What you need before you walk in

You need three things to open a business checking account: proof that your business exists, proof of your identity, and money to deposit. The "proof your business exists" part depends on what kind of business you run. If you're a sole proprietor operating under your own name, you may only need a driver's license. If you're operating under a different name, you'll need a DBA (Doing Business As) certificate from your county clerk. If you're an LLC or corporation, you need your Articles of Organization or Articles of Incorporation — the document you filed when you created the legal entity.

For identity, bring a government-issued photo ID. For the deposit, most banks require a minimum opening balance that ranges from $0 to $2,500 depending on the bank and account type. Some banks waive the minimum if you set up direct deposit or maintain a certain monthly balance. Call the bank before you go in and ask what they require for the specific account you want.

If you don't have these documents yet, you'll need to get them first. A DBA takes a few days to a few weeks depending on your county. An LLC or corporation filing takes one to two weeks in most states. You cannot open a business account without proof the business legally exists.

Key Takeaways

  • You need proof your business exists (DBA certificate, LLC articles, or sole proprietor ID), a government-issued photo ID, and an opening deposit ranging from $0 to $2,500.
  • Sole proprietors using their own name may only need a driver's license, but operating under a different name requires a DBA certificate from your county clerk.
  • Banks vary widely on minimum balances, monthly fees, and transaction limits — calling ahead saves you a wasted trip.
  • The entire process takes 15 to 30 minutes in person once you have your documents, or you can start online with most major banks and finish in the branch.

Where to open the account

You have three options: a traditional bank branch, an online bank, or a credit union. Each has different requirements and timelines. A traditional bank branch (Chase, Bank of America, Wells Fargo, your local community bank) lets you walk in with your documents and leave with a debit card the same day. They verify your identity in person, which speeds everything up. The downside is that brick-and-mortar banks often charge monthly fees ($10 to $25) and require higher minimum balances.

Online banks (Stripe, Mercury, Brex, Square, Wise) have lower or no monthly fees and often no minimum balance requirement. You start the process on their website, upload photos of your documents, and they verify you electronically. This takes one to three business days. You won't get a physical debit card when ready, but you can use a virtual card number right away. Some online banks are designed specifically for small businesses and offer features like expense categorization or invoice tools built in.

Credit unions work like traditional banks but often have lower fees and may be more flexible with documentation if you're a member. You have to join the credit union first (which is free or costs $5 to $25), then open the business account. This adds a day or two to the timeline but can save you money long-term if you use other credit union services.

Documents to bring or upload

The exact list varies by bank, but here's what most will ask for. You'll need the legal formation document (DBA certificate, LLC articles, or corporate articles), your government-issued photo ID, and your Social Security number or EIN (Employer Identification Number). If you're an LLC or corporation, bring the EIN letter from the IRS — you can get this online at irs.gov if you filed for an EIN but lost the letter. If you're a sole proprietor, your Social Security number works as your EIN unless you filed for a separate one.

Some banks ask for a business license, but this is not the same as a DBA. A business license is issued by your city or county and costs $50 to $500 depending on where you are. It's not required to open a checking account, but some banks request it. Call ahead and ask whether the bank you're considering requires one.

If you're opening the account online, you'll upload photos of these documents. Make sure the photos are clear, show the entire document, and are taken straight-on (not at an angle). Blurry photos or photos that cut off part of the document will be rejected and delay your account opening by a day or two.

The actual process, step by step

In person at a branch: Walk in during business hours with your documents and opening deposit. Tell the banker you want to open a business checking account. They'll ask you questions about your business (what you do, how long you've been operating, expected monthly deposits and withdrawals). Answer honestly — they're checking for fraud risk, not judging your business. They'll verify your identity by scanning your ID, confirm your documents are real, and run a background check through ChexSystems (a banking history database). This takes 10 to 20 minutes. You'll sign paperwork, make your deposit, and receive a temporary debit card or card number on the spot.

