How to Open a US Bank Account for Your Business

A bank account is one of the most fundamental aspects of setting up a business. However, creating a business bank account isn't always straightforward. What information do you need? How long does it take? Are foreign business owners eligible to open one? You may be wondering about these or other common questions.

Fortunately, opening a bank account for your company doesn't have to be overwhelming. In fact, we offer exclusive pre-EIN bank accounts through our partnership with Arc — you'll even get up to $200 in cash back! In this short read, we will explain how you can open a US bank account for your business without the headache.

TL;DR

• A US business bank account is essential for managing finances and building credibility.
• Required documents include company formation papers, ID, EIN (or pre-EIN), and proof of address.
• Choose between traditional banks, online banks, or fintechs based on your business needs.
• Common rejection reasons include mismatched addresses, incomplete ownership documents, or sanctions-list hits.
• Firstbase helps founders, including non-US residents, open business bank accounts remotely, even pre-EIN.

Why a Business Bank Account Matters and How to Open One

Opening a business bank account is one of the most critical steps in launching your company, but it’s not always straightforward. What documents are required? How long does it take? Can foreign founders open an account without being in the U.S.? These are common and valid questions.

The good news: it doesn’t have to be complicated.

At Firstbase, we offer access to pre-EIN* business bank accounts through a select group of U.S. banking partners — handpicked because they’re the best fit for the needs of early-stage startups. This lets you open an account before your EIN is issued, giving you a valuable head start on operating your business.

What Do I Need to Open a Business Bank Account?

Before you can open a business bank account, you'll first need to incorporate your company. While the requirements may vary from one bank to another, most banks typically request the following information:

• Company formation documents
• Valid passport, driver’s license, or other government-issued ID
• Personal contact details
• SSN or ITIN (if available)
• A debit or credit card from your home country
• Initial deposit
• Immigration documents (if applicable)
• Proof of income or source of funds
• Credit history (in some cases)‍
• EIN – though some partners allow you to submit this later‍
• Personal contact details
• A valid driver’s license, passport, or other official government identity document

Once you have these details on hand, you can start your application and take the next step toward opening an account. Processing times will likely depend on:

• The bank you choose
• Online vs. in-person application
• Your location (U.S. or abroad)
• Type of account
• How quickly you provide documents

Choosing the Right Partner: Traditional, Online, or Fintech

Selecting the right banking partner is a crucial decision for any business. Your choice affects everything from daily operations to long-term financial strategy.

Traditional Banks (Chase)

Traditional banks offer extensive branch networks, comprehensive services, and an established reputation. Chase provides robust cash management tools and relationship banking, but typically charges higher fees and has slower tech adoption.

Online Banks (Bluevine)

Online banks operate without physical branches, passing savings to customers through higher interest rates and fewer fees. Bluevine offers business-focused features with simple digital interfaces but lacks face-to-face support and may have limited product offerings.

Startup-Focused Fintechs (Mercury, Arc, Relay)

Fintech platforms are designed specifically for startups and digital businesses with specialized features, integrations, and often venture-friendly perks. These platforms offer modern interfaces and founder-focused services but may lack the full service range of traditional banks.

FDIC Insurance Note

All deposit accounts are typically FDIC-insured up to $250,000 per depositor, per bank. Fintech platforms usually provide FDIC "pass-through" insurance via partner banks. However, if a fintech uses multiple partner banks, you might access higher total coverage limits across those institutions.

When choosing a banking partner, consider your specific business needs, growth plans, and how each option's strengths align with your priorities.

Common Rejection Reasons and How to Fix Them

Opening a US business bank account is often put on hold when a bank’s compliance check spots a gap. Below are the issues that trigger most denials and the fastest ways to resolve each one. 

Our 2 cents: Keep every fix in a single folder so you can resubmit the application without starting from scratch.

Reason 1. Address on the Application Doesn’t Match Public Records

Banks cross-check the address on your form against state filings and IRS letters. A mismatch raises fraud concerns and leads to an automatic stop.

Quick fix

• Update your registered address with the Secretary of State, then upload the stamped change certificate.
• Give the bank a recent utility bill or lease in the company’s name that shows the same address you list on the form.

Reason 2. Incomplete Beneficial-Owner or CDD Paperwork

Under FinCEN’s Customer Due Diligence (CDD) rule, every covered bank must verify each person who owns or controls 25% or more of the company. Missing IDs or unsigned certification forms freeze the file. 

Quick fix

• Collect a passport or license photo and residential address for every 25%+ owner.
• Sign the “Beneficial Owner Certification” before you upload it; many founders forget this step.
• Check FinCEN’s FAQ if ownership runs through a trust or holding company.

Reason 3. Name Hits a Sanctions or Travel Ban List

Banks must screen all new customers against OFAC’s Specially Designated Nationals (SDN) list before funds can move. A “true hit” forces the bank to reject or block the account. 

Quick fix

• Search the SDN list yourself before applying; if you see a false positive, gather proof of identity differences and send it with your application. 
• If the hit is real, the bank cannot override US sanctions. Seek legal advice before re-applying.

Opening a Bank Account Through Firstbase

With Firstbase, you can incorporate your company, open a business bank account, and complete other essential startup steps — all in one place.

We’ve helped over 35,000 entrepreneurs launch their U.S. businesses remotely. Thanks to our pre-EIN banking partners, global founders gain access to benefits that are typically out of reach.

*Not all banks support pre-EIN account openings. Availability depends on your selected banking partner. Please review each bank’s eligibility and documentation requirements.

Frequently Asked Questions

Can I open a business bank account before receiving my EIN?

Yes, through Firstbase's partnerships with select banking providers, you can open a pre-EIN business bank account. This allows you to start your business operations while waiting for your EIN to be issued.

How long does it typically take to open a business bank account?

Processing times vary depending on the bank you choose, whether you apply online or in person, your location, the type of account, and how quickly you provide required documents. Online banks and fintechs typically process applications faster than traditional banks.

Can foreign business owners open a US business bank account?

Yes, foreign business owners can open US business bank accounts. However, additional documentation may be required, such as immigration documents and proof of income or source of funds.

Do I need to be physically present in the US to open a business bank account?

Not necessarily. Many online banks and fintech platforms allow remote account opening. Firstbase has helped over 35,000 entrepreneurs launch their US businesses remotely, including setting up bank accounts.

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Also read: Pre-Incorporation Guide.