Decide which bank you want to open an account with and call or email them. Ask what their specific requirements are for opening a business checking account. Generally, most banks require a copy of your business certificate from the secretary of state, an IRS document with your EIN number on it, and sometimes your articles of incorporation.
The date you open your business bank account is the day that lender’s consider your business to have started. So if you incorporated your business 10 years ago, but you just opened the business bank account yesterday, then your business started yesterday.
The first step in establishing positive Bank Credit is to make sure that your business name and mailing address, as listed on your business bank account(s), matches exactly how your business name and address appear on your legal paperwork that has been filed with the State. It must also match exactly with the name and address that appear on any Federal EIN paperwork. If it does not match GET IT CORRECTED IMMEDIATELY.
Most lenders determine the age of your business by the date you first opened your business banking account and not the date that appears on your Incorporation, LLC, or EIN paperwork. The date you filed paperwork is of no concern to lenders, or to the business credit agencies. Everything in business lending and business credit starts from the day you open your business bank account.
Your business banking history is vital to your future success of being able to secure larger business loans. Lenders will look to see how long that relationship has been established. The longer your business banking history, the better your borrowing potential.
Merchant Credit Card Processing
Most businesses can benefit from being able to accept credit cards as payment for their products and services. Could your business benefit? There is no shortage of sources out there that can provide you with a merchant account, a processing gateway and any necessary equipment so you can accept credit cards from your customers. In fact, your bank will more than likely want to be that merchant solution for your business.
However, it’s important to explore your options before setting up a merchant account with your bank. It might be convenient but can also greatly limit your financing and credit options both short term and long term. For example, there are funding programs based on your merchant processing and not on standard credit underwriting that can provide ongoing access to cash for your business.
Accept Credit Cards & Build Credit
The ability for your business to accept credit cards is now also a key component in helping you to build business credit. You now have exclusive access to a Merchant Account Provider that can offer a unique advantage.
This is the only Merchant account that not only offers competitive rates and terms but also helps your business establish a trade reference. That means every time you pay your monthly merchant account fees you are establishing a track record that you can ultimately add to your Dun and Bradstreet business credit file.
Has your business bank account been opened with your EIN Number?
Has your business established a merchant account to accept credit card payments?