Business Account Training 2007

AGENDA The WHY The WHAT The HOW Why Business Accounts are important To E&A To the Member The WHAT What are E&A Business Account Options Business Accounts defined The HOW How we open business accounts at E&A Activities so you can try it!

Why are business accounts important for E&A? Business Accounts allow E&A to: Increase share growth Expand our business into new areas Increase exposure in the market Increase profitability for membership

Why are business accounts important for the members? Option for the small business Better Service Better Options Better Prices Think about why any member comes to E&A The same for a business!! Getting the best WOW experience created by excellent service & products!

Why business accounts are important for E&A? Future Planning: Business Account Options – Various Depository Accounts: Checking Savings Financial Bridges Services: Telephone Services Online Services Merchant Services and more………

Why business accounts are important to E&A? Objectives: Business Account and Commercial Lending Penetration: We want to appeal to all business types; new, established, large. The Sky Is The Limit! Diversity is one key in allowing E&A to increase its share growth. It is our goal to become the primary source for our business accounts, as well as, our personal accounts.

What are E&A business account options? Sole Proprietorship Partnerships Limited Partnerships LLC PLLC Corporations Unincorporated Organization or Association Go to http://www.michigan.gov/cis/0,1607,7-154-35299_35413---,00.html for more business resources

What are E&A business account options? Sole Proprietorship (aka DBA, Doing Business As): Definition: “One owner” The sole owner assumes all responsibilities for the business. Liability: Owner is 100% liable for assets and liabilities. TIN: Business may operate with a EIN number or their social security number.

What are E&A business account options? General Partnerships: Definition: “Two or more owners.” All owners share all responsibilities for the business. Liability: Owners have unlimited liability. TIN: Business will operate with a EIN number.

What are E&A business account options? Limited Partnerships: Definition: A legal entity which includes a general partner and one or more limited partners. Limited partners invest money in to the partnership however, they do not participate in the daily operations of the business. Liability: * General Partner has unlimited liability. * Limited Partners limit their amount of liability to the amount of capital invested into the partnership. TIN: Business will operate with a EIN number.

What are E&A business account options? LLC (Limited Liability Company): Definition: “One or more members” This is a separate legal entity that combines the limited liability advantage of a corporation with the tax status of a DBA or partnership. Liability: Limited TIN: Business will operate with a EIN number.

What are E&A business account options? PLLC (Professional Limited Liability Company): Definition: Same as LLC, however, this legal entity is used by professionals such as physicians, lawyers, etc. Liability: Limited TIN: Business will operate with a EIN number.

What are E&A business account options? Corporations: Definition: “Stockholders are owners” A legal entity that is the most structured and formal. Liability: Limited to the amount owners have paid into their shares of stock. TIN: Business will operate with a EIN number.

What are E&A business account options? Unincorporated Organization or Association: Definition: Any non – profit organization such as bowling league, Girl Scouts, etc. Liability: Not applicable TIN: Entity may operate with EIN only. If operates with a SSN it is a General Membership with Regular Share and Velocity or Launch checking NOT a Business Membership with Organizational Share and Checking

What are E&A business account options? EIN vs. SSN vs. TIN (EIN) Employer Identification Number – a nine-digit number that the IRS assigns to business entities. (SSN) Social Security Number – a nine-digit number that the IRS assigns to individuals. (TIN) Taxpayer Identification Number – a nine-digit number that the IRS assigns to business entities and/or individuals. Go to https://sa2.www4.irs.gov/sa_vign/newFormSS4.do to apply for an EIN!

Now it is time to review the various types of business documentation you may come across!!!!