How to Open a Bank Account for an LLC | All Documents Needed
To open a bank account for an LLC, choose a bank and ask for its current business-account document list before applying. Banks set their own onboarding requirements, so a business license, operating agreement, or EIN may be requested in some cases but is not a universal checklist for every LLC.
Bring formation and ownership records, identification, tax information, and any bank-specific resolution or authorization. For covered financial institutions, federal customer-due-diligence rules can require identifying owners with at least 25% equity and one control person, subject to exclusions and current relief [1].
Quick Summary
- Ask the bank for its current document list; requirements vary by institution.
- Prepare formation, tax, ownership, identity, and signer-authority records as requested.
- A business license or DBA filing is conditional, not universal.
- Use the account for LLC transactions and reconcile it with the books.
Steps to Open an LLC Bank Account
- Compare account fees, transaction limits, cash services, online access, and deposit insurance coverage.
- Ask the bank which documents and owners or control persons must appear.
- Gather the LLC’s formation record, EIN or tax ID information, operating agreement, and signer authorization.
- Submit identity and ownership information and answer the bank’s due-diligence questions.
- Fund the account and keep business receipts and payments separate from personal funds.
Documents the Bank May Request
Requirements vary by financial institution and account type. Ask the bank whether it needs a filed formation certificate, current good-standing record, operating agreement, EIN confirmation, government ID, ownership information, business license, or written resolution.
Do not assume every bank asks for every item. A bank may request additional records based on its policies and risk review.
LLC Articles of Organization
Bring the state-stamped Articles of Organization, Certificate of Organization, or equivalent formation record if the bank requests proof that the LLC exists. If the LLC is older, the bank may also ask for a current status certificate.
Related articles: Articles of Organization
Present Your LLC Operating Agreement
The operating agreement shows how the LLC is managed and who may act for it. A bank may request it to confirm ownership or signer authority, even when state law does not require the document to be filed.
If the agreement does not name the account signer clearly, ask the members or managers to adopt a written resolution.
Business Licenses Depend on the Business
A business license is not a universal bank-account requirement. Whether the business needs a license depends on its activity and location; whether the bank asks for it depends on the bank’s onboarding policy.
Check the licensing agency separately rather than assuming the account can open only after obtaining a general license.
EIN and Tax Identification
An EIN is commonly used to identify an LLC for federal tax and banking purposes, but the IRS’s rules distinguish among entity types and circumstances. Ask the bank whether it accepts the owner’s taxpayer ID for a disregarded single-member LLC or requires an EIN.
Apply for an EIN through the IRS; the IRS does not charge an application fee [2].
When a DBA Filing May Be Needed
A DBA or assumed-name filing may be needed if the account will use a public-facing name different from the LLC’s legal name. The bank may ask for the registration certificate, but this is not required for every LLC account.
Ask the bank how to title the account so checks and payments identify the legal entity correctly.
Compare Account Fees and Features
Compare monthly maintenance fees, minimum balances, cash-deposit limits, wire and ACH charges, check access, integrations, and customer support. Estimate typical activity instead of choosing by a promotional rate alone.
Confirm how the bank handles signer changes, account alerts, and access if an owner leaves.
Keep LLC and Personal Transactions Separate
A separate business account makes it easier to track income and expenses and follow the LLC’s records. It does not by itself guarantee limited liability protection; keep contracts and accounting consistent with the entity.
Do not pay personal bills directly from the LLC account. Record owner contributions, reimbursements, draws, and distributions with the correct accounting treatment.
Related articles: paying yourself in an LLC · How to Sign LLC Checks · Can a Registered Agent Open a Bank Account
An Account Does Not Guarantee Business Credit
A business bank account can help organize deposits and payments, but it does not automatically create a business credit score or guarantee financing. Lenders consider multiple factors, including revenue, repayment capacity, credit history, collateral, and time in business.
FAQs
Can I Use My LLC Bank Account For Personal Use?
Use the LLC account for business expenses and keep personal spending separate. If an owner pays a business expense personally, document and reimburse it properly instead of using the account as a personal wallet.
Is It Hard to Get a Business Loan With an LLC?
Not necessarily. Lenders review the business’s finances, credit, collateral, cash flow, and other underwriting criteria; having an LLC or bank account does not guarantee approval.
Can I Deposit Personal Money Into LLC?
Yes, if it is recorded accurately as a contribution or loan and the operating agreement and tax treatment are followed. Keep the source and purpose documented.
Are There Any Restrictions on the Number of LLC Business Bank Accounts That Can Be Opened?
There is no general legal cap on how many business accounts an LLC can open, but each bank applies its own eligibility and account policies.
After the Account Is Open
After opening the account, set user permissions, enable transaction alerts, and reconcile statements against the books each month. Keep bank statements and source documents with the LLC’s financial records.
Tell the bank when a signer, ownership, or responsible-party detail changes if its account terms require an update.
Related articles: online legal services
References:
- https://www.fincen.gov/resources/statutes-and-regulations/cdd-rule-faqs
- https://www.irs.gov/businesses/employer-identification-number
