Best LLC Services Review in 2021

Are you planning to form an LLC or searching for a new registered agent? Tired of continuous paperwork and want the best LLC services to take care of it? Do you want to cover all the legal issues related to your new business? If that’s the case, you’ve come to the right place!

Fortunately, there are companies that can help you with the entire business formation. You only have to create a list with your major requirements and hire a company that will implement them appropriately.

When choosing an LLC service, consider the company’s reputation, track record, and pricing. Choosing a reliable and affordable filing company will allow you to form an LLC and solve all legal issues at ease. With the right LLC service, you won’t have to spend hours or even days searching for information, comparing service packages, prices, reviews, and so on.

A large number of LLC formation companies (both national and local) have recently entered the market. All of them are engaged in business registration and support. But each has its own unique features and pricing policies, which results in overwhelming research. To simplify the task, we did the research for you! No fluff – just facts! We studied hundreds of the most popular LLC formation websites and services and their reviews on Google, Yelp, BBB (Better Business Bureau), Trustpilot, etc. We reached out to their customer services via all popular channels to see how helpful they can actually be. So now you just have to choose the best from the best!

Choosing the right LLC service for your business will help you with your LLC registration and give your startup the green light. Read on to find out about the best online LLC services and choose the right one for your business!

We have prepared a list of the following top 7 LLC services for 2021 for you to consider:

  1. Northwest Registered Agent (best customer support);
  2. ZenBusiness (best overall value);
  3. IncFile (most affordable service);
  4. Inc Authority (best for startups);
  5. LegalZoom (experience and extra legal support);
  6. Rocket Lawyer (best for online legal advice);
  7. MyCompanyWorks (best user feedback).

Each of the above-mentioned companies provides an opportunity to order their services online. To do this, just go to their official websites, choose the service you need, choose your plan, provide the requested information, and pay for the chosen plan. That’s all. If the information you have provided is insufficient, the customer support will contact you to clarify what’s missing. They will also notify you once your business documents are ready.

By the end of our guide, you’ll be able to choose which business formation service best fits you and your company goals.

Top LLC Formation Services

Northwest Registered Agent

NW Registered Agent
NW Registered Agent
Northwest has built a strong reputation for providing quality services
Northwest has built a strong reputation for providing quality services, however, it is one of the more expensive companies.
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Need high-quality registered agent services for your new business but cannot choose the best option? You have nothing to worry about! Northwest Registered Agent offers the best services in the lowest price range since 1998.

The Northwest LLC formation service works only under U.S. jurisdiction and helps you find solutions to issues related to starting a company, choosing a free operating LLC agreement, and much more. You can also learn how to file an annual report. It’s one of the best online LLC formation service available on the market with thousands of positive Northwest LLC reviews. Plus, their coverage is across all U.S. states!

A registered agent can be an individual or a company that mainly executes all legal documents for the business, and also has a physical address in the state, from which it can receive all physical documents even after working hours.

Pros

  • Documents scanned locally;
  • Free registered agent;
  • Instant and impeccable service;
  • Free LLC agent operating agreement;
  • Your own corporate guides;
  • Free online tools;
  • No hidden commissions;
  • Best guidance from experts available in the Northwest.

About Services

In this era of the Internet, it is really hard to hide all the data, but at NRA, they are doing their best to protect all the data related to your business or LLC formation. They never pass on your information to third parties or trade it. Securing all your data is one of the NRA’s top priorities.

Even if someone registers with Northwest Registered Agent, their data is as secure as their paid data. Their system security is one of the best, which means your data will never be leaked or hacked in any way. You don’t even have to look for service alternatives!

The NRA services are easy to use. In fact, they provide everything needed for your business’s growth that you can’t do every day. The prices are also very low, compared to other providers. The NRA offers better security than any of them. You will be able to do business without having to register all your personal information (e.g. your address) because they provide their address instead of yours, which is really great.

The Northwest Registered Agent packages include the best customer support, convenience, and 20+ years of experience in the business for affordable prices!

Support

There are a lot of business experts available at the NRA, and you can talk to any of them. All of them are well informed and have solid experience. You can ask them for advice to solve any business-related problem or task. They call them “corporate managers” because they are more than just those who answer your questions about where your physical data is located. Most of the services offered by the Northwest Registered Agent service can be performed by yourself, but you do not have to do each of them every day – NRA’s got your back covered!

