Setting Up a U.S. Bank Account as a Canadian Business

For many Canadian businesses, expanding to the US market is the next natural step. You can reach more customers, tap into a bigger market, and build partnerships that simply don’t exist at home. But once you start selling in the U.S. or paying U.S. vendors, one question becomes unavoidable:

How do you set up a U.S. bank account as a Canadian business?

The answer used to be complicated. Today, it’s much more accessible. The right path depends on your business model, how you earn revenue, and what you’ll use the account for.

This guide breaks down the options, what’s changed, and how founders should think about the decision.
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Why Canadian Businesses Look for U.S. Banking?

You don’t need a physical office in the States to run into U.S. banking needs. Most Canadian companies look for U.S. accounts because they want to do one or more of the following:

• Get paid in USD without instant conversion
• Pay U.S. suppliers or contractors via ACH
• Run U.S. advertising without FX fees eating margins
• Manage USD revenue and CAD expenses in one system
• Avoid slow or expensive international wires
• Look more “local” to U.S. partners and platforms

As more Canadian businesses sell across borders from day one, U.S. banking has shifted from “nice to have” to “this actually solves a real operational headache.”
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How U.S. Banking Works for Canadian Companies

U.S. banking isn’t as centralized as Canadian banking. Requirements differ by state, by bank, and sometimes by branch. That means your experience depends on three things:

• Whether you have a U.S. entity
• Whether you can show up in person
• Whether the provider supports foreign-owned businesses

This is why many founders end up comparing traditional U.S. banks to global, multi-currency banking tools. Here are the two core paths.
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Path 1 - Opening a U.S. Bank Account Through a U.S. Entity

If you have (or plan to create) a U.S. LLC or corporation, you can open a bank account in the U.S.

You’ll typically need:

1. Articles of organization or incorporation
2. Your EIN
3. Your government-issued ID (passport or driver’s licence)
4. A U.S. mailing address (registered agent or virtual address often works)

Benefits of this route

• You get access to most major U.S. banks, ACH rails, business credit, and U.S. merchant services. It’s ideal if you’re planning a deeper U.S. presence or building a long-term operation.

Tradeoffs

• Forming a U.S. company means ongoing compliance, taxes, filings, and sometimes higher administrative load.
• Some banks still require you to show up in person.

This path makes sense for businesses that expect to scale meaningfully in the U.S.
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Path 2 - Opening a U.S. Account Without a U.S. Entity

Five years ago, opening a U.S. account without a U.S. company was almost impossible. Today, platforms like Loop make it easy for Canadian businesses to operate in USD without forming a U.S. entity or visiting a branch. Many Canadian businesses choose this path when they:

• Want to collect USD from customers
• Need access to local U.S. ACH for sending and receiving
• Want faster, cheaper supplier payments
• Prefer to avoid setting up a U.S. corporation
• Want to avoid constant CAD to USD conversions
• Need a fully online, frictionless onboarding process
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With Loop, Canadian businesses can:

• Open a true USD business account as a Canadian entity
• Access U.S. ACH rails for domestic-style USD payments
• Hold USD and convert only when it benefits the business
• Pay U.S. suppliers without international wire delays
• Run U.S. ad spend using global corporate cards
• Reduce FX loss through transparent, lower fees
• Manage CAD and USD together in one modern platform

Traditional banks usually require a U.S. entity, a U.S. address or an in-person appointment. Loop removes all of that friction.

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Why founders love this path?

For ecommerce brands, agencies, SaaS companies, manufacturers or early-stage teams testing the U.S. market, Loop is the most flexible and cost-efficient setup. You skip entity creation, avoid administrative overhead and still get a fully capable USD financial system.

This lets you operate like a global business long before you need the complexity of a U.S. corporation.
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What You’ll Need Regardless of Which Path You Choose

Whether you’re going the traditional route or using a modern cross-border platform, expect to provide:

1. Identity verification
2. Canadian business documents
3. Ownership details
4. A short explanation of how your business earns revenue

Every financial institution needs to complete compliance checks, and Canada + U.S. rules are strict. This is completely normal.
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How to Decide Which Banking Setup Makes Sense

Here’s the decision logic most founders use.

If you earn meaningful revenue in USD, you need a place to hold it, not auto-convert it.

If you pay U.S. suppliers or contractors, ACH access will save you time and fees.

If you manage U.S. ad spend, a USD card keeps margins cleaner.

If you plan to expand into the U.S. beyond payments, a U.S. entity may make sense long-term.

If you’re experimenting or early-stage, multi-currency accounts without entity creation are usually enough.

You're not choosing “a bank”, you're choosing the financial infrastructure that matches your goals.
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The Simplest Path: Step-By-Step

Here’s a streamlined process founders typically follow.

1. Clarify what you really need
   - USD payouts? ACH? FX tools? U.S. credit? A local presence?
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2. Decide on structure
   - U.S. entity = traditional banks open up Canadian entity = multi-currency platforms work well
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3. Gather your documents
   - ID, incorporation documents, ownership details, EIN if applicable
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4. Choose a provider that matches your need
   - some companies prioritize low FX fees
   - Others prioritize ACH and USD payouts
   - Some need a card for global spend
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5. Start managing USD intentionally
   - Hold, convert, pay, or reinvest with a clearer strategy

At its core, U.S. banking is less about geography and more about making global operations smoother.
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Do You Actually Need a U.S. Bank Account?

Surprisingly, not always. If you only need to bill U.S. customers, receive USD payouts, or pay the occasional vendor, a dedicated multi-currency business account may be enough.

A traditional U.S. account becomes necessary when you:

• Hire U.S. employees
• Need local payroll
• Need access to U.S.-only banking tools
• Have a deeper physical presence
• Require local merchant services tied to a U.S. entity

Start with the system that supports where you are now, not the system that fits only where you might be in five years.
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Frequently Asked Questions

Q: Can a Canadian business open a U.S. bank account?
A: Yes. You can do this either through a U.S. entity or with a modern cross-border provider.

Q: Do I need a U.S. address?
A: Traditional banks usually require one. Many global banking platforms do not.

Q: Do I need to visit the U.S. in person?
A: Some banks require it. Many digital platforms do not.

Q: Do I need an EIN?
A: Only if you're opening an account tied to a U.S. entity.

Q: Can I hold USD without a U.S. account?
A: Yes, with a multi-currency business account.
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What This Means for Canadian Businesses

For Canadian entrepreneurs, global banking used to be a barrier. Today, it’s an advantage. Whether you’re testing the U.S. market or scaling into it, the right banking setup is less about paperwork and more about building a financial foundation that actually supports your business.

If you choose the right structure early on, you’ll save money on FX, reduce operational friction, and give your business the flexibility to grow across borders without slowing down.
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How to Get Started With Loop

Getting a USD account through Loop only takes a few minutes. You can sign up online using your Canadian business documents, verify your identity and immediately gain access to USD banking, ACH rails, global cards and seamless CAD to USD management.

Loop is built to help Canadian businesses operate confidently across borders without the complexity of traditional U.S. banking.

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