LegalZoom vs Bizee (formerly IncFile)
Are you deciding between Bizee (aka IncFile) and LegalZoom for forming your LLC? We know, it can be confusing. But don’t worry! Read our helpful comparison guide below, to learn which company is the best for you.
LLC service providers all seem to offer the same services, but is price the only thing you should consider? We think user experience, including friendliness of website language and customer support, are really important too. That’s why we tried out their websites to see what it’s like to start your LLC with Bizee or LegalZoom, and we called their customer support teams multiple times to help you select the best company to form your LLC.
Is it better to use a big company like LegalZoom, or a specialized LLC formation service like Bizee? We compared Bizee vs LegalZoom on 10 different features of their business formation services.
Winner: Bizee is the clear winner over LegalZoom. With their low prices and straight-forward options, Bizee works better for small business owners starting a Limited Liability Company (LLC).
But are they the best? Both companies are decent choices, however, there's a better option. We recommend hiring Northwest to form your LLC (special discount link for 60% off).
(See why Northwest is #1 in our Northwest Registered Agent review)
About Bizee
Bizee is an LLC formation company and Registered Agent service.
(They used to be called IncFile. It’s the same company – same staff, same services – with a new name.)
They offer compliance services like LLC Annual Report filing, as well as other business filing services like DBAs and trademark applications.
Founded in 2004, IncFile (now “Bizee”) has helped start over 500,000 businesses. Their business focuses on helping the small business owner, and primarily offers features for people starting new businesses.
About LegalZoom
The LegalZoom logo is a registered trademark of LegalZoom Inc.
LegalZoom is an online legal technology company that offers a wide variety of legal services, including business formation services. According to their website, LegalZoom was founded in 1999 and has launched over 4 million businesses.
LegalZoom offers LLC formation packages that include various documents as well as other legal services like templates of legal documents and consultations with attorneys. While LegalZoom is a large company, they don’t always get the best customer reviews.
LLC Formation Services: Bizee vs. LegalZoom
The Basic LLC Package: What do you get?
We compared the features offered in the basic LLC formation package at each company. What else do you get besides the actual Articles of Organization filing with the state?
Bizee
The basic package (called “Basic”) includes a free name search, the filing of your Articles of Organization, and one free year of Registered Agent service. Nothing else.
LegalZoom
The Basic package includes a free name search, the filing of your Articles of Organization, and a consultation with 1-800-Accountant.
It also doesn’t include a year of Registered Agent service; you will have to pay $249 per year for that.
Winner: Bizee
Why? The free year of Registered Agent service is a better value than what LegalZoom offers.
Pricing
Note: None of the LLC formation prices below include the state LLC filing fees.
Bizee
Bizee offers the Basic package for $0 + state fee, the Standard package for $199 (plus state filing fees), and the Premium package for $299 (plus state filing fees).
The Basic package is a great deal, since you get your LLC formed and a free year of Registered Agent service and don’t have to pay any service fees. You only pay the state filing fees for your LLC formation.
The Standard package includes a variety of extra features with your business filing, but you can get an EIN and Operating Agreement for free. It’s an okay value if you just want to pay someone else to handle the paperwork and get you a domain name.
The only things you get with Premium that you don’t get with Standard are the contract templates, a business phone number, and expedited filing. We don’t think those are worth the price of the package.
LegalZoom
LegalZoom’s business filing offers are the Basic service for $0 + state fee, the Pro package for $249, and the Premium package for $299.
The Basic package is an okay value for business formation, but we really can’t justify the high prices for the Pro and Premium packages. Both get your LLC approved a little bit faster, and offer some extras. However, the extras aren’t necessary to start your business, and you can get them cheaper with other companies – or you can do it yourself.
Winner: Bizee
Why? Bizee has slightly cheaper prices, and offers better value for your money.
What's the catch? Free packages usually come with strings attached, like selling your personal info and aggressive marketing tactics. That's why we recommend hiring Northwest instead. They never sell customer data and they don't harass their customers. You can use this special discount link to get 60% off and 1 free year of Registered Agent service.
