LLC Bank Account Setup: Best Banks and What You Need to Open One
Opening a dedicated business bank account for your LLC is not optional — it is one of the most critical steps in protecting your personal assets. Co-mingling personal and business funds is the most common reason courts pierce the corporate veil and eliminate an LLC owner’s personal liability protection. This guide covers the best banks for LLC accounts and exactly what you need to open one.
Disclaimer: Bank requirements and fees change. Verify current requirements directly with your bank before visiting.
Why a Separate Business Bank Account is Non-Negotiable
The entire point of forming an LLC is to create a legal separation between you and your business. That separation only holds up if you actually treat the LLC as a separate entity — and nothing demonstrates that separation more clearly than separate finances. Using your personal account for business transactions — even occasionally — makes it much easier for a creditor or plaintiff’s attorney to argue the LLC is just an alter ego of you personally. Read What is an LLC? for foundational context on LLC protection.
Documents Needed to Open an LLC Bank Account
Approved Articles of Organization (stamped by the state). EIN confirmation letter from the IRS. LLC Operating Agreement. Government-issued photo ID for each signer. Business address information. Initial deposit amount (varies by bank).
Best Banks for LLC Business Accounts
Chase Business Complete Banking: $15/month fee (waivable with minimum balance), excellent nationwide branch and ATM network, strong online and mobile banking. Best for businesses needing in-person banking.
Bank of America Business Advantage Fundamentals: $16/month (waivable), large branch network, integrates well with accounting software. Good all-around choice.
Relay: Free online business banking with no monthly fees, no minimum balance, up to 20 checking accounts and 50 virtual cards. Excellent for online businesses and solopreneurs. No physical branches.
Mercury: Free online business banking popular with startups and tech companies. No fees, excellent API integrations. No physical branches.
Bluevine: Free business checking with 2% APY on balances up to $250,000. Excellent for businesses holding significant cash reserves. No physical branches.
Tips for Managing Your LLC Bank Account
Never pay personal expenses from your business account. Transfer your salary or owner’s draws from business to personal account — do not make personal purchases directly. Keep detailed records of all transfers between personal and business accounts with written documentation of the reason. Connect your business account to accounting software (QuickBooks, Wave, or FreshBooks) from day one for clean records.
Conclusion
Opening a business bank account is one of the first things you do after getting your EIN. Choose based on whether you need physical branch access or are comfortable with online-only banking. Continue with LLC Taxes Explained and LLC Annual Requirements.
