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Discover the ideal LLC formation service for your business with our customized LegalZoom vs. ZenBusiness comparison.
Make an informed choice tailored to your needs.
Pricing:
$149 - $349
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Pricing:
$199/yr - $349/yr
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Best For:
Entrepreneurs, small business owners, and individuals seeking accessible and cost-effective legal and tax assistance.
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Best For:
Entrepreneurs and small business owners who want to form an LLC or corporation quickly and affordably.
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Are you an aspiring entrepreneur looking to establish a new company or a seasoned business owner seeking to streamline your operations?
Both LegalZoom and ZenBusiness offer essential solutions worth considering.
Keep reading to answer these questions:
- How do these services differ in terms of cost, features, and user experience?
- Which one aligns best with my unique business goals and aspirations?
- How can I get started?
This deep-dive LegalZoom vs. ZenBusiness comparison is here to address all your questions and guide you toward the perfect choice for your entrepreneurial journey.
Let’s get started!
Pro-tip: If you want more insights into these two services, check out our reviews of LegalZoom and ZenBusiness.
LegalZoom vs. ZenBusiness at a glance
Feature | LegalZoom | ZenBusiness | Winner |
---|---|---|---|
SMB Guide’s Rating | 8.5/10 | 9.1/10 | ZenBusiness |
Business Formation Services | LLC, partnership, C-Corp, non-profit, or DBA | LLC, S-Corp, DBA | LegalZoom |
Processing Time | 5 to 14 days | 2 – 3 weeks | LegalZoom |
Registered Agent Services and Costs | $249/year | 1st year free, then $119/year | ZenBusiness |
Name Availability Search | ✅ | ❌ | LegalZoom |
Online Document Access | ✅ | ✅ | ZenBusiness |
Money-Back Guarantees | 60 days | 60 days | ZenBusiness |
Platform User-Friendliness | Aesthetic UI | User-friendliness | Tie |
Customization Options | ✅ | ❌ | LegalZoom |
Compliance Assistance | ✅ | ✅ | Tie |
Industry-Specific Expertise | Founded in 2001 | Founded in 2015 | LegalZoom |
Customer Education & Resources | ✅ | ✅ | Tie |
Customer Support | Phone, live chat, email | Phone, email, chat | Tie |
Pricing | $149 – $349 | $199/yr – $349/yr | LegalZoom |
Scalability | Convert as you grow | High scalability | Tie |
LegalZoom: Key Features, Pros, Cons, & Pricing
Simplifying the journey to business commencement, LegalZoom offers a comprehensive range of business formation services.
This encompassing support includes assistance with entity selection, name reservation, document filing, and more.
Moreover, they furnish registered agent services, ensuring that businesses remain in strict compliance with legal requisites while receiving vital documents and notifications.
What truly sets LegalZoom apart is its commitment to attorney expertise.
Although it cannot replace the need for an attorney, LegalZoom provides access to invaluable legal advice through its legal plan services, affording customers the opportunity to consult with skilled attorneys on a myriad of legal matters.
In addition, LegalZoom offers an extensive repository of legal documents and templates, streamlining tasks like contract drafting, will creation, and more, further enhancing the utility of the platform.
Pros & Cons
100% satisfaction guarantee
User-friendly and easy processes
Incredible customer support
Wide range of legal services
Expensive add-ons
Registered Agent service is expensive
Pricing
LegalZoom offers a flexible pricing structure that depends on the services and packages you select.
For LLC business formation, their most commonly chosen package starts at $0, plus state filing fees.
Additionally, services such as registered agent services, legal plans, and trademark registration come with their own distinct pricing arrangements.
Kickstart your business in minutes with LegalZoom's business formation services.
ZenBusiness: Key Features, Pros, Cons, & Pricing
ZenBusiness is an online platform that helps with business registration and other essential features for launching and managing small businesses.
ZenBusiness is known for being cost-effective, having a very user-friendly platform with tons of resources, and exceptional customer support.
Its key features include business formation, registered agent support, online document access, a business website builder, and reports.
Pros & Cons
$0 starter plan
1 year free registered agent
Fast filing
Expert customer service
Limited online features
EIN unavailable on starter pack
Pricing
ZenBusiness offers three pricing tiers:
- Starter: This plan costs $0 + state fees. Includes basic business formation filing tools and guides. You also get ZenBusiness’s worry-free compliance service free for the first year with this plan.
