Detailing business bank account help

William_Wallace

William_Wallace

New member
I have a question I usually have check made out in my name a one man show. I recently picked up a large commercial client doing fleets they gave me all checks made out to my business name some with there accounting department can I just cash them or should I open a business account.


Add business accounts any idea what you need prob EIN number
 
If you are doing this as a business, I`d suggest a dedicated business bank account and accounting software like Quickbooks.
 
Get an accountant. They pay for themselves. Set up an LLC and business account.


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Yep, an accountant will make your life easier. I`m constantly amazed at people who run businesses and don`t have an accountant.
 
I’d shop around for an accountant, make sure it’s someone you can get along with and has the same level of integrity as you. If not they can be a real PITA.


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Weird... I`ve never thought I needed an accountant. Being a one man show, even as an LLC, I file everything along with my personal taxes. Now if I were to hire someone that changes it and adds complexity, but if it`s just you, even if you form an LLC it should be treated as a sole proprietor by the IRS.

Now I`m in michigan so that`s how it works here, I can`t speak for any other state as I just don`t know their process.

Setting up an LLC is really easy, I just had to fill out an articles of organization with the state, pay $50 and boom, LLC. I have to do an "annual report" each year and pay $25, which is basically "yes I`m still operating as an LLC."

You will need to have a registered agent to form an LLC. This can either be you (your home address is used) or a third party. I have a third party as mine which I pay $125/yr for. This info is needed to file an articles of organization. Spend a little time on Google and take some time to understand what this is for.

You do need an EIN with the IRS to open a business checking account. It`s been a few years since I did mine but it wasn`t difficult. A little searching on google gave me all the answers I needed.

Once you have all that it`s just like opening up any other account at a bank. You just use the business name instead of your name (your name will still be on there for obvious reasons).

In terms of the checks you have in the business name, most banks will not allow you to cash them because they aren`t written out to you. Since the name isn`t on the account, they technically can`t cash them. So you`ll want to figure this out sooner than later.

Best of luck! It seems a little intimidating at first setting this all up but most of it is a one and done thing and you`re good to go. Feel free to PM me if you have any questions.
 
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