You also need the proper licensing from your City, County, or State.
Whether you have employees or not, your business entity must have a Federal Tax ID number (EIN). Just like you have a Social Security Number, your business has an EIN. Your Tax ID number is used to open your bank account and to build your business credit profile. If you have an EIN, you may still need a new one if:
- Your business is subject to a bankruptcy proceeding.
- You form a new corporation or change the corporate name.
- You take in new partners and operate as a partnership.
- You purchase, or inherit, and plan to operate an existing business.
Take the time to verify that all agencies, banks, and credit vendors have your business listed with the same Tax ID number.
Compliance Item – Federal Employer Identification Number (EIN)