4 Best LLC service options in 2020

to start a company

Starting your own business isn’t easy. You have to go through piles of paperwork, sort out your finances, and figure out what your business structure is going to be. That’s why a little help never hurts.

Luckily, you can now set up a limited liability company with just a few clicks and without having to wait in long queues. Anyone can become a small business owner minus dealing with all the red tape thanks to online services and automated filing.

We’ve simplified the process further by identifying the best LLC service on the market. With our guide, you’ll be able to create your LLC quickly and save a lot of money along the way.

Here you’ll learn about:

  • The top LLC services on the market
  • A detailed list of the pros and cons of each site
  • A comprehensive buyer’s guide to help you make your decision
  • The most affordable way to start your LLC

So, what are the top LLC formation services in 2020?

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Top 4 LLC Services for 2020

1. IncFile

Founded in 2004, IncFile is widely considered a great option for any entrepreneur looking to start their own LLC. With thousands of positive user reviews, incredibly affordable pricing, and an easy-to-use website, this company stands out from the competition. Full Review

  • A completely free basic package
  • Fast application filing
  • Great user experience

Founded in 2004, IncFile is widely considered a great option for any entrepreneur looking to start their own LLC. With thousands of positive user reviews, incredibly affordable pricing, and an easy-to-use website, this company stands out from the competition. Full Review

2. LegalZoom

More than 1.5 million entrepreneurs have used LegalZoom to open an LLC. This is the best LLC service with a registered agent. In addition to helping you form an LLC, the comprehensive service from LegalZoom also gives you a better understanding of running a business with the help of various tools and free consultations. Full Review

  • All-in-one solution for SMEs
  • 60-day refund policy
  • Tax consultation

More than 1.5 million entrepreneurs have used LegalZoom to open an LLC. This is the best LLC service with a registered agent. In addition to helping you form an LLC, the comprehensive service from LegalZoom also gives you a better understanding of running a business with the help of various tools and free consultations. Full Review

3. ZenBusiness

Finding inner peace when you’re rushing to submit all your paperwork is easier said than done. But starting an LLC can also be a Zen-like experience. ZenBusiness guarantees an element of calm while facilitating an affordable LLC formation process. What more could an entrepreneur ask for? Full Review

  • Very affordable plans
  • Transparent pricing
  • Registered agent included

Finding inner peace when you’re rushing to submit all your paperwork is easier said than done. But starting an LLC can also be a Zen-like experience. ZenBusiness guarantees an element of calm while facilitating an affordable LLC formation process. What more could an entrepreneur ask for? Full Review

4. Rocket Lawyer

Rocket Lawyer specializes in company formation services. Since its founding in 2008, it has accumulated more than 20 million customers, making it one of the most prolific legal and filing companies. It’s a rocket-powered service that can help you both start and run a company with ease. Full Review

  • Fast formation time
  • Lots of add-ons
  • Legal advice

Rocket Lawyer specializes in company formation services. Since its founding in 2008, it has accumulated more than 20 million customers, making it one of the most prolific legal and filing companies. It’s a rocket-powered service that can help you both start and run a company with ease. Full Review

Using our expertise and our tried-and-tested methodology, we’ve scoured the market for the best rated online llc formation service and compiled a list of companies that you can trust:

  • IncFile – One of the most affordable services around
  • LegalZoom – An all-in-one platform for starting and running an LLC
  • ZenBusiness – The platform with the most transparent policies and pricing
  • Rocket Lawyer – A leading legal and filing platform, covering all the bases for startups of all sizes

Detailed Reviews

Incfile
Incfile

BEST FOR

startups on a budget

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  • Starts at: $0
  • Registered agent: Free for one year, then $119/year
  • Processing time: Five to 15 days
  • EIN registration: Yes
  • Operating agreement: Yes
  • Advisory service: Yes
  • Annual compliance: Yes

IncFile has been providing filing services for small businesses and startups across the United States for more than 15 years. Thanks to its streamlined application process, low prices, and highly knowledgeable agents, it’s not hard to see why so many companies put their trust in IncFile.

