LegalZoom LLC Service Review For 2021: Is it worth it?

Are you looking to incorporate your business? There are so many LLC formation services available online, choosing the right one could be an overwhelming task.

However, with LegalZoom's wealth of experience gathered through serving over 4 million businesses. It might be the appropriate LLC formation service provider for your business.

In this LegalZoom review, you’ll learn what the service brings to the table, its pricing, and whether or not it’s the right fit for you. 

Keep in mind that we may receive commissions when you click our links and make purchases. However, this does not impact our comparisons and recommendations. We try our best to keep things fair and balanced, in order to help you make the best choice for you.

The LegalZoom LLC service review will focus specifically on the key features, cons, pricing, ease of use and deliver a final verdict. 

Highlighted below are some interesting aspects of the LegalZoom service.

  • Extended support hours: LegalZoom has the longest support hours in the industry. Clients can contact the company's support service from 5 am - 7 pm every weekday and from 7 am - 4 pm every weekend.
  • Substantial legal expertise: LegalZoom has a vast legal horizon and expertise in legal matters. Its business advisory plan can assist clients with business formation and offer attorney services for all kinds of business - this enables clients to get legal assistance without any ado.

LegalZoom overview

LegalZoom was founded in 2001 by Brian P. Y. Liu, Brian S. Lee, Edward R. Hartman, and Robert Shapiro and has grown to be one of the most popular online LLC formation services. Estimates place its revenue at $200 million, and it employs over a thousand people across the country. 

This success is due in part to its speed, an established reputation, and a 60-day money-back guarantee. The company is especially suitable for clients who have some compliance filing and legal processes that they want to complete promptly.

Key features of LegalZoom

Registered agent services

Although LLC laws can vary from state to state, most states require that an LLC have a registered agent. This can be you, a member of the LLC, or a third party. 

LegalZoom can provide its clients with a registered agent service - gaining access to and receiving essential documents on customers' behalf every year. 

LegalZoom forwards the customers' important documents to the LLC company, and its clients' privacy is prioritized as it doesn't disclose clients' documents to others.

Preparation and filing of LLC articles of organization

The first procedure towards LLC formation is filing the articles of the organization. In all states, there are requirements as regards legal forms and fees.

LegalZoom helps its clients file all the organizational paperwork. Most states only require the signature of a registered agent or the organizer for such documents - this makes the process easier. 

Of course, you’re able to view the documents before they’re submitted and request changes you need. The LegalZoom LLC service draw is that it’s streamlined and will save you time and money. 

It helps clients with its business name

Choosing the right business name and filing it promptly is an essential task during LLC business formation. The good thing is LegalZoom's legal services make it easy for clients to check their business name availability.

It has provided an online search option that will check business names across the state they wish to register in. Once the clients find a business name they like, LegalZoom can take care of the rest of the process through its intuitive registration workflow. 

Assists with important agreements

The company offers its clients different forms of legal assistance above and beyond the basic LegalZoom LLC service. This includes but isn't limited to employee agreements, service agreements, etc. 

LegalZoom LLC formation services draw up a significant agreement with employees and third parties per the clients' legal plan.

Also, LegalZoom helps landlords draft a well-written rental lease agreement to protect the homeowner and the property - this document states the binding conditions of the clients' lease agreement explicitly, and it also reduces liability.

Allows clients to talk with an attorney

LegalZoom's online legal platform provides customers with the opportunity to work with a lawyer as they start up their businesses - this sets the company's website apart from its competitors.

For clients whose businesses are up and running, the attorneys guide them on real estate issues, discuss the client's intellectual property needs, render assistance with partners and outside vendors, assist clients with the hiring process, and discuss the business's overall health.

The company has licensed attorneys in all 50 states who have in-depth knowledge of state and federal laws. They’re seasoned, highly professional, and welcoming - they have a customer rating of 4.8 out of 5.

Pricing

LegalZoom offers its clients three packages called economy, standard, and express gold packages. They’re divided based on the features you have access to, but the service level remains consistent. 

Economy package

This plan provides clients with the following services: an operating agreement, business filing, business name availability check, articles of organization, a financial account authorization letter mentioning the set of people who are authorized to open a bank account for the LLC, and a "Next steps" guide - this is where the company reviews the clients' documents with them before submitting them. LegalZoom charges $79 plus the state fee for this package.

Standard package

This includes all the economy plan services plus twenty personalized company certificates, a company seal, a deluxe organizer embossed with the clients' business name, and VIP processing that enables clients to get their order processed more quickly. The company charges $329 plus the state fee for the service.

Express Gold package

This plan includes all the standard packages, including rush processing with the state's secretary and express shipping of the clients' orders. The entire process of forming a business takes 7 - 10 days; this means clients do not have to wait a month for business formation.

Also, this package includes everything needed to form a business, access to a lawyer, and online legal service. It charges the customers $349 plus the state fee for the Express Gold LLC service.

Money-back guarantee

LegalZoom offers a unique proposition to its customers - it guarantees its clients 100% satisfaction. It offers its customers a 100% money-back guarantee if they have any complaints whatsoever within a month of the initial purchase.