Online: Go to the bank's website and click "open a business account." You'll enter your business name, type of business, and personal information. You'll upload photos of your documents and your ID. The bank will send you a confirmation email within a few hours saying they received your process. They'll verify your documents and run a background check — this takes one to three business days. Once approved, you'll get an email with your account number and can log in to set up transfers and payments. Your physical debit card arrives by mail in five to seven business days, but you can use a virtual card number when ready.

At a credit union: Call or visit to confirm membership requirements and what documents you need. Complete the membership process (takes 10 minutes). Then open the business account using the same process as a bank branch. The whole thing takes 30 to 45 minutes.

What happens if your documents are rejected

Banks reject documents for three reasons: they're not clear enough, they're expired, or they don't match the information you provided. If your DBA certificate is blurry or cut off in the photo, take a new photo and resubmit. If your ID is expired, you'll need a current ID — an expired ID is not acceptable. If the name on your DBA doesn't match the name you entered in the process, you'll need to correct the process or get a new DBA certificate.

If the bank rejects your process, they'll tell you why in an email. You can fix the problem and resubmit, or you can take your documents to a different bank. Some banks are stricter about documentation than others. If one bank rejects you, try a credit union or an online bank — they often have more flexible verification processes.

Minimum balances and monthly fees

Monthly fees range from $0 to $25 depending on the bank and account type. Some banks waive the fee if you maintain a minimum balance (usually $1,000 to $5,000), set up direct deposit, or keep a linked savings account. Online banks almost never charge monthly fees. Traditional banks almost always do, unless you meet their waiver conditions.

Ask the bank about their fee structure before you open the account. A $15 monthly fee costs you $180 a year — that's real money for a small business. If you're just starting out and don't have much cash flow yet, an online bank with no monthly fee makes more sense than a traditional bank with a $15 fee and a $2,500 minimum balance requirement.

Some banks also charge per-transaction fees if you exceed a certain number of deposits or withdrawals per month. This is rare with business accounts, but ask about it. If you're processing a lot of payments, you want to know the cost upfront.

After your account opens

Once your account is open, set up online banking right away. Create a strong password (at least 12 characters, mix of letters, numbers, and symbols) and enable two-factor authentication if the bank offers it. This protects your account from fraud. Link your personal bank account if you need to transfer money between accounts — this usually takes one to two business days to verify.

If you're receiving payments from customers, ask your bank about their payment processing options. Some banks offer invoice tools, payment links, or ACH processing built into their platform. Others require you to use a third-party processor like Stripe or Square. Knowing this upfront helps you choose the right account type.

Keep your account active by using it regularly. Banks sometimes close accounts that show no activity for six months or longer. Make at least one deposit or withdrawal every few months to keep the account open.

Frequently Asked Questions

Can I open a business account if I haven't registered my business yet?

No. You need legal proof your business exists. If you're operating as a sole proprietor under your own name, your driver's license is enough. If you're using a different name, you need a DBA. If you're an LLC or corporation, you need your formation documents. Register your business first, then open the account.

Do I need an EIN, or can I use my Social Security number?

You can use your Social Security number if you're a sole proprietor. If you're an LLC or corporation, the bank will ask for an EIN. You can get an EIN for free from the IRS at irs.gov — it takes 15 minutes online and you get the number when ready. If you already have one, bring the letter the IRS sent you.

How long does it actually take to open an account?

In person at a branch: 15 to 30 minutes, and you leave with a usable account. Online: one to three business days from submission to approval, plus five to seven days for a physical card to arrive. You can use a virtual card number when ready after approval.

What if I don't have a minimum balance right now?

Many online banks have no minimum balance requirement. Traditional banks usually require $500 to $2,500. If you don't have the minimum, open an account with an online bank instead. You can always move to a traditional bank later once you have more cash flow.

Can someone else open the account on behalf of my business?

No. The person opening the account must be the owner or an authorized representative with power of attorney. The bank will verify your identity in person or electronically, so you have to be the one doing it. If you're an LLC with multiple owners, usually any owner can open the account, but call the bank first to confirm.