How to Apply

IncFile is the fastest LLC service when it comes to the customer application process. It’s incredibly easy to use, without any unnecessary steps. You kick things off with the big orange “Launch My Business” button on the homepage. Clicking it opens up a page where you’ll need to select the type of company you’re forming, like LLC, S-Corp, or nonprofit, and the state where your business will be located. This is important for determining the state fees you’ll need to pay, as different states impose different fees on LLCs.

You’ll then be presented with three plans and the LLC formation prices that show the cost of the plan, the state fees, and the total amount. After choosing a plan, enter your contact information, your future company’s details, and choose any optional add-ons, such as expedited filing. IncFile can also provide you with a business address. The signup process is so well designed that it can even detect what licenses you’ll need to fill out for certain industries. Finally, enter your billing information and you’re good to go.

Each step is skillfully explained, so it’s very easy to understand what information is required from you. This is one of the reasons why IncFile is on our best LLC service list. A lot of other filing companies confuse customers with complex terminology and sell them add-ons this way.

Things We Liked & Things We Disliked

There are a lot of things to like about IncFile. From its incredibly streamlined application process to the starting price of $0, it’s an impressive service. Although it might be too focused on its add-on offering, none of the costs are hidden or unexplained, and it’s all still very pro-consumer.

For a lot of business owners, the fact that they’re getting a free registered agent with all three plans will be enough to sign up for the service. But just because it offers the cheapest LLC registration doesn’t mean it always provides the best value. The absence of some features in the basic plan often pushes customers to upgrade to premium. You don’t have to, of course, but the value is much better.

Support

The support team is very knowledgeable and patient, but you might need a bit of patience yourself. Sometimes, it can take up to 24 hours to get a reply.

Pricing/Fees

Incfile is best known for its free LLC services. But this is a very basic package, so a lot of add-ons are offered during the signup process. The cost of these extra services ranges from a few dollars to $100.
The premium plans will cost you $149 or $299. Granted, these plans include many more features, with the most expensive one adding a lot of value in the form of speed.

Pros Cons
A completely free basic package High add-on prices
Fast application filing
Affordable add-ons
Great user experience

Our Verdict

IncFile has always been regarded as one of the best LLC formation services. The platform is streamlined with a lot of great features. It’s also affordable and addresses all of your startup needs.

Reasons to Use

The free starting plan and the registered agent are the main reasons to sign up for IncFile.

Read our dedicated IncFile review for more detailed information.

LegalZoom
LegalZoom

BEST FOR

small to medium businesses

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  • Starts at: $79
  • Registered agent: $249/year
  • Processing time: Up to 30 days
  • EIN registration: Yes
  • Operating agreement: Yes
  • Advisory service: Yes
  • Annual compliance: Yes

Operating for nearly two decades, LegalZoom is one of the oldest providers in the business. During that time, LegalZoom’s agents have been entrusted with helping 1.6 million customers set up their business operations.

How to Apply

To register an LLC online with LegalZoom, you’ll first need to check if the name you’ve chosen for your company is available. Then, select the state where the company will be based, provide some basic information, and the setup process can begin.

You’ll be asked some basic questions about your business type, whether this is your first LLC, and how soon the business is opening. Even before presenting the customer with plans, this site offers add-ons like EIN and an operating agreement, which can discourage some entrepreneurs from proceeding further. This upselling practice resulted in a few negative online reviews.

Things We Liked & Things We Disliked

LegalZoom might not be an especially cheap LLC service like IncFile, but it offers significant value to its customers. For less than $100, entrepreneurs can get quite a lot of features and services that would cost them twice as much with other providers. More importantly, it’s an all-in-one solution designed to help you start an LLC and run it too.