Northwest Registered Agent customer support system is also one of the best because they offer reliable and fast support with no registered agent complaints. Every time you hit the dead end on your way to success or would like to know certain details on how to set up LLCs, you can address the representatives for advice 24/7. Contact the support team directly by phone or email whenever you want, and they will definitely help you.

This is one of the best and most affordable options available on the market today. Even at such a low price, you will get the service of a registered agent for one year. Customer service is the best, and you can get the best recommendations from NRA experts.

The team of experts that are professionally trained and ready to resolve any issues related to your business. They offer better security than many other similar services. Plus, they do not sell your data for their own benefit, and this is the best part.

Want to learn more? Read our full;Northwest Registered Agent LLC review.

ZenBusiness

Best LLC Service
ZenBusiness
ZenBusiness
Zen Business has the best bang for your buck out of all LLC services online.
There are dozens of services that form an LLC, but ZenBusiness has proven themselves as the the best online LLC formation.
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Do you want to open an LLC fast and at a low cost? ZenBusiness LLC is your choice! Being a new player in the LLC service market (registration date 2015), ZenBusiness allows you to easily start, conduct, and develop your business without any problems. Through automated processes, they provide experts to train, run, and expand your business without the need to set anything. Here you will find 100% free professional training and LLC services at discounts, as well as many other additional services (amendments, publication service, federal tax ID number) and complete features, including a free registration agent, LLC establishment, continuous regulatory requirements compliance, and much more! They use advanced technologies and transparency to provide a fast, affordable, and worry-free experience. They also help US women-owned and minority-owned businesses through their “Pay-it-Forward” project based on partnership with Kiva.org (money loans).

About Services

  • Get services and premium expert support;
  • Create, start and develop a successful business + personal business service;
  • Experience automated processes to provide fast and inexpensive business startup services;
  • Reduced costs;
  • Free name search;
  • Free company registration;
  • Free expert support;
  • Business filing service;
  • Worry-free guarantee;
  • A registered agent for only $10 per month.

Support

The customer service offered by ZenBusiness is reliable, responsive, and fast. They offer 24/7 customer support by phone, email, or online chat. Plus, you get an expert registered agent. If you get stuck in forming an LLC or business somehow, they will surely help you.

Support Methods

  • Live Chat Support: Do you have questions or need advice? During working hours, you can chat with experienced professionals at any time.
  • User Control Panel: This includes easy access from your phone or computer as well as the ability to store corporate documents, manage your banking and accounting operations, and receive important alerts on key delivery and compliance data.
  • Registered Agent: This service provides the official address of your company as required by law. ZenBusiness handles all correspondence with the Secretary of State and other agencies to ensure confidentiality of documents and legal and tax advice.
  • Commercial bank account: ZenBusiness sends your request to a partner bank for review and approval. Once approved, you may open a $100 deposit account and complete an unlimited number of transactions without additional monthly fees.
  • Accountant Support in Live Chat: You can always receive support from an expert accountant in the relevant area during normal business hours, and CPA will help you deal with ledgers at the end of each month.
  • Xero Software License: Sign up for Xero Software, the leading online billing platform, to always monitor your accounting system.
  • First free CPA consultation: With a CPA (Certified Public Accountant), you can start a telephone consultation to analyze your business’s accounting and tax needs.
  • Free insurance offer: ZenBusiness works with several insurance partners to provide you with a free Business Owner’s Policy (BOP) offer. For just $45 per month, you can get a plan that combines commercial real estate, shared responsibility, and additional coverage depending on your business needs.

Want to learn more? Read our full ZenBusiness LLC review.

IncFile

IncFile
IncFile
Incfile is a good option for LLC formation
The company has established a reputation for providing high-quality service for a lower cost than the competition; however, there may be a better service out there for you.
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Are you ready to form an LLC but don’t know what service to use? IncFile is ready to be your savior and nothing will stop you from starting a business.

The main advantage of this company, founded in 2004, over others is its unique pricing policy. You can create an LLC with this free LLC formation service, and you will also get the services of a registered agent within a year, without paying anything. This is the main reason why customers really like this cheap LLC service compared to similar services with higher overall prices. You can find many positive reviews about IncFile on the web.

