Genome Blog / articles / Business bank account for an LLC: how to get one
Jun. 9, 2023
There’s no secret that companies come in all shapes and sizes. And most of them require banking services. Naturally, financial institutions have different requirements for various types of businesses. Today, we are taking a closer look at how this process works out for limited liability companies.
Find out how to start a bank account for an LLC and what you should be looking for when selecting an LLC bank account in this Genome article, and feel free to share with others!
What are a business account and an LLC bank account?
First and foremost, a business account is a type of account that banks and financial institutions provide for companies. Using such accounts, businesses get access to financial services necessary for their work. Thus, a business checking account for LLCs (also known as an LLC bank account) is a business account that offers services specifically to limited liability companies.
Please note that the term “limited liability company” is used in this article to refer to private limited companies around the world. At the same time, countries have their unique names for private limited companies, and how they are run and regulated may differ from country to country.
Business bank account for an LLC: what to pay attention to?
Before getting an LLC bank account, you first need to find a financial institution that will suit your needs. Here are some of the things you need to account for:
- Check if a bank or financial provider works with LLCs and offers business bank accounts for LLCs. Usually, such information is disclosed on the provider’s website, but if you don’t find it anywhere – contact its support team.
- Find out the markets and regions covered by the bank, as well as the currencies and countries it works with, before getting an LLC bank account. You want to ensure that the financial institutions’ capabilities won’t limit you.
- Compare the benefits your company can get with this or that financial provider. Keep in mind that some banks cater to small businesses, while others – to bigger ones.
- Don’t rush into getting an LLC bank account. You first need to check the features the financial institution provides, such as cards, money transfers, merchant accounts, etc.
- Last but not least – the fees. Look for reasonable prices when selecting a bank account for a business LLC.
How to open an LLC account?
Generally, setting up an LLC bank account is no different from opening other types of business accounts. As in the case with most business accounts, the process consists of two key components: filling out information regarding you and your company and providing necessary documents.
The financial institution you want to open an LLC account with will list the documents you need to provide. These will most likely include your TIN (EIN) and the Certificate of Organization (or its equivalent in your country) for the LLC.
Once you verify your identity, your company’s existence and give the documents, the bank will review your application and decide whether you can start an LLC bank account.
Also, if you don’t want to waste time visiting bank branches, you can start an LLC business account online – inside Genome!
FAQ
Can I open a bank account online without going to the bank?
Yes, you can! Nowadays, some financial providers allow it! For instance, Genome. Our Electronic Money Institution offers personal and business wallets for individuals and companies across the EU and Europe. The trouble-free onboarding and all services are available entirely online! If you are looking for quick and smooth money transfers, virtual/physical Visa debit cards, multi-currency accounts, and more – Genome has them all and more. See for yourself!
Who can open a business bank account for an LLC?
The LLC bank accounts cater to limited liability companies and other equivalents of private limited companies.
Do I need a business bank account for an LLC?
Yes, it is better to have a business account for your LLC company than use a personal one. For one, it is better to separate your personal and business funds to better manage them and for tax purposes. Also, some banks prohibit clients from using personal accounts for corporate purposes and can even close such accounts.