(See why Northwest is #1 in our Northwest Registered Agent review)
LLC Service Turnaround Time
- Related article: How long does it take to get an LLC?
Bizee
Bizee promises to file your documents with the state within one business day. That’s one of the fastest times in the industry.
However… several customer reviews online say this claim isn’t accurate and that Bizee took a long time to process their filings. We’re not sure if there was perhaps something wrong with what the user submitted that required additional information.
LegalZoom
Despite being a big company, LegalZoom doesn’t offer very fast business formation turnaround time. Your documents will be filed within 5-14 business days of purchasing LegalZoom’s LLC service.
You can pay an extra $99 (plus state expedited fees) to have your LLC processed within 1 business day.
Winner: Bizee
Why? Bizee has a faster turnaround time.
Upsells: Valuable Add-ons or Cost-Fluffers?
Bizee
Bizee offers a variety of upsells that you can select for your new business. Some of them are easy to do yourself, but other business filings are better left to the professionals.
If you need these items, we think Bizee offers good value:
- $99 Business License Search
- $99 DBA (Fictitious Name) filing
It can be difficult to find a business formation company that offers these services for a decent price.
LegalZoom
LegalZoom offers a ton of upsells, but bundles many of them into packages. This means you end up paying more for the LLC service you want, plus some extras you may not need. We don’t like that LegalZoom’s upsells are intrusive and continue through emails even after your LLC is processed.
You’ll also be bombarded by offers for other subscriptions, like their bookkeeping service (LZ Books). Overall, LegalZoom has a lot of upsells during their business formation process – and after formation. Most of them aren’t worth the cost.
They also offer to connect you with banks for opening a business bank account – but really, you’ll just get a lot of junk mail & email. You can open a business bank account easily by going into a local bank branch.
Overall, LegalZoom has a lot of upsells during their business formation process and most of them aren’t worth the cost.
One of LegalZoom’s only worthwhile features are the business document templates. But accessing those costs $59 per completed document, or $99 per year for unlimited access. Unless you’ll be using a lot of them, and often, we don’t think it’s the best value available on the market.
People often hire LegalZoom because they think they’ll need ongoing legal guidance or other additional legal services. But the truth is, most small businesses don’t really need all that. If you need business licenses, the state boards and agencies can help you navigate the process. And if you do end up needing a business attorney, you would be better off building a relationship with someone local – rather than having a single conversation with a random independent attorney networked with LegalZoom.
Winner: Bizee
Why? Bizee’s upsells are a better value and they aren’t pushy.
Language: Misleading Information
Bizee
Bizee has some misleading language about the IncFile refund policy, and it isn’t clear which companies they work with to provide certain features. We like to know whether our information is being sold to other companies.
LegalZoom
LegalZoom’s website has a lot of fancy language to make their services sound like you can’t live without them. Many details about limitations of the services also aren’t readily apparent.
Winner: This was a tie.
Why? Neither website did well on clarity and user-friendly language.
Customer Service: Accurate and Adequate
Bizee
Bizee offers phone support or customer service by email. When we spoke to customer support representatives, they were all helpful and honest. None really went the extra mile to give us advice or suggestions, but they did accurately answer our questions.
LegalZoom
LegalZoom offers customer support by phone or online chat. But if you’re a new customer or just trying to get information, LegalZoom requires you to give them a lot of details about your business before they will even try to answer your questions.
We were disappointed to find that they were more interested in getting us to start the LLC formation process or to purchase online legal services, rather than helping us with our questions.
Winner: Bizee
Why? Bizee has better quality customer support than LegalZoom.
User Experience: A Streamlined Business Formation Process
Bizee
Bizee’s user experience offers a simple, streamlined formation process that lets you get through the order quickly. We like that they show a ‘live’ price based on what add-ons you select.
After formation, Bizee’s user dashboard is well-organized and easy to use when you need to order other filings or find documents.
LegalZoom
LegalZoom offers a sleek, modern website design. However, it sends you through a lot of different pages to get the information you need. Also, the LLC formation process uses confusing layouts that make it difficult to avoid the upsells.
Winner: Bizee
Why? Bizee wins for being simpler and more efficient.