IncFile can help you prepare the documents and submit them for you, which will take a heavy load off your shoulders. Using this online legal service is one of the best ways to create an LLC, and it is much cheaper than hiring a lawyer. IncFile provides you with an exceptional service related to the rapid formation of your business without any hassles. In addition, they also offer many useful features and tools, both paid and unpaid, which can be used throughout the life cycle of your business.

They have a wide range of plan packages as well as a very clear method for determining which package is right for you and your business. IncFile has done a great job of helping entrepreneurs with legal issues related to startups. There are many features that make IncFile the preferred choice among entrepreneurs. When it comes to starting an LLC, Incfile is definitely one of the best resources.

About Services

  • Free service for one year ($0 + state fee);
  • Ease of use and fast payments;
  • Over 4000 five-star reviews and an A+ rating with BBB;
  • Over 250,000 businesses formed;
  • Over 13,000 online customer reviews;
  • Documents are prepared very quickly, during the working day;
  • The Golden Package offers an excellent price and costs your money;
  • No hidden fees or programmed administrative charges;
  • IncFile offers very low prices in addition to great value for customers;
  • Complete your request in less than 10 minutes.

Support

Like various similar online legal services, IncFile offers valuable experience, reliable and unlimited 24/7 phone/email/chat support, as well as helpful advice, which eliminates the need to hire an internal attorney and/or lawyer or law firm. You don’t have to pay huge fees!

  • Just like LegalZoom, IncFile customer service has a great reputation, and you will only have to wait for a couple of minutes before contacting their friendly and efficient customer service representatives. You can also use the Continuous Order Tracking tool to receive the latest documentation.
  • You can actively manage your entity through a user-friendly client dashboard. Just use your order number and email address, associated with your order, to access the dashboard. It includes some extremely useful features, such as an online collection of your formation records, tracking important runtime dates, and consistency updates. This will keep you informed of future government needs.
  • Phone support is available Monday-Friday from 9 am to 6 pm CST (IncFile customer service number is 844.830.8267). And you can always leave them a message on the official website to get a quick response.
  • A 60-minute interview with a confirmed professional is free for each client.
  • IncFile their professional registered agents for free (1 year of free LLC service).

Want to learn more? Read our full IncFile LLC review.

Inc Authority

Inc Authority
Inc Authority
Inc Authority is a good option for new business owners.
Inc Authority offers basic LLC formation services at an affordable price; however, there may be a better service out there for you.
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How about forming an LLC in about five minutes? Now that’s fast! Inc Authority LLC offers advanced software and outstanding filing services for your business, you just have to push the Star Now for Free button on their official website. Then you will be asked about your entity type and the state to file in. After that, you will have to provide your personal and co-owner info (incl. business name/type, mailing, and shipping address). And you are ready to form your new business! Inc Authority is in the game for over 30 years and knows how to do things right. They have been helping entrepreneurs around the US to gain success and make their businesses thrive. The number of satisfied clients never stops growing, and they continue to form hundreds of thousands of new businesses. We guess it’s about their employees and their commitment to providing customer service of exceptional quality. And even though every LLC formation service can say that, not many of them can boast with 5-star ratings and thousands of positive online reviews to back it up.

The prices are quite affordable (though tricky at times) and, considering their offers (incl. great customer service, thousands of positive online reviews, LLC formation experience, registration, and filing of new company documents), Inc Authority results in a quite reasonable choice. The “free LLC service” package includes: business name search, document preparations and filings, tax plannings, digital storage and delivery, a registered agent (for 1 year), access to Bank of America checking account, business funding analysis, and preparation and filing S-Election document Form 2553 with the IRS. That’s their basic plan, choosing which, you will only have to pay your own state fee. Thus, the Starter Business Bundle costs $399 (incl. state filing fees).

About Services

  • One of the only two companies in the industry that offer free LLC and S Corporation formation services (you can choose only features that you need);
  • Fast and reliable business formation
  • Great reputation and customer feedback (almost perfect rating scores and over 3k positive online reviews)
  • Perfect customer support (operating hours Mon – Fri, 9 a.m. – 5 p.m.)
  • A free registered agent service at no cost;
  • Partnership with Bank of America for the seamless process (extra cashback, credit card payments with lower fees, reward points for traveling and business expenses, mobile on-the-go money management)
  • Over 4,000 reviews with positive feedback;
  • 20% discounts available with paid services.

