Entrepreneurship & Small Business

Business Bank Account for Virtual Partners/Directors

  • Last Updated:
  • Jun 11th, 2021 11:45 am
[OP]
Sr. Member
Aug 16, 2013
533 posts
259 upvotes
Toronto

Business Bank Account for Virtual Partners/Directors

We created a federal non-profit and all the directors are geographically distributed in various parts of Canada.

We want 2-3 authorized signatories on the bank account, and 2 big banks are suggesting that we need an authority letter (with wet signatures) from all directors. DocuSign is not acceptable. Additionally, all the authorized signatories will have to be from the same province and need to come in person to open the account.

Moreover, if directors change after 2-3 years as per bylaws, the new authorized signatories will have to come in-person to the branch with existing signatories to get the authorized signatories changed.

On top, the assistant branch manager said you can't accept donations in a non-profit account and will need a charity status. While we plan to apply for charity status eventually, my understanding was that non-profits can accept donations but not issue tax receipts.

I know a loaded thread but can someone suggest a business bank account that can be opened and operated by geographically distant residents of Canada?
1 reply
Deal Fanatic
Aug 21, 2007
5664 posts
602 upvotes
Markham
cant speak to it specifically, but perhaps try a credit union..they tend to be pretty good in the NFP world

as for donations, just dont call it that...not sure what your NFP does, but call it something else (like a membership fee or microgrant) and hopefully that sidesteps...

Top