I keep seeing the term EIN mentioned when people talk about starting a U.S. company, but I’m not sure what it really means. As a foreigner who doesn’t have a Social Security Number, I’d like to know: what exactly is an EIN, what is it used for, and why would I need one if I want to run a business or open a bank account in the United States?
Answer by: abdullah-al-naim
4 weeks ago
An EIN or Employer Identification Number is a unique nine-digit number issued by the IRS (U.S. federal authority) to identify a business for tax purposes. Think of it like a Social Security Number for your company. You need it to file taxes, open a U.S. bank account, hire employees, and often to apply for licenses.
Foreign entrepreneurs without SSNs or ITINs can still obtain an EIN by submitting Form SS-4 directly to the IRS. Many choose professional help because the process can be tricky. Companies like Business Globalizer and Steady Formation guide non-residents step by step: forming the LLC, filing for the EIN, and making sure everything is compliant.
In short: an EIN is your company’s official tax ID in the U.S., essential for almost every business activity.