A few drawbacks are expensive premium packages (the Basic package starts at $399) and no refunds (under any circumstances).

Support

When it comes to Inc Authority, customer feedback is a big pro. The company has been providing their top-notch services since 1989, forming 130,000 businesses, and gaining the trust of their clients. Thus, it’s no surprise there are so many positive online reviews. Just see what various clients say about the company – they are all impressed by the free LLC service and efficiency of the company.

  • It’s more than just forming a business. Inc Authority offers a rich list of startup business services developed to help you grow your business. These include business plans, funding, credit, website/marketing packages, legal services, etc. Everything is clear and understandable – all thanks to their helpful and knowledgeable customer service team.
  • You can contact the company’s dedicated team of business coaches at info@incauthority.com or by phone (877-462-6366) to ask any specific questions – their friendly and caring customer service with many professional experts is available Monday-Friday 8 a.m. – 5 p.m. (PST). Everyone can count on an expert guide no matter what state you want to open your business in.
  • Inc Authority’s customer service team is very responsive. They genuinely love what they do and never stop getting better. Their work is based on trust, inspiration, and motivation to always provide more than expected and actively help their clients. You can always count on professional one-on-one guidance and support.

Want to learn more? Read our full Inc Authority LLC Review.

LegalZoom

LegalZoom
LegalZoom
Established brand, with plenty of LegalZoom reviews from customers and successful cases.
LegalZoom offers an easy to use, full-featured online business formation and legal service.
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If you’re a small business and you need to create an LLC, LegalZoom can become your number one legal service and the only place to fulfill all your requirements. The company was founded in 1999 and helped over 4,000,000 businesses and individual clients to find solutions to their legal issues. With LegalZoom, you can easily start your small business, file business formation paperwork, register a band/trademark, apply for a patent, create custom documents with an electronic signature, consult with a lawyer, get legal documents, get valuable advice on business taxation, etc. Thus, if you don’t have your own in-house lawyer in the legal department, you are more than welcome to use LegalZoom services.

Choose from a wide range of services, starting with LLC formation ($79 + state filing fees) and ending with the initial patent application ($199 + federal filing fees). They also offer registered agent services, legal forms, business advisory plans, trademark registration, copyright applications, etc. They offer a comprehensive business plan (Business Advisory Plan) with continuous access to an in-house LegalZoom lawyer, phone consultations, document reviews, tax advice, and annual business evaluation to make sure you business meets relevant laws. This is their least expensive option and it’s very beneficial, compared to their competitors. You can also expect one copyright registration per month, which is great for creative people (e.g. artists, musicians, etc.)

About Services

This old company is known for having over a million customers because it’s one of the best online registration services. Plus, LegalZoom LLC formation service also spends a lot on advertising.

Their pricing model is not as good as Northwest’s, thus the LegalZoom alternative can be a little pricey, but they have their significant advantages. With LegalZoom, you will not get a free registered agent but they offer amazing support by phone. They try to answer every client as quickly and accurately as possible to solve the problem. LegalZoom is really popular on the market because they have helped more than 1 million companies, which results in an outstanding experience that can give a head start to any other company on the list.

LegalZoom offers the following features:

  • Comprehensive legal plan for business;
  • Create a new business fast and easy;
  • Compliance with individual legal norms;
  • Money-back guarantee;
  • Annual reports;
  • Foreign qualifications.

LegalZoom LLC packages include the Economy ($79 + state filing fees), Standard ($329 + state filing fees), and Express Gold ($349 + state filing fees) options. As you can see, their package prices vary but you can choose whatever fits your business best.

The Economy package is the most affordable one with basic, most important features for setting up an LLC, as well as solving your banking issues. Each package also includes Name Check and Business Filing, Article of Organization, LLC Next Steps Guide, and Peace of Mind Review to make sure your order is worth it before your business is formed.

