How long does it take to get an EIN number?

Miami Herald

5 hours ago

Getting your Employer Identification Number (EIN) is one of the first and most important steps in establishing your business. But if you're like many startup founders, you're probably wondering how long this process will take and whether there are ways to accelerate it.
The good news is that if you apply online through the IRS website, you'll receive your EIN immediately after submitting the application. Within minutes, you can have the federal tax ID number you need to open business bank accounts, hire employees, and handle your company's finances.
Things get more complicated if you can't apply online. If you apply by mail, the process usually takes about four weeks. Fax applications take about a week to assign the EIN and fax it back, according to the IRS, but it can take much longer. Understanding these timelines and the factors that affect them is key to keeping your business launch on track.
In this article, Brex explains everything you need to know about getting your EIN quickly and efficiently, including different application methods, common delays and acceleration strategies, and how having your EIN sets the foundation for smart financial management.
What is an EIN, and why should I get one?
An Employer Identification Number (EIN) is essentially your business's Social Security Number. The IRS issues this unique nine-digit number to identify your business for tax purposes. It's your company's permanent federal ID that follows you through every stage of business growth.
EINs are unique to the companies they are assigned to. They never expire, and the same number set is never reissued to another business, even if the original employer goes out of business. This permanence makes your EIN a foundational element of your business identity.
Having an EIN allows your business to perform critical business functions. Once you have an EIN, you can access business banking accounts, build business credit, establish relationships with vendors, and begin processing payments
Strategic advantages for startups
For fast-growing startups, an EIN can be a strategic asset. With it, you can quickly scale operations, bring on contractors or employees, and maintain the financial infrastructure investors expect to see, all of which can be foundational elements for long-term growth.
Having your EIN also positions you to take advantage of financial tools designed specifically for businesses. This includes everything from high limit business credit cards to specialized banking services that help you effectively manage cash flow. Without an EIN, it can feel like you're running your business with one hand tied behind your back.
While getting an EIN might feel like another administrative task, it helps your business operate as a legitimate entity faster. The online application's instant approval makes it easy to put this important piece of your company's financial foundation in place immediately.
Methods of applying for an EIN
When applying for an EIN, the IRS offers several methods, each with its own timeline and requirements.
OnlineThe online application gives you an EIN within minutes of submission, making it the fastest option available. The entire process typically takes 15 to 20 minutes from start to finish, and you'll receive your nine-digit number immediately upon approval.
However, online applications come with specific requirements. Your business must be located in the U.S., and you'll typically need a responsible party's Social Security Number or Individual Taxpayer Identification Number (ITIN) to complete the application.
The online service operates Monday through Friday, 7:00 a.m. to 10:00 p.m. Eastern Time. When completing the application, keep in mind that the application times out after 15 minutes of inactivity, and there's no way to save your progress. Make sure you have all your business information ready before starting. After receiving your EIN, download or print your confirmation letter since the IRS doesn't make this document available for download later.
MailMailing your application is an option for those who can't apply online, but it requires the most patience. The IRS typically processes mailed applications within four weeks, but this timeline can stretch longer.
To apply by mail, download Form SS-4 from the IRS website and complete it carefully. Any errors or missing information will delay processing. Send the completed form to:
FaxFaxing offers a faster method than mail, but is slower than applying online for an EIN. The IRS says that faxed applications with a return fax number receive responses within one week, though in many cases, processing can take longer. The fax option provides 24-hour availability, unlike the limited hours of online applications. Use these fax numbers based on your location:
855-641-6935 for businesses in the 50 states or D.C.855-215-1627 for businesses with no U.S. legal residence or principal place of business
Complete Form SS-4 just as you would for a mail application, ensuring all information is accurate and legible.
PhoneFor international businesses, phone applications offer another route. Businesses located outside the U.S. can call 267-941-1099 between 6 a.m. and 11 p.m. Eastern Time, Monday through Friday. The representative will process your information and provide your EIN during the call.
How long does it typically take to receive an EIN?
How quickly you receive your EIN depends on your application method. Online applications provide immediate results, with your EIN arriving within minutes of submitting your application through the IRS website. This instant processing makes online applications the best choice when your time is limited.
Fax applications take about one week when you include a return fax number, or about two weeks without one. However, backlogs can stretch these timelines to several weeks or longer.
Mail applications take the longest. The IRS says businesses should expect to receive an EIN four to five weeks after submitting an application. This timeline can be longer during busy periods or when dealing with application errors.
Common reasons for EIN processing delays
Straightforward EIN applications can be delayed, turning a simple process into a lengthy ordeal. Understanding these common mistakes can help you avoid delays and keep your business formation on track.
Incomplete or incorrect informationIncomplete or incorrect information is the most common cause of delay. Missing fields, illegible handwriting on faxed forms, or typos in critical information like Social Security Numbers trigger manual reviews that can add weeks to processing time. The IRS must verify every detail before issuing an EIN, and any discrepancy requires additional scrutiny.
Entity formation timingIf you apply for an EIN before officially forming your LLC, corporation, or partnership with your state, the IRS may delay or reject your application. Your legal entity must exist before you can get its federal tax ID.
Multiple applicationsSubmitting duplicate applications because you're unsure if the first was submitted can slow down the process. The IRS flags multiple submissions from the same responsible party and requires manual intervention to sort out which application to process.
