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STEP 4

SPV AdministrationObtaining an EIN, or Employer Identification Number, is necessary to file taxes and obtain a bank account.

Once you have established your SPV entity, set its structure and direction and positioned it for success in the market. The fourth step—Obtain an EIN from the IRS—shifts our focus from the state in which we set up our SPV entity to the federal government.  As part of our comprehensive and affordable SPV service, Assure manages every step of your entity through its life cycle. In this step, we help ensure that your capital-raising SPV doesn’t get on the wrong side of the IRS. Obtaining the EIN number for an SPV requires Administrative expertise.

It is a common maxim that two things in life are certain: death and taxes. In the case of an entrepreneurial venture, neither of these is certain. The company might live on in perpetuity, and taxes only come into play if your deal makes money.

A capital-raising SPV needs an EIN for two primary reasons:

  1. The first is that the entity will need to file a tax return and deliver K1s to its investors.
  2. The second is that if a bank account is required to aggregate all of the investors’ capital, an EIN is necessary in order to obtain said bank account.

An EIN is obtained by filling out the proper forms and submitting them to the IRS. This is one of the simplest steps that will be performed during the life of your capital-raising SPV.

AOTSPV_Webimages_Step4 Molecule

Having obtained your EIN from the IRS, your next step is to OPEN A BANK ACCOUNT for your capital-raising SPV.

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