Support

  • Getting legal advice from LegalZoom is convenient and easy. Qualified specialists can answer any questions related to LLC formation in real-time. Their online services are available to people wherever they are, and communication with employees takes place in a familiar environment.
  • LegalZoom provides valuable help to their clients until the desired result is achieved. A fixed payment is charged only once – at the very beginning of cooperation. This principle of solving client tasks distinguishes LegalZoom noticeably from other paid and free legal LLC services on the web.
  • If you are looking for LegalZoom contacts, you can ask any questions by phone – (800) 773-0888. They are available from Monday to Friday (5 a.m. to 7 p.m. (PT)) and on Weekends (7 a.m. to 4 p.m. (PT)).

Want to learn more? Read our full LegalZoom LLC review.

Rocket Lawyer

Rocket Lawyer
Rocket Lawyer
Rocket Lawyer is the best LLC formation service for businesses needing ongoing legal services.
Rocket Lawyer is a good deal if you require ongoing legal services past LLC formation.
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The company has been providing high-quality services since 2008, serving a large number of clients. Rocket Lawyer has already helped over 7 million business clients. This legal LLC formation service helps its clients by connecting them with professional attorneys. Both individual and small businesses can benefit from a low fixed cost. In addition to LLC formation, they also offer other legal service subscriptions that will allow you to get advice from qualified business lawyers and other benefits. They also state that their clients are 100% satisfied, which is a really bold statement, to say the truth.

Rocket Lawyer is a rapidly growing company in the LLC service market. They offer their help in compiling custom legal documents/contracts and their review, LLC formation (it can also be a corporation or nonprofit), reviewing these documents, advice sessions with qualified lawyers, etc.

About Services

  • Reliable protection of personal assets
  • Flexible control
  • Spend less time on paperwork
  • Transit taxes
  • Affordable registered agent service

Rocket Lawyer clients, who have already subscribed to its legal services, will also receive a 25% discount for their Affordable incorporation filing, which is free for new members. Non-members can only choose an offer at a $99 base rate (excluding state fees).

Most of their services are available for one-time Rocket Lawyer fees, but monthly memberships are also available in case you need regular support. Their basic membership package (with a 7-day free trial) includes custom legal forms creation, 30-minute phone session with an attorney, online Q&As with a lawyer, document defense for their documents, affordable registered agent service with a 25% discount, LLC formation (without govt filing fees).

One of the mentioned services is document defense, which is a unique feature of Rocket Lawyer. This implies help with another party if it doesn’t accept your custom contract. Say, if you create a contract with Rocket Lawyer, and the other party doesn’t comply with it, an attorney will help you. A demand letter will be created on your behalf, which can encourage the other party to comply. By the way, they also have an advanced form builder that can be used to create custom legal documents and contracts. After answering a few simple questions about your business, a series of pop-up boxes will show up to explain the law in your state. This is very helpful to ensure that your form meets the state LLC requirements.

They have a lot of experience in the legal field, and therefore, the number of clients is really huge, and the number of positive reviews is also great.

Support

Rocket Lawyer continuously supports its clients by phone, email, or online chat. The customer service is available from Monday to Friday, 6 a.m. to 6 p.m. (PT). Their extended working time is an important advantage, as you can virtually contact them at any time. Rocket Lawyer’s customer service number is (877) 881-0947. Their representatives are quick and friendly, and they always respond in a timely manner. Plus, you can also visit their official Contact Us page and send them an email.

The only (minor) problem with its support is that the chat feature is confusing and not very user friendly. Other than that, you can fully take advantage of the Rocket Lawyer’s 100% satisfaction guarantee. Otherwise, you can cancel your Rocket Lawyer membership during your free trial or at any time thereafter.

Want to learn more? Read our full Rocket Lawyer LLC review.

MyCompanyWorks

MyCompanyWorks
MyCompanyWorks
MyCompanyWorks is competitively priced and has a strong reputation for customer service.
MyCompanyWorks is a smaller player in the LLC formation space but has a stellar reputation.
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If you want your LLC documents to be processed and submitted in the shortest possible time (e.g. within a day), MyCompanyWorks can be your perfect choice! Founded in 2001, the MCW has been providing LLC formation services of exceptional quality to many businesses – in fact, the number of business formations is over 60,000! They have over 3,000 reviews, which are mostly positive, and continue to receive great feedback from their clients today.

