Can I Get an EIN Before My LLC? What Actually Happens If You Do

Yes, the IRS will, in theory, issue you an EIN before your LLC is registered with the state. The catch is that they are assigning it to you as an individual or a sole proprietor, not to the LLC itself. Should the state reject or alter your LLC name during its review, you are left with an EIN for an entity that, in effect, never was. Correcting the record involves writing to the IRS and adding several weeks of waiting time, so we have our clients delay the application until after state approval in nearly all instances.

You may be wondering whether you can obtain an EIN before forming an LLC to meet a client’s deadline or get a bank account opened on the double. You certainly can, but we would be remiss not to say it tends to take more time than it is worth. In our experience filing for founders from 60+ countries, the ones who come back to us with mismatched EIN issues are invariably those who applied too soon.

Why the Timing Actually Matters

The IRS Form SS-4, whether done online at irs.gov or on paper, requires you to put down the legal name and formation date of your entity. If the LLC does not yet exist, you are forced to guess, leave fields blank, or file under a classification such as sole proprietorship.

Once the IRS has handed out an EIN, it is bound to the name and type of entity you provided at that point. We had a case in Delaware last year where a client filed for an EIN three days before his Certificate of Formation went in, listing “Meridian Consulting LLC”. The state turned it down because another Meridian Consulting was already active in the system under a different formation year. He was obliged to file under a new name, but now he had an EIN in the IRS system for a business that didn’t exist.

To close that out, he had to send a physical letter to the IRS with all the particulars: the address, the entity name, the EIN, and the reason for closing it. It was six weeks before he was in a position to reapply with the right name.

Can the IRS Even Issue an EIN Before an LLC Exists?

Technically, they can. They do not check with the Secretary of State to confirm that your LLC has been formed. The online system will let you enter a future date, select Limited Liability Company, and still produce a number. There is nothing to dissuade you from doing it early until the state side throws up a roadblock, be it a name rejection or a change in membership structure.

What Non-Resident Founders Get Wrong Most Often

We see this error most with non-resident founders, whom we work with almost exclusively. Without an SSN or ITIN, they are barred from the online application and must fax or mail in their Form SS-4. That means dealing with the international unit at the IRS, which is currently taking 4 to 6 weeks to process and will take longer in Q1 when tax-season volume has them swamped.

Founders are tempted to file an SS-4 before their LLC has the state’s blessing to make up for the long wait and put a few weeks back in their pocket. It is a mistake we see all too often. The form is quite specific about requiring the date and state of organization, and if one were to fax it over with placeholder data, the IRS agents who handle international applications would be inclined to flag or reject it for manual review. In the end, that costs more time than it saves.

We advise our clients to take the better course and file the SS-4 on the day the Certificate of Formation is given the nod, not a moment before. With most Secretary of State offices processing standard LLC filings in 2 to 10 business days (Wyoming and Delaware are usually quicker, while you will find California and Massachusetts on the slower side), the wait is not as onerous as it seems.

Step-by-Step: The Order That Actually Works

First, you will need to file your Articles of Organization (or a Certificate of Formation in some states) with the Secretary of State. File for state approval, and once it comes back, make sure to put the stamped document away. The exact legal name and date of formation are on there, and you will want them later.

Then take Form SS-4 and fill it out using the LLC name as it appears on the state filing. How you submit it depends on your situation. US-based owners of a single-member LLC who have an SSN can have their EIN issued the same day through the IRS Online Application. But non-resident founders without an SSN or ITIN will have to send the form by fax or by mail to the IRS international unit.

When the CP 575 confirmation letter for your EIN arrives, keep it. You will be asked for it by Stripe or Mercury when you apply, as well as by banks and payment processors.

What It Costs and How Long It Takes

Common Mistakes We See Repeatedly

Some will apply for an EIN with a name that is merely “reserved” or “pending.” Do not confuse a reservation with an approved entity; wait for the Certificate of Formation.

There is also the assumption that the online tool is for everyone. It is not. Without an SSN or ITIN, the system will turn you away, leaving you with the slower, less forgiving fax or mail option.

We see people list the wrong responsible party on the SS-4. The IRS has been more of a stickler for this since they revised the rules a few years ago; it must be an individual, not the LLC. And remember, the IRS allows only one EIN per responsible party per day. If you are putting together more than one LLC at once, you can’t have two under the same person, so we plan our multi-entity filings with that in mind.

And do not misplace that CP 575. For a non-resident founder without a US phone number, calling the Business & Specialty Tax line to obtain a 147C replacement is an exercise in coordination.

When Applying Early Might Actually Make Sense

In one instance, it might make sense to get ahead of the LLC approval process if you are in a state like Nevada or Wyoming, where you can get same-day or next-day results and have already verified that the name is available. Even so, we would still hold off on the SS-4 until we have the green light from the state. The risk of a mismatch is not worth the couple of days you might save.

FAQs

Can I get an EIN the day my LLC is approved?

Yes. As soon as the state gives you its stamped approval, you can put in the SS-4. US residents with an SSN will often have it in hand the same day.

I got an EIN before the LLC was approved, but the name is right. Is that a problem?

Generally, no, provided the name and formation date on the application exactly match the final LLC. You only run into trouble if the name is changed or the formation is turned down.

Do I need an ITIN?

No. File the SS-4 by fax or mail to obtain an EIN without one.

How long for a non-resident application?

At present, the international EIN unit is taking about 4 to 6 weeks, though you may find it drags on longer in the middle of tax season.

Can I put down my registered agent’s address?

Many non-residents do just that on the SS-4 since they lack a US mailing address.

Get Your LLC and EIN Filed in the Right Order

For a non-resident founder setting up a US LLC, the sequence is more important than the paperwork. EasyFiling makes sure the SS-4 never precedes state approval for our clients. To avoid any cleanup work due to a mismatched EIN, contact our team before you start filing.