- Pro: This plan costs $199/year + state fees. Includes EIN generation, expedited filing speeds, and dedicated operating agents.
- Premium: This costs $349/year + state fees. It includes all the features from Pro, plus advanced features like business documents and templates, business website builder, a dedicated domain name, and business email address selector.
ZenBusiness has all the tools you need in one place to start, run, and grow your own business.
Business Formation Services
LegalZoom has gained recognition for its comprehensive array of business formation services, catering to diverse entity types, which encompass:
- LLCs: Renowned for their flexibility and liability protection, LegalZoom guides you through the intricacies of selecting a distinct business name, filing essential documents, and ensuring compliance with state regulations.
- Corporations: This category encompasses both C corporations and S corporations. LegalZoom assists in the selection and reservation of a business name, filing articles of incorporation, and adherence to the requisite legal guidelines for corporate structures.
- General and Limited Partnerships: LegalZoom extends support for both general partnerships and limited partnerships, aiding in the naming process and facilitating the filing of necessary documents.
While their incorporation process simplifies various aspects, LegalZoom also offers users a degree of customization.
You have the flexibility to choose from diverse packages tailored to your specific needs, with options that can include additional features such as registered agent services, acquiring an employer identification number (EIN), and more.
This adaptability empowers businesses to select services that align seamlessly with their unique requirements and budget constraints.
ZenBusiness offers a comprehensive business formation service, specializing in LLCs and corporations.
They assist in reserving a suitable business name, ensuring compliance with state regulations, and handling amendments seamlessly.
Whether you need to dissolve your business, expand to other states, obtain a Certificate of Good Standing, or register a “Doing Business As” (DBA) name, ZenBusiness provides very user-friendly online solutions for all your business needs.
To get started, provide your details and requirements, and they take care of the rest, offering a one-stop solution for growth and compliance.
As LegalZoom provides business formation services for more entity types, LegalZoom wins this category.
✅ Winner: LegalZoom
Processing Time
LegalZoom typically adheres to a defined processing timeline for each of its services.
However, this timeline’s duration hinges on a few factors like the type of service you choose and prerequisites.
Broadly speaking, the standard processing durations for business formation services and document submissions to government entities can span between 5 to 14 business days.
Essentially, this signifies that, upon the initiation of the process, you can anticipate a waiting period of up to two weeks before the arrival of your finalized documentation.
You can also opt for LegalZoom’s expedited services which incur an additional fee, depending on the particular service you select and your geographical location.
ZenBusiness boasts faster processing times compared to most states, with an average completion period of 2 to 3 weeks depending on your chosen state and package.
Higher tier plans like Pro and Premium have faster processing speeds with up to 1-3 days max.
If you need a quicker turnaround, they offer expedited processing options for an additional cost, ranging from $49 to $99 per order, catering to your specific needs.
✅ Winner: LegalZoom
Registered Agent Services and Costs
At an annual cost of $249, LegalZoom includes registered agent services as a fundamental component of its comprehensive suite of business support solutions.
This offering holds particular significance for businesses, especially those operating in multiple states.
With LegalZoom’s registered agent services, you can:
- Handle Crucial Legal Documents: Effectively manage essential legal documents, encompassing tax notifications, legal summons, and other official correspondence on behalf of your business.
- Safeguard Owner Privacy: Shield the privacy of business owners by utilizing the registered agent’s address for public records, ensuring the confidentiality of personal addresses.
- Access Expert Legal Support: Benefit from the expertise and guidance of a reputable legal services provider, a valuable resource, particularly for new business owners navigating complex legal compliance requirements.
ZenBusiness provides registered agent services for a yearly fee of $119, which can be chosen as an add-on to your preferred business formation package.
With this option, you have the assurance that your company’s crucial documents, such as tax notices and legal summons, will be handled by experts, freeing you from the constant need to monitor incoming mail and legal notices.
Additionally, ZenBusiness stands out by providing a hassle-free process for transitioning to another registered agent service provider without imposing any penalties or cancellation fees.
