We ask that all fiscally-sponsored projects open a dedicated bank account for their project's funds.
You are not required to have a business bank account, but we STRONGLY suggest you have a separate bank account for your project. This means you can simply open a separate personal checking account.
To open any bank account, we suggest approaching a local bank to inquire about what is required to open such an account. Keep in mind that smaller, independent banks (or better yet, nonprofit credit unions) often charge the lowest fees and provide better customer service than the large corporate banks.
Business Bank Accounts
If you'd like to open a business bank account, filing a Certificate of Assumed Name (aka DBA Doing Business As) with your County Clerk's office is usually enough for an individual who has not incorporated a business to open a business bank account as long as an individual is willing to personally guarantee the account. We WILL NOT provide you with our IRS determination letter to open a bank account. See Prohibited Activities for more details.
Some banks may require official documents stating that the business entity exists (Articles of Incorporation, Bylaws, etc.) but if you hunt around, you can probably find a bank that will help you out – after all, they are in business to take people’s money. Again, you are not required to have a business account, you can also open a separate personal checking account, so long as your own personal finances are not involved.
Setting up a separate bank account for your business activities makes tax reporting easier and establishes a financial history for the project/company.
Article is closed for comments.