Updated March 22, 2021.
Compare IncFile vs. LegalZoom to determine your best LLC formation choice. LegalZoom is the leading online legal service site, and Incfile specializes in legal business startups and those who want to incorporate online.
Let’s get ready for your LLC formation, INC incorporation, or DBA set up and launch your company legally.
This in-depth incFile website review includes a side by side comparison with LegalZoom, feature, and legal services package list plus advice on which to choose is the best choice for your unique legal situation.
As a seasoned business owner, and verified LegalZoom customer, and small business writer I am impressed with their excellent combination of affordability, quality, and customer service.
IncFile.com also has many good qualities and can sometimes be a better choice in a particular situation. Read on to determine your best choice of a legal service provider.
Read my full review of Incfile LLC services here
Read on to discover your best LLC formation service:
Contents
- Incfile vs LegalZoom
- Side by Side Comparison: Packages & Pricing
- LegalZoom vs Incfile Comparison by Feature
- Yelp Reviews – Incfile vs Legalzoom
- Complaints filed with BBB (Better Business Bureau) – Incfile and LegalZoom
- Verified User Legalzoom Reviews – Positive and Negative (Voted Most Helpful)
- Verified User Incfile Reviews – Positive and Negative (Voted Most Helpful)
- Packages and Features Comparison – Incfile vs Legalzoom
- Company History & Background
- Your Best Choice for Your Business LLC, DBA or INC
- Legal Services Alternatives
- Additional Legal Services for Your Business
Incfile vs LegalZoom
Comparison of legal services offered by these online legal providers.| LEGAL SERVICES | Incfile | LegalZoom |
|---|---|---|
| New Business Formation – LLC, INC and DBA |  | |
| Patents, Trademark & Copyrights |  | |
| Tax Returns | | |
| Business Compliance | | |
| Registered Agent | | |
| EIN & Business Licenses | | |
| Legal Forms – Custom | | |
| Attorney Services | | |
| Wills & Estate Planning | | |
| Power of Attorney | | |
| Name Changes | | |
| Visit Incfile | Visit Legalzoom |
Side by Side Comparison: Packages & Pricing
Details about Incfile and Legalzoom packages and prices with a list of features included in each package for business formations.| Incfile Packages | Legalzoom Packages | |
|---|---|---|
| Level 1 | Silver - $49 plus state fees | Economy - $149 plus state fees |
| Level 2 | Gold - $149 plus state fees | Standard - $329 plus state fees |
| Level 3 | Platinum - $299 plus state fees | Express Gold - $349 plus state fees |
| Includes: | Business name search, LLC paperwork preparation and state filing, one year of Registered Agent service to accept mailed notices on your behalf, business tax consultation, next business day processing and online access to incorporation documents. Higher level packages include EIN Employer Identification Tax ID Number, operating agreement, corporation bylaws, banking resolution and business contract templates. | Business name search, LLC paperwork preparation, and state filing, articles of incorporation, LLC next steps guide with business startup advice, financial account authorization letter to open your business bank account, lifetime customer support and a Peace of Mind review done by a trained individual. Higher level packages also include deluxe organizers, official certifications and corporate seals, VIP processing and rush processing with Secretary of State and express shipping. |
| Visit Incfile | Visit Legalzoom |
LegalZoom vs Incfile Comparison by Feature
Experience
– LegalZoom wins.
Compare Legalzoom’s 16 years in operation and has served over 3 million customers to IncFile’s shorter time in the industry of 13 years. Incfile has served over customers. LegalZoom has more experience with LLC formation with different types of customers and legal situations.
Price and Value
– IncFile and LegalZoom tied on price, but LegalZoom wins for value.
Usually, IncFile packages are cheaper than LegalZoom, $30 less for the base package; however, since you can use our exclusive promo code BEST4B19 to save 10%, the prices are nearly identical for you. There is not an Incfile coupon nor promo code available at this time.
UPDATE 7/13/20 – Incfile gives a knockdown punch to Legalzoom by offering $0 cost – yes Free! LLC setup. Check out this promotion here
LegalZoom wins for the value of legal services because they include the all-important, often state required operating agreement in their packages. IncFile charges extra for these documents, which depends upon your state, are legally required to file.
IncFile tries to stay competitive by offering a free year of Registered Agent services. While this is nice, it is not as critical as the state-mandated operating agreement in most legal cases.
Remember, regardless of which legal service provider you select, your costs are all tax-deductible as a legitimate business expense. Remember to track all your costs and retain your receipts – in digital or paper versions.
Customer Reviews
– LegalZoom wins.
Based on the 30X larger volume of legal service customers the percentages of negative reviews for LegalZoom are substantially lower than IncFile.
Small business review site, FitSmallBusiness only has 26 reviews for LegalZoom and 47 reviews for IncFile. Based on the percentage of users, LegalZoom should have over 1400 reviews to be a direct comparison.
To me, this means that only a few people have had a negative experience at LegalZoom of their legal services that they wanted to post as a review. Compared to a more significant percentage of Incfile customers who shared their negative experiences online as published reviews.
