ZenBusiness vs LegalZoom: Which LLC Service Should You Choose?

We highly recommend choosing ZenBusiness LLC services to start your business for the following reasons:

  • Straightforward and affordable business formation packages
  • Helpful and responsive customer support, along with positive ZenBusiness reviews online
  • Highly affordable registered agent services
  • Online user dashboard with personal ZenBusiness login

Read on for a more comprehensive comparison and review on why we choose ZenBusiness as the best LLC service over LegalZoom.

ZenBusiness vs LegalZoom: What Sets The LLC Services Apart

Pricing

Both ZenBusiness and LegalZoom provide LLC formation, but the pricing is what sets them apart. ZenBusiness offers well-crafted packages that include the products you’ll need to get your business up and running (e.g. Articles of Organization filing, Employer Identification Number (EIN), etc.). ZenBusiness LLC packages are structured to work for all business sizes, especially keeping in mind small businesses’ budgets.

LegalZoom LLC packages are priced much higher for the same business services and products. Customers are also expected to pay a lot extra for other features such as an Operating Agreement and business accounting evaluation and guidance. As a result, LegalZoom is more expensive than it seems at first.

Registered Agent Services

ZenBusiness includes a full year of registered agent services with all of their LLC formation packages. You’ll only pay an annual fee of $119 once the year is up. LegalZoom charges $159 each year for the same service.

Worry Free CPA Assessment

In all 3 ZenBusiness LLC packages, the service will provide you with an assessment of your company finances and recommend the proper licensed CPA for your specific business needs at no charge. The suggested accounting services are a great way to keep track of your company’s monetary flow, file taxes, and stay organized.

Experience

The experience advantage goes to LegalZoom; the company lays claim to starting 3 million businesses in 16 years. ZenBusiness was founded in 2015, and since then, they have helped thousands of entrepreneurs overcome the difficulties of starting a business.

Legal Services

While ZenBusiness is focused more on LLC formation, LegalZoom offers more ongoing legal services beyond business formation. For example, LegalZoom features legal plans that customers can purchase such as the Business Advisory Plan and Legal Advantage Plus; the plans provide professional tax and legal advice.

ZenBusiness vs LegalZoom: Similarities

Personalized Business Advice and Assistance

Both LegalZoom and ZenBusiness have customer-support professionals to help entrepreneurs every step of the way during the business formation process. You can contact the services online or by phone.

Useful Information and Advice

Both ZenBusiness and LegalZoom websites are filled with tips and tricks for business owners beyond basic doc-prep and processing. Entrepreneurs can learn more about business formation services and LLC topics such as Articles of Organization, EIN, registered agent services, and business taxes.

Lifelong Compliance Support

The companies will notify you of upcoming legal filing requirements, such as your annual report. This will help keep your business squeaky clean. In fact, ZenBusiness even offers a Worry Free Compliance service, in which they'll cover the annual report filing.

ZenBusiness vs LegalZoom: Customer Reviews

LegalZoom maintains a 4.2 average out of about 900 reviews on SiteJabber. Their Consumer Affairs page sports a 3 out of 5 out of about 450 reviews. Overall, many of the LegalZoom reviews are quite positive, like this one:

“LegalZoom set up several LLC’s for me – easy one-stop shopping. Their support people are their greatest asset as they are always helpful and answer any questions or concerns promptly. Love the fact that all can be achieved over the internet and through E-mail.”

Unfortunately, there’s also a significant number of highly-critical LegalZoom reviews, particularly around customer service and payment processing issues. Keep in mind, LegalZoom is a big operation dealing with a high volume of customers.

“They blindly enroll you into a myriad of subscriptions that have zero value and then make it nearly impossible to cancel. [. . .] I wish the horrible customer service was just negligence instead of what it really is – a way to wear you out instead of trying to reach the right person, to simply cancel an annual subscription that you never needed in the first place.”

Online ZenBusiness reviews are excellent. The LLC service has over 1,000 reviews on Trustpilot with an overall rating of 4.8/5. Here are a couple ZenBusiness review examples:

“I was blown away at how simple and straight-forward this process was. Using ZenBusiness to set up the LLC for my consulting agency was the best decision I could have made as an entrepreneur. I especially love how they made it super easy to get a Tax ID and set up a registered agent. I'd recommend ZenBusiness to anyone starting a new business.”

“Quick and Simple. The website is well-designed and the process was very transparent without being overwhelming. Any information that I needed to make the right choices was at my fingertips and I feel like I'm set up well with my new business.”

If customer reviews carry a lot of weight in your decision-making process, you may want to consider ZenBusiness.

ZenBusiness vs LegalZoom: LLC Pricing and Turnaround Times

ZenBusiness LLC Packages

ZenBusiness Pricing

Be aware that LLC pricing and options could change at any time.


Starter ($39 + state fees) includes:

  • LLC formation
  • Registered agent for one year
  • Operating Agreement
  • Worry Free CPA Assessment
  • 3-4 weeks filing time

Pro ($149 + state fees) includes:

  • Employer ID Number (EIN)
  • Worry Free Compliance Guarantee
  • Expedite filing speed

Premium ($249 + state fees) includes:

  • Rush filing speed
  • Domain name registration and domain name privacy
  • Business website
  • Business email address

LegalZoom LLC Packages

Economy ($79 + state fees) includes:

  • LLC formation
  • Articles of Organization
  • 30-day order processing guarantee (this does not include state processing times).

Standard ($329 + state fees) includes:

  • Binder with your company name and a seal for official documents
  • Faster processing times than Economy package

Express Gold ($349 + state fees) includes:

  • All features in Economy and Standard
  • Faster shipping and processing

More Info:

Rush processing times vary from state to state and some states will expedite processing to 1 hour for high fees. Before purchasing the Express Gold package, it would be a good idea to ask LegalZoom what rush state processing means in your state.

If you come across the terms “processing” time vs. “filing” time on the different LLC formation websites, know that they mean two different things. Processing time refers to the number of days it takes to process all documents relating to your business by the company you choose and filing time is up to the government office responsible for filing the documents.

ZenBusiness vs LegalZoom: The Bottom Line

After comparing both companies, ZenBusiness is the better deal and overall best LLC service. If you’re looking for the lowest price and best bundled packages that include all the necessities to start your business quickly, ZenBusiness comes out on top.

LegalZoom will provide you with the same products at a higher cost. Although they are a better known brand, LegalZoom does not give your LLC formation much of an edge. Check them out and see for yourself which service gives you more for less!

Featured Articles