Although the various upgrades are costly, obtaining an EIN and an operating agreement isn’t exactly inexpensive to begin with. Ultimately, if you have money to spare and want to avoid any hassle, this is the right service for you.

Support

Online reviews of LLC services commend LegalZoom’s customer support team for its efficiency. You can expect any inquiry to be solved within a matter of hours.

Pricing/Fees

All three plans on offer, including the most affordable one, provide great value for entrepreneurs. The middle plan is the best buy because it saves you money on some of the add-ons that are included in the package.

Pros Cons
All-in-one solution for small businesses Expensive add-ons
60-day refund policy
Tax consultation
Straightforward signup process

Our Verdict

LegalZoom is the best LLC formation service for anyone looking to get everything done in one place. It’s a comprehensive service with a lot of features, including tax consultations and other forms of assistance that few other sites offer. Granted, some add-ons could’ve been cheaper, but it’s still very affordable.

Reasons to Use

The affordable starting price and lots of useful features will help you run your LLC and reach your full potential.

Read our dedicated LegalZoom review for more detailed information.

ZenBusiness
ZenBusiness

BEST FOR

beginner entrepreneurs

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  • Starts at: $49
  • Registered agent: Free for one year, then $119/year
  • Processing time: 2-3 weeks
  • EIN registration: Yes
  • Operating agreement: Yes
  • Advisory service: Yes
  • Annual compliance: Yes

Finding inner peace when you’re rushing to submit all your paperwork is easier said than done. But starting an LLC can also be a Zen-like experience. ZenBusiness guarantees an element of calm while facilitating an affordable LLC formation process. What more could an entrepreneur ask for?

How to Apply

This website has just about the simplest signup process you could imagine. Once you click on the “Start Now” button, you’ll immediately be presented with the prices and all of the add-on options on the same page. You simply pick what you like and proceed.

We really liked how LLC service plans are displayed here. There are no hidden costs or misleading upsells. You’ll only be paying for what you chose to include in your package. Once you’re settled on the price, you’ll have to provide your personal, business, and contact details.

Things We Liked & Things We Disliked

The best thing about ZenBusiness is the user experience. Everything is neatly organized, transparent, and clearly outlined. All of the prices are listed on a single page, so there’s no need for you to jump between different pages, write down LLC service prices, and calculate everything manually.

The only real downside here is that processing and filing times aren’t especially fast. Not everyone gets their LLC formed within their preferred time period, so it’s definitely not the best choice if you’re on a tight schedule.

Support

We had no issues while contacting the support team. Agents responded quickly and provided us with all of the information we required.

Pricing/Fees

It’s not just about how to create an LLC, but how much it costs. If you decide to incorporate online with ZenBusiness, you won’t have to pay much. This is an affordable LLC service, costing just under $50 if you go with the basic plan. There are various add-ons, but none of those are overpriced.

Pros Cons
Very affordable plans Slow filing process sometimes misses deadlines
Transparent pricing, not many upsells
Registered agent included with all plans
Easy to use

Our Verdict

ZenBusiness is a company that knows its customers. It knows that the service shouldn’t be complicated and the pricing has to be very transparent. The company doesn’t have hidden costs, there are lots of great and affordable add-ons, and the website is easy to navigate. It’s also regarded as the best LLC service for beginners and inexperienced entrepreneurs.

Reasons to Use

If you want to know exactly what you’re paying for, go with ZenBusiness. It’s likely the most transparent company in the industry.

Read our dedicated ZenBusiness review for more detailed information.

Rocket Lawyer
Rocket Lawyer

BEST FOR

businesses seeking legal advice

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  • Starts at: $99
  • Registered agent: $149/year
  • Processing time: Up to five business days
  • EIN registration: Yes
  • Operating agreement: Yes
  • Advisory service: Yes
  • Annual compliance: No

With a name like Rocket Lawyer, it’s only safe to assume that this business formation company can help launch your LLC and put it on the right track to reaching the stars. It might not run on rocket fuel, but the service has a strong background in administration. Its legal department has provided its services to more than 20 million people since 2008, making it one of the best LLC filing services that you’ll ever come across.