The company makes the whole process easy for its clients - the customers can request a refund from LegalZoom by dialing the company's toll-free number on its website.

Add on services.

LegalZoom offers its clients a wide variety of additional services, with some of them highlighted below.

Business advisory plan

This add-on service offers tax advice to clients; it also provides them consultation with vetted attorneys, contract reviews, etc. LegalZoom charges $31.25 per month for the service.

Trademark registration

This service protects the customer's brand by registering a trademark with the United States patent and trademark office. The company charges $399 for the service.

Annual reports

The company will help its clients create and file a yearly report for a token of $55, one of the industry's lowest prices.

Dissolution of business

If a client ever needs to move on from an LLC or a corporation, the company makes the whole procedure to officially dissolve the business with the state easy. It charges $129 plus the filing fee for the service.

Ease of use

LegalZoom's website is relatively easy to use. The registration process should not take clients more than 15 to 20 minutes. When you get started, the LegalZoom LLC service asks you a series of questions regarding your business which it will then use to prepare your documents.

Suppose a client cannot finish the registration process or order in one sitting. In that case, LegalZoom emails the client the saved answers, providing the individual with an option to continue with the process later.

However, the company does not have an ongoing user dashboard - this can make it a bit hard for customers to stay organized during the LLC formation procedure.

Pros and cons of LegalZoom

LegalZoom has many pros to its name, and few cons, each of them is listed below.

Pros

  • Lifetime customer support
  • Free name availability search
  • An established brand
  • Money-back guarantee
  • Offers clients' the ability to form a professional LLC (PLLC)
  • Provides clients' a variety of legal services and products
  • Extended customer service hours
  • Annual report filing services to make LLC management easier

Cons

  • Registered agent service is not included in its packages
  • Charges customers for faster delivery

Customer support

LegalZoom has strong customer support. Its support team is available seven days a week. Lawyer consultation is available from 5 am to 7 pm on weekdays, 7 am to 4 pm on weekends on mobile calls or emails. 

If clients' are faced with an issue at any time, LegalZoom LLC has agents and attorneys available on call and can resolve any case the customer might be facing. Customers can also send an email to LegalZoom customer service for legal advice or any issue regarding the business LLC formation process.

The company's representatives also have in-depth knowledge on how to answer the inquiries customers might have concerning LLC services, legal processes, document filing, etc.

Alternatives to LegalZoom LLC service service

Not all LLC formation services will be suitable for your business; that's why you might need to look further for the best LLC formation service that'll serve you right. Highlighted below are some alternatives to the LegalZooom LLC service. You can view an entire article that covers the best alternatives here.

Swyft Filings

Swyft Filings starts the process of forming a new business immediately after the client places an order. Its processing time is one of the fastest in the industry - this ensures that its clients promptly get their businesses up and running.

Also, the company provides personalized customer support for its clients through a personal business specialist. They get the specialist’s phone number and email. If there's an issue, they can call their business specialist to resolve it. 

BetterLegal

BetterLegal provides its clients with absolute peace of mind when forming an LLC or a corporation. The company also offers affordable pricing compared to its competitors.

According to Betterlegal.com, most of its website users complete the order form within 10 minutes, and its turnaround time is one of the fastest (within two business days) - it doesn't charge extra for this. It also prides itself on not displaying upsells and advertisements that its users don't need on its site.

ZenBusiness

ZenBusiness is one of the top-rated formation companies around. Since its establishment in 2015, it has helped thousands of entrepreneurs start up their businesses.

The company provides services such as CPA assessment, EIN (Employer Identification Number) acquisition, articles of organization, an operating agreement, compliance guarantee, worry-free guarantee, and more to its clients.

An interesting feature of ZenBusiness is that it offers its clients a free full year of registered agent services regardless of the package they select.

Conclusion

LegalZoom is an LLC formation provider that is highly renowned and reputable. It’s an excellent option for you to form an LLC if you like to work with an established brand and also if you want to create a professional LLC (PLLC).

Unlike many competitors, it guarantees its clients 100% satisfaction and a money-back guarantee, encouraging more clients to patronize it.

Its pricing is slightly more expensive than some of the other bargain LLC formation services. It’s important to note that a registered agent's price isn’t built into the LLC formation costs but is instead an add-on. 

Its customer support is one of its best features, as it has extended working hours even on weekends - this makes it easy for clients to put a call through to seek advice or resolve an LLC-related issue. In the end, if you want a service you can trust, then it’s worth paying a few extra dollars to set up your company the right way the first time. Any mistakes can be much more expensive down the line. 

LegalZoom review frequently asked questions (FAQ)

How fast is an LLC formation processed at LegalZoom?

The company's processing time is based on the package selected by the client. Its basic economic package takes 30 days, while its standard package takes 15 days, and its express gold package is the fastest; it takes within 7 to 10 days.

Is LegalZoom good to form an LLC?

LegalZoom is suitable for LLC formation. The company has a decent brand value, and its presence is vital in many states.  And the majority of its customer reviews are positive.

Is LegalZoom legit?

LegalZoom is a legit business formation company - this is backed up with its large customer base over its two decades of existence. And over the years, the company has accumulated several reviews from customers, which prospective clients can read through.