LLC approval came through last week from the CT secretary of state. I printed the certificate and took it to two banks. Both turned me down. First one said they don't open business accounts for LLCs that were formed less than 60 days ago, no exceptions. Second one asked for an EIN letter and an operating agreement and a business license, which I have, but then said the account would be flagged because my registered agent address is different from my mailing address? I work from home and used a registered agent service because I don't want my home address on public filings. Is this normal? Am I going to have to use the registered agent's address as my business address everywhere?
Banking
My Connecticut LLC was approved, but I still can't open a business bank account
Different bank. The one I use asked for my EIN, articles of organization, operating agreement and a resolution naming authorized signers. They didn't care at all where my registered agent was was.
That 60 day rule is a real thing at some institutions.It's internal policy, not law. You might call ahead and ask about new formation accounts so you don't waste trips.
The registered agent address thing is a headache but it's not supposed to be your business address. It's just where legal papers go. If the bank form is asking for principal place of business, give them your actual work address and attach a note if needed. If it's asKing for registered agent, lits the service. They are separate boxes on most forms.
I had the the same problem in a different state. Wound up going to a small community bank where I could actually sit down with a person. The big national ones had a checklist they couldn't deviate from.
Also some banks will want a physical address that isn't a PO box or a mail drop. Registered agent services often are mail drops from the bank's perspective. That might be what tripped you.
Did they tell you specifically what was wrong or just a vague no? If it's not in writing, call back and ask for the exact reason. Sometimes it's a front line employee thing and a branch manager will handle it differently.
Be careful with using the registered agent address as your principal address on bank documents. It can create confusion later with your EIN and state filings if the addresses don't match what the IRS has. Keep your documents consistent and if something needs to change, change it everywhere at once.
The 60 day thing is strange to me though. I opened mine two weeks after approval. What kind of bank was it, a credit union?
Some fintechs will open a business account for a new LLC with less documentation, but read the deposit limits and fee schedule. The tradeoff is real.
I'd go in person to a credit union. They tend to be more flexible on new formations, and address setups. Bring everything you have, printed, in one folder. It sounds silly but it makes a difference.
And if a bank does say yes, get the account documents scanned and saved somewhere you can find them. You don't want to be hunting for the signature card in two years when you're trying to open another account or apply for something.