Having a business in the US offers lucrative opportunities for making better returns from the readily available market and effective tax regimes. Additionally, if you own a business in the US, you will need a US bank account. Registering a business in the US is one thing and obtaining a US bank account is another. Though you may not necessarily be required to have a US bank account when registering the business, you will probably need the account to operationalize the business.
Among the benefits of having a US bank account are as follows:
- Protection: the US is a nation of records and documentation. Therefore, you will experience the robust protection of your business account whenever you open one in the US. Compared to personal savings or checking accounts, the scrutiny and protection with a business bank account is something else.
- Convenience: The US bank account will help you get all your funds in one protected account for your clients. Most clients find a business professional when they can pay through bank accounts. Therefore, the US bank account will facilitate easy payments to and from your business bank account.
- Credit preparedness: You may need some emergency funds to maintain your business at some point. It could be a piece of new equipment you need or even sustain the business in a bad season. Having a US business bank account will make you creditworthy for emergency loans in US banks.
Therefore, you should have noted that you need a business bank account when you have a registered business in the US. However, you could still be asking how to go about it. The following are the steps of opening a business bank account in the US.
- Get Employer Identification Number
Before opening a business bank account in the US, this is a prerequisite requirement. The employer identification number. The EIN is the number that will make you pay your taxes and all other legal deduction like the licenses fees.
- Business constitution
The business constitution or an operating agreement contains information about your business and the responsibilities of every shareholder. Therefore, you need to have the operating agreement as documentation for opening the US bank account.
- Ownership documents
One of the crucial documents you need when opening a business bank account in the US is the ownership document. As mentioned US is a nation of records and documentation. Therefore, you will need to show that you are the legal owner of the business. If you have a physical presence in the US, you will need to show the business permits and other documentation confirming your business ownership.
- Business license
Business licensees mean that you are legally registered and regulated. Therefore, you will need to produce the business licenses as part of the documentation.
Having the right documentation will make you seamless time for opening a business bank accounting in the US. You will need a US bank account even when your registered business does not have a physical presence in the US. You stand a better chance of obtaining better returns like tax exemption in some states if you are a non-resident opening a business bank account in the US. However, your remaining compliance with the regulation therein the bank account guideline in the US will determine your experience with the US banks. For security reasons, the US has a robust system that scrutinizes transactions to the latter. You need to operate within the operation manual of the US bank that you open a business account in.