What you need before you walk in or click explore
Most banks want the same core documents before they'll open a business account: your Employer Identification Number (EIN) or Social Security Number if you're a sole proprietor, proof of your business name registration, a government-issued ID, and your initial deposit. Some banks also ask for a business license, articles of incorporation (if you're an LLC or corporation), or a recent business tax return. The exact list depends on your business structure and the bank you choose.
If you don't have an EIN yet, you can get one free from the IRS website in about 15 minutes—you'll receive it when ready if you explore online. If you're operating as a sole proprietor under your own name, you may not need one at all, though having one keeps your personal and business finances separate from the IRS's perspective.
The initial deposit requirement varies widely. Some banks have no minimum; others want $100 to $500 to open the account. A few business-focused banks ask for $2,500 or more. Check the specific bank's requirements before you gather documents—there's no point preparing everything if the minimum deposit is a dealbreaker.
Key Takeaways
- You'll need an EIN (or SSN for sole proprietors), proof of business registration, a government ID, and an initial deposit amount that varies by bank.
- Banks treat sole proprietorships, LLCs, and corporations differently, so know your business structure before you start—it affects which documents you need.
- Opening online is usually faster than in-person, but some banks require you to visit a branch or mail in original documents for verification.
- The account can be open and usable within one to five business days for online applications, though some banks take longer to fully set up all features.
- Monthly fees range from zero to $15 or more depending on the bank and account type, and some waive fees if you maintain a minimum balance or set up direct deposit.
How your business structure changes what documents you need
A sole proprietorship is the simplest: you and your business are legally the same entity. You can open an account using your Social Security Number, though an EIN is cleaner for separating finances. You'll need your government ID and proof that you're operating under a business name (a DBA certificate, business license, or sometimes just a utility bill in the business name).
An LLC or corporation is a separate legal entity, so the bank sees it that way. You'll need your EIN, articles of incorporation or formation (the document that officially created the LLC or corporation), and often a resolution or certificate of good standing from your state. Some banks ask for an operating agreement (for LLCs) or bylaws (for corporations), though not all enforce this strictly.
A partnership requires an EIN, proof of the partnership agreement, and government IDs for at least one partner—sometimes all partners, depending on the bank. Some banks want to know who has signing authority on the account, which matters if not all partners will be authorized to withdraw funds.
If you're unsure which documents your bank needs, call or check their website before you go in. Banks have different standards, and showing up with the wrong papers wastes a trip.
Online versus in-person: speed and what each route requires
Opening online is usually faster. You upload photos of your documents, verify your identity through the bank's app or website, and the account can be ready to use within one to three business days. You'll get account numbers and routing information when ready, so you can set up direct deposit or start receiving payments right away. However, some banks still require you to mail in original documents or visit a branch within 30 days to complete verification—they'll tell you this upfront.
Opening in person at a branch takes longer on the day itself (plan for 30 to 45 minutes), but the bank verifies everything on the spot. You walk out with a debit card, checks, and a fully activated account. This route works well if you have questions or if your documents are unusual—a banker can tell you when ready whether something is acceptable or if you need something else.
Some banks offer a hybrid: you start online, then visit a branch to sign papers or verify your identity in person. This usually takes three to five business days total.
What happens after you submit your documents
The bank will verify your identity and your business information. This means they'll check your SSN or EIN against IRS records, confirm your business registration with your state, and sometimes run a background check. This process usually takes one to three business days. If anything doesn't match—your name spelled differently on different documents, an address that doesn't match your registration—the bank will contact you to clarify.
Once verification is complete, your account is active. You can deposit checks, set up automatic payments, and link the account to other services. Some banks hold a small deposit (usually $1 to $2) to verify the account is real before you can use it fully, then credit it back.
If the bank denies your process, they'll tell you why—usually because of a mismatch in your identity information, a problem with your business registration, or a banking history issue. You can ask them to reconsider or try a different bank. Some banks are stricter about business history than others.
Monthly fees and what they cover
Business checking accounts are not free at most banks. Monthly maintenance fees typically range from $0 to $15, depending on the bank and account tier. Some banks waive the fee if you maintain a minimum balance (often $500 to $2,500), set up direct deposit, or keep a certain number of transactions per month.
Beyond the monthly fee, watch for per-transaction costs. Some banks charge $0.25 to $0.50 per check deposited, per wire transfer sent, or per ACH payment. Others include a set number of these transactions free each month. A few banks charge nothing for anything—they make money from interest on your balance or from other services.
Compare the total cost, not just the monthly fee. A bank with a $10 monthly fee but unlimited transactions might be cheaper than a bank with no monthly fee but $0.50 per wire transfer if you send wires regularly.
Getting your account set up to actually use it
Once your account is open, you'll need a few things to start using it. The bank will give you account and routing numbers—write these down or save them somewhere safe. You'll use them to set up direct deposit, receive wire transfers, or pay bills through your accounting software.
If you want to deposit checks, ask whether the bank offers mobile check deposit (photograph the check through the app) or whether you have to visit a branch or use an ATM. Mobile deposit is faster and more convenient, but not all banks offer it on business accounts.
Set up online banking right away. This lets you check your balance, transfer money between accounts, and monitor transactions. Most banks require you to set a password and sometimes enable two-factor authentication (a code sent to your phone when you log in from a new device).
If you'll be writing checks, order them from the bank or a third-party printer. Bank-printed checks cost more but arrive faster. Third-party printers (like Deluxe or Costco) are cheaper but take longer. You can usually start using the account before checks arrive by using transfers or debit cards.
What to do if a bank turns you down
Banks can refuse to open a business account for several reasons: a mismatch in your identity information, a problem with your business registration, a history of fraud or unpaid debts, or straightforward because they don't serve your industry (some banks avoid high-risk businesses like cannabis or cryptocurrency). If this happens, ask the bank why in writing—they're required to tell you.
If the reason is a data error (your name spelled wrong on your registration, for example), fix it with your state and reapply. If it's a banking history issue, you may need to wait a year or two before trying again, or look for a bank that specializes in second-chance business accounts.
Some credit unions and community banks are more flexible than large national banks. They may look at your whole situation rather than just a credit score or background check. If a major bank turns you down, try a local credit union or a bank that focuses on small business.
Frequently Asked Questions
Can I open a business account without an EIN?
Yes, if you're a sole proprietor. You can use your Social Security Number instead. However, using an EIN keeps your personal and business finances more clearly separated for tax purposes, and most accountants recommend it even for solo businesses. You can get an EIN free from the IRS in about 15 minutes.
How long does it take to get checks after I open the account?
Bank-printed checks usually arrive within five to seven business days. Third-party printers take one to two weeks. You don't have to wait for checks to arrive—you can use transfers, debit cards, or ACH payments when ready once the account is open.
What if my business address is different from my home address?
That's fine. You'll just need to provide both. The bank uses the business address for the account and the home address for your personal identity verification. Make sure both match your government ID and your business registration.
Do I need a separate account for each business I own?
Yes. Each business entity needs its own account. If you own two LLCs, each one gets its own checking account with its own EIN. This keeps finances separate and makes taxes and accounting much simpler.
Can someone else sign checks or withdraw money from my business account?
Yes, but you have to set it up when you open the account or change it later. You can name authorized signers, and the bank will require their signatures on file. Some accounts allow multiple signers; others require all signers to be present. Ask the bank about their policy before you open the account if this matters to you.