Technical issuesTechnical issues can delay online applications. Browser compatibility problems, session timeouts after 15 minutes of inactivity, or internet connectivity issues can cause applications to fail without clear error messages.
Do you need to use a third party to get an EIN?
You never need to use a third party to get an EIN. The IRS provides this service completely free, and the application process is straightforward enough for any business owner to complete independently. The IRS explicitly warns against paying for an EIN, stating: "Beware of websites that charge for an EIN. You never have to pay a fee for an EIN."
Nonetheless, there are numerous third-party services that charge anywhere from $50 to $300 for something you can do in minutes. These services simply fill out the same Form SS-4 that you could independently complete.
Using third-party services also poses unnecessary risks. You're sharing sensitive information, including Social Security Numbers, with another entity, and some services retain this data indefinitely, creating privacy concerns. If the service makes errors on your application, you'll face the same delays as if you'd made the mistake yourself, but you've also paid for it.
Does your business need an EIN?
Not every business needs an EIN, but most do. The IRS requires an EIN if your business meets specific criteria, and understanding these requirements helps you determine whether or not you should get an EIN.
You must have an EIN if you have employees. There aren't any exceptions to this, and even one employee triggers the need for an EIN to handle payroll taxes and reporting. The same applies if you operate as a corporation or partnership since these business structures require EINs regardless of size or revenue.
LLCs face more nuanced requirements. Single-member LLCs without employees can use the owner's Social Security Number for tax purposes. However, most LLC owners get an EIN because banks often require one to open business accounts. Multi-member LLCs always need an EIN since they're taxed as partnerships by default.
The practical reality extends beyond IRS requirements. In most cases, you'll need an EIN to open a business bank account, as well as business credit cards, merchant accounts for payment processing, and many vendor relationships also require an EIN. State and local business licenses often require an EIN, too.
Benefits of having an EIN for your business
Your EIN allows you to meet legal requirements while also giving you financial opportunities that can accelerate your business growth. These benefits demonstrate why getting an EIN early in your business journey pays dividends.
Separate business and personal financesYour EIN helps create a clear distinction between you and your business. This separation protects your personal assets and simplifies accounting. With an EIN, you can open a business bank account that keeps revenue and expenses distinct from your personal finances. When you need to file taxes, you'll be glad you have a clean separation that makes filing straightforward and reduces audit risks.
Build business creditJust as your Social Security Number is used to track your personal credit history, your EIN allows your business to establish business credit fast. This separation means your business can build business credit without using personal credit. Strong business credit unlocks better loan terms, higher credit limits, and vendor relationships that don't require personal guarantees. Over time, this financial independence becomes one of your most valuable business assets.
Access financial productsBanks and financial institutions offer products designed specifically for businesses, but they require an EIN to access them. Business accounts often feature higher credit limits, cash flow management tools, higher yields, ACH payment capabilities, and integration with accounting automation software.
To apply for a business credit card, you'll need an EIN. Business credit cards typically offer higher limits than personal cards, plus rewards tailored to business spending like office supplies, advertising, and travel.
Establish vendor and supplier relationshipsWholesale suppliers and B2B vendors almost universally require an EIN to set up accounts. In these cases, your EIN is used to verify you're a legitimate business and can allow your business to be eligible for wholesale pricing and tax-exempt purchases.
This credibility matters when pursuing larger clients, negotiating partnerships, or even applying for business insurance. Many organizations won't work with businesses that can't provide proper business documentation, including an EIN.
Qualify for financingWhen you're scaling, lenders want to see established business credentials, and your EIN serves as the foundation for this credibility. Traditional bank loans, SBA loans, and alternative financing options all require an EIN as part of the application process. Some issuers also offer EIN-only business credit cards. The longer your EIN has been active with associated business activity, the stronger your lending profile becomes.
Enable tax advantageYour EIN can unlock tax benefits available only to businesses. From deducting business expenses to potentially benefiting from different tax structures, having an EIN ensures you can take full advantage of the tax code's business provisions. It also enables you to hire employees or contractors, opening up growth opportunities while maintaining proper tax reporting.
Establish your business and focus on growth
Getting your EIN is just the beginning of building your business's financial foundation. And while that nine-digit number opens opportunities to everything from corporate credit cards to vendor relationships, the financial tools you choose next determine how fast and efficiently you can grow.
Once startups get their EIN, it's important to choose the right solutions for their business. Traditional business credit cards that require personal guarantees or have low credit limits can hinder growth. Having the right financial management tools can accelerate that growth. The best tools and cards grow with you, offering higher limits as you scale and controls that prevent runaway spending without slowing down operations.
For startups and growing businesses ready to maximize their EIN's potential, Brex provides the financial management solution you need to scale efficiently. Brex offers corporate cards with credit limits 10-20x higher than traditional business credit cards, without requiring personal guarantees. This means your business credit stands on its own merit, exactly as intended when you got your EIN.
The real advantage comes from having all these tools in one integrated platform. Instead of juggling multiple financial services and managing manual data entry between platforms, you manage everything from a single dashboard. A modern finance platform can save hours of administrative work while providing the financial clarity growing companies need.
This story was produced by Brex and reviewed and distributed by Stacker.
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