Business bank accounts are very advantageous no matter the size of your business. It is very important to keep your business and personal financial information apart. Your accounting will be more simple to keep up with also. This can come in very handy when tax preparation time comes around the corner as well.
Conducting your business with a business bank account allows you the ease of writing checks and accepting payments from customers and having all of your documents all have the same name upon them. It also shows that you are professional in your business dealings. This can help you seem more trustworthy and deserving of respect. Building a relationship with a financial institution can assist you in obtaining future financing, build your credit, and get approved for a business credit card.
Choosing a financial institution to open a business bank account with is a serious decision. Researching difference financial services is important so you can compare which ones offer which services. Many different options are available for you to choose from for your own specific business requirements. Do you want a company that offers excellent customer service and lets you deal with a person instead of machine? Are you looking for a company that offers low fees to help cut your costs down? Are you looking for a company that offers 24/7 account access so you can bank whenever you need to? Is bill-pay a must for your company? Considering all the possibilities that you must think about and look into it’s important to not overlook something that you will find that was very important to your business dealings but forgotten in the shuffle. For this reason, I suggest talking with a banking representative and asking them what possibilities they can offer for business accounts.
Once you have chosen the financial institution you wish to conduct business with, contact them to make an appointment so you can go in and discuss the opening of your business checking account in person. You will be required to show that you are the business owner. They will require proof of this, so make sure to take all of your documentation with you. Keep in mind that you should ask them when setting up your appointment which type of proof they need. It will vary depending on your business structure.
You will also need to have the certificate that your county clerk provided to you when filing your business name. The financial institution will require a certified copy, so please keep this in mind so you have it with you at the time of your appointment.
The easiest business structure is that of sole proprietor. It is the most popular among one owner businesses and businesses just starting out.
If your company has been incorporated, you will want what is known as a corporate bank account. In order to open this type of account, you will need to have your employer identification number. If you business will be performing payroll actions, you will also be required to have an employer identification number. You must contact the Internal Revenue Service in order to apply for an employer ID number. You can fill out the application on their website. A copy of this incorporation certificate will be required when opening your account. You will also be asked for photo identification, corporate resolution, and corporate seal.
Starting a business bank account does not need to cost a lot of money and can be as simple as starting a personal bank account. In some instances, you might even be able to start your business bank account free of charge. So make sure you check around before going with a financial institution.