Novo vs. Mercury for Small Business
If you're choosing between Novo and Mercury, you're comparing two online banking platforms built for very different owners: Novo for the solo operator who lives on invoices, Mercury for the funded startup with a finance stack. Many small businesses sit between those two profiles, which is exactly where a third option, Bluevine, makes the comparison more interesting: it's the only one of the three that pays APY on business checking.
What you need to know
- Novo is built for freelancers and very small service businesses; Mercury is built for startups and venture-path companies.
- Neither pays interest on business checking. Novo pays none at all; Mercury gates yield behind a $250,000 Treasury minimum.
- FDIC coverage differs sharply: Novo insures up to $250,000 through a single partner bank, Mercury up to $5 million through sweep networks, and Bluevine up to $3 million through program banks.⁴
- Neither Novo nor Mercury offers an integrated line of credit; an online business banking platform like Bluevine pairs one with checking in the same dashboard.
Novo vs. Mercury at a glance
The table below puts both platforms side by side with Bluevine, an online business banking platform built for operating small businesses, so you can see where each fits before the breakdown that follows.
Verified as of July 2026.
Where Bluevine stands out: Bluevine is the only option here that pays APY on checking balances¹², backs it with an integrated line of credit and native bill pay, includes unlimited transactions³, and covers deposits up to $3 million⁴, all with no monthly fee on the Standard plan.⁵
What to look for in business checking
Choosing between Novo and Mercury comes down to a few specific dimensions. Here's how to think about each, and where an online banking alternative fits in.
Monthly fees and what free actually includes
All three start at $0. Novo is free with no paid tier: free checking, free standard ACH, invoicing, and expense tracking, with deposits held at a single partner bank. Mercury's $0 base plan includes free ACH plus free domestic and USD international wires, with paid software plans from $35 per month ($29.90 billed annually). Bluevine's Standard plan has no monthly fee⁵, and its paid plans ($30 Plus, $95 Premier, each with waiver paths tied to average balance and monthly debit spend) buy higher checking APY. As of publication.
Free is a tie on price; the difference is what sits behind it. Novo's ceiling is simplicity, Mercury's center of gravity is the venture path, and only one of the three pays you on the balance.
APY on your operating cash
Novo pays no interest on checking, as of publication. Mercury pays no APY on checking and reserves yield for Treasury balances above $250,000. Bluevine pays 1.3% APY on the Standard plan when you meet a monthly activity goal¹ and 3.0% APY on every dollar with the Premier plan.²
What 3.0% APY on Premier looks like in practice:
- $100,000 operating balance: about $3,000 a year in yield
- $250,000 balance: around $7,500 a year
- $500,000 balance: roughly $15,000 a year
For a business holding real operating cash, this line alone can decide the comparison.
Illustrative only. Assumes the stated balance is maintained for a full year. Actual earnings may vary, and rates and terms are subject to change.
Payments, lending, and FDIC coverage
On payments, Novo's invoicing and payment links suit client-billing solo operators, and Mercury adds free USD international wires. Bluevine builds bill pay, ACH, checks, and domestic and international wires into checking³, with cash access at 120,000+ ATMs and retail locations via MoneyPass, Green Dot, and Allpoint+.
On lending, Novo's funding product is a merchant cash advance through Novo Funding LLC, an advance against future sales that is a different instrument from credit. Mercury's venture debt and working capital products serve funded startups. Bluevine offers a business line of credit: a separate credit application, with approved funds drawn and managed from the same dashboard as checking.
On deposits, Novo runs on a single partner bank at the standard $250,000 cap, Mercury spreads deposits across sweep networks for up to $5 million, and Bluevine insures up to $3 million per depositor through Coastal Community Bank, Member FDIC, and program banks.⁴ Owners holding more than $250,000 should treat the single-bank cap as disqualifying.
The Bluevine difference. Bluevine's Standard plan has no monthly fee, so there's no waiver to track.⁵ The dollars that sit in checking earn yield if you meet a monthly activity requirement¹, and working capital lives one application away in the same dashboard instead of in a cash-advance product or a venture-debt program.
Considering Novo or Mercury for business checking?
Novo or Mercury may be worth considering at the edges of the market: Novo if you're a solo operator who mostly needs invoicing, payment links, and the simplest possible free app with balances comfortably under $250,000; Mercury if you're a funded startup that wants software-grade banking, free USD international wires, and sweep coverage up to $5 million.
The owner between those profiles usually runs an established business: real revenue, a few employees, idle cash in checking, and an occasional need for working capital. For that owner, Novo runs light and Mercury aims at someone else's business model, and at both, the operating balance earns nothing. An online bank for business is built to maximize your time and money by paying APY on checking and centralizing lending and bill pay in one place.
