When you’re trying to start a new business, you know that there is a lot of paperwork that has to be done first. Business licenses, seller’s permits, and other documentation is needed to ensure that your new company is up and running the right way. However, the most crucial paperwork you need to submit is the EIN application. Since this is essential to your business, let’s find out how you can get it ASAP.
What is an EIN?
This stands for Employer ID Number, and it’s a form ofTtax ID provided by the IRS. Just like a social security number is used for your personal taxes, an EIN is used for businesses. This number is necessary if you plan on doing any one of the following:
- Hire Employees
- Open a Business Bank Account
- Form a Corporation
- Form a Partnership
In many cases, an EIN is also ideal for LLCs, but not always necessary. Also, if you are filing for a sole proprietorship, you can use your SSN in place of an EIN.
How to Get an EIN
Fortunately, the process for obtaining this Tax ID number is super easy. You can either go to the IRS directly, or you can rely on a third-party website.
There is a form that you have to fill out, which you can submit either online or via fax. We highly recommend the former option since it will enable you to get approved within a day or so. In many cases, an EIN can be granted in just a few hours.
Overall, getting an employer ID number should be one of the first steps in starting your new business. Thankfully, the process is straightforward and painless, so you should be able to get it and be up and running in no time.