If you’re starting a business, you might be asking:
Can I open a business bank account without forming an LLC?
The simple answer is: Yes — you can.
But should you? That depends on your business goals, risks, and future plans.
This article explains who can open a business bank account without an LLC, the pros and cons, and why forming an LLC is often a smarter long-term move.
Can You Open a Business Bank Account Without an LLC?
Yes. If you operate as a:
- Sole Proprietor
- Freelancer
- Independent Contractor
- General Partnership
- Or under a DBA (Doing Business As)
…then you are eligible to open a business bank account — even if you don’t have an LLC.
Most banks will allow this setup, provided you can show that your business is legitimate.
What Documents Do You Need (Without an LLC)?
Even without an LLC, banks will require basic proof of your business activity.
Typical Requirements:
- Valid government-issued ID (e.g., driver’s license or passport)
- Social Security Number (SSN) or ITIN
- DBA or Fictitious Name Certificate (if your business operates under a trade name)
- Business license (if required in your area)
- Invoices, website, or other business proof (optional, but helpful)
Pro Tip: Having a registered DBA name improves your chance of approval if you don’t have an LLC.
Who Typically Opens a Business Account Without an LLC?
- Freelance designers, writers, and developers
- Home-based businesses and solopreneurs
- Etsy or Shopify store owners
- Coaches, consultants, or VA services
- Local service providers like tutors, cleaners, or handymen
If you’re just testing an idea, starting as a sole proprietor without an LLC is acceptable — but it comes with risks.
Pros and Cons of Opening a Bank Account Without an LLC
| Pros | Cons |
|---|---|
| Faster and easier setup | No personal liability protection |
| No LLC registration costs | Lower business credibility |
| Good for testing small ventures | Harder to build business credit |
| Minimal paperwork | May limit access to online banks (like Mercury or Relay) |
Without an LLC, your personal assets are exposed to business lawsuits or debts.
Can You Open an Account with Online Banks (like Mercury or Relay) Without an LLC?
No. Most modern online business banks require an LLC or corporation to open an account.
Banks That Typically Require an LLC:
- Mercury
- Relay
- Bluevine
- Brex
If you don’t have an LLC, you’ll need to:
- Use a traditional local bank
- Or use PayPal Business, Wise, or Payoneer as temporary alternatives
Why You Should Still Consider Forming an LLC
Even though it’s not mandatory, forming an LLC before opening a business account is often a smart strategic move.
Here’s Why:
- Legal protection of your personal assets
- Easier approval from banks, processors, and payment gateways
- Better tax planning options
- Increased trust from clients and partners
- Improved business credit access
If you’re serious about growing your business, forming an LLC gives you long-term flexibility, protection, and structure.
How FormLLC Can Help
At FormLLC, we help you launch your LLC + bank account — especially if you’re a non-U.S. resident or freelancer scaling up.
LLC registration in all 50 states
EIN delivery in 24–48 hours
BOI report filing (2024–25 compliant)
Free Registered Agent (1st year)
Help opening Mercury, Wise, or Relay accounts
Domain, website, and business email setup
📧 Email: contact@formllc.us
🌐 Website: www.formllc.us
📱 WhatsApp: +91 6202619173, +1 332266218
Final Answer: Can You Open a Business Bank Account Without an LLC?
Yes, you can — especially if you’re a sole proprietor or have a DBA.
But ❗ without an LLC, you risk:
- Losing personal asset protection
- Missing credibility with banks and clients
- Limiting your business growth potential
So while it’s possible, it’s often better to form an LLC first — and FormLLC can handle it all for you.