It is a statistical fact that customer is 66% more likely to leave a review if they had a negative experience. Read my LegalZoom review detailing 15,000+ verified customer reviews.
Yelp Reviews – Incfile vs Legalzoom
Complaints filed with BBB (Better Business Bureau) – Incfile and LegalZoom
Read IncFile 20 complaints on BBB Better Business Bureau
Read LegalZoom complaints on BBB Better Business Bureau website
Verified User Legalzoom Reviews – Positive and Negative (Voted Most Helpful)
Positive Reviews
2/26/19 – Harry, Elmont NY – Consumer Affairs.com
I called a lawyer for the last will legal service. He wanted 1300$. We spoke for 15 mins then I brought up online legal servies and he hung up on me. I said to myself, “Wow I can’t believe how I was just hung up on by a lawyer” It was obvious he was mad inside. Everyday citizens like myself have access to a wealth of information online. I paid 69$ and I basically saved 1200$. YouTube is the best for everything. From plumbing to electrical work to cooking and now free legal advice. God bless YouTube and god bless LegalZoom.
2/15/19 – Chris, Jacksonville, FL – Consumer Affairs.com
About 5 years ago, my wife and I decided on an LLC formation with the goal of making mobile games. Seemed like a fun way to pass the time and possibly lucrative, but we knew absolutely nothing about starting a company nor which legal services we needed. If we had, we might not have felt the need to use online legal services, but honestly, we were the exact demographic they were looking for: we had all the knowledge of the product, and we needed someone else to provide the knowledge and assistance in starting the business.
2/13/19 – Larry d. – Site Jabber
Amanda was knowledgeable and helpful. The Legalzoom website was a bit confusing but the legal help was excellent. Time and money well spent on legal services.
1/16/19 – Donald C – Site Jabber
Kris, really awesome. Walk me through some things that I would be having a lot of trouble with and made it really easy to understand. If you guys had an entire team of people like Kris you will be really special.
6/18/2015 – Bryan H – BestCompany.com
They were a huge help in starting my company and providing all of the legal help that I needed to navigate the space. The attorneys in their network were able to answer all of my questions and even told me what to expect in the future with issues that may come up. Absolutely loved working with them on my LLC formation and getting the legal advice I needed without spending a fortune!
Negative Reviews
2/22/19 – Adam, San Mateo, CA Consumer Affairs. com
I used them to get the correct paperwork for LLC formation and my wife and I started using their legal services Economy package and state filing for $204. Then I noticed on my credit card statement that they charged me $249 for using their Registered Agent Service which I do not want.
NOTE: This issue of charges has been mentioned a few times. It is up to you, the buyer to carefully read the order form and be sure that you do not accidentally click and order services you do not need! Remember it is not the companies fault if you do not complete the order form correctly. 🙂
8/15/18 – Stephen S – Site Jabber
The Operating Agreement they created was a total of 15 pages and the last two pages were Exhibit’s A and B with literally no documentation. It was created in July and I needed to make some adjustments.
6/29/16- Jennifer Gold, Camp Hill, PA – Best Company
The website advertises entity name checks prior to filing LLC papers, and advises that these take 10-15 minutes during business hours. 4 hours later, Customer Service says they haven’t started those today, and it will likely be 24-48 hours.
Verified User Incfile Reviews – Positive and Negative (Voted Most Helpful)
Positive Reviews
8/31/2018 – Virginio Trevisan – Fit Small Business
I had no experience and I wanted to create a LLC. IncFile made it really easy, and they are very fast and responsive! Wish that Incfile told me that the bank might require the statement of information, and this is an additional document to be filed.
7/17/2018 – Quan S, GA, United States – Incfile
I was comparing between incfile and traditional lawyer legal services. Incfile won out because of price, clarity, and free introductions to services that I will need to figure out later- so I appreciate easing me into this new adventure learning curve.
6/13/2018 – Jonathan Nunez – Fit Small Business
Simply perfect, their prices are real without any hidden price. IncFile website is very clear and easy to understand the process, just perfect, support staff answers my emails practically instantly, it’s fabulous. Thank you incfile for making my first experience of creating my LLC easy. Legal services solved!
Negative Reviews
5/3/2019 – Scott B, DE, United States, Incfile
Service is made things easy and nice to know that’s done properly and not worry that I may filed it wrong. Just think $88 is a little pricey for something that it seems like it takes seconds to do? Maybe there more to it then I’m thinking? Either way, I do enjoy that E-file makes things easy to do.
3/19/2019 – Lew Miller, Salt Lake City, Utah – Best Company
What a pack of clowns. I used IncFile to file articles of incorporation for one of my clients. It turned out that the entity they use for a registered agent in CA had been suspended, so the filing was rejected – a fact I only learned by contacting the CA Secretary of State. They resubmitted, but CA is notoriously slow, so although I paid for expedited service, it will now take over six weeks to simply get articles filed. No offer to refund my payment or even a simple apology. Find someone else for this “service”.