Of course, every company has its own advantages and disadvantages. Their plans may not be as attractive as with the companies at the beginning of our list, and they do not include a free registered agent in their basic package, but when you contact this company, you can certainly count on high quality and user-friendly customer support service. Plus, thousands of customer reviews are simply impressive. MyCompanyWorks is like a dark horse, which will go far with its unique trading offer. These guys sincerely love what they do, and you can feel it when you talk to their representatives. A lot of clients love this company due to their responsive customer support service.

MyCompanyWorks has been in the LLC services industry for quite a long time, thus, they know it from the inside and can boast with enough experience. That’s why you should consider this company’s services and features.

About Services

  • 60,000 businesses formed;
  • 3,000+ online reviews;
  • Perfect customer feedback;
  • The Basic package ($79 base rate) features include personalized LLC operating agreement and org; minutes, compliance alert system to let you know about the required filing deadlines;
  • Convenient online dashboard;
  • The complete package has great features;
  • 100% compliance guarantee;
  • Free electronic delivery;
  • Company lifetime alerts;
  • Tracking online orders;
    Startup Wizard (custom web-based LLC formation checklist that is personalized for your state and business type);
  • Unlimited phone and email support.

Support

Their in-house quick-response customer support service is strong and shining with 5-star ratings, but you can only contact them by phone and email on weekdays from 11 am to 7 pm. This may be a short period of time compared to other companies on the list, but it does not prevent the MCW from remaining in demand on the LLC services market. All thanks to their knowledgeable employees. When we first contacted them by email, they responded in less than 20 minutes!

They have already helped more than 50 thousand customers. Their service record is really great, so they were included in the Inc5000 rating as the fastest-growing private company.

Want to learn more? Read our full MyCompanyWorks LLC review.

How to Choose the Best LLC Formation Service

Try to identify a company that offers the same services as a lawyer, but at a lower cost. In addition, compare the terms associated with obtaining an LLC, as well as the fees charged by the service. Ensure that any service of the company that you plan to address is legal in the state, where you intend to start your business.

An LLC is the preferred type of business facility for many people, and anyone can apply to establish their own company. Many aspiring businessmen prefer to use a professional attorney or an LLC service for initial establishment. As a result, many LLC services state they can create the best LLC on the market, but not all services are known to be equal. To find the best LLC service, you have to be clear about the steps needed to form an LLC and the fees your government charges when registering a new company. With this knowledge, you will have a clear understanding of your rights and responsibilities, as well as the importance of all that a reputable LLC formation service must provide.

When choosing among the best LLC formation company, we recommend considering the following basic parameters:

  • Company experience on the market;
  • Number of reviews and satisfied clients + their feedback;
  • Company prices, features, and customer support quality.

Each company has its own pros and cons, so you will have to be extremely careful to make a wise choice. Always think twice before purchasing any package and think ahead. Don’t be shy to ask customer support service again if you don’t understand something.

You can seek assistance from various law firms and individual lawyers to form a new LLC. However, many believe that this is not always the most cost-effective way. You may find a less expensive alternative by choosing an LLC creator, who is not an attorney but has good experience in creating LLCs at a lower rate. However, you should understand that certain state fees cannot be avoided, as they are required by the government to file documents for the establishment of your limited liability company.

Time is also an important factor in establishing an LLC. Before you purchase a service package or a single service from your chosen company, find out how much time it promises to take to form your new LLC. If you need it fast, make sure the company is able to deliver the results within the desired period of time. Keep in mind, however, that rushing may require additional fees.

When you start to narrow down your choices, choose an LLC service with the best reputation. This includes professional customer service, great communication, timely completion of work, and submission of error-free documents. Before paying for anything, make sure to ask if the company can provide its services in the chosen state. Also, find out if there are any special rules/laws regarding an LLC if you are not a permanent resident of that state.

Choose the best LLC service online by first exploring a few on the list above – you can compare them with each other and find the best one for yourself. For obvious reasons, we recommend ZenBusiness, IncFile, and Northwest Registered Agent as our Top 3 LLC formation services available on the web.

