What you need before you walk into a bank
A small business bank account requires proof that your business exists as a legal entity separate from you personally. The documents the bank will ask for depend on your business structure — sole proprietorship, LLC, S-corp, or partnership — and they vary slightly by bank and state.
At minimum, bring a government-issued photo ID with your current address. You will also need an Employer Identification Number (EIN), which is a nine-digit tax ID issued by the IRS. If you are a sole proprietor with no employees, you can use your Social Security number instead, but an EIN keeps your personal and business finances separate on paper. You can get an EIN free from the IRS website (irs.gov) in about 15 minutes, or by phone in one business day.
If your business is structured as an LLC, S-corp, or partnership, bring your Articles of Organization or Articles of Incorporation — the document you filed with your state to register the business. The bank will want to see proof that you are an authorized owner or signatory. If you have a business license from your city or county, bring that too, though it is not always required.
Key Takeaways
- You need a government ID, proof of your business structure (Articles of Organization or incorporation), and an EIN or Social Security number before opening an account.
- Banks verify your identity and business registration through documents you file with your state, not through a separate bank approval process.
- Opening an account typically takes 15 minutes to an hour in person, or one to three business days if you apply online.
- Most banks require an initial deposit to open the account, ranging from $0 to $500 depending on the account type and the bank.
- You will receive a debit card and checks within one to two weeks; online banking access is usually available the same day.
Where to open the account: bank, credit union, or online
You have three main routes: a traditional bank branch, a credit union, or an online bank. Each has different requirements and timelines.
Traditional banks (Chase, Bank of America, Wells Fargo, regional banks) require you to come in person or apply online with video verification. In-person opening takes 15 minutes to an hour. Online opening takes one to three business days because the bank verifies your identity remotely and may call to confirm details. You will need the documents listed above. Fees vary widely — some accounts have no monthly fee, others charge $10 to $25 per month. Minimum opening deposits range from $0 to $500.
Credit unions often have lower fees and higher interest on savings, but you must be a member first. Membership requirements vary by credit union — some are open to anyone in a geographic area, others require you to work for a specific employer or belong to an organization. Once you are a member, opening a business account follows the same process as a bank. Call ahead to confirm membership requirements and what documents to bring.
Online banks (Novo, Mercury, Brex, Square) specialize in small business accounts and have streamlined the process. Most let you open an account entirely on your phone in 10 to 20 minutes. They verify your identity using your Social Security number or EIN and a photo ID. Fees are typically lower or nonexistent, and minimum deposits are usually $0. The trade-off is no physical branch — all support is by phone, email, or chat. Online banks are fastest if you need the account open quickly.
Documents to bring or upload
The exact list depends on your business structure and the bank, but here is what most banks ask for:
| Business Structure | Required Documents |
|---|---|
| Sole Proprietorship | Photo ID, Social Security number or EIN, business license (if you have one) |
| LLC | Photo ID, EIN, Articles of Organization from your state, proof of ownership (membership certificate or operating agreement) |
| S-Corp or C-Corp | Photo ID, EIN, Articles of Incorporation, corporate resolution authorizing the account, proof of ownership |
| Partnership | Photo ID, EIN, Articles of Partnership, proof of your ownership stake |
If you do not have all of these yet, you can still open an account — most banks will let you provide them within 30 days. Call the bank before you go in and ask which documents are required versus optional for your situation.
What happens after you open the account
Once the bank approves your account, you will receive online banking access immediately or within one business day. This means you can log in, see your balance, and transfer money right away. You will receive a debit card in the mail within one to two weeks, and checks within two to four weeks if you order them.
Some banks offer a temporary debit card number you can use online while you wait for the physical card. Ask about this when you open the account if you need to make purchases before the card arrives.
Set up your payroll and vendor payments as soon as you have the account number and routing number. These appear in your online banking portal or on the first check you receive. If you are paying yourself or employees, you will need to set up payroll through your bank or a payroll service like Gusto or ADP. If you are paying vendors, you can do this through online bill pay (most banks offer this free) or by writing checks.
Monthly fees and account features to compare
Business bank accounts are not free at most traditional banks. Monthly fees range from $0 to $25, depending on the account type and the bank. Some banks waive the fee if you maintain a minimum balance (often $1,000 to $5,000) or set up direct deposit.
Compare accounts on these features: monthly fee, minimum balance requirement, number of free transactions per month, overdraft protection, and whether the bank charges per check or per deposit. Online banks typically have no monthly fee and unlimited transactions. Traditional banks often limit free deposits or withdrawals and charge per-item fees if you exceed the limit.
Ask whether the bank offers merchant services (credit card processing) if you plan to accept card payments. Some banks bundle this; others refer you to a third party. Rates and fees vary widely, so compare before you commit.
If you do not have an EIN yet
You can get an EIN free from the IRS without leaving your house. Go to irs.gov, search for "apply for an EIN online", and follow the form. It takes about 15 minutes, and you receive your EIN immediately on screen. You can also call the IRS at 1-800-829-4933 and get one by phone in one business day. Mail-in applications take four weeks.
If you are a sole proprietor with no employees, you can use your Social Security number instead of an EIN when you open the account. However, using an EIN keeps your personal and business finances more clearly separated, which is useful for taxes and liability protection. Most accountants recommend getting one even if it is not required.
What to do if the bank denies your account
Banks rarely deny a small business account if you have the required documents and a valid ID. The most common reasons for denial are: you do not have proof of business registration (Articles of Organization or incorporation), your ID is expired, or the bank has flagged your personal credit or banking history for fraud or repeated overdrafts.
If you are denied, ask the bank in writing why. They are required to tell you. If the reason is your personal banking history, you may have better luck with a credit union or online bank, which often have less strict underwriting. If the reason is missing documents, get them and try again at a different bank.
If you have been denied by multiple banks, contact your state's small business development center (SBDC) — they offer free guidance on opening accounts and can sometimes connect you with lenders or banks that work with businesses in your situation.
Frequently Asked Questions
Can I open a business account if my business is not registered yet?
Most banks require proof that your business is registered with your state before they will open an account. If you are a sole proprietor, registration may not be required in your state, and you can open an account with just your Social Security number and ID. For an LLC or corporation, you need to file your Articles of Organization or Incorporation first — this takes one to two weeks in most states and costs $50 to $300 depending on the state.
Do I need a separate business account, or can I use my personal account?
You can legally use your personal account, but it creates problems for taxes and liability. The IRS may question business expenses claimed on a personal account, and if your business is sued, a personal account offers less legal protection. A business account also makes bookkeeping easier because all business transactions are in one place. Open a business account as soon as your business is registered.
How much money do I need to open an account?
Minimum opening deposits range from $0 to $500 depending on the bank and account type. Many online banks and some traditional banks have $0 minimums. If a bank requires a minimum, ask whether it is a one-time opening deposit or an ongoing balance requirement. Some banks waive the monthly fee if you keep a minimum balance, but do not require a deposit to open.
Can I open a business account online, or do I have to go to a branch?
Most banks now let you open an account online with video verification or by uploading documents. Online banks are entirely online. Traditional banks vary — some require an in-person visit, others offer online opening. Call or check the bank's website before you start the process. Online opening takes one to three business days; in-person opening takes 15 minutes to an hour.
What if I need the account open in the next few days?
Open an account at an online bank or a bank that offers same-day in-person opening. Online banks can open your account in 10 to 20 minutes, and you will have online access immediately. In-person opening at a traditional bank takes 15 minutes to an hour, and you will have online access the same day or next business day. Avoid mail-in applications if you are in a hurry.