What you need before you walk into a bank or go online
A business checking account requires proof that your business exists as a legal entity separate from you personally. The exact documents depend on your business structure — a sole proprietorship needs different paperwork than an LLC or corporation — and the bank you choose.
Start by gathering your Employer Identification Number (EIN), which the IRS issues to nearly all business structures. You can get one free from the IRS website or by phone; it takes minutes. You will also need a government-issued photo ID, your Social Security number, and proof of your business address. If your business is registered with your state, bring that registration document or certificate of formation.
Some banks ask for a business license, articles of incorporation, or partnership agreement. Call the bank before you go in and ask what documents they require for your specific business type. Having everything ready cuts the process from an hour to 15 minutes.
Key Takeaways
- You will need an EIN from the IRS, a government photo ID, and proof your business is registered with your state or county.
- Different business structures (sole proprietorship, LLC, corporation, partnership) require different documents, so confirm with the bank first.
- Banks typically charge monthly fees ranging from $0 to $30, but many waive fees if you maintain a minimum balance or set up direct deposit.
- The account opens immediately in most cases, though the bank may hold deposits for a few business days while they verify your information.
- You can open an account online, by mail, or in person; online is fastest but some banks require an in-person visit to verify your identity.
How to open an account online versus in person
Online accounts open faster — usually within a few hours — but many banks still require you to visit a branch or use a video call to verify your identity in real time. Chase, Bank of America, and Wells Fargo all offer online business account opening, though they may ask you to come in later to sign documents or confirm your identity.
Smaller banks and credit unions often require an in-person visit. If you open in person, bring all your documents and expect to spend 30 to 60 minutes. The bank will verify your identity, confirm your business information, and set up your account on the spot. You will walk out with a debit card or at least a temporary card number.
If you open online, the bank will send you a welcome packet with your account number, routing number, and instructions for ordering checks. Some banks mail a debit card; others let you order one online. You can usually start using the account for transfers and bill pay within 24 hours, though the bank may delay incoming deposits while they verify your information.
Documents you need by business structure
| Business Structure | Documents Required |
|---|---|
| Sole Proprietorship | EIN (or SSN), government photo ID, proof of business address, business license if your state requires one |
| LLC | EIN, government photo ID, Articles of Organization from your state, proof of business address |
| Corporation | EIN, government photo ID, Articles of Incorporation, corporate bylaws, proof of business address |
| Partnership | EIN, government photo ID, Partnership Agreement, proof of business address, IDs for all partners (some banks require this) |
| S-Corp or C-Corp | EIN, government photo ID, Articles of Incorporation, corporate bylaws, proof of business address, IRS Form 2553 (for S-Corps) |
If you have not yet registered your business with your state, you can still open an account as a sole proprietor using your Social Security number instead of an EIN. However, registering first makes the process smoother and signals to the bank that you are serious about the business.
Monthly fees and minimum balance requirements
Business checking accounts charge between $0 and $30 per month, depending on the bank and account type. Many banks waive the monthly fee if you maintain a minimum balance — typically $500 to $2,500 — or if you set up direct deposit of your business income.
Some banks charge per-check fees (usually $0.10 to $0.25 per check) or per-transaction fees for deposits and withdrawals beyond a certain number per month. Online banks and credit unions often have lower or no monthly fees, but they may charge more for services like wire transfers or stop payments.
Ask the bank for a fee schedule before you open the account. The cheapest account is not always the best one — a bank that charges $15 per month but offers free wire transfers may cost less than a bank with no monthly fee but $25 per wire transfer.
What happens after you open the account
The bank will issue you an account number and routing number immediately. You can use these to set up direct deposit, pay bills online, or transfer money to other accounts. If you ordered checks, they arrive in 7 to 14 business days.
The bank may place a hold on deposits for the first few days while they verify your information. This is normal and does not mean anything is wrong. After the hold lifts, you can use the money freely. Some banks waive the hold if you deposit cash in person at a branch.
Set up online banking and bill pay as soon as you log in. Most business accounts include these services at no extra cost. You can also link the account to accounting software like QuickBooks or FreshBooks, which pulls transactions automatically and saves you hours of data entry each month.
Choosing between banks and credit unions
National banks like Chase, Bank of America, and Wells Fargo offer the most branch locations and the easiest online experience. They also tend to have higher minimum balances and monthly fees. Local and regional banks often have lower fees and more personalized service, but fewer branches and less sophisticated online tools.
Credit unions typically charge the lowest fees and offer the best customer service, but they may have stricter membership requirements or limited online features. Online banks like Mercury, Brex, and Novo have no monthly fees and excellent mobile apps, but they have no physical branches and may not accept cash deposits.
If you need to deposit cash regularly, choose a bank with physical branches. If you rarely handle cash and want the lowest fees, an online bank or credit union may be better. If you need a relationship manager or plan to borrow money later, a local or regional bank is worth the higher fees.
Common mistakes to avoid when opening an account
Do not open a personal checking account for your business. Banks can freeze the account or refuse to process payments if they discover you are using it for business. The bank is not trying to be difficult — they are following federal rules about business accounts and tax reporting.
Do not use your Social Security number as your business tax ID if you have an EIN. The bank needs your EIN to report interest and other income to the IRS correctly. If you give them your SSN instead, you may face tax reporting problems later.
Do not assume all banks accept the same documents. A bank may reject your Articles of Organization if they are more than a year old, or they may require a certified copy instead of a photocopy. Call ahead and ask exactly what they need.
Do not skip the fee schedule. A bank that advertises "free checking" may charge $5 per wire transfer, $25 per stop payment, or $10 per month if your balance drops below a threshold. Read the full fee schedule before you sign anything.
Frequently Asked Questions
Can I open a business checking account if I have not registered my business yet?
Yes, if you are a sole proprietor. You can open an account using your Social Security number and a business license or DBA (doing business as) certificate. However, registering your business first makes the process smoother and gives you more credibility with the bank.
How long does it take to get checks after I open the account?
Most banks mail checks within 7 to 14 business days. Some banks offer rush printing for an extra fee ($15 to $30) and can get checks to you in 2 to 3 business days. You can also order checks from third-party printers like Deluxe or Costco, which are often cheaper than bank checks.
Do I need to visit a branch in person, or can I do everything online?
Many banks let you open an account entirely online, but some require an in-person visit or video call to verify your identity. Ask the bank before you start the process. If they require a visit, you can usually schedule an appointment online and be done in 30 minutes.
What if the bank rejects my documents?
Ask the bank exactly what is wrong and what they need instead. Common reasons for rejection include outdated documents, missing signatures, or a mismatch between the name on your ID and the name on your business registration. Get the issue fixed and resubmit — most banks will not charge you to reapply.
Can I have multiple business checking accounts at different banks?
Yes. Some business owners keep accounts at two banks for backup, or they use different accounts for different purposes (one for operating expenses, one for payroll, one for savings). There is no limit to how many business accounts you can open, though each bank will run a credit check and may charge separate monthly fees.