If you’re starting a business, you’ve probably heard the terms EIN and LLC thrown around a lot. But what do they actually mean, and why are they both important?
In this article, we’ll break down what “EIN plus LLC” really means, how they work together, and why every serious entrepreneur should have both.
✅ What Is an LLC?
An LLC (Limited Liability Company) is a legal business structure registered at the state level. It protects your personal assets (like your home or savings) in case your business is sued or goes into debt.
🔒 Benefits of an LLC:
- Personal liability protection
- Pass-through taxation (you avoid double taxation)
- Professional business credibility
- Flexible management structure
- Easier access to business funding and banking
📌 You form an LLC by filing Articles of Organization with your chosen U.S. state.
✅ What Is an EIN?
An EIN (Employer Identification Number) is a 9-digit number issued by the IRS. It’s like a Social Security Number, but for your business.
🧾 What You Can Do With an EIN:
- Open a business bank account
- Hire employees
- File federal and state taxes
- Apply for licenses or permits
- Work with payment processors (Stripe, PayPal, etc.)
- Build business credit
📍 You apply for an EIN after forming your LLC.
🔗 Why EIN + LLC = Your Business Foundation
Both an LLC and EIN are crucial for operating a legal, professional, and credible business.
| Feature | LLC Only | EIN Only | EIN + LLC (Best Setup) |
|---|---|---|---|
| Legal Protection | ✅ | ❌ | ✅ |
| Tax Filings | ❌ | ✅ | ✅ |
| Business Banking | ❌ | ✅ (Sole Prop) | ✅ |
| Payment Gateway | ❌ | ❌ | ✅ |
| Brand Image | Medium | Low | High |
When you have both, you’re set up to:
- Receive payments as a business
- Apply for funding or grants
- Establish trust with customers and vendors
- Stay compliant with federal and state laws
💡 Who Needs an EIN + LLC?
You should get both if you are:
- A freelancer or content creator who earns money online
- Starting a small business or startup
- Running an eCommerce store or dropshipping business
- Providing professional services (coaching, consulting, IT, marketing)
- Planning to hire employees or contractors
- Working with U.S. clients as a non-resident
Even if you’re not based in the U.S., you can still open an LLC and get an EIN as a non-resident!
📦 What Comes After EIN + LLC?
Once you have both, you should:
- Open a business bank account
- Apply for a business license or permit (if required in your industry or location)
- Create a website and business email
- Register for state taxes or sales tax if applicable
- Maintain compliance with annual reports and BOI reporting
💼 Need Help with EIN + LLC Setup?
At FormLLC, we make it simple to set up everything:
✅ LLC Formation (all 50 states)
✅ Express EIN from the IRS
✅ BOI report filing (required from 2024)
✅ Free Registered Agent (1st year)
✅ Custom operating agreement
✅ Business website + domain + email
✅ Business phone number
📧 Email: contact@formllc.us
🌐 Website: www.formllc.us
📱 WhatsApp: +91 6202619173
🧠 Final Thoughts
Getting your EIN plus LLC is the fastest and most effective way to:
- Start legally
- Build credibility
- Open a U.S. business bank account
- Accept payments and grow your brand
Don’t cut corners. Protect your business and future with the right setup from day one.