Documents and Information You'll Need Before You Walk In
Most banks want the same core set of documents before they'll open a business account. You'll need your Employer Identification Number (EIN) — the nine-digit tax ID the IRS assigns to your business. If you're a sole proprietor, you can use your Social Security number instead, but banks often prefer the EIN. You'll also need a government-issued photo ID, typically your driver's license or passport.
Bring proof that your business exists. For a sole proprietorship, this might be a DBA (Doing Business As) certificate from your county clerk's office, or simply your business license. For an LLC or corporation, bring a copy of your Articles of Organization or Articles of Incorporation — the document you filed with your state. If you formed the business recently, bring whatever paperwork the state sent you confirming the filing.
Have your business address ready. This can be a physical office, a home address, or a virtual office address — banks accept all three, though some have restrictions on home-based addresses for certain account types. You'll also need to know your business structure: sole proprietor, partnership, LLC, S-corp, or C-corp. The bank will ask this directly, and it affects which tax forms they'll request later.
Key Takeaways
- You need an EIN (or your Social Security number for sole proprietors), a government photo ID, and proof your business exists — usually a state filing or business license.
- Different business structures require different paperwork: sole proprietors need less than LLCs or corporations, which must bring formation documents.
- Banks verify your identity and business legitimacy before opening the account, a process that typically takes one to three business days.
- Some banks require a minimum opening deposit, which ranges from zero to several hundred dollars depending on the institution and account type.
- If you're opening the account as a representative of the business rather than the owner, bring a corporate resolution or power of attorney document.
How Banks Verify Your Information
Banks run background checks on business owners and authorized signers. They use systems like ChexSystems or Early Warning Services to look for fraud history, unpaid accounts, or other red flags. This is standard practice and doesn't mean they suspect you of anything — it's how they manage risk across all new accounts.
The bank will also verify your EIN with the IRS. This is an automated check that usually completes within minutes, but occasionally takes a day or two if there's a delay in IRS records. If you just received your EIN and it's fewer than 24 hours old, some banks will ask you to come back the next day or will process the account pending verification.
For LLCs and corporations, the bank may contact your state's Secretary of State office to confirm your business is in good standing. This is rare but happens if there's any question about whether your formation documents are current. If your business has been inactive or you haven't filed annual reports, the bank may ask you to update your state records before opening the account.
Minimum Deposits and Account Fees
Opening deposit requirements vary widely. Some banks have no minimum at all — you can open an account with zero dollars and deposit money later. Others require $100 to $500 to open, and a few require $1,000 or more for premium business accounts. Check the bank's website or call ahead to know what to expect before you go in.
Monthly maintenance fees also differ. Many banks charge $10 to $30 per month for a basic business checking account, though some waive the fee if you maintain a minimum balance or set up direct deposit. A few online banks charge no monthly fee at all. Transaction limits — how many checks you can write or deposits you can make per month — vary by account type, so ask about this if you plan to process many transactions.
Some banks offer a promotional period with no fees for the first few months. If you're comparing banks, factor in both the opening deposit and the ongoing monthly cost over a year, not just the headline rate.
What Happens If You're Not the Business Owner
If you're opening the account on behalf of the business but you're not the owner — for example, you're a manager or bookkeeper — bring a document that shows you have authority to do so. For an LLC or corporation, this is typically a corporate resolution or a board resolution stating that you're authorized to open bank accounts. For a sole proprietorship, a simple power of attorney document signed by the owner usually works.
The bank will still need to identify you with your personal photo ID, and they may ask to speak with the business owner by phone to confirm the arrangement. Some banks require the owner to be present in person, especially for accounts that will have significant transaction volume. Ask the bank about their policy before you go in.
Timeline From Application to First Use
Most business accounts open on the same day you apply, assuming all your documents check out and the background verification completes quickly. You'll walk out with a temporary debit card or a card number you can use immediately, and a physical card arrives by mail within five to ten business days.
Checks take longer. If you order checks through the bank, they typically arrive within one to two weeks. Some banks print checks in-house and can have them ready within a few days. If you need checks urgently, you can order them from a third-party printer like Deluxe or Costco, which is often faster and cheaper than the bank's checks.
Wire transfers and ACH transfers (electronic payments to other accounts) are usually available the same day or the next business day after the account opens. Some banks hold the first few transactions while they monitor for fraud, which can add a day or two to the timeline.
Common Reasons Banks Deny or Delay Accounts
The most common reason for a delay is a mismatch between your personal ID and the business formation documents. If your name on your driver's license doesn't match your name on the LLC articles, the bank will ask for clarification. This is easily fixed with an explanation or an amended document, but it can add a few days.
A second reason is an EIN that hasn't been registered with the IRS yet. If you applied for an EIN online and it's fewer than 24 hours old, the IRS system may not have updated yet. The bank can usually process the account pending verification, but some require you to wait or come back later.
Banks may also deny an account if you have a history of fraud, unpaid accounts, or if you're on a government watchlist. This is rare, but if it happens, the bank will tell you why and may offer you a chance to dispute the information. You can also request your ChexSystems report to see what the bank saw.
Choosing Between In-Person and Online Banks
Traditional banks with physical branches require you to come in person to open the account. They verify your ID face-to-face and can answer questions on the spot. The tradeoff is that branch hours are limited and you may have to wait.
Online banks let you open an account entirely through their website or app. You upload photos of your documents, verify your identity through a video call or by answering security questions, and the account opens within one to three business days. Online banks typically have lower fees and higher interest rates on savings, but you won't have a local branch to visit if you need help.
Some banks offer both options — you can start online and finish in a branch, or vice versa. If you're unsure which route works for you, start by checking whether the bank you're considering has physical locations near you and whether their online process supports business accounts.
Frequently Asked Questions
Can I open a business account with just a Social Security number?
Yes, if you're a sole proprietor. You don't need an EIN — you can use your personal Social Security number instead. However, many banks prefer an EIN because it keeps your personal and business finances more clearly separated. Getting an EIN is free and takes about 15 minutes online through the IRS website.
What if my business formation documents are from another state?
Most banks accept formation documents from any state. However, if your business is registered in one state but you're opening the account in another, the bank may ask for proof that you're authorized to do business in the state where the bank is located. This is usually just a copy of your state registration or a letter from your state's Secretary of State office.
Do I need a separate business account if I'm a sole proprietor?
You're not legally required to, but it's strongly recommended. A separate account makes tax time easier because all your business transactions are in one place, and it protects your personal assets if your business is sued. The IRS also looks more favorably on businesses that keep separate records.
How long does it take to get checks after I open the account?
Bank-printed checks typically arrive within one to two weeks. Third-party printers like Deluxe or Costco can deliver checks within three to five business days and are often cheaper. You can also use digital payment methods like ACH transfers or bill pay to avoid waiting for checks altogether.
What if the bank says my EIN doesn't match their records?
This usually means the IRS system hasn't updated yet, especially if your EIN is very new. Ask the bank if they can process the account pending verification — most will. If the mismatch persists after a few days, contact the IRS directly at 800-829-4933 to confirm your EIN is active and registered correctly.