Staying out of legal trouble with a new biz can be tricky. The taxes you pay, amount of paperwork you file, and hoops you have to jump through all depend on which structure you choose. No, you can’t just bypass this step. Because once your biz starts gaining traction and making serious moolah, it’s smart for you to make it official. Anyhow, we’re willing to bet that legal speak isn’t your specialty. But that’s more than OK!
Companies like LegalZoom and IncFile have surfaced to make your life easier for you. And while sure, they look good on paper, which one is actually better for you and your ever-evolving needs??
That's where we step in to help you decide. Check out our product review on the legal services LegalZoom and Incfile below.
LegalZoom and Incfile are both business formation and online legal services for small businesses. They help people like you who don’t have in-house legal teams figure out the complexities of it all, saving you time and headaches in the long run. Here are some basic differences between the LegalZoom and IncFile that will help you get the ball rolling.
LegalZoom is a one-stop-shop for online legal services for small businesses and people who are about to start one. Aside from business formation, they help with intellectual property, wills, trusts, and more. Plus, they’re kind of one of the most well-known providers in this industry, claiming to have helped over 1 million LLCs launch; completed 175,000+ DBAs; and had their clients’ filings accepted in all 50 states.
Oh yeah, and they’ve been in business for two decades. And young microentrepreneurs just like you have trusted LegalZoom, like Yvonne Bulimo, CEO and founder of Zoezi Sport fitness clothing brand; Shaina Denny, CEO and co-founder of Dogdrop; and Erica Daking, owner of the Los Angeles-based vegan restaurant Kitchen Mouse.
On the other hand, Incfile also offers legal services, but they’re more focused on business formation. In other words, if you JUST want to open an LLC, nonprofit, or corporation, Incfile’s got your back. It’s business formation without all the fancy bells and whistles … and price tag (more on this later!) Nevertheless, that doesn’t mean they’re any less popular among the young and sassy biz owners, including Emily Schromm from the Meathead Hippie® Podcast and Alejandra Luaces, the founder of the bakery Hell Yeah Gluten Free 🍩
Now is when you ask yourself: Am I just looking for a company to help me form my business? Or, do I also need more legal help? The better bet for you will depend on the answers to those questions. Whatever your answer may be, here’s a handy visual for you to better understand what LegalZoom and Incfile offer users:
Depending on your needs, if you’re looking for more than just business formation, LegalZoom is the clear choice.
Because the following point is SUPER IMPORTANT for you to understand before we finish the rest of this product review, we’re going to say it one last time…
Disclaimer: LegalZoom and Incfile vary quite a bit in their overall offerings.One is primarily for legal services (LegalZoom), while the other is geared mainly for business formation (IncFile). So, to keep things short and less confusing, we’ll just compare pricing for their business formation packages:
If you’re on a shoestring budget, you really can’t get better than free (not including state filing fees). Plus, this is irrespective of if you’re forming an LLC, corporation, or nonprofit.
No one likes getting caught up in seemingly simple problems only to wait for an eternity to get it solved… or not at all. Especially when you’re dealing with legal stuff, which can cost you major time AND money if you screw up the process from the get-go. So, here are the details on what to expect with customer service from LegalZoom and Incfile:
LegalZoom has phone support Monday thru Friday 7 AM – 5 PM and Saturday from 7 AM – 4 PM (PT). Aside from that, users can also chat with their customer service representatives via an email response-based question form. And if that ain’t enough for ya, they also have an online knowledge center with FAQs and glossaries; legal help articles; and additional resources.… They’ve got their bases covered.
Incfile also has people waiting at your every beck and call, but only on the weekdays, Monday thru Friday from 9 AM – 6 PM (CST). Plus, they too have email support once you submit a ticket on their website. And although their online articles, glossaries, and knowledge base doesn’t seem to be as extensive as LegalZoom’s, they’re certainly there as well.
They always say speed doesn’t always matter. But when you need to form a business or get legal help like, yesterday, time is of the essence.
So naturally, you want to work with a service that can get your questions answered and papers filed QUICK. When it comes to business formation, there’s one that’s clearly on top.
We’re reaching the end of our product review on LegalZoom and Incfile, and perhaps you’re still undecided on which you want to try. Maybe hearing what other fellow entrepreneurs have to say about both legal services will sway your boat one way or the other.
These reviews are from the G2 crowd.
These reviews are from the Incfile’s website.
Who you choose will largely depend on your budget and how extensive of services you need. Think of it this way: Incfile is a business formation service offering other online legal services; whereas, LegalZoom is an online legal service offering business formation, too.
Here’s our advice to you…
☑️ Choose IncFile if you’re just tryna structure your new biz and want to cut costs.
☑️ Choose LegalZoom if you think you’ll be needing other legal services and want to work with an extremely well-known brand while you’re at it.