ZenBusiness’s RA services are more affordably priced, making it the winner for this category.
✅ Winner: ZenBusiness
Name Availability Search
At present, LegalZoom does not provide a separate, dedicated tool on their website for conducting name availability searches.
Instead, LegalZoom has integrated this feature into their service offerings, which become accessible when you select one of their packages.
This is a notable disadvantage when contrasted with some competitors like Firstbase.io who furnish free and comprehensive online name search tools.
ZenBusiness, like LegalZoom, also doesn’t provide an in-house tool for checking name availability.
Instead, ZenBusiness steers users toward the individual Secretary of State’s websites in each state for conducting name availability checks.
Furthermore, they offer guidance on effectively navigating these state websites, simplifying the process for users, even if it means forgoing the inclusion of an in-house search tool.
✅ Winner: LegalZoom
Online Document Access
LegalZoom doesn’t provide an extensive digital repository for storing your business documents and filings online.
Instead, they dispatch your original documents and filings via mail.
You do however get access to a comprehensive database of templates covering a wide spectrum of legal forms and documents.
These templates are available in PDF format, permitting users to peruse and download them.
This can be very helpful for individuals and businesses to autonomously manage a range of legal matters without the necessity of in-depth legal expertise.
ZenBusiness offers convenient online access to essential business documents, including:
- formation certificates
- annual reports
- compliance records
- EIN confirmation letters
These documents can be easily viewed, downloaded, printed, and managed from anywhere with an internet connection.
This digital approach eliminates the need for physical document storage and the worry of misplacing important records, helping you stay organized and informed about your business matters.
As it offers a more comprehensive digital approach, ZenBusiness wins this category.
✅ Winner: ZenBusiness
Money-Back Guarantees
LegalZoom introduces the “LZ Guarantee,” a testament to their unwavering commitment to excellence and precision in delivering legal services.
It’s worth noting, however, that this assurance differs from the conventional money-back guarantees.
The essence of the LZ Guarantee lies in LegalZoom’s resolute support for their products and services.
In the event that LegalZoom errs on your order, they pledge to rectify it at no extra expense to you.
It’s crucial to understand that LegalZoom’s guarantee doesn’t encompass a transparent, standard money-back policy for situations involving dissatisfaction or changes of mind regarding a service.
When customers express discontent unrelated to LegalZoom’s errors, the potential eligibility for a refund typically depends on an individual assessment.
ZenBusiness offers two reassuring money-back guarantees to ensure customer satisfaction.
The first is a 100% satisfaction guarantee, allowing clients to request a full refund within 60 days of purchase if they are unhappy with their membership or any add-on service.
The second guarantee is the worry-free guarantee, promising to refund costs and resolve any issues if clients miss filing deadlines or face fines due to ZenBusiness’s negligence, providing an extra layer of peace of mind for customers.
As ZenBusiness offers a full refund with no case-by-case speculation, ZenBusiness wins this category.
✅ Winner: ZenBusiness
Platform User-Friendliness
LegalZoom furnishes a user-friendly platform, rendering it inclusive for a wide spectrum of users, spanning from novice entrepreneurs to well-versed business proprietors.
Whether your aim is to embark on a new business endeavor, draft legal documents, or access legal services, you’ll soon find out that the platform’s navigation is uncomplicated and effortless to traverse.
ZenBusiness is renowned for its user-friendly online platform, making it accessible and straightforward for entrepreneurs to navigate the complexities of business formation.
The platform boasts intuitive website navigation with clear instructions at every step of the process, ensuring that customers can easily complete the necessary steps to establish their businesses.
The interface is designed to streamline the formation process, from name reservation to filing the required paperwork, catering to both beginners and experienced business owners.
Both LegalZoom and ZenBusiness provide similar aesthetic experiences, drawing a tie.
✅ Winner: Tie
Customization Options
LegalZoom extends a range of service packages, thoughtfully tailored to address distinct business prerequisites.
This allows customers the flexibility to opt for the package that meets their immediate demands and financial considerations.
Within each of these service packages, LegalZoom frequently presents supplementary services that customers can handpick to match their particular requirements.
For instance, customers have the option to select services such as registered agent services, procuring an Employer Identification Number (EIN), or securing a business license, contingent upon their specific needs.