Bizee vs LegalZoom: Registered Agent Services
- Related Article: What’s a Registered Agent for an LLC?
Price Per Year
Bizee
Bizee charges $119 per year for Registered Agent services, which is about average for the industry. We like that Bizee includes a free year of Registered Agent service with any LLC formation package.
LegalZoom
LegalZoom charges $249 per year for Registered Agent service, which is one of the most expensive prices in the industry.
Winner: Bizee
Why? Bizee has a better Registered Agent price.
Mail Forwarding and Service of Process
Bizee
Bizee scans and uploads any legal mail they receive for your LLC. They send an email notification about any new document, which you can then access on your account dashboard.
LegalZoom
LegalZoom also scans and uploads legal mail sent to your LLC (including Service of Process). They also have an online dashboard where you can access your documents.
Winner: This was a tie.
Why? Both companies offer the same service.
Bizee vs LegalZoom: Who’s the winner?
When you compare these two business formation services (Bizee vs LegalZoom), Bizee (aka IncFile) is the clear winner.
Here’s why:
Bizee has cheaper prices, much faster turnaround times, and they include a free year of Registered Agent service with their basic package. Unlike LegalZoom, Bizee doesn’t have any tricky subscriptions for upsells and they aren’t pushy.
While neither company’s website has great site language and they both have some misleading information, Bizee’s site is simpler and more efficient. Bizee also has better customer support.
When it comes to Registered Agent services, Bizee matches LegalZoom’s mail forwarding style, but is much cheaper. You get more for your money with Bizee’s Registered Agent service.
Overall, Bizee is a decent choice for Registered Agent and business formation services if all you need is your LLC filed and someone to receive your mail.
Is there a better option? Yes, we recommend hiring Northwest. You'll get a lot more for your money. They also protect your privacy by keeping your address off public records. Use our special discount link to get 60% off and 1 free year of Registered Agent service.
(Learn why Northwest is #1 in our Northwest Registered Agent review)
File yourself with our free LLC guides
If neither Bizee or LegalZoom seems like the right fit, and you want to save money, you can form your LLC yourself. And we can help!
At LLC University®, we offer free, step-by-step guides that teach you how to form your LLC yourself. You just pay the state filing fee.
Get started here: How to start an LLC in all 50 states
You don’t have to hire business formation services, or Registered Agent Services. You can do everything yourself: file your own business documents, and be your own Registered Agent.
But sometimes small business owners find that they want to hire a company (like LegalZoom). You can still do the business formation yourself – you don’t have to pay a legal services company to do your LLC formation, even if you hire them for something else.
The Hybrid Approach: Hire Bizee and DIY the little things
If you do hire Bizee or LegalZoom to file your LLC, you can still save money in other ways. There are several upsells that you can skip and DIY instead:
Instead of paying for an LLC Operating Agreement, you can download our free LLC Operating Agreement template. Lots of legal documents can be easily drafted from templates like this.
If you see an upsell for LLC Membership Certificates, you can skip it. We provide free LLC Membership Certificates here. This isn’t an essential part of LLC formation, anyway.
If you see an upsell for a Banking Resolution (aka financial account authorization letter), you can ignore it. This document isn’t actually needed to open an LLC business bank account. Banks will provide their own form.
If you’d rather not pay for someone to file your LLC Annual Report, you can do that yourself. Go to our LLC Annual Report page and select your state.
And you don’t have to hire someone to be your LLC’s Registered Agent. Instead, you can be the Registered Agent for your LLC. Check out our Registered Agent page for more details. All you need is a physical address in the state where you form your LLC. Being your own Registered Agent can save you more than $100 per year.
Note: There’s no such thing as a free Registered Agent Service, but if you (or someone you know) is your Registered Agent, you won’t have to pay any fees. Free Registered Agent Services usually means a free trial, and you pay for the subscription every year after that.
Matt holds a Bachelor's Degree in business from Drexel University with a concentration in business law. He performs extensive research and analysis to convert state laws into simple instructions anyone can follow to form their LLC - all for free! Read more about Matt Horwitz and LLC University.