Pros & Cons of LLC Formation Services

Each LLC formation service has its own advantages and disadvantages, in the end, it all depends on your income, priorities, business type, and the state you want to start your business in. Here are some of the main pros and cons of top LLC formation companies:

Pros

  • Professional assistance and worry-free guarantee;
  • Saving time on paperwork;
  • User-friendly online dashboard and helpful features (name check,
  • company registration, fee payments to the Secretary of State, legal physical address to receive emails, certification of documents, registration with the IRS and obtaining EIN, a resolution to open a bank account, etc.);
  • Caring and responsive customer support service;
  • Reliable LLC data protection;
  • Free registered agent;
  • Possibility to use a simplified taxation system;
  • Small charter capital of the LLC, which allows the company to attract investments and assets;
  • The low percentage of entrepreneurial risk;
  • Limited property liability, which provides legal protection for the owner(s) of the company;
  • The possibility to establish subsidiaries and non-profit organizations;
  • Absence of necessity to publish documents reflecting the activity of the enterprise;
  • The possibility of disproportionate distribution of profits among the company’s participants.

Cons

  • High costs of LLC paid services and premium packages, sometimes, including a registered agent;
  • The total number of participants in the company may not exceed 50 people;
  • Any changes in the composition of members of the company or in the proportions of their shares in the authorized capital require mandatory changes in the package of constituent documents of the company.

Frequently Asked Question


What LLC service is best?

Though it’s a fairly new company, ZenBusiness is probably the best of them all. Considering their prices, features, friendly and responsive customer service, and in-house registered agents and CPAs – you can expect everything you need for your LLC.

How can I get my LLC for free?

If you have enough knowledge and you’re not scared of a hassle, you can try to form an LLC for free. If you don’t, it all depends on the type of your chosen business structure and the package. Don’t forget that each state has an individual filing fee + your chosen LLC formation service fees. Also, hiring a lawyer will eventually cost you much more money than turning to an online LLC service. In the first case, the following steps will be necessary:

– Gather the info of your business and provide it to your state government (the Secretary of State) in a formal document (Certificate of Formation/Organization – the name may vary depending on the state) in PDF or Word format.
– Provide detailed information (name, address, ownership in the business) about other people or your Registered Agent that you form an LLC with (if you do). After that, you will have to decide on the name of your new LLC, which is not used by other businesses of the state.
– Choose your business name wisely depending on your state rules. You can search for a unique name here.
Then, depending on the state again, you should also point to an official physical address of your LLC (the same street address where your company is formed) that will follow all the requirements of your state.
– You may need a registered agent that maintains regular business hours and is able to receive official mail. Then you should get a copy of the official company formation document (or whatever it’s called in your state) from the agency in your state. 
– Think about how you will raise money with Investors. Keep in mind that many of them prefer to invest in corporations, not LLCs;
– Obtain an Employer Identification Number (EIN);
– Get the necessary business licenses.
– Set up an LLC bank account.

What is the cheapest way to get an LLC?

It’s all about the state, where the business is formed, and the type of business. However, you can always choose a do-it-yourself option. Mainly, getting an LLC at minimum cost depends on your state’s filing fees. If you can fill the forms, i.e. the Article of Organization (or a similar document) by yourself, you will save a lot of money.

Is the LLC the best business entity?

This, again, depends on your business. LLC is a hybrid of a sole proprietorship and corporation. With LLC, you, as an owner, (as well as your partners or shareholders) can measure your personal liabilities and enjoy beneficial taxes (no corporate taxation, all profit is considered personal income and taxed accordingly when the year ends) and partnership flexibility. Plus, there’s much less paperwork, and if you go bankrupt, there won’t be many problems for your LLC. Moreover, in case of your business debts (unless it’s illegal, unethical, or irresponsible carrying out of your activities, which still have to be proved) – you are shielded from personal liability.

When choosing your business entity, you should consider the following things: flexibility (your company goals). complexity (reporting requirements with your state government), personal liability, taxation, control (LLC provides full control of your business and activities), capital investment (corporations are better when it comes to outside investments), licenses (including regulations and permits), and record-keeping. However, keep in mind that LLC members must pay self-employment fees.

Do you need a lawyer for an LLC?

No. You can form it yourself or use the professional help of a professional business formation service from the list above.

