How do you Establish a Business Bank Account?

A business bank account has special terms of use and maintenance from a personal business account. To open the account, banks will require: 

• Business Organization Documents (Articles of Organization or Incorporation)
• Operating Documents (Operating Agreement or Bylaws)
• Federal Employer Identification Number (FEIN)
• Location information
• Named Agent for the Account (and relevant contact information)
• Initial Deposit of Capital (Money) in the Account

Why Establish a Business Bank Account?

It is important to establish a business bank account for a number of reasons. 

Foremost among those reasons is the separation of personal and business assets. Failure to do so can lead to loss of personal liability protection in some entities. 

Below are the documents necessary to take with you when meeting with an account manager to set up a business bank account.

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What are the Business Entity Documents?

You will need your business entity documents. If you are not a registered business entity (i.e., a sole proprietorship or partnership) and you are doing business under something other than your name, you will need a doing business as or fictitious name filing certificate. 

What is the Employer Identification Number?

Entity Name and Federal EIN (maybe State EIN) - The bank will require the Federal EIN and may require a state EIN to associate with the account.

Who is a Registered Agent? 

This is the individual who will be in charge of managing the account. They are authorized to make transactions involving the account and to receive bank correspondence. They will be named on the business debit card. 

What is a Minimum Balance?

Business bank accounts generally charge businesses a monthly fee unless the account maintains a minimum balance. Fees for the account vary, but the minimum balance is generally between $2500 and $5000.