LegalZoom Vs. Incfile | Detailed Guide to Both Legal Document Services

Do you want to form an LLC business? Are you in search of the best LLC formation service to help you with forming and running your business?

Enlisting online legal sites such as LegalZoom and Incfile may be a better option than trying to carry out the process alone. They both prepare and file all the documents with the secretary of state of their respective states (see also 'ZenBusiness vs Legalzoom').

The two legal services help you deal with all the legal issues while concentrating your energy and time on running the business. But are there any similarities between Incfile and LegalZoom, and how are they different from each other?

Similarities Between Incfile and LegalZoom 

Whether you choose to use Incfile or LegalZoom, you'll not have to learn any legal registration or master the business formation process. Both LegalZoom and Incfile online legal services can handle the entire LLC formation process.

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They will file all the required legal documents, including the articles of organization, with the respective secretary of state. They'll also help you get an employer identification number (EIN) for tax purposes. All you need to do is answer questions regarding your business and pay the necessary state fees. The online service will help you take care of the rest.

Both LegalZoom and Incfile help to keep all your details safe and secure. They are both covered by Norton Web Security, which helps to protect your data. Additionally, the two offer a cheaper option for forming a limited liability company than hiring a lawyer.

Additionally, they both offer their clients lifelong customer support, which helps keep your business clean. When compared with other sites, LegalZoom and Incfile LLC's formation services are fast and reliable. 

You also enjoy personalized assistance from dedicated customer service professionals.

Both Incfile and LegalZoom can act as registered agent services for your business. A registered agent service acts as the link between your business and the government.

 The service is responsible for receiving your tax documents, lawsuits, and other legal documents on behalf of your company.

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Differences Between Incfile and LegalZoom

Although the two LLC formation services have several commonalities, they also differ in various ways. These include:

Pricing

There is a notable difference in the pricing of the two services, with Incfile costing $79 less for the entry-level package.

Incfile offers you three different packages that you can choose from depending on your budget and the features you want. The silver package costs $0 plus the state fee. The features in the package include a 30-minute free tax consultation, EIN registration for an extra $70, an operating agreement for $40, and your order is processed on the next business day.

It also offers a gold package that costs $149 plus the state filing fees. Finally, the platinum plan goes for $299 plus the necessary state filing fee. Among the features in the platinum plan include free web domain and web hosting via Snapweb at $20 a month. It also comes with a year of registered agent service for free and then $119 per year. It also includes EIN registration and an operating agreement.

On the other hand, LegalZoom also offers three payment packages. These include the economy package that costs $79 plus the state fee. Thus, Incfile wins on the price of the first package between the two services. Additionally, the expected turnaround time for LegalZoom is 30-business days, while for Incfile, it is the next business day.

LegalZoom's economy package comes with some features that you may not get in Incfile's silver plan. Such features include a customized operating agreement and a banking resolution.

LegalZoom also comes with a standard payment plan that goes for $329 plus the state filing fee. Finally, there is the express gold plan that costs $349 plus the state filing fee. The express gold package offers the best value for taking care of your business.

Registered Agent Service 

Incfile offers you a year of registered agent service for free, while you have to pay $159 for the service on LegalZoom.

 Additionally, Incfile offers you free tax ID numbers with the first packages. On the other hand, LegalZoom will cost you $49-$79 for the same services.


Track Record and Experience

The two online legal sites also differ in terms of track record and experience. Both companies started operations about 15 years ago, but LegalZoom comes out as having more experience and a fast turnaround time.

Although they started around the same time, LegalZoom has helped 30-times more people than Incfile.

Processing Time 

The two companies also differ in terms of processing times. Incfile offers you a faster processing time in some states, while LegalZoom comes out as the faster option in other states.

Operating Agreement 

Do you need an operating agreement for your business?

LegalZoom offers personalized operating agreements in all three payment packages. On the other hand, Incfile doesn't offer customized operating agreements.

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The agreement is not a legal requirement while filing your articles of organization.

However, it is a vital feature as it ensures the smooth running of the company and helps prevent conflicts in the future. 

The operating agreements specify the rights and responsibilities of each member of the LLC.

It also outlines whether your LLC is member-managed or manager-managed. For a manager-managed business, the operating agreement specifies the manager and the members' roles, responsibilities, and rights.

It establishes the status of the company as a limited liability company. As such, your personal items, such as your personal account, house, etc., are safe. If the company is in debt, the bank can not come get your personal items to pay off the debt.

Order Tracking

Do you want online legal services that can help you track your order? If yes, Incfile is the better option. The service offers a tracking system that enables you to track the status of your orders. LegalZoom doesn't have such a feature.

Customer Support 

Both LegalZoom and Incfile offer incredible customer support, which helps you run your business legally. The dedicated customer support team will answer your questions and deal with any concerns that you may have. This helps to avoid any legal issues going forward.

The two companies offer various channels for their customer support. For instance, LegalZoom allows you to reach the customer support team via email.

Better still, they allow phone support, which is available Monday to Friday from 5 am to 7 pm, and 7 am to 4 pm on Saturdays. 

Phone support is more advantageous as you get to speak with a customer support team member. Since the members are native speakers of English, it is easy to talk to them.

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Additionally, LegalZoom has a FAQ page on its website. The FAQ section contains questions and answers to the most frequently asked questions by customers. You can use the information on the FAQ page to deal with any issue.

Incfile offers more extensive customer support than LegalZoom. You can contact the customer support team by phone or submit your questions via email. However, the company doesn't have phone support over the weekend.

Incfile Vs. LegalZoom User Reviews 

Both companies enjoy incredible customer reviews. However, LegalZoom's customer reviews are mixed. For instance, the company enjoys an A+ rating from the Better Business Bureau. However, it received a 1.5-star rating. The main complaints regarding LegalZoom being that it charges the incorrect amount and charges its users for services that it didn't offer. Other users accused the company of charging them without their authorization.

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Incfile enjoys incredible user reviews. It has an A+ rating from the Better Business Bureau, and they also enjoy an outstanding 5-star rating from BBB.

Many customers feel the LLC business formation, and compliance process is easy to understand. Customers also like the company's transparent pricing of their services. However, some users feel Incfile didn't provide services as agreed, and their communication was not the best.

LegalZoom Vs. Incfile: Which Is Better?

Both LegalZoom and Incfile are credible online legal sites. You can depend on either of the two to if you want to form an LLC business, but you don't want to hire a lawyer.

Incfile comes out as a cheaper option than LegalZoom. Incfile's basic payment package costs $0 plus the state filing fee. This is $79 less than what the economy package at LegalZoom costs.

As mentioned earlier, an operating agreement is a vital document as it helps to prevent conflicts in the running of the business. As such, LegalZoom performs better in this aspect as it offers you a personalized operating agreement across all the payment packages.

LegalZoom comes out as the better option for customer support as you can reach the customer support team on the phone, even on weekends. Additionally, it has a FAQ page that contains answers to most of the questions that you may have.

Therefore, the choice between Incfile & LegalZoom depends on various factors, including the cost and the features you are looking for. Either of the two will help you form your LLC business formation and ensure you follow all the legal requirements. This helps avoid legal issues in the future.

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