Cash App is a popular peer-to-peer payment service owned by Block, Inc. While many people use it for personal transactions, Cash App also offers business accounts that provide features tailored for small businesses, freelancers, and entrepreneurs. Here’s a step-by-step guide to setting up a Cash App business account.
Step 1: Download the Cash App
First, download the Cash App from the App Store (iOS) or Google Play Store (Android). Install the app and open it to begin the registration process.
Step 2: Sign Up or Log In
You can create a new account using your phone number or email address. Cash App will send you a verification code to complete the registration. If you already have a personal Cash App account, you can log in and switch to a business account.
Step 3: Choose Business Account Type
During the sign-up process or after logging in, you will be prompted to choose between a personal and a business account. Select “Business” when asked for your account type.
If you already have a personal account:
Tap on your profile icon.
Go to “Account Settings”.
Select “Switch to a Business Account”.
Step 4: Provide Required Information
To comply with U.S. financial regulations, Cash App may ask for the following information:
Full legal name
Business name (if applicable)
Business type or category
Employer Identification Number (EIN) or Social Security Number (SSN)
U.S. address and phone number
Email address
Note: Cash App currently supports only users located in the United States.
Step 5: Link Your Bank Account or Debit Card
Once your business account is created, link a bank account or debit card to receive payments. This step is essential for cashing out funds received through your business account.
Step 6: Accept Payments
You can now accept payments via your Cash App business account. Share your $Cashtag, QR code, or payment link with customers. Business accounts are subject to a transaction fee of 2.75% per payment received.
Step 7: Manage Your Business Account
From the app dashboard, you can:
View transaction history
Send refunds
Download monthly statements
Monitor account activity
Step 8: Stay Compliant
Ensure you stay compliant with IRS reporting requirements. Cash App may send you a 1099-K form if you receive more than $600 in payments annually.
Conclusion
Opening a Cash App business account is a quick and convenient way to manage payments for small businesses and freelancers. By following these steps and maintaining accurate financial records, you can leverage Cash App as a simple, mobile-friendly solution for your business transactions.
Note: Always refer to Cash App’s official website or contact their support for the most current policies and requirements.
