Our clients commonly ask us, “Do I need an EIN to get business utilities?” The short answer is, no. Utility companies do not require EINs to administer services, but they may require that you give them your social security number, in order to check your credit, and to ensure they can find you if you do not make a payment.
That being said, some utility companies offer plans specifically designed for businesses. Common utilities for business include electricity, gas, cable, internet, and phone services. If you choose a business plan for your specific utility needs, they may allow your business to use its Employer Identification Number, EIN for short, instead of providing a social security number.
More Uses for an EIN
EINs are a type of federal tax ID and can be used to do much more than apply for business utilities. Banks and lenders, for example, use EINs to identify businesses applying for credit, or to open an account in the name of the company. EINs also allow a business to hire employees and establish a payroll.
While not every business is legally required to have an EIN, by filing an EIN application online, there are clearly advantages.
How to Get an EIN
There are several ways you can obtain an EIN, but the fastest and easiest way is to apply for an EIN application online.
Gov Doc Filing has streamlined this process so that business owners and entrepreneurs can spend more time doing what they do best. Our EIN application online only takes a few minutes and is processed within 24 hours*. Other application methods can take up to two weeks. Plus, when you apply with Gov Doc Filing, we’ll send the results right to your inbox, and you can check status of EIN online anytime you want.
*Most EINs are processed same or next business day, unless bundled with state formations, processing times will vary.
Business utilities are often one of the most overlooked expenses when someone starts a business. Of course, electric, running water and even internet and phone service are all important for any company to be successful. Even when a new business owner does remember to account for these expenses, he or she may not be sure how to go about getting them turned on.
Using an Employer Identification Number for Business Utilities
Whether you use an EIN to turn on your business utilities is entirely up to you. However, most people decide it is the best choice for several reasons. First, it helps to further establish your business. Additionally, using an Employer Identification Number to turn on business utilities protects your personal social security number. It is nearly always recommended to keep your personal information as separate from your business information as possible.
Finding the Right Utilities
Before you begin setting up your services, it is important to compare utilities. First, make a list of what you’ll need.
Search for companies that provide low fixed rates or special promotional pricing to help you get started. Seek out companies that often service businesses to ensure you get the service you need and don’t need to worry about outages. You may also consider looking for companies that provide green services such as solar power. Don’t forget to include security services in your monthly utility budget.
How to Apply for a Tax ID
Now that you know about the benefits of applying for an Employer Identification Number for your business to business utilities, you can begin the process. GovDocFiling offers the option for you to apply for a tax ID online. Doing so provides faster service than if you were to mail your application to your local IRS office. In many cases, applicants receive their nine-digit EIN number in just a few days.