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A LegalZoom Alternative

Comparing BetterLegal to LegalZoom is apples to oranges.

Based on LegalZoom's pricing page as of September 2023, let's do the best comparison we can: https://www.legalzoom.com/business/business-formation/llc-pricing.html

Introduction

This comparison is between two business formation service companies, LegalZoom and BetterLegal. LegalZoom, established in 2001, is a well-known player in the market with a lot of experience helping small businesses. On the other hand, BetterLegal, established in 2016, is a newer, fresher company in the market.

BetterLegal Overview

BetterLegal offers an all-in-one package for $299 (this pricing has remained unchanged since 2016), which includes the formation of an LLC, an EIN, and an operating agreement. BetterLegal also offers two add-on options: registered agent services for $90 a year and compliance services for $90 a year. BetterLegal is known for its straightforward pricing and same-day filing offer.

  1. BetterLegal provides a single no-fuss package that avoids the customer needing to figure out what they need
  2. The package includes the state formation filing, an EIN, an operating agreement, business contracts and forms, the S-corp form, and assistance in building a business website.
  3. BetterLegal also offers two add-on options: registered agent services for $90 a year and compliance services for $90 a year.
  4. BetterLegal is known for its straightforward pricing and same-day filing offer.

BetterLegal was tied for 1st by US News & World Report as "Best LLC Service of 2023"

BetterLegal was ranked as "Best for Saving Money" by USA Today for Registered Agent Services

LegalZoom Overview

LegalZoom does not offer a single package. Instead, they have multiple breakdowns and several steps in the process where you choose which pricing tier you want. At the time of this writing in September of 2023, LegalZoom offers the formation, essential documents, registered agent services, state compliance service, tax and accounting services, and legal services. Please note that LegalZoom's team changes pricing much more often than BetterLegal, so it's best to fully research their latest pricing and what's included. The pricing for all of these services can run quite high, and you could end up overpaying if you're not careful. When navigating their service, be mindful of what you opt in to and be extra mindful on the review page with what is "Due Now" versus what other charges you may inadvertently have signed up for that won't charge your card for between 10-90 days.

  1. LegalZoom offers customers many options and often has introductory pricing that changes upon renewal.
  2. They have multiple breakdowns and several steps in the process where you can choose which items you want.
  3. The pricing for these services can run quite high and you could end up overpaying if you're not careful, but provides more options.

LegalZoom was also ranked by US News & World Report

LegalZoom was also ranked by USA Today for Registered Agent Services

Conclusion

When comparing the two, BetterLegal stands out for its straightforward pricing and same-day filing offer while LegalZoom stands out for its many options. It's important to consider what you need for your business and make the best choice accordingly.

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