How to Apply

To create an LLC through Rocket Lawyer’s website, you’ll need to provide some basic information first. This includes the state where your business is based, the address, contact details, and your company name. The process takes a bit longer than we would have liked, but you have the option of saving your application and continuing at a later time.

After the contact form, you’ll be offered some additional services like rush filing and obtaining a tax ID. As mentioned in our previous LLC service reviews, this drives up the cost and may turn some potential customers away. In fact, there are a lot of steps to go through before reaching the payment page. One of those steps involves subscribing to a premium filing service. It’s not a complicated process, but beginners should definitely tread carefully.

Things We Liked & Things We Disliked

Rocket Lawyer is a very complex platform. The website isn’t designed just for business incorporation; there are also a lot of other features and services that a new business owner might need at some point. This can make it overwhelming for inexperienced users. A top LLC service, in our book, should have a simple UI, and this website is a bit confusing at times. Still, it works well, and there’s even a mobile app, so you can file and sign papers while you travel.

Support

Since this service has a lot of customers, we were pleasantly surprised by the quick responses we received. The company’s customer support agents were always perfectly capable of addressing all inquiries.

Pricing/Fees

Rocket Lawyer doesn’t come cheap, but thankfully it doesn’t surpass the $100 threshold. Moreover, if you sign up for the premium subscription service with its seven-day free trial, the cost of forming an LLC significantly drops. The membership includes some additional perks such as attorney advisory services.
The add-on prices are average. There are a few interesting ones that aren’t offered by other providers, but these aren’t crucial when running a startup.

Pros Cons
Fast formation time High prices without membership
Lots of add-ons Complicated signup process
Premium plan includes generous discounts
Legal advice

Our Verdict

Rocket Lawyer might not be the easiest to use or offer the lowest prices around, but it has years of experience and offers services that are unmatched by the competition. It’s one of the best LLC forming companies for entrepreneurs who want more than just a document filing platform.

Be sure to sign up for the premium trial before submitting your application. This is the perfect way to save some money and get all the benefits that this platform has to offer.

Reasons to Use

If you want a platform that goes above and beyond just registering a company, this is the service for you. Through the monthly subscription, you’ll get access to legal advisory services and some neat tools that will surely come in handy when you’re running your brand new company.

Read our dedicated Rocket Lawyer review for more detailed information.

SpendMeNot’s Methodology

To find the best LLC service, we employed our tried and tested methodology that takes several crucial factors into account. After all, it’s not every day that one decides to register a company, so getting things right is imperative.
So, how do we do it?

First and foremost, we scour the internet for sites offering business formation services. The companies have to be legitimate, preferably with lots of reviews on TrustPilot. Extra points are given to those that are BBB-accredited.
With that initial list pinned down, we analyze user reviews and learn more about each LLC forming site. If there are too many red flags that suggest the company isn’t trustworthy or too many negative reviews, we cross those companies off our list.

We then look at all of the features each site offers, including EIN registration and express filing, and we examine the signup process. We also look at the overall customer experience.

Any offers that save customers money are also important. Therefore, our next step is to look at all the fees and extra charges that come with the package.

We check whether there’s an option for a free LLC service, but also what kind of pricing tiers are offered at each site. The base formation fee is, of course, the most important. In addition, we look at how much each of the add-ons cost, as well as what deals customers get if they choose higher-priced tiers. Any price guarantees and generous refund policies are a big plus.

Narrowing down the selection also involves identifying companies that go the extra mile for their customers. That means a useful customer service portal, good estimates on filing times, precise information, and no hidden fees. In short, we want only legitimate sites for our list of the best online LLC services.

The final result of that comprehensive research is a list of the best companies in the business.

