Can i cash a business check if i don't have a business account?

Question

Can i cash a business check if i don't have a business account?

Answer 1

Nope.  You'll have to open a business bank account first.  

In order to do that, you'll need to incorporate, or at the very least, call the IRS and get a Employer Tax Id (DO NOT SWEAT THIS PART)...you can get a tax id from the IRS in about 5 minutes...over the phone... AND they are open late (believe it or not).

Declaring yourself a sole proprietor might help cut out the IRS part...telling the bank you're sole proprietor and using your SSN as a tax id instead....

Either way, you will definately have to open a business bank account.  Most times, if you don't keep a minimum balance in the account (like $5,000) they will charge you around a $12 fee per month as a penalty.

Good luck!

Answer 2

A check made out to a business name cannot be cashed.  It must be deposited into an account of that business.