Documents and information you'll need before you walk in

Most banks will ask for the same core set of documents, though the exact list depends on your business structure and the bank's own requirements. You'll need proof of your business's legal existence, proof of your identity, and proof of your address. The specific documents change based on whether you're a sole proprietor, partnership, LLC, or corporation.

Bring originals or certified copies—banks rarely accept photocopies or digital images for the initial account opening, though some banks now allow you to start the process online and finish in a branch. If you're opening the account in person, bring two forms of ID: one government-issued photo ID (driver's license, passport) and one secondary form (utility bill, lease, insurance card). The secondary ID mainly confirms your address.

Key Takeaways

  • Sole proprietors need an EIN from the IRS (or can use their Social Security number), a government ID, and proof of address; partnerships and corporations need articles of organization or incorporation filed with the state.
  • Most banks require an initial deposit to open the account, ranging from $0 to $500 depending on the bank and account type, though some waive this for certain business structures.
  • You'll need to provide the names and Social Security numbers of all owners with 20% or more ownership stake, which banks use for background checks and tax reporting.
  • The entire process usually takes 15 to 30 minutes in a branch or one to three business days if you start online, though account set up can take an additional one to two business days.

What documents prove your business exists

If you're a sole proprietor operating under your own name, you may not need any formation documents at all—just your personal ID and address proof. Many banks will open an account for you on the spot. If you're using a business name that's different from your legal name, bring a DBA (doing business as) certificate filed with your county or state, or a business license showing the name you operate under.

If you're an LLC, partnership, or corporation, bring the articles of organization or articles of incorporation filed with your state's Secretary of State office. These are the documents that legally created your business. You can usually read a certified copy from your state's website for $5 to $25. Some banks will accept a photocopy if it's stamped "certified" by the state; others want the original. Call the bank branch before you go to confirm which they accept.

If your business is brand new and you haven't filed formation documents yet, most banks will not open a business account for you. You'll need to file those documents first, which takes one to five business days depending on whether you file online or by mail.

Your EIN and tax identification

An EIN (Employer Identification Number) is a nine-digit number the IRS assigns to your business. Sole proprietors can use their Social Security number instead, but most banks prefer an EIN because it separates your personal and business finances on their records. You can get an EIN free from the IRS website (irs.gov) in about 15 minutes—the IRS issues it when ready online.

Partnerships, LLCs, and corporations must have an EIN; the IRS will not let you use a Social Security number. If you haven't obtained one yet, do it before you go to the bank. Bring the EIN confirmation letter or write down the number. Some banks will let you provide it after opening the account, but most want it on the spot.

Owner and signatory information

Banks need the name and Social Security number of every owner with 20% or more ownership stake in the business. This is a federal requirement for anti-money-laundering compliance. If you're the sole owner, you provide your own information. If you have partners or multiple owners, each one needs to provide their Social Security number and government ID.

You'll also need to decide who can sign checks and withdraw money. This person (or people) is called an authorized signatory. The bank will ask for their name, address, date of birth, and Social Security number. In many cases, the owner and the signatory are the same person, but they don't have to be—you can authorize an employee or accountant to sign on the account.

If you're opening the account with a co-owner or partner who isn't present, the bank may require them to come in separately to verify their identity, or they may allow you to bring a notarized power of attorney. Policies vary by bank.

Initial deposit and account fees

Most banks require an opening deposit to set up the account. This amount varies widely: some banks have no minimum, others require $100, $250, or $500. A few banks waive the minimum for certain business types (nonprofits, for example) or if you set up direct deposit. Ask the bank what their minimum is before you go.

The opening deposit is your money—it goes into the account and you can use it when ready. It's not a fee. However, the account itself may have monthly maintenance fees ($10 to $30 is typical), per-check fees, or fees for transfers and wire transfers. Some banks waive monthly fees if you maintain a minimum balance or set up payroll direct deposit. Ask about the full fee schedule so you understand what you're signing up for.

What happens after you hand over the documents

If you're opening the account in a branch, the bank will review your documents on the spot, run a background check (usually when ready), and set up the account within 15 to 30 minutes. You'll get a debit card and checks ordered, though the physical checks take five to seven business days to arrive. You can start using the account when ready with the debit card or by transferring money in.

If you start the process online, the bank will ask you to upload photos of your documents and provide the information digitally. They'll then verify everything and may call you to confirm details. This usually takes one to three business days. Some banks will let you use the account before the physical debit card arrives; others hold it until they've verified everything in person or by phone.

A few banks require a follow-up visit or phone call to confirm your identity before they fully set up the account. This is especially common if you're opening the account remotely or if the bank flags something in their background check. The bank will contact you directly if this is needed.

What to do if the bank says no

Banks can refuse to open a business account for several reasons: incomplete or fraudulent documents, a poor personal credit history, prior banking problems (like unpaid overdrafts), or if your business type falls outside their lending criteria. Some banks don't work with certain industries (cannabis, for example, or high-risk businesses). If one bank declines you, try another—different banks have different risk tolerances.

If you're declined, ask the bank why. If it's a documentation issue, you can fix it and reapply. If it's a credit or banking history issue, you may need to wait or work with a bank that specializes in second-chance business accounts. Some community banks and credit unions are more flexible than large national banks.

Frequently Asked Questions

Can I open a business account without an EIN if I'm a sole proprietor?

Yes. Most banks will let you use your Social Security number instead of an EIN for a sole proprietorship. However, some banks prefer an EIN because it keeps your personal and business finances separate on their records. Getting an EIN takes 15 minutes online and is free, so it's worth doing even if it's not required.

What if I don't have a business license yet?

It depends on your business structure. Sole proprietors often don't need a license to open a business account—your ID and proof of address are usually enough. LLCs, partnerships, and corporations must have filed formation documents with the state. If you haven't filed yet, do that first. The process takes one to five business days depending on your state.

Do I need to bring my co-owner to open the account?

Not always. Many banks will let you open the account and add the co-owner later, or you can bring a notarized power of attorney if they can't attend. However, the bank will need their Social Security number and will likely require them to verify their identity at some point. Call ahead to ask what your bank's policy is.

How long does it take to actually use the account after I open it?

If you open it in a branch, you can use it the same day with a debit card or by transferring money in. Physical checks take five to seven business days. If you open it online, the bank usually activates it within one to three business days, though some require a follow-up verification call before you can withdraw money.

What if the bank asks for documents I don't have?

Ask the bank specifically what they need and why. If they're asking for something unusual (like a business plan or tax returns), that's a sign they may be doing extra due diligence. You can provide what you have and ask if there's an alternative document that would work. If you genuinely can't provide what they're asking for, try a different bank—requirements vary.