Bluevine: a business banking alternative built for digital-first companies
Online business banking has matured to the point where a growing share of small businesses now run their checking, bill pay, and working capital out of an online platform. Bluevine doesn't carry branch overhead, so those savings go back to customers through lower fees, higher APY, and tighter product integration.
Bluevine Business Checking is one of the more established online business banking platforms designed specifically for businesses. In fact, Bluevine is the largest small business banking platform in the U.S.⁶ Against these two, three differences matter most:
APY on your operating cash. The Standard plan pays 1.3% APY on balances up to $250,000 when you meet a monthly activity goal.¹ The Premier plan pays 3.0% APY on every dollar.² Neither Novo nor Mercury pays anything on checking, as of publication.
Built-in line of credit and native bill pay. A Bluevine line of credit application runs from the same dashboard you use for checking, and approved capital is available to draw against directly. Bill pay, same-day and standard ACH, checks, and domestic and international wires all live in the dashboard.³ A cash advance against future sales is not the same instrument.
Faster account opening and FDIC coverage up to $3 million. Account opening is fully online and typically takes minutes. FDIC coverage up to $3 million per depositor runs through the program-bank model⁴, and the debit card works at 120,000+ ATMs and retail locations via MoneyPass, Green Dot, and Allpoint+.
Get started with Bluevine Business Checking and see what an operating account built for working businesses can do.
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FAQs
Is Novo or Mercury better for small business?
It depends on the business. Solo operators who bill clients lean Novo; startups with teams and investors lean Mercury. Established operating businesses often fit neither profile and should compare an online banking platform like Bluevine, which pays APY on checking and integrates a line of credit.
Does Novo pay interest?
No. Novo business checking pays no interest, as of publication. Novo Reserves organize money into buckets but don't add yield.
Does Mercury pay interest on business checking?
No. Mercury checking pays no APY. Mercury Treasury offers yield but requires $250,000 in combined balances, as of publication.
Is Novo FDIC insured?
Novo itself is a fintech, not a bank. Deposits are insured up to $250,000 through its partner bank, Middlesex Federal Savings, F.A., Member FDIC.
Can I get a line of credit with Novo or Mercury?
Not a standard business line of credit. Novo offers a merchant cash advance through Novo Funding LLC, and Mercury offers venture debt and working capital products aimed at startups. Bluevine offers a business line of credit application from the same dashboard as its checking.
Is Bluevine FDIC insured?
Yes. Bluevine is a financial technology company, not a bank. Bluevine deposits are FDIC insured up to $3 million per depositor through Coastal Community Bank, Member FDIC, and our program banks.⁴ The $3 million per-depositor cap is higher than the default $250,000 FDIC limit at a single bank because Bluevine spreads deposits across multiple program banks. Learn more about FDIC and how it differs from SIPC insurance.
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Disclaimers
This content is for educational purposes only. Information presented about Novo, Mercury, and other third parties is as of publication and may change at any time; verify current pricing and features on each provider's website. Consult with an expert before making financial decisions for your business. The Sources section at the bottom of this draft is for legal review only and should be removed before the article is published.
¹ Standard plan customers will earn 1.3% annual percentage yield (APY) on total balances up to $250,000 for a given month only if they meet at least one Eligibility Requirement during that month's Eligibility Period as described in the Terms of Interest Accrual. No interest earned on balances over $250,000.
² Bluevine Premier customers will earn 3.0% annual percentage yield ("APY") on total Bluevine Business Checking balances. Any interest accrued and payable for an account or sub-account will be paid to your main account. Enrollment in Bluevine Premier is not required to receive increased FDIC insurance coverage. Customers automatically receive increased FDIC coverage unless they have opted out of the Bluevine Business Checking Account Agreement Sweep Program.
³ No limit on number of transactions. However, checking accounts are subject to the deposit and withdrawal amount limits as set forth in the Bluevine Business Checking Account Agreement.
⁴ Bluevine accounts are FDIC insured up to $3,000,000 per depositor through Coastal Community Bank, Member FDIC and our program banks. $3,000,000 in FDIC insurance is offered by multiplying the standard $250,000 FDIC coverage across multiple banks.
⁵ No monthly fee only applies to the Bluevine Business Checking account Standard plan.
⁶ As compared to publicly available data on the number of lifetime customer accounts held by other U.S. banking platforms dedicated to small businesses that offer both checking and lending services, as of June 2026.
Bluevine is a financial technology company, not a bank. Banking services provided by Coastal Community Bank, Member FDIC. The Bluevine Business Debit Mastercard® is issued by Coastal Community Bank, Member FDIC, pursuant to a license from Mastercard International Incorporated.