We want to help you see what makes one service stand out from the crowd and how well it fares against platforms of similar quality. With our list, you can rest assured that your LLC or S corporation will be formed with the utmost care and professionalism and won’t cost hundreds of dollars.

How to Choose the Best LLC Filing Service

In the end, it’s all up to you. No two LLCs are the same; therefore, picking the right service should ultimately be based on your preferences. But we would like to offer you some guidance on what to keep an eye on when checking these sites.

It’s a matter of answering a few simple questions.

Why would I even create an LLC online?

Truth to be told, an LLC can be formed without the assistance of a third party. So why would you do it online? The answer is simple: convenience. This process can be very time consuming and involves a few bureaucratic hurdles. Doing everything online saves you time and helps you avoid any potential headaches.

Which platform has the best offer?

Each company that deals with LLCs and filing offers a different set of services. Looking at the LLC formation price is a good start, but it doesn’t tell the whole story. A plan might have a lackluster list of features or include services you don’t need. So the general rule is to look for the best value offers. It’s good to have a set price in mind and use that as a point of reference when browsing.

What do I need for my company?

Again, it’s mostly about the features. No two companies work the same, even in the same field. Write down everything you know you’ll need, like getting a tax registration number, a registered agent, and other documents. Find out how much each of these documents and services cost and whether they can be obtained for free.

Do I need advisory services?

The best incorporation service should have its agents at your disposal. They can offer legal advice and annual audits, and their agents can operate your LLC. If you know you’ll need professional help for running your business, make sure the company offers that kind of service.

What do the reviews say?

It’s always a good idea to check the experiences of other customers. The site might have a nice facade while hiding an unprofessional team or even operating a scam. When it comes to LLC services, reviews can be found on many popular platforms. We suggest checking the most recent ones as well as those with the low scores. If these raise some red flags with you, it’s a good sign to stay clear of that site.

To Wrap Things Up

It’s a lot easier to start an LLC these days than it was in the past, especially since one can do it from the comfort of their own home. The best thing of all is that affordable LLC services are constantly competing with each other, so prices are going down while features are getting better.

So, should you form your LLC online? We wholeheartedly recommend it. The process is so much easier than doing everything yourself, and it can even be a fun experience.

When applying online, there are no offices to visit and no annoying queues to wait in. It’s streamlined and fast, and anyone can do it. In fact, more people are opening LLCs these days because the process has been made so simple.

Our list of the best incorporation services is carefully crafted to suit various entrepreneurs and young startups. These companies are the best in the business and have the most generous deals. No matter what size your company is, signing up for any of these services is a good choice.

FAQ

Where is the best place to set up an LLC?

Based on LLC state filing fees and tax rates, the most business-friendly states for an LLC are Wyoming, Washington, Delaware, Nevada, Florida, Alaska, Texas, and South Dakota.

What LLC is best?

The best LLC incorporation services are IncFile, LegalZoom, ZenBusiness, and Rocket Lawyer. These services have many years of experience, plenty of positive customer reviews, and some of the best prices on the market.

What is a professional service LLC?

A professional LLC, or PLLC for short, is a type of company that provides professional services. This is a very broad definition; these companies can include anything from accountants or architects to companies that deal with the healthcare and mental wellbeing of their clients. They can also offer legal advice and social services. These are highly regulated, and certain states require employees to be licensed professionals.

What happens if my LLC has no money?

Even if your LLC didn’t make any money during the most recent financial year, you still need to file a tax return. The best incorporation services will be able to provide you with more advice on how to proceed in that kind of situation. Some LLCs can be disregarded as an entity or are taxed as partnerships. It all depends on how your LLC is registered and the state where it’s based.

What is the cheapest way of getting an LLC?

Forming an LLC on a budget is entirely possible these days, especially if you do it yourself. But if you do choose to go it alone, you’ll be missing out on a lot of conveniences. The best LLC service can do all of the filing for you, and it doesn’t cost a lot. As a matter of fact, most of these services cost less than $100.