What you need before you open a business bank account
A business bank account is separate from your personal account and holds money that belongs to your business, not you. Banks require proof that your business exists and that you are authorized to open an account on its behalf. The documents you bring depend on your business structure — sole proprietorship, partnership, LLC, S-corp, or C-corp — and the bank's own rules.
Start by gathering your Employer Identification Number (EIN), which the IRS issues to nearly all businesses. If you are a sole proprietor with no employees, you may use your Social Security number instead, but an EIN keeps your personal and business finances separate for tax purposes. You can get an EIN free from the IRS website or by calling 1-800-829-4933; it takes minutes if you apply online.
Next, bring a government-issued photo ID — a driver's license or passport. You will also need proof of your business address, which can be a utility bill, lease, or mortgage statement in your business name. If your business is brand new and the address is your home, a recent utility bill with your home address works.
The third piece is proof of your business structure. For a sole proprietorship, this might be nothing more than a DBA (Doing Business As) certificate filed with your county or state — check your state's Secretary of State office for the filing process and cost. For an LLC, S-corp, or C-corp, bring your Articles of Organization or Articles of Incorporation, which you filed when you created the business. If you do not have these yet, the bank cannot open the account until you do.
Key Takeaways
- You will need an EIN (or your Social Security number if you are a sole proprietor), a photo ID, proof of your business address, and proof of your business structure — such as a DBA certificate or Articles of Organization.
- Different banks have different requirements; call ahead to ask what documents they need and whether they require a minimum deposit to open the account.
- Bring originals or certified copies of legal documents; banks rarely accept photocopies or digital images of Articles of Organization or incorporation papers.
- The account opening process usually takes 15 to 30 minutes in person, though some banks offer online account opening for sole proprietorships and may take one to three business days to verify your information.
- Once the account is open, set up online banking and reconcile your business transactions monthly to keep your records separate from your personal finances.
Which documents each business structure requires
A sole proprietorship is the simplest structure. You and your business are legally the same entity, so you need your personal ID, Social Security number or EIN, and a DBA certificate if you are operating under a name other than your own. If you are using your legal name as your business name, you may not need a DBA at all — ask the bank. Some banks will open an account with just your Social Security number, but using an EIN is cleaner for tax purposes.
An LLC (Limited Liability Company) requires your Articles of Organization, which you filed with your state when you created the LLC. Bring the original or a certified copy from your state's Secretary of State office. The bank will also ask for an EIN and your personal ID. Some banks ask for an operating agreement, which is the internal document that governs how your LLC runs; if you have one, bring it, but many banks do not require it.
An S-corp or C-corp requires your Articles of Incorporation, filed with your state. Bring the original or certified copy. You will also need your EIN and personal ID. Some banks ask for a corporate resolution — a document signed by the board of directors authorizing someone to open a bank account on behalf of the corporation. If the bank asks for this and you do not have one, you can create one using a template from your state's Secretary of State office or a business formation service.
A partnership requires your partnership agreement (the document that outlines how the partnership operates) and an EIN. Each partner may need to bring a photo ID and sign the account opening paperwork. Ask the bank in advance whether all partners must be present or whether one partner can open the account on behalf of the partnership.
Steps to open the account in person
Call or visit your bank's website to confirm which documents they need and whether they require a minimum opening deposit. Minimum deposits vary widely — some banks have no minimum, while others require $100 to $500 or more. Ask whether they charge monthly fees for business accounts and what the fee is; many banks waive the fee if you maintain a certain balance or set up direct deposit.
Gather all your documents in one place: your photo ID, your EIN letter (or Social Security card if using your SSN), your business formation documents (DBA, Articles of Organization, or Articles of Incorporation), and proof of your business address. Make copies of everything you bring; the bank will keep originals or certified copies, and you will want your own records.
Go to the bank during business hours with all documents and your opening deposit, if required. A bank representative will review your documents, ask you to sign signature cards (which authorize who can sign checks and withdraw money), and set up online banking access. The whole process usually takes 15 to 30 minutes. Ask for a receipt showing your new account number and routing number before you leave.
