration below the floor.

Are business deposits FDIC-insured per entity?

Yes — per distinct legal entity, per ownership category, per bank, up to the statutory limit.

What is the minimum on Business Money Market?

$2,500 opening, $5,000 to waive monthly fee.

Small Business Savings at Exchange Bank: Business Money Market, CDs and Sweep Accounts

Commercial Banking Brief: Four Products for Idle Operating Capital

Business Savings

Business Money Market

Business Certificates of Deposit

Business Sweep Account

Business Savings Product Comparison

Business Savings By the Numbers

How the Products Work Together

Operating Layer, Reserve Layer, Term Layer

FDIC Coverage Across Entities

CD Ladder Construction & Early Withdrawal

Three Depositor Profiles

Boutique Retail, $80K Reserve

Vineyard, $500K Layered

Non-Profit, $1.2M Multi-Entity

Match the Right Product to Your Reserves

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