What you need before you start
A corporate bank account requires proof that your business exists as a legal entity separate from you personally. The bank will ask for your Employer Identification Number (EIN), which the IRS issues to all corporations, LLCs, and most partnerships. You get an EIN by filing Form SS-4 with the IRS—you can do this online for free at irs.gov, and the number arrives immediately if you apply during business hours.
You will also need your Articles of Incorporation (for a corporation) or Articles of Organization (for an LLC), plus a copy of your business license or registration from your state. The bank wants to see that the business is real and registered. If your business is fewer than 30 days old, some banks will still open an account, but they may ask for additional documentation or place a hold on deposits while they verify your formation.
Bring a government-issued photo ID for each owner or authorized signer. Banks verify identity against their fraud databases before opening any account. If you are opening the account on behalf of the business but are not the owner, bring a corporate resolution or written authorization from the owner stating you have permission to do so.
Key Takeaways
- You need an EIN from the IRS, your Articles of Incorporation or Organization, and a government ID for each person who will sign checks or access the account.
- Different account types—checking, savings, money market—carry different fees and minimum balances, so compare what your bank charges before you commit.
- Some banks require you to visit a branch in person; others let you open online but may ask for documents by mail or upload afterward.
- The account usually opens the same day or within one business day, but the bank may place a hold on large deposits while they verify your business formation.
- You will need to set up payroll and tax withholding separately—opening a bank account does not automatically register you with state or federal tax authorities.
Where to open the account: bank, credit union, or online
Traditional banks (Chase, Bank of America, Wells Fargo, regional banks) offer the widest range of business account types and services, including merchant processing and lines of credit. They usually require you to visit a branch in person, though some now allow you to start online and finish by mail or video call. Fees vary widely—some charge $15 to $30 per month for a basic business checking account, while others waive fees if you maintain a minimum balance (often $2,500 to $10,000).
Credit unions often charge lower fees and offer better interest rates on business savings accounts, but they may have stricter membership requirements or serve only businesses in certain industries or geographic areas. You typically must visit a branch to open an account.
Online banks (Novo, Mercury, Brex, Lemonade) have no branch visits and lower or no monthly fees, but they offer fewer services—usually just checking and basic transfers. They work well for businesses that do not need merchant processing or loans. Most online banks let you open entirely through their website and verify documents by upload.
The documents you will bring or upload
| Document | Why the bank needs it | Where to get it |
|---|---|---|
| EIN letter or Form SS-4 confirmation | Proves the IRS has issued a tax ID to your business | IRS.gov (Form SS-4); arrives immediately online or by mail |
| Articles of Incorporation or Organization | Proves your business is registered as a legal entity | Your state's Secretary of State office website; download or request certified copy |
| Business license or DBA registration | Confirms you are authorized to operate under your business name | Your city or county clerk's office; some states do not require this |
| Government photo ID (driver's license or passport) | Verifies the identity of the account owner or authorized signer | Your state DMV or passport office |
| Corporate resolution or authorization letter | Proves you have permission to open the account on behalf of the business | You write this yourself; it states who is authorized to sign checks and access the account |
If your business is brand new and you have not yet received your EIN letter, call the IRS at 1-800-829-4933 and ask them to read your EIN to you over the phone. Write it down and bring it to the bank—most will accept a verbal confirmation while waiting for the official letter.
What happens during the account opening process
At a branch or during a video call, the banker will ask you to confirm your business name, structure (corporation, LLC, partnership), and the names and titles of owners and authorized signers. They will verify your identity against your photo ID and may run a background check. They will review your Articles of Organization and EIN letter to confirm the business is real.
You will then choose an account type. Most businesses start with a business checking account, which lets you write checks and make transfers but earns no interest. Some banks also offer business savings accounts (which earn interest but have withdrawal limits) or money market accounts (which earn higher interest but require a larger minimum balance). Ask the banker about monthly fees, minimum balance requirements, and what is included—some accounts offer free wire transfers or merchant processing, while others charge per transaction.
You will sign signature cards authorizing specific people to sign checks and access the account online. The bank will issue you a debit card and online banking login. Most accounts open the same day, though the bank may place a temporary hold on deposits over a certain amount (often $5,000 to $10,000) while they verify your business formation—this usually clears within one to three business days.
Fees and minimums to compare before you choose
Monthly maintenance fees range from $0 to $40 depending on the bank and account type. Some banks waive the fee if you maintain a minimum balance, receive direct deposits, or process a certain number of transactions per month. Ask whether the minimum balance is calculated daily, monthly, or as an average—this affects how much you actually need to keep in the account.
Transaction fees vary: some banks charge $0.50 to $2 per check deposited, $1 to $3 per wire transfer sent, or $15 to $30 per month if you fall below the minimum balance. Online banks typically charge no monthly fee and no per-transaction fees. Traditional banks often charge more but offer services like merchant processing (credit card acceptance) and business loans that online banks do not.
Ask about overdraft fees (usually $25 to $35 per overdraft) and whether the bank offers overdraft protection—a link to a savings account or line of credit that covers overdrafts automatically. This can save you from bounced checks if your cash flow is uneven.
After the account opens: what you still need to do
Opening a bank account does not register your business with tax authorities. You must file separately with the IRS and your state to set up payroll withholding and sales tax collection (if required). Contact your state's Department of Revenue or your accountant to learn what forms you need.
If you will have employees, you need to register with your state's unemployment insurance program and set up federal payroll tax withholding. The IRS has a small business tax guide at irs.gov/smallbusiness that walks through these steps.
Set up online banking and review your account settings. Most business accounts let you set up multiple authorized users, transfer limits, and fraud alerts. Disable any features you do not need—for example, if you do not plan to use the debit card, ask the bank not to issue one, since unused cards can be a security risk.
What to do if the bank denies your account
Banks can refuse to open a business account if your personal credit is very poor, if you have a history of fraud or bounced checks, or if your business structure does not match your state's registration. If you are denied, ask the bank in writing why—they are required to tell you under the Fair Credit Reporting Act.
If the reason is your personal credit, work on improving it before applying elsewhere, or ask a co-owner with better credit to be the primary account holder. If the reason is your business structure, contact your state's Secretary of State office to confirm your Articles of Organization are filed correctly.
Some online banks have looser approval standards than traditional banks. If you are denied by a major bank, try an online bank or a credit union in your area—they may have different risk criteria.
Frequently Asked Questions
Can I open a corporate bank account online without visiting a branch?
Yes, if you use an online bank like Novo, Mercury, or Lemonade. They let you upload your documents and verify your identity through video. Traditional banks usually require at least one in-person visit or a video call with a banker, though some now offer fully online opening if you have an existing account with them.
How long does it take to open a corporate bank account?
The account usually opens the same day or within one business day. However, the bank may place a hold on deposits while they verify your business formation—this typically clears within one to three business days. If you are missing documents, the process can take longer.
Do I need an EIN if my business is a sole proprietorship?
No. Sole proprietors can use their Social Security number instead of an EIN. However, if you plan to hire employees or want to keep your personal and business finances separate, getting an EIN is still a good idea. You can get one free from the IRS at any time.
What if I do not have my Articles of Incorporation yet?
File them with your state's Secretary of State office before opening the bank account. You can usually do this online and receive confirmation the same day. Some banks will open an account while your filing is pending if you show proof of submission, but this is rare.
Can someone other than the owner open the account?
Yes, if you bring a corporate resolution or written authorization from the owner stating you have permission. The bank will still verify the owner's identity and may require the owner to sign documents by mail or video call.