If you are opening the account online, the bank will ask you to upload images of your documents and verify your identity, often through a video call or by answering security questions. This process typically takes one to three business days. Not all banks offer online business account opening, and many restrict it to sole proprietorships; call ahead to confirm.
What happens after you open the account
Once your account is open, the bank will provide you with a routing number and account number. You will use these to set up direct deposit for customer payments, to pay bills by ACH transfer, and to receive wire transfers. Write these numbers down and keep them safe — you will need them often.
Set up online banking immediately. Most banks offer a free portal where you can view transactions, transfer money between accounts, pay bills, and download statements. Set a strong password and enable two-factor authentication if the bank offers it. This protects your account from unauthorized access.
Order checks if you plan to pay vendors or contractors by check. Checks take one to two weeks to arrive. In the meantime, you can pay bills online or by ACH transfer. Some banks print checks for free; others charge a small fee per box. Ask when you open the account.
Reconcile your account monthly by comparing your bank statement to your own records of what you spent and received. This catches errors, fraud, or unauthorized transactions early. If you use accounting software like QuickBooks or Wave, you can connect it directly to your bank account so transactions import automatically.
Opening a business account as a non-citizen or without a Social Security number
If you do not have a Social Security number, you can use an Individual Taxpayer Identification Number (ITIN), which the IRS issues to people who do not may have access to for an SSN but have a tax filing requirement. You can apply for an ITIN on the IRS website or by mail using Form W-7. The process takes four to six weeks by mail or up to 15 minutes in person at an IRS office if you bring your documents in.
Some banks will open a business account using an ITIN instead of an SSN or EIN. Call ahead to confirm; not all banks accept ITINs. You will still need your photo ID, proof of business address, and proof of business structure. If the bank declines, try a credit union or a bank that specializes in serving immigrant communities — these often have more flexible requirements.
If you are a non-citizen with a visa, bring your passport and visa along with your other documents. Some banks ask for additional proof of residency, such as a lease or utility bill. If you are opening the account in person, this process is usually straightforward; if you are applying online, the bank may ask you to visit a branch in person to verify your identity.
Common reasons a bank will decline to open a business account
Banks run a background check on you and your business before opening an account. They may decline if you have a history of fraud, money laundering, or other financial crimes. They may also decline if your business is in a high-risk industry — such as cannabis, firearms, or adult entertainment — because federal banking rules make these accounts expensive and complicated for banks to maintain.
If a bank declines your account, ask why. If the reason is a background check issue, you have the right to know what information they found and to dispute it if it is wrong. If the reason is your industry, try a bank that specializes in high-risk businesses, or look for a credit union, which sometimes has more flexible policies.
If you cannot open an account at a traditional bank, a business checking account at a credit union may be an option. Credit unions are member-owned and often have fewer restrictions than banks. You will need to join the credit union first, which usually costs nothing or a small one-time fee.
Frequently Asked Questions
Do I need a business bank account if I am a sole proprietor?
No, it is not legally required, but it is strongly recommended. A separate account makes tax time easier because your business income and expenses are already sorted. It also protects you if you are ever sued — commingling personal and business money can make it harder to defend yourself in court.
Can I open a business account online without visiting a bank branch?
Some banks allow online account opening for sole proprietorships, but most require you to visit a branch in person or provide a video call verification. Partnerships, LLCs, and corporations almost always require in-person verification or notarized documents. Call your bank to ask what they offer.
What if I do not have my Articles of Organization yet?
You cannot open a business account until you have filed your business formation documents with your state. File them first — this usually takes a few days to a few weeks depending on your state — then bring the certified copy to the bank. Some banks will accept a filing receipt while you wait for the official copy.
How much money do I need to open a business account?
It depends on the bank. Some have no minimum deposit; others require $100, $500, or more. Call ahead to ask. If you cannot meet the minimum, try a different bank or a credit union, which often have lower minimums.
Can I use my personal bank account for my business?
Legally, yes, but it creates problems. Your personal and business finances will be mixed, making taxes harder and giving you less protection if you are sued. The IRS may also question whether your business is legitimate if you do not have a separate account. Open a business account instead.