When evaluating options to find the best incorporation service provider for your business, examining the pros and cons of well-known companies like LegalZoom can guide your decision.

LegalZoom incorporation services overview

If you’re looking to set up your business as a C corp or S corp, you must first file Articles of Incorporation with your state (sometimes called a Certificate of Incorporation, depending on where you’re located). But forming a corporation involves more than just paperwork, there are several other requirements you’ll need to address to stay compliant. Some of these requirements include -

  • Appointing a registered agent at the time of incorporation.
  • Obtaining an EIN (Employer Identification Number) from the IRS.
  • Registering with the state’s department of revenue.
  • Meeting state-specific requirements, such as initial filing requirements.
  • Preparing corporate bylaws
  • Holding the first board meeting
  • Filing Form 2553 with the IRS (S corporations only)

LegalZoom helps small business owners navigate some of these steps through a set of tiered packages:

  • Economy ($149 + state filing fees): Includes business name availability check and filing of Articles of Incorporation.
  • Standard ($329 + state filing fees): Adds small business and insurance guidance.
  • Express Gold ($349 + state filing fees): Includes everything in the Standard package plus a 30-day subscription to attorney consultations and document review and additional business services.

Other important details about LegalZoom’s incorporation services:

  • Processing times: 10–14 business days (not including state processing times) for the Economy package. Standard and Express Gold provide faster LegalZoom processing times. Times are based on the submission of complete information.
  • Registered agent services: Not included in any incorporation package; available separately for $249/year.
  • EIN: Not included in incorporation packages; available bundled with bylaws and resolutions for $178 or bundled with bylaws, resolutions, and forms and electronic signature for $307.
  • S corp election: S corp election service is available for $60.
  • Additional services: Beyond incorporation, LegalZoom offers DBA registration, business licenses, trademark and copyright registration, wills, and other legal documents.

LegalZoom incorporation process

Before we dive into the details of LegalZoom’s business incorporation service, it's helpful to understand the basic requirements for incorporating, so you provide the necessary information during the questionnaire.

Understanding these requirements will also help you evaluate the additional services offered during the process and decide which ones you need. Check out this resource to learn more: Guide to starting a corporation.

LegalZoom’s incorporation process is a step-by-step online process:

  1. Choose a package: Economy, Standard, Express Gold.
  2. Provide business details: Name, state of incorporation, industry type, and other essentials. During this stage, you’ll be offered additional upsell services such as for bylaws, EIN obtainment, and other services.
  3. Submit payment and address details.
  4. Provide shipping address and payment information.

Once these steps are completed, LegalZoom will take additional steps when preparing your Articles of Incorporation for filing with the state, including validating your name against the state’s business entity database. They may also request more information required by the state, which could include details about shares, initial directors, and your registered agent.

How is LegalZoom’s customer support?

LegalZoom provides online business formation and legal services at a lower cost than hiring a traditional attorney. Its platform uses guided questionnaires and workflows to simplify completing legal forms, making it accessible even to those without legal expertise.

However, corporations are required to appoint and maintain a registered agent, and LegalZoom does not include this in its standard incorporation packages. Instead, registered agent service is available as a paid add-on.

Customer feedback also highlights concerns about upselling during the purchase process and unexpected subscription charges, with many preferring more transparent, all-inclusive pricing.

LegalZoom pros and cons 

Category Pros Cons
Service offering Broad legal and business services, including access to legal advice. Registered agent not included in incorporation services (available as a $249/year add on).
Customer support Access to human representatives (phone, email, live chat). Some reviewers report slow customer service response times via both email and phone.
Reputation Strong brand presence, widely recognized, and highly trusted on Trustpilot. Users report aggressive upselling, which leads to unexpected costs. Users seek more transparent pricing.
Pricing Less expensive than hiring an attorney, it offers a money-back guarantee on many services. Packages are more expensive than some competitors and recurring charges can quickly add up.

How does LegalZoom compare to other incorporation service providers?