Is LegalZoom worth it for LLC?

Yes. If you’re a small business, you can save your time and, possibly, some money. If you don’t have enough time or don’t know how to form an LLC yourself (including forming documents, lawyer consultations, etc.), you can entrust this to the legal company with more than 15 years of successful experience. They have user-friendly customer support and positive feedback.

What is a “registered agent”? Is an agent service worth using?

A registered agent is an individual or legal entity that will be responsible for the relationship between the state authorities and the future LLC itself. Hiring a registered agent depends directly on your business goals. If you have a small business, no problems with extra paperwork, regular business hours, and operate in your home state, without concern about your privacy – there’s not much sense, i.e. you will do just fine without the service. In such a case, the business owner can be listed down as the registered agent for the LLC. If you have odd business hours, no on-land location (physical address), if your business in multiple states, if you worry about your privacy, and have a lot of paperwork – then hiring an agent is a must. You can find more information here

The main task of a Registered Agent is to confirm your identity and your intention to establish a company in the state. The Agent may be any US resident, individual, or company. Usually, accountants and intermediaries charge $100 or more for the service, some do it for free. Your friends may also act as an agent.

This is what John (chose to remain anonymous), the watch brand founder from California, did: at first, he ran business only through Instagram and reported on taxes as a sole proprietor. “When the business started growing, I made an LLC in Delaware in the hope of saving on federal tax, which is not there. I founded the company through a Registered Agent who also gave me a nominal address. I paid $600 for the LLC registration and I pay $350 annually. I have an accountant that I pay separately because she only sends correspondence,” says the entrepreneur. If you want to open a company in a state where you are not a resident and you do not have a permanent physical address, you can hire a Registered Agent there.

Do I have to use a service to form an LLC?

It depends on your knowledge and experience. If you don’t know how or simply have no time to gather all documents and registrations. It’s best to entrust this to professionals. General LLC registration process goes as follows:

– Gathering a document set and submitting it to the Secretary of State for consideration;
– Registering a company with the U.S. Internal Revenue Service and obtaining a Federal Tax ID to run a business;
– Registering a company with the U.S. Internal Revenue Service and obtaining a Federal Tax ID to run a business;
– Opening a bank account;
– Providing the company’s registered physical office and email for receiving business correspondence;
– Licensing certain activities of a company in the USA (optionally);
– Preparation of internal corporate documents, company’s CEO appointment.

Are LLC formation websites legit?

Yes. In case we’re talking about reputable services like ZenBusiness and IncFile. You should not trust any “free” options – there are always certain fees.

What state should I form my LLC in?

Most people choose their home state because it’s always more convenient and cost-effective. Plus, if you choose to register your business in a different state, you will still have to register it in your home state (provided you do business there). Obviously, this will also result in additional filing fees, paperwork, and state tax liability.

Wyoming is the birthplace of LLC. This is where the law on the possibility of creating such a form of legal entity first appeared. Wyoming has most of Delaware’s advantages (e.g. low opening costs, no corporate taxes or specific requirements) and even costs a little cheaper, but somehow, inexplicably still Delaware is much more popular among most entrepreneurs. Usually, when forming an LLC, everyone acts by the “Everyone goes to Delaware – Delaware it is then” principle. Wyoming also has a principle of confidentiality, strong case law and special legislation, and no corporate income taxes. The cost of opening an LLC in Wyoming is a bit more expensive than in Delaware, but Registered Agent services are cheaper.

How to change your registered agent?

If you, for any reason, want to change your registered agent – no problems. All you have to do is file a certain form, the Statement of Change of Registered Office and/or Agent. It may not be available for download immediately, but you can simply request a copy from the State Corporation Commission’s (SCC) official website and fill it out with the following information.

– LLC name;
– Previous registered agent’s name;
– New registered agent’s name and address;
– Authorized person’s signature.

Senior Business Tax Writer, etc
Jean Wilson Murray
https://bestllcservices.co/
(323) 789-5289
Senior Business Tax Writer, etc
Jean Wilson Murray

In this IncFile vs ZenBusiness review, we're going to compare two of the most popular LLC formation services based on pricing, features, and drawing out differences and similarities to let you see which is most suitable for you and your business.

You can learn more about @Mike here.