ZenBusiness provides a high degree of customization for its incorporation and business formation services.
This includes a variety of customizable templates, both online and mobile-friendly, allowing customers to tailor their documents and materials to suit their unique business needs.
Furthermore, ZenBusiness offers a variety of add-on services and packages that customers can choose from to further customize their experience such as Registered Agents, New York Publication, business credit cards, business banking, and more.
By offering a wide selection of options and the ability to mix and match services, ZenBusiness ensures that businesses can create a tailored package that precisely meets their specific requirements.
✅ Winner: LegalZoom
Compliance Assistance
LegalZoom extends a comparable caliber of assistance for maintaining compliance which includes fulfilling annual filings, meeting tax deadlines, and staying abreast of pertinent regulations.
This includes their Compliance Calendar tool, registered agent services, annual report submissions, the regular updating of corporate records, and facilitation in acquiring the essential licenses and permits for lawful operation within the relevant jurisdiction.
ZenBusiness offers a robust suite of compliance assistance services, including services such as annual report filing, which helps customers stay in good standing with the state by ensuring they submit required annual reports on time.
You also get dedicated compliance management and worry-free compliance helping businesses track and manage deadlines for various regulatory obligations, ensuring they remain compliant with state and federal requirements.
As their compliance offerings are pretty similar, both draw a tie.
✅ Winner: Tie
Industry-Specific Expertise
With a history dating back to 2001, LegalZoom boasts a significant tenure within the industry.
Its origins as a legal technology firm marked a pioneering venture in leveraging technology to enhance the accessibility of legal services.
Rooted in this tech-driven foundation, LegalZoom has harnessed its experience to cultivate inventive solutions and optimize the efficiency of legal procedures.
ZenBusiness, with over 8 years of industry experience, is well-positioned to serve a wide range of industries and business sectors.
Their extensive expertise in business formation, compliance, and ongoing management makes them a versatile choice for entrepreneurs across various industries.
Over the years, ZenBusiness has helped over half a million small businesses.
They also offer a solid foundation of knowledge and services that can be tailored to suit the unique needs of different business sectors.
LegalZoom wins this category, owing to the legal expertise and backing it provides.
✅ Winner: LegalZoom
Customer Education and Resources
LegalZoom curates a comprehensive library of articles, encompassing a diverse array of legal and business-related subjects, readily accessible on its website.
Authored by legal experts and seasoned industry professionals, their blogs proffer an extensive trove of insights, including in-depth analyses, real-world case studies, and practical advice.
LegalZoom also offers legal document templates that cover an extensive scope, encompassing the creation of contracts, agreements, wills, and more.
You can also subscribe to their newsletters, and follow LegalZoom on Facebook, LinkedIn, YouTube, Twitter, and Instagram.
ZenBusiness provides an array of high-quality educational resources to assist customers in understanding the intricacies of the incorporation process, compliance requirements, and ongoing business management.
Their website hosts a comprehensive library of guides, articles, FAQs, and tutorials, offering valuable insights and step-by-step instructions for various aspects of business formation and management, including its very own ZenBusiness Academy.
As both services offer in-depth customer resources, they both tie.
✅ Winner: Tie
Customer Support
LegalZoom extends a variety of avenues for customer assistance throughout your journey.
If you favor phone-based support, you have the option to contact their customer care team.
The support hours are structured to accommodate you from 5 a.m. to 7 p.m. PT on weekdays and from 7 a.m. to 4 p.m. PT on weekends.
- For general inquiries, dial (888) 379-0854.
- For sales-related questions, you can reach them at (855) 787-1922.
Alternatively, for those who lean towards online communication, you have the convenience of submitting questions or inquiries.
You can also engage in real-time chat interactions with LegalZoom’s agents.
All that’s required is your name and email, and you also have the option to include your phone number for more immediate assistance.
ZenBusiness provides multiple communication channels for customer support.
You can reach them via phone, email, chat, or social media platforms.
Their customer service is available on weekdays from 8 a.m. to 8 p.m. CST and on Sundays from 10 a.m. to 7 p.m. CST through phone and chat.
Both services share a similar customer service model, drawing a tie.
