LegalZoom vs. Incorporate 2023

Recommended Step Before Using LegalZoom or Incorporate

It’s important to name your business before going through the LLC formation process with a service provider. TRUiC’s Free LLC Name Generator will help you to do the following:

• Discover the perfect business name for your company.
• Conduct a business name search to make sure your desired name is available in your state and not already taken.
• Help verify the availability and secure a domain name for your LLC.

Key Considerations: Incorporate Vs. LegalZoom

Choosing a service that will help you start and operate your own business can be nerve-racking. That’s why we’ve presented three questions that will simplify the process and help you make an informed decision.

Is Either a Good Deal?

While its services are expensive, Incorporate.com stands out with world-class customer service. Available across three channels - chat, phone, and email - help isn't hard to find when you need it.

Incorporate also bundles helpful features like operating agreements and EIN registration, enhancing the value of premium packages. LegalZoom offers similar features, but only as a la carte upgrades, reducing their value.

Who Uses Incorporate and LegalZoom?

Both services are used by those who need help forming their businesses--including LLCs, incorporations, and nonprofits.

Here are some verified reviews (pulled from the services’ websites) by people who used Incorporate or LegalZoom to help launch their businesses:

“I chose incorporate.com because it was a fast and easy way to protect myself and my business. Making the decision to become an LLC was the turning point in the legitimacy and profitability of my company. Incorporate.com sends me reminder emails when payments are due so it is easy to remain in good standing with the state.”

"I had never started a business before, so LegalZoom was a perfect place to go. It let me take my vision for the company and make it a reality, legally."

Is There a Better Deal to Form My LLC?

The short answer is, yes, there are many other options to form your LLC in a cheaper, faster, and similarly reliable way.

Takeaway

Incorporate and LegalZoom would be right for you if you enjoy working with more established brands and don’t mind paying extra for premium services.

Rating Details: Incorporate Vs. LegalZoom

Value

Incorporate’s registered agent service is expensive ($235). 

Contrary to their website’s warning, we decided to act as our own registered service, which they say can delay an order up to six weeks.

Ours was processed by the State and in-hand within 2 weeks, this delivery time may vary for you, but opting out of this service is a good way to save money.

Many other registered agent services are much less expensive, such as Incfile, who includes a year of registered agent service for free with their basic package.

Both companies are some of the most expensive in the industry.

If you would like to have LegalZoom or Incorporate.com create your LLC, operating agreement, and obtain your EIN within a two-business week time frame, you will end up paying a few hundred dollars.

With less expensive options like Incfile ($0 + State fees) out there, it’s hard to say these are the most cost-effective solutions. However, both companies share the name-brand advantage that some are willing to pay extra for.

Still, Incorporate.com is as well-rounded as any formation service you’ll find, so they have the advantage here. If trust is an important factor, they are a worthy choice but keep in mind there are better alternatives available if you are willing to do a little extra leg work.

Customer Service

Incorporate has a knowledgeable and attentive customer service.

The chat representative we worked with was able to answer our questions without any additional hold time. We weren’t redirected to call in or upsold on more expensive services.

Ease of Use

Both services are easy to use and have efficient checkout times.

In total, the buying process for Incorporate took about 10 minutes after adding in the time to read each upsell offer description. LegalZoom’s entire order process should take no longer than 15-20 minutes. In case you are unable to complete an order in one sitting, LegalZoom emails a link to your saved answers, giving you the option of completing your order at a later time.

Included Features

Getting an operating agreement and EIN is expensive with either company.

Another thing to consider is how each company organizes their pricing tiers for extra features.

Legalzoom does not include these features at any price point, and adding both will add $159 to your order, even with premium packages. Incorporate.com does add both features to their premium packages, though it will cost $179 to add them to their Starter package.

However, you can also join How to Start an LLC’s Business Center for a free operating agreement builder tool, and learn how you can get a free EIN through the IRS.

Product Comparisons: Incorporate Vs. LegalZoom

Legalzoom and Incorporate.com can do more than simply register your LLC. They each offer additional services, either included in their formation packages or sold separate. Here is a comparison of what each company offers at each package level.

Please note that the service costs for each tier do not include the State filing fees.

Basic Plan Comparison

Middle Plan Comparison

Top Plan Comparison