Registering your business in the United States can help you reach new customers and investors. Opening a US business bank account is one of the first steps after setting up your company. Doing this from India may feel challenging, but it’s easier if you understand the process and the requirements to open one.

In this article, we will give you the key steps, requirements, and tips to help you get started.

Why Open a US Business Account?

Starting a business in the US and opening a business account can open many doors for entrepreneurs in India or anywhere else. Here are a few simple reasons why:

Reach More Customers

The US is one of the world’s largest and most diverse markets. Setting up a US business account makes buying from you easier for American customers. This means you can tap into a big pool of potential clients from day one.

Build Credibility and Trust

A US-based company and bank account can make you look more trustworthy to customers and partners in America. People in the US often feel more comfortable dealing with a business that looks and feels local, even if you’re based overseas.

Simplify Your Finances

Having a US business account simplifies managing your money in US dollars. You can avoid extra currency exchange fees when paying suppliers, receiving payments, or paying for online services priced in USD.

Attract Investors and Partners

Many American investors feel more confident investing in companies that are legally based and registered in the US and have local banking arrangements. A US business presence can also help you build partnerships with American companies looking for reliable suppliers or collaborators.

Open a US Banking Account With Adro

Attempting to open a business account from India can be quite challenging, but if you’re looking for a seamless application when opening a US business account, Adro simplifies your business finances. 

With Adro, you can open either a Business Checking or Savings account with no fees on inbound wire transfers and no monthly or annual service fees. The best part is you’ll only need your passport, EIN, articles of incorporation or business license, and your business address and phone number. 

Steps to Set Up Your US Company

One of the primary requirements before you open a US business account is, of course, that you already have your company registered in the US even if you’re still residing in India. 

Here is an overview of the things you need to prepare:

Pick a Business Structure

The two most common choices are an LLC or a C-Corporation.

• LLC (Limited Liability Company): Easier to set up and good for small teams, with flexible tax options.
• C-Corporation: Useful if you plan to attract investors in the future.

Choose a State to Incorporate In

Some states, like Delaware or Wyoming, are popular for their business-friendly rules and simpler paperwork.

Name Your Business and File Formation Documents

Once you choose a name, you must submit the proper paperwork to the state’s business authority.

• LLC: File “Articles of Organization.”
• C-Corp: File “Articles of Incorporation.”

Appoint a Registered Agent

This person or company will receive official mail and legal documents on behalf of your business. They must have a physical address in the state where you form your company.

Get an Employer Identification Number (EIN)

This is a tax ID for your company, which you can apply for from the IRS even if you don’t have a US Social Security Number.

Opening a US Business Account

Opening a business account in the US can help you handle payments, manage funds in US dollars, and simplify financial tasks. 

For Indian founders, this may feel like a big step, but it’s quite manageable if you know what you need and what to expect.

What You’ll Need Before You Apply

Before you start to apply,  gather the required documents. Having everything ready can save you time and reduce the number of follow-up questions from the financial institution.

• Company Documents: You’ll need proof that your business is legally formed in the US. For example, if you have an LLC, the bank may ask for your Articles of Organization and Operating Agreement.
• EIN (Employer Identification Number): This is a unique tax ID for your business, provided by the IRS.
• Personal Identification: A valid passport is usually required, plus a second form of ID in some cases.
• US Business Address: This could be a virtual office or a registered agent’s address. Many financial institutions want a US mailing address for official communications.
• Proof of Your Home Address: A recent utility bill or bank statement from India can serve as proof of your address.

Step-by-Step Process

Think of opening a US bank account as a series of small steps. Each step brings you closer to having a fully functional account that will serve your business well.

1. Gather Your Documents: Make sure you have all the paperwork in one place. Keeping digital copies as a backup helps you answer questions quickly.
2. Compare Different Banks or Fintech Solutions: Check their requirements, fees, and services, and compare how easy it is to apply from overseas. Choosing the right one can save you time and frustration later.
3. Check if You Need to Be Present in the US: Some banks insist on meeting in person, while others allow a fully online process. If traveling to the US is impossible at the time of application, focus on banks or fintech companies with remote onboarding.
4. Submit Your Application: Complete the online application or prepare for your in-person visit. Provide all requested details and double-check your documents to avoid delays.
5. Respond to Follow-Up Requests: The bank may ask for more information about your company’s activities or where your funds come from. Be honest and clear with your answers to build trust and expedite the account opening process.

Tips for a Smooth Application Process

A little planning goes a long way. Staying organized and informed can improve your chances of a smooth application process.

• Start Early: As soon as your company is registered and you have your EIN, start setting up your US business account.
• Keep Everything Organized: Store all your documents in a secure digital folder in your cloud service, this makes it easy to provide them when asked.
• Be Clear About Your Business: Banks want to know who they’re working with. Be ready to explain what your company does, how you earn revenue, and who your main customers are.

Save yourself from the hassle of opening a business account and opening one with Adro. With Adro, you can open a Business Checking or Savings account with no fees on inbound wire transfers or monthly or annual service fees. 

You’ll only need your passport, EIN, incorporation or business license articles, and your business address and phone number. Opening an account with Adro can help you focus more on your business while giving you the luxury of owning your business account in the US.

Sign up today and open your first US business account.