Documents and information you'll need before you walk in
Most banks want the same core set of documents to open a business checking account, though the exact list varies by bank and by the legal structure of your business. Have your Employer Identification Number (EIN) ready—this is a nine-digit number the IRS assigns to your business, and you can get one free at irs.gov if you don't have one yet. You'll also need a government-issued photo ID for the person who will be the account owner or authorized signer.
Bring proof that your business exists. If you're a sole proprietor, a business license from your city or county works. If you're an LLC, partnership, or corporation, bring a copy of your formation documents—the Articles of Organization, Articles of Incorporation, or partnership agreement filed with your state. Banks sometimes ask for a Certificate of Good Standing from your state's Secretary of State office, which confirms your business is registered and in good legal standing. You can order this online from your state's website for a small fee, usually $5 to $25.
Have your business address ready. This can be a physical location, a mailbox at a UPS Store or similar service, or in some cases a home address if you're running the business from home. Banks will not accept a PO Box as your business address.
Key Takeaways
- You need an EIN from the IRS, a government photo ID, and proof your business is registered with your state before most banks will open an account.
- Sole proprietors can use a business license; LLCs and corporations need formation documents like Articles of Organization or Incorporation.
- Some banks ask for a Certificate of Good Standing from your state, which you can order online for $5 to $25.
- Have your business address, expected monthly deposit amounts, and the names of anyone else who will sign checks ready when you meet with the bank.
- Different banks have different minimum balance requirements and monthly fees, so compare options before you choose.
Information about your business finances
Banks want to understand how much money will flow through the account. Be ready to tell them your expected monthly deposits and withdrawals. You don't need exact figures—a range is fine. If you're just starting out and don't know yet, say so; banks understand that new businesses don't have a history to reference.
If your business will have multiple people signing checks or accessing the account, bring their names and government-issued photo IDs. The bank will run background checks on anyone who will have signing authority. Some banks allow you to add signers during the account setup; others require you to do it after the account opens.
What varies by business structure
A sole proprietorship is the simplest. You need your personal ID, your EIN (or your Social Security number if you haven't gotten an EIN yet), and a business license. Some banks will open the account the same day.
An LLC or partnership requires more paperwork. Bring the formation documents you filed with your state, the names and IDs of all owners or members, and proof of the business address. If your state requires an Operating Agreement (a document that outlines how the LLC is run), bring that too, though not all banks ask for it.
A corporation needs Articles of Incorporation, a Corporate Resolution (a document signed by the board authorizing the account), the names and IDs of authorized signers, and sometimes bylaws. The Corporate Resolution is the document that tells the bank who is allowed to sign checks on behalf of the company. Your accountant or the lawyer who helped you incorporate can provide this.
Minimum balances and account fees
Banks set their own rules about how much money you need to keep in the account to avoid monthly fees. Some accounts have no minimum; others require $500, $1,000, or more. A few banks waive the monthly fee if you maintain a certain balance or set up direct deposit. Ask about this before you open the account, because fees add up quickly if you're running a small business on thin margins.
Monthly maintenance fees typically range from $0 to $25, depending on the bank and the account tier. Some banks charge extra for things like wire transfers, stop payments, or printed checks. Online banks and credit unions often have lower fees than traditional brick-and-mortar banks, though they may not offer the same in-person service.
Timeline for opening the account
If you walk into a bank branch with all your documents in order, you can usually open an account in 30 minutes to an hour. The bank will verify your information, run a background check, and set up the account while you wait. You'll get a debit card and temporary checks that day, and permanent checks will arrive by mail within one to two weeks.
Online banks are faster in some ways and slower in others. You can start the application from home, but you may need to mail in documents or use a video call to verify your identity. The whole process typically takes three to five business days once you've submitted everything.
What happens if you don't have an EIN yet
You can get an EIN free from the IRS in minutes. Go to irs.gov, find the EIN application tool, and answer a short series of questions about your business. The IRS will issue your EIN immediately and email it to you. You don't need to wait for a letter in the mail to use it.
If you're a sole proprietor and don't want to get a separate EIN, some banks will let you use your Social Security number instead. However, getting an EIN keeps your personal and business finances separate and is worth doing anyway, especially if you plan to hire employees later.
Common reasons banks reject applications
Banks run background checks on business owners and authorized signers. If someone has a history of fraud, unpaid debts, or other financial crimes, the bank may deny the account. If you have a ChexSystems report (a banking history report similar to a credit report), a negative mark there can also cause a rejection.
Mismatched information is another common reason. If the name on your business license doesn't match the name on your formation documents, or if your address is listed differently in different places, the bank will ask you to clarify before proceeding. Make sure all your documents use the same business name and address.
Frequently Asked Questions
Can I open a business checking account if my business is brand new and not yet registered?
Most banks require proof that your business is registered with your state before they'll open an account. If you haven't filed your formation documents yet, do that first. It usually takes one to two weeks. Some banks may open a sole proprietor account faster if you have a business license, but they'll still want some proof the business exists.
Do I need a separate business address, or can I use my home address?
You can use your home address if you're running the business from home. Banks will not accept a PO Box. If you want a separate business address but don't have a physical office, a mailbox service like UPS Store or a virtual office can provide one.
What if I'm the only owner—do I still need to bring formation documents?
If you're a sole proprietor, you only need a business license and your personal ID. If you're an LLC or corporation with one owner, you still need the formation documents you filed with your state, because those prove your business is registered and what its legal structure is.
Can someone else open the account on behalf of my business?
No. The person opening the account must be an owner or authorized representative of the business, and they must present their own government-issued photo ID. The bank needs to verify the identity of the person signing the paperwork.
How long does it take to get checks after I open the account?
Most banks give you temporary checks or a debit card the day you open the account. Permanent checks ordered through the bank arrive by mail in one to two weeks. You can also order checks from third-party vendors like Deluxe or Current, which sometimes arrive faster and may cost less.