LegalZoom vs. BizFilings

Feature LegalZoom BizFilings
Starting price $149 + state filing fees $99 + state filing fees
Registered agent $249/year (not included in packages) Free for three months, then renewal fee
S corp election One year included free Three months included free, then extra cost
Legal services Yes. Documents, trademarks, contracts, wills, IP Not included in business formation and compliance services
Compliance tools Basic compliance add-ons available Strong compliance focus, tools for multi-state operations
Transparency Multiple upsells during checkout; required information collected after payment info is provided Minimal upsells with upfront pricing; collects required before payment info request.
Customer support Phone, email, chat 7 days a week Phone/email, reputation for specialized guidance

BizFilings specializes in business incorporation and ongoing compliance, providing in-depth expertise in these areas and tools to help you stay compliant with state regulations.

The checkout process for incorporation is also more transparent. For example, BizFilings collects all state-required information (such as details about shares and company management) upfront before requesting payment.

For businesses with complex filing needs, especially if you are operating in multiple states, BizFilings may be the better option.


LegalZoom vs. Rocket Lawyer

Like LegalZoom, Rocket Lawyer offers online tools to create legal documents along with business formation services.

However, Rocket Lawyer uses a subscription-based model that includes attorney and business document access, making it better suited for businesses with recurring legal needs.

LegalZoom generally operates on a pay-per-service model, making it suitable for one-time users who need to form a business with occasional legal support.

Feature LegalZoom Rocket Lawyer
Pricing mode Package model Subscription mode
Starting price $149 + state filing fees $0 + state fees.

Two membership options: Rocket Legal+ is $239.88, billed annually or Rocket Legal membership, billed at $39.99 a month, unless cancelled w/in 7 days
Registered agent service $249/year
$124.99/year (with Rocket Legal+ membership)

$249.99/year (with Rocket Legal membership)
Business compliance services “One-stop-shop” services including DBA, business licenses, and annual reports Fewer a la carte business compliance services 
Legal services Yes. Sold as separate services Yes. Many available through a subscription
Customer support Good customer support, but some mixed reviews Generally positive, helpful support
Money back guarantee Within 60 days Within 30 days

LegalZoom vs. Northwest Registered Agent

Northwest Registered Agent specializes in business formation and compliance, with a focus on registered agent and LLC services. The company also provides incorporation and S corp election services. Northwest has earned a strong reputation for their personalized customer service and commitment to privacy protection.

Feature LegalZoom Northwest Registered Agent
Core focus Broad business and legal services (Business formation + legal contracts, wills, IP, tax, attorney access). Specializes in small formation and registered agent services with strong emphasis on compliance and privacy.
Incorporation pricing Three tiers: Basic (Free + state fees), Pro ($249 + state fees), Premium ($299 + state fees). Flat $39 + state fees, includes one year of registered agent service.
Personal legal services Yes NoYes
S corp election $60 $100
Registered agent service Not included in any package; must be purchased separately for $249/year. Included free for 1 year; renews at $125/year.
Transparency Reports of upselling and unexpected subscription charges; pricing can be less clear at checkout. Transparent, upfront pricing with no hidden fees or aggressive upselling.

Northwest Registered Agent is ideal for entrepreneurs who value privacy and prefer transparent pricing without hidden fees. LegalZoom is well-suited for entrepreneurs who require a comprehensive range of business and legal services and prefer to have everything in one place.

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LegalZoom incorporation services FAQs

Is LegalZoom legitimate for company incorporation?

LegalZoom is a credible and well-known company that has been offering legal documents and business services to millions of individuals and small businesses for over two decades. Customers find it to be an effective alternative to hiring an attorney or pursuing a fully DIY approach to business incorporation.

It's important to note that while LegalZoom provides access to independent attorneys and self-service tools, it does not function as a law firm and does not provide legal advice.

What are the reasons for using an incorporation service?

Incorporation service providers present a budget-friendly option compared to hiring costly attorneys, ensuring that your business incorporation documents are filled out correctly and adhere to state regulations.

Utilizing these services can help you save time and money, give you confidence in the process, lower the likelihood of mistakes, and provide useful customer support and resources during the intricate process of incorporating.

Find the best incorporation service provider for your business

Choosing the right incorporation service provider depends on your priorities, whether it’s cost, speed, legal support, or ongoing compliance. Each provider has strengths and trade-offs, so it’s worth comparing your options carefully before making a decision.

For a deeper dive into the top providers, check out our guide to find the best incorporation service provider for your business.   

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