Banks are not always easy to deal with, but at least they are predictable. I have set up small business bank accounts in 5+ countries and although requirements differ, there are certain fundamental rules of thumb I try to follow each time.

1. Don’t Be a Stranger

If you already have a personal account with the bank, the set-up process will be much smoother and quicker. Their system knows you and that goes a long way for the banks. In addition, if it is your existing bank, you will be familiar with how they work (or do not work) and know how to navigate their internal bureaucracy and online banking systems. Banks have lots of packages and offerings for small businesses, but at the end of the day they are very similar. If any of the rules of thumb below hugely favor another bank, then switch.

2. Find a Champion

Even if you fill out an online application, call the bank’s hotline to follow up. This will make your life a lot easier once the account is set up. Banks are monstrous organizations often patched together through multiple company mergers and navigating them can be treacherous. Get yourself a champion within the bank right from the start. I have had bank customer service representatives with whom I had built a relationship responding to my emails and helping out even though they were on vacation.

3. Get Your Papers in Order

Do your homework. Hit the bank’s website to find out all the papers you need and what format they need to be in, and start gathering them. Most banks require documentation to comply with a certain level of “Know Your Customer”, also called “KYC,” before they will let you open a new account. Not having my company’s paperwork ready has been the #1 cause of delay when I have set up bank accounts. I am currently setting up a bank account in Ireland and I did not realize that I not only need copies of passports and address proof for all directors and shareholders, but each copy needs to be certified by an accountant or lawyer. This is now causing a delay because I am trying to find a cheap solution for the certification requirement. When I recently set up a bank account for one my companies in the U.S., a Delaware C Corporation, having the following documents and information handy allowed me to do an immediate account set-up using phone and email:

• Certificate of Incorporation
• Company name
• Company EIN
• Company address
• Person’s name
• Person’s Social Security Number

If you have co-founders, make sure you agree whose name to use with the bank. In the United States if the account holder is not a U.S. citizen or green card holder, he or she will need to provide additional documents, such as a passport, and may even need to personally visit the bank.

One document you will typically also need is a corporate resolution to set up the account. The banks all have a standard form, so rather than type up your own, get the bank customer service representative to email it to you while you speak, then immediately fill it out, sign, scan and email back. It needs to be signed by the “Person” mentioned above.

It is important to note that your company address, not the state your company is incorporated in, will determine in which state your bank branch is located. This can have practical and tax consequences, so make sure to discuss this with co-founders before starting the account set-up process.

4. Make a List, Check it Twice

It never ceases to amaze me what costs extra and what requires an extra application form. Two weeks ago, I needed to pay a U.S. vendor via a transfer from the company’s U.S. bank account to the vendor’s U.S. bank account. Even something simple like this required a new application which came with a 3-month free trial and monthly fee after that. Initially, it took about an hour of phone calls and online banking to set it up, and it is still not working properly.

To help avoid surprise fees, headaches and delays, I suggest making a list of absolutely everything you will need to do with your bank account. I mean everything. Then make sure to walk through the entire list with the customer service representative you’re dealing with.

Here are examples of some of the potential extras: receiving and making domestic and international transfers, depositing cash at a branch (your branch vs. other branches), withdrawing cash from an ATM, purchasing checkbooks, issuing checks, cashing checks, online banking fees, purchasing online banking security devices, receiving monthly statements, monthly minimum account fees, fees on foreign exchange, etc.

5. Sit Back and Relax

I have lost my temper a few times with banks and it is always counterproductive. This goes to some of the points above: banks are predictable, they have their procedures, they have their internal limitations. Fighting it is like sailing directly into the wind. Instead, you need to tack. It is possible to sail against the wind, you just need to follow some rules of thumb and be patient.

My track record ranges from a 30-minute company bank account set-up to 3 weeks and counting. The more I stray from the above rules of thumb, the longer it has taken to get the account ready and the less satisfied I have been with the overall banking experience.