✅ Winner: Tie
Pricing
LegalZoom’s pricing plans are structured as per the company/entity types you’d like to incorporate.
Entity Type | Basic | Pro | Premium |
---|---|---|---|
LLC | $0 + state filing fees | $249 + state filing fees | Premium: $299 + state filing fees |
Corporation | $149 + state filing fees | $329 + state filing fees | $349 + state filing fees |
Nonprofit Corporation | $99 + state filing fees | $239 + state filing fees | $359 + state filing fees |
Limited Partnership | $149 + state filing fees | $259 + state filing fees | $379 + state filing fees |
Limited Liability Partnership (LLP) | $149 + state filing fees | $259 + state filing fees | $379 + state filing fees |
ZenBusiness offers three pricing tiers: Starter, Pro, and Premium, each catering to different business needs.
Here’s a table breaking down the available plans:
Plan | Price | Features | Who’s It For |
---|---|---|---|
Starter | $0 + state fee | Basis business formation tools and guides One-year worry-free compliance | Small businesses/individual entrepreneurs |
Pro | $199 + state fee | Fast filing speeds EIN Operating Agreement | Small businesses who want expedited processing times and worry-free taxing process |
Premium | $349 + state fee | Business documents Business domain name and email address Business website builders | Medium to large sized business formation services that can make use of the features fully |
✅ Winner: LegalZoom
Scalability
LegalZoom stands out by offering a range of scalable solutions that cater to various business needs.
Whether you’re looking to expand your existing entity through a multitude of features or seeking to grow your business while ensuring legal compliance, LegalZoom has you covered.
In fact, LegalZoom’s versatility extends to covering a broader spectrum of entity types than ZenBusiness, giving it a competitive edge in this regard.
ZenBusiness primarily utilizes a subscription-based pricing model, offering customers various subscription plans tailored to their business needs.
These plans are well-suited for scalability, as they provide different tiers with increasing features and services, accommodating businesses at different growth stages.
As a business expands, you can easily upgrade to a higher-tier subscription to access more comprehensive support and features.
Both LegalZoom and ZenBusiness offer scalable options for growing LLCs and businesses, tying for this category.
✅ Winner: Tie
Standout Features of LegalZoom
LegalZoom’s Compliance Calendar is a valuable tool designed to keep businesses well-informed and proactive when it comes to critical deadlines and necessary filings.
It ensures businesses receive advance notifications for pivotal dates, such as annual reports and state income tax deadlines, actively contributing to their compliance.
You also get access to a Trademark Search service that aids businesses in making well-informed decisions before embarking on the journey of applying for a federal trademark.
What sets LegalZoom apart is their elevated approach to trademark support, which includes attorney-led guidance.
Standout Features of ZenBusiness
ZenBusiness accelerates the business formation process with faster filing times, setting it apart from the competition.
Their Pro and Premium plans include the option for the fastest filing speed, which enables you to form your business in days instead of weeks.
This expedited service ensures that your business gets up and running quickly, reducing wait times and allowing you to focus on growing your venture.
ZenBusiness also provides integrated web editing capabilities that empower businesses to establish a strong online presence.
With a personalized dashboard, you can set up and customize your business website anytime.
This comes with domain name setup, website template selection, and content and design customization.
LegalZoom vs. ZenBusiness: SMB Guide’s Verdict
In the comprehensive comparison between LegalZoom and ZenBusiness, SMB Guide’s verdict is clear: ZenBusiness emerges as the overall winner.
While both services offer valuable solutions, ZenBusiness’s focus on simplicity, affordability, and personalized support makes it an excellent choice for small and medium-sized businesses.
LegalZoom, on the other hand, shines for its extensive legal service offerings and is better suited for larger enterprises with diverse legal needs.
Check out LegalZoom’s services.
In summary, for entrepreneurs and SMBs seeking cost-effective and user-friendly business formation and compliance services, ZenBusiness stands out as the top choice.
ZenBusiness has all the tools you need in one place to start, run, and grow your own business.
Beatrice is a seasoned productivity writer with a knack for uncovering game-changing productivity hacks that simplify life routines. Armed with a triple major in Commerce, Accounting, and Insurance, she also runs her own digital consulting firm. You'll usually find her immersed in crafting captivating literary novels and traveling the world.