Forming an LLC does not need to be difficult. There are many formation services out in the market that can assist for a fee. Many start-ups are tight for cash when trying to get a business off the ground so it is important to use service providers that give value for cost. The only way to do this is to compare LLC formation services..
This article is comparing 5 of the best formation services in the market in terms of price. The companies are. All of the below mentioned formation services offer starter, mid-level and top tier packages at different price points.
The starter package for LLC formation from ZenBusiness will cost $49 plus state fees with 2-3 weeks processing time. Included in the package is a registered agent for the first year. Thereafter, it will cost $119 per year to renew. The package also includes an Operating Agreement which is an agreement that states how the business will run and be managed.
EIN (Employer Identification Number) is not included in the starter package and costs an additional $70. ZenBusiness also provides a free CPA assessment in terms of advisory services, but annual compliance is an additional $110 per year. They also do not provide a web domain service in the starter package and the cost will be an additional $35. Web hosting is only available on the top tier package ($299 plus state fees).
LegalZoom is one of the most recognised LLC formation services out in the market. The starter package costs $79 plus state fees with a 30 day processing time. The registered agent is not included for the first year and will cost an additional $159 annually. The Operating Agreement ($99) is only available from the mid-level package, but LegalZoom does provide annual compliance free for the first year on the starter package. Thereafter the price is $320 annually.
EIN is only available from mid-level packages and will cost an additional $159. LegalZoom does however require that the EIN is bundled with the Operating Agreement. The formation service does not provide advisory services or web domain and web hosting services.
With Incfile an LLC can be formed for $0 plus state fees. Their starter package is free with next day processing services. Included is the registered agent fee for a year. Thereafter the annual fee would be $119 per year. The Operating Agreement costs an additional $40.
EIN costs an additional $70, but is included in the mid-level ($149 plus state fees) and top tier ($249 plus state fees) packages. All packages include annual compliance and Incfile provides a free 1 hour consultation in the starter package. They do not offer a web domain service, but web hosting can be purchased for an additional $20.
The starter plan from Rocket Lawyer costs $99 plus state fees with 15-20 day processing time. They do not provide a registered agent service for the starter package, but it is available on the mid-level and top tier plans. As with ZenBusiness, the Operating Agreement is included, but EIN registration is at an additional $60. They do provide some free legal services as an advisory service, but unfortunately do not provide web domain or web hosting services.
LLC formation packages from Northwest start at $49 with processing times of 3-5 business days. Registered agent fees are free for the first year and then costs $125 per year. An Operating Agreement is only available from the mid-level package, but the starter package does include EIN registration as well as annual compliance.The EIN is included from the mid-level package. Unfortunately, they do not provide an advisory, web domain or web hosting service.
As with all businesses, formation services also differ. With a variety of options and price points, an owner/s looking to form an LLC should be able to find the right formation service and package to suit their specific needs.