Yes, you can open a bank account for your LLC, and you should
An LLC bank account is separate from your personal account and keeps your business money distinct from your own. Most banks will open a business account for an LLC, but they require specific documents that prove your LLC exists and that you have the authority to open the account. The process takes a few days to a week, and you will need your Employer Identification Number (EIN) from the IRS before you start.
Opening an LLC bank account protects you legally by maintaining what is called the "corporate veil"—the separation between your personal assets and your business assets. If you mix personal and business money in one account, a court could decide that separation no longer exists, and creditors could come after your personal savings or home. Banks also require this separation because they need to know who they are doing business with and what the account is for.
Key Takeaways
- You need an EIN from the IRS before most banks will open an LLC account, which you can get for free online in minutes.
- Bring your Articles of Organization (the document that created your LLC), your EIN letter, and a government ID to the bank.
- Some banks require an Operating Agreement (the internal rules of your LLC) even though it is not always legally required to form an LLC.
- Monthly fees for LLC accounts range widely by bank, from zero to $15 or more, and often depend on your minimum balance or monthly deposits.
- You can open an account online with many banks, but some require an in-person visit to verify your identity.
What documents the bank will ask for
The bank needs proof that your LLC exists and that you are authorized to act on its behalf. Bring your Articles of Organization—the filing you submitted to your state to create the LLC. This document shows the LLC's name, formation date, and registered agent. If you do not have a physical copy, you can request a certified copy from your state's Secretary of State office, usually for $5 to $25.
You will also need your EIN letter from the IRS. This is a one-page document that confirms your Employer Identification Number. You can get an EIN free from the IRS website (irs.gov) by filling out Form SS-4 online; the number is issued immediately. Print the confirmation page or request the letter by mail.
Bring a government-issued photo ID—your driver's license or passport. Some banks also ask for your Operating Agreement, which is the document that outlines how your LLC is run (who makes decisions, how profits are split, and so on). Many states do not require you to file an Operating Agreement, but banks often want to see one anyway. If you do not have one, you can create a simple one using a template or ask the bank whether they will waive this requirement.
Getting an EIN before you go to the bank
You cannot open most LLC bank accounts without an EIN. The EIN is a nine-digit number that identifies your business to the IRS, similar to how a Social Security number identifies a person. It is free and takes minutes to get online.
Go to irs.gov and search for "Apply for an EIN Online." You will answer questions about your LLC's name, address, ownership structure, and what your business does. The IRS issues the number immediately on screen. Write it down and print the confirmation page, which serves as your EIN letter. If you prefer, you can apply by phone (1-800-829-4933) or by mail using Form SS-4, but online is fastest.
If your LLC has multiple owners, the IRS will ask who the "responsible party" is—the person authorized to open the bank account. This is usually the person applying, but you can name someone else if you choose.
Opening the account in person versus online
Many banks let you start an LLC account application online and finish it in a branch, while others require you to come in person from the start. Online applications are faster if the bank accepts them, but you will still need to verify your identity, usually by uploading a photo of your ID and sometimes by video call.
If you go to a branch, bring originals or certified copies of your Articles of Organization and your EIN letter. The bank will verify your identity using your government ID and may ask you questions about your business to confirm you are who you say you are. This visit usually takes 15 to 30 minutes. Some banks will not open an account for an LLC without an in-person visit, so call ahead or check the bank's website to see what they require.
Online-only banks (like Mercury, Brex, or Novo) often have faster approval for LLCs because they do not require a branch visit, but they may have higher minimum balances or monthly fees. Traditional banks like Chase, Bank of America, and Wells Fargo require in-person verification in most cases.
What happens after you open the account
Once the account is open, the bank will issue you a debit card and checks in the LLC's name. You can set up direct deposit for customer payments and link the account to accounting software like QuickBooks or Wave. Some banks take one to two business days to activate the account fully, so you may not be able to use the debit card immediately.
If your LLC has multiple owners or managers, you can usually add authorized signers to the account. This lets other people make deposits and withdrawals on behalf of the business. The bank will ask for their government ID and may require them to sign paperwork in person.
Keep your account separate from personal spending. Deposit all business income into the LLC account and pay all business expenses from it. This record-keeping is critical if you are ever audited or sued—it proves you maintained the separation between your business and personal finances.
Monthly fees and minimum balance requirements
LLC bank account fees vary widely. Some banks charge nothing if you maintain a minimum balance (often $500 to $2,500) or receive a certain amount in monthly deposits. Others charge a flat monthly fee of $10 to $15 regardless of balance. A few banks waive fees for the first few months.
Compare accounts at several banks before you choose. Ask about:
- Monthly maintenance fees and what waives them
- Minimum balance requirements
- Per-check fees if you write many checks
- Wire transfer fees (usually $15 to $30 per wire)
- Overdraft fees
- ATM access and whether out-of-network ATM fees apply
Online banks often have lower fees than brick-and-mortar banks, but they may not accept cash deposits or offer in-person support. If your business handles a lot of cash, a traditional bank with branches may be worth the higher fees.
If your LLC application is denied
Banks can refuse to open an account if your personal credit is very poor, if you have a history of fraud or money laundering, or if the bank does not service businesses in your industry. Some banks also decline accounts for LLCs in high-risk industries like cannabis, cryptocurrency, or lending.
If one bank denies you, try another. Credit unions sometimes have more flexible policies than large banks. Online banks may also be more willing to work with newer LLCs or those with less-than-perfect credit histories. If you are repeatedly denied, ask the bank why—the reason will tell you whether to try a different bank or whether you need to address something about your LLC or personal finances first.
Frequently Asked Questions
Do I need an LLC to open a business bank account?
No. Sole proprietors and partnerships can open business accounts too. But if you have formed an LLC, the bank will require you to prove it exists by showing your Articles of Organization and EIN. You cannot open an LLC account without those documents.
Can I use my Social Security number instead of an EIN for my LLC bank account?
Some banks will accept a Social Security number if your LLC is single-member (owned by one person), but most require an EIN. Getting an EIN is free and takes minutes, so it is easier to just get one. It also protects your personal Social Security number from being tied to every business transaction.
What if I have not filed my Articles of Organization yet?
You cannot open an LLC bank account until your LLC is officially formed. File your Articles of Organization with your state first (usually through the Secretary of State office), get your EIN from the IRS, and then apply for the bank account. The whole process takes about a week.
Can someone else open the LLC bank account on my behalf?
Only if they have a power of attorney document signed by you that specifically authorizes them to open bank accounts. Otherwise, the person opening the account must be the LLC owner or a manager listed in the Articles of Organization. The bank will verify this before opening the account.
Do I need a separate business license to open an LLC bank account?
No. Your Articles of Organization and EIN are enough. Some cities or states require a separate business license to operate, but the bank does not need it to open the account. Check your local requirements separately.