Can you open a business bank account with an EIN only?

Key takeaways

• Opening a business account is straightforward, but 40%¹ of small-to-medium-sized businesses find the process “somewhat or very poor.”

• Startups and new businesses can face rejection and delays when trying to open a business account with an EIN only. Providers require legal formation documents, a valid proof of address, and personal IDs for owners and signers.  

• Airwallex offers a fully digital onboarding experience, including simple document uploads and e-signatures, for a quicker process and faster approval.

Opening a business bank account sounds simple. You’ve registered your business, got your Employee Identification Number (EIN), and are ready to start transacting. 

But then you hit a wall – requests for additional documents, costly delays, and even rejections. You discover that you can’t open a business bank account with an EIN only. 

This guide breaks down exactly what’s needed to open a business bank account and why those requirements exist. You’ll also learn how to choose the right kind of business bank account for your company’s needs.

Why you can’t open a business bank account with an EIN only

An Employer Identification Number (EIN) is a federal tax ID used to track your business’s tax obligations. But it’s not a golden ticket if you need a business bank account. 

While an EIN shows that your company exists on paper, it doesn’t prove that your business is legitimate, and it cannot be used to properly screen your company for fraud, money laundering, or sanction risks. 

That’s why banks follow strict Know Your Customer (KYC) and Anti-Money Laundering (AML) rules, and must legally verify who is actually behind the business. 

Every legitimate provider, including Airwallex, asks for personal identification and legal formation documents to confirm you’re running an active business, not a shell entity.

How to open a business bank account with an EIN and other documents

Opening a business bank account typically comes down to a “holy trinity” of documentation: legal formation paperwork to prove your entity exists, government-issued IDs to verify the humans behind it, and valid proof of address to show your business is reachable. Some banks might even ask for a business license to check that your business operates, but on its own, a business license isn’t enough to open an account. 

Airwallex is no exception. We ask for EIN confirmation letters, state-filed formation documents, proof of address, and personal IDs for owners and signers to ensure full compliance. 

The good news is that banks and fintechs have modernized the process. For instance, secure digital verification and e-signatures are now the norm, which means you can skip the branch visit entirely. Some platforms even accept virtual office addresses, but approval isn’t guaranteed. Most providers still prefer a physical location to reduce compliance risks. 

Challenges you will face for not having an EIN

Operating without an EIN creates problems beyond restrictions on banking access. Here are some other challenges you could face without an EIN. 

• Weaker liability protection: Without a separate business account, the lines between business and personal finances can blur, putting your personal assets at risk.

• No business credit profile: EINs help lenders establish business credit. Without one, financing defaults to personal credit and guarantees, increasing personal financial risk.

• Hiring and payroll barriers: You need an EIN for payroll tax reporting and issuing W-2s.

• Vendor and credibility friction: Many vendors and enterprise clients require an EIN on a W-9, and its absence can signal an informal setup.

• Added tax complexity: Using a personal tax ID for your business can complicate filings and make future scaling more difficult.

Situations that may not need an EIN for opening a bank account

Sole proprietors with no employees can often open an account using just their Social Security Number (SSN). 

Some banks may also allow a single-member Limited Liability Company (LLC) that is taxed as a disregarded entity to use the owner’s personal tax ID. But this is uncommon, and banks often treat the account like a sole proprietorship rather than a separate LLC.  

That said, these are typically temporary workarounds, because the moment you want to hire a team, scale operations, or change your legal structure, banks will demand that EIN.

What do I need to open an Airwallex Business Account?

Opening an Airwallex business account is a fully digital experience. You typically need to upload business formation documents, EIN confirmation, government-issued IDs for owners and signers, and proof of business activity, such as a website or contract. 

Alternatives for non-residents: Can I open a business account with an EIN only and no SSN?

Not having a Social Security Number (SSN) doesn’t automatically lock you out of the US banking system, as long as you work with providers that support non-resident founders. For example, Airwallex allows international founders to open and operate a US business account using passport verification, or in some cases, an Individual Taxpayer Identification Number ITIN.

How to use an ITIN as a substitute for an SSN

Non-residents can use an Individual Taxpayer Identification Number (ITIN) in place of an SSN in their applications. This gives international founders a clear path to pass identity checks and open their accounts.

How international founders can use passport verification

Some digital banks let non-residents pair a valid EIN with standard passport verification. This lets you meet strict KYC requirements and launch your business banking without ever needing a personal US tax number. Check with your provider to see if they accept this. 

The importance of a US business presence

Even without an SSN, banks insist on a clear US footprint to anchor your business within regulatory frameworks. You must prove you’re properly established, typically through a registered agent, and have a verifiable physical address in the US.

How do I get an EIN if I am not a US citizen?

The good news is that you don’t need US citizenship to secure an EIN. You can apply directly with the IRS by filing Form SS-4. Non-residents typically write “foreign” in the SSN field and submit the form by fax or mail.

How to choose the right business bank account: No deposit, no fees, and no credit checks

When choosing the best business bank accounts, consider factors such as minimum balance requirements, ease of setup, and cost transparency.

Business bank accounts with no initial deposit

Zero-deposit accounts are great for companies that are focused on preserving every dollar of cash flow – for instance, lean startups. They let you get set up without tying up cash, which is especially useful if you’re testing a new market or have irregular income. 

Business bank accounts with no credit check

Some providers don’t run personal credit checks and focus on verifying the legitimacy of your business rather than your past borrowing history. This is helpful if you’re new to the US system or don’t want your personal credit tied to business operations. 

Business bank accounts with no hidden fees

Transparent pricing is a breath of fresh air, no matter how established your business is. Clear fee structures help forecast payments and avoid surprises that silently eat away at your margins, such as charges for maintenance, wire transfers, FX, and essential business tools.

Frequently asked questions about opening a business bank account with an EIN only

Can I get a business credit card with just an EIN?

In some cases, yes. But approval is typically restricted to corporate or charge cards that assess the business’s cash flow rather than personal credit. That said, issuers will still need to verify the identity of authorized signers. 

What is the quickest business bank account to open?

The best online business accounts are usually the quickest and easiest to open. For example, Airwallex offers digital applications, onboarding, and automated checks, with an approval time of around 1–3 business days if your documents are complete.

Should I get an EIN or LLC first?

You should form the LLC first. The EIN must be issued in the legal name and structure of an already registered business.

Are there online bank accounts that you can open with an EIN only?

No. Online banks don’t allow you to open a business checking account with an EIN only. Banking regulations require the verification of the identities of the real individuals behind the business.

What is the difference between an EIN and a TIN?

A TIN (Taxpayer Identification Number) is a broad term for any tax ID used by the IRS. An EIN is a specific type of TIN assigned to businesses.

Sources

1. https://www.bai.org/banking-strategies/smb-digital-account-opening-is-the-next-competitive-frontier/