12/19/2018 – Yang Beth – Fit Small Business
They expect you to know what legal terms you are referring to rather than guide you on what selections you should choose. They guide you to purchase additional worthless services for notices, not advising that this will cause more legal issues in the future. In purchasing the highest service package with all the bells and whistles, I still had to amend the forms to list me as the owner. IncFile stated that they are well aware of this issue and that I basically should have read all of the forms correctly. I’m assuming that if I’m paying for additional services, it’s a benefit, not a headache. READ, RE-READ, and RE-RE-READ before selecting options.
Packages and Features Comparison – Incfile vs Legalzoom
– LegalZoom wins.
They win because they include more features in all of their packages as opposed to IncFile, which offers fewer features.
This why IncFile is lower priced – and I see it as a lower value for business formations.
Important business-building features in the Legalzoom LLC service packages include:
- Business name check availability
- State business filing
- state certificates
- article of organization
- LLC next steps guide
- Peace of Mind review by legal professionals
- lifetime customer support
- financial account authorization letter to authorize you to open a bank account for your business
- Deluxe organizer
- official stock certificates
- 20 company membership certificates plus three (3) expeditating options
- VIP processing to Secretary of State
- Express shipping
Bonuses – LegalZoom vs. Incfile
Both companies sweeten your deal with extra services; LegalZoom with a custom Operating Agreement and IncFile with a year of Registered Agent service.
Turnaround Time
While IncFile says they ship overnight, it is only the case if you purchase the higher level and more expensive package. Standard processing time for LegalZoom and IncFile is 7-10 business days.
Ease of Use and Ordering
– LegalZoom wins.
I tried both companies to set up an LLC and found Legalzoom.com easier to use. Beginning with the name search to check availability and ending with my state-specific questions, it took me about 10 minutes to order my new business LLC!
All along the way, helpful links and pop-ups were anticipating my questions and answering them. I’m quite impressed.
IncFile LLC Review
IncFile was a bit more confusing. First, Incfile.com made me decide what type of business formation I needed – but I was not sure.
Then the Incfile ordering screen was cluttered with too much information about complex topics such as annual compliance and document publishing.
I found the website at Incfile was a bit intimidating and not user-friendly!
Thus I preferred the simplified ordering process at LegalZoom, which asked me simple questions and led me, by the hand, through the LLC, INC, and DBA process.
Operating Agreement
– LegalZoom wins.
They include a customized operating agreement, personalized for your business, meeting all your state requirements, in their packages at no extra charge.
Incfile charges additional fees for these vital business documents. Most states require that you file an operating agreement, so if you use IncFile for your LLC formation, you will need to purchase this additional service. Keep this in mind as you compare prices.
Company History & Background
About Incfile
Founded in 2004, in Houston, Texas USA, Incfile.com LLC has helped start over 150,000 businesses for entrepreneurs and small business owners.
In 2018, Incfile won the Entrepreneur magazine 360 Best Company award.
About Legalzoom
Founded in 2008 by three friends from law school, Brian Liu, Brian Lee, and Eddie Hartman, whose mission was to help people better access affordable legal services.
Your Best Choice for Your Business LLC, DBA or INC
When LegalZoom is the best choice for your business
I recommend LegalZoom for the majority of businesses because of their extensive experience, a full range of legal services (including trademark, patents, legal plans, and estate planning, combined with reasonable prices.
Saving Tip: Use LegalZoom promo code BEST4B19 to save 10%
When IncFile is an excellent choice for your business
Here are the situations for which IncFile is an excellent choice for your business:
- Tight budgets and low capital-funded startups can benefit from saving some money
- Companies with straightforward ownership and simple business models
- Firms that can generate their operating agreement and other necessary documents in-house
Legal Services Alternatives
Explore your options and read this list of LegalZoom Competitors
Read about these other legal service providers:
LegalZoom vs Rocket Lawyer to get the most comprehensive reviews to make your decision and find your best business LLC service provider
Additional Legal Services for Your Business
Now that you have chosen the right business formation legal services for you, you may need additional legal advice and assistance for filing for a Patent, read Patents Review.
To protect your business name, logo design, and product brands, you should seriously consider reading about how to search for your name availability and how to register for trademark protection here Trademark Reviews.
Don’t forget the importance of having a valid, last will, and testament in place. As a small business owner, you own substantial assets that you will want to give to your heirs when you pass on, so read this Wills Review.
It is also wise to have a properly prepared Power of Attorney in place, assigning the individuals that you want to handle your affairs if you incapacitated.
Choose the LLC filing package that fits your needs at LegalZoom!
Incfile – Form an LLC for just $49! Plus State Filing Fees!
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Next Steps:
What Does INC mean in Business?
Legalzoom Business Legal Plans Review
Entrepreneurs Guide to EIN and FEIN Tax ID Numbers
Check out my guide on how to start your business right with tons of useful tips I learned by successfully starting, building, and selling multiple companies.
