Series LLC Bank Account: How Banking Works for a Series LLC and What You Need to Know

A Series LLC is a unique type of limited liability company that allows you to create multiple “series” or “cells” under one parent LLC—each with its own assets, liabilities, and operations. But one of the most confusing parts for business owners is banking.

Do you need a separate bank account for each series?
Can a series share an account with the parent LLC?
How do banks treat a Series LLC?

This guide explains exactly how to set up Series LLC bank accounts, what each series needs, and how to stay compliant.

What Is a Series LLC? (Quick Overview)

A Series LLC consists of:

A master (parent) LLC, and
Multiple individual series under it

Each series can have:

Separate assets
Separate liabilities
Separate members
Separate income
Separate tax reporting (in some states)

However, legal protection between series is only preserved if each series is treated as distinct—including how finances are handled.

Do You Need a Separate Bank Account for Each Series LLC?

YES.

Each series should have its own bank account to maintain:

✔ Separate finances
✔ Separate liabilities
✔ Strong liability protection between series
✔ Clean bookkeeping
✔ Proper record keeping
✔ Clear asset segregation

If you mix funds between series, you risk piercing the liability shield, which could make one series responsible for another series’ debts.

This undermines the entire purpose of forming a Series LLC.

Why Each Series Needs Its Own Bank Account

1. Liability Protection

Courts require strict separation between series.
Shared finances = weakened or destroyed liability protection.

2. Clean Accounting

Each series should be able to show:

Its own income
Its own expenses
Its own assets

Banking separately makes tax and accounting far easier.

3. Audits and IRS Compliance

Even if your state treats your Series LLC as one entity for tax purposes, you still need:

Separate books
Separate bank accounts
Separate operational records

4. Banking Regulations

Most banks require:

An EIN for each series
The organizing documents showing the series structure
Authorization resolutions for each series

Because each series may act like a standalone business, banks take compliance seriously.

What Documents Do You Need to Open a Bank Account for a Series LLC?

Each bank has its own requirements, but generally you need:

For the Master LLC:

For Each Series:

Series designation document
Series-specific Operating Agreement (or addendum)
Resolution authorizing opening the account
EIN for the series (if required)
Certificate of Good Standing (if available in your state)

Some states—like Delaware, Illinois, Texas, Tennessee, and Nevada—permit registered series, which come with their own state certificates. Banks prefer these because they look like standalone entities.

Do Series LLCs Need Separate EINs?

This depends on your state and tax structure.

Often:
Each series should obtain its own EIN—especially if it:

Has employees
Files its own tax return
Has separate ownership
Generates income independently
Operates separately from the parent LLC

Sometimes:
If the IRS treats the Series LLC as a single entity (for federal taxes), one EIN may be allowed for the entire structure.

However:
Most banks still require separate EINs for each series before opening a bank account.

How Banks View a Series LLC

Not all banks understand the Series LLC structure. Expect different experiences:

National Banks

Often unfamiliar with Series LLC structure
May refuse to open accounts for individual series
May require extra documentation
More strict with compliance

Regional & Local Banks

Often more knowledgeable
More flexible with Series LLC documentation
Better customer service for unique entity types

Online Banks / Fintech Platforms

Some online banks now support Series LLCs but may require:

EIN for each series
Clear documentation
A series-specific operating agreement

Which Banks Commonly Support Series LLC Accounts?

(based on general industry knowledge)

✔ Chase (varies by branch)
✔ Bank of America (documentation-heavy)
✔ Wells Fargo
✔ Truist
✔ PNC
✔ Capital One (business branches only)
✔ Local and regional banks
✔ Credit unions
✔ Online platforms like Relay or Novo (case-by-case)

Always call ahead—requirements vary by branch and state.

How to Open a Bank Account for a Series LLC (Step-by-Step)

1. Prepare your documents

Gather:

Parent LLC formation documents
Series-specific documentation
Series EIN
Operating agreement(s)
Banking resolution

2. Choose the right bank

Prefer banks with Series LLC familiarity.

3. Meet with a business banker

Explain your structure clearly:
“I have a Series LLC with multiple independent series. This account is for Series X.”

4. Open the account and deposit funds

Start the account with initial capital contributions from the series members.

5. Maintain strict financial separation

Never mix funds between series.

Separate accounts = strong liability protection.

Best Practices for Series LLC Banking

✔ Keep separate bank accounts for EACH series

✔ Maintain separate bookkeeping

✔ Use different debit/credit cards for each series

✔ Keep separate contracts and invoices

✔ Track expenses and revenue individually

✔ Avoid transferring money between series without documentation

✔ Update the operating agreement when adding new series

Proper separation is crucial for maintaining the Series LLC’s legal structure.

Common Mistakes to Avoid

❌ Using one bank account for all series
❌ Failing to obtain EINs for each series
❌ Mixing income or expenses
❌ Not updating operating agreements
❌ Opening accounts before forming the series correctly
❌ Not documenting inter-series transfers
❌ Assuming every bank understands Series LLCs

These mistakes can jeopardize liability protection and create IRS issues.

Do All States Recognize the Series LLC Structure?

No. Only certain states allow Series LLCs, including:

Delaware
Texas
Nevada
Tennessee
Illinois
Utah
Oklahoma
Iowa
Alabama
District of Columbia

States like California do not recognize Series LLCs—though they may still charge franchise tax for them.

If your series operates in a non-Series LLC state, you may need separate LLCs or foreign registration.

Final Answer: Does Each Series LLC Need Its Own Bank Account?

✔ YES — each series should have its own bank account

This is essential for:

Liability protection
Clean accounting
Legal compliance
Clear asset separation

Trying to share bank accounts defeats the purpose of a Series LLC structure.

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