Incfile vs LegalZoom: Side-by-Side Comparison

The Quick Verdict

Incfile is best for budget-conscious entrepreneurs who want a free LLC filing with minimal extras. LegalZoom works better for those willing to pay more for comprehensive packages and established brand recognition.

Incfile wins on price but loses on transparency — their “free” filing comes with aggressive upsells. LegalZoom costs more upfront but includes more in their base packages. Both have customer service issues, but LegalZoom’s support is generally more responsive.

What These Services Offer

Incfile Background

Incfile launched in 2004 and claims over 500,000 business formations. They’re owned by Deluxe Corporation, the check-printing company that’s been around since 1915.

Incfile’s Pricing Tiers:

Silver ($0 + state fee): Basic LLC filing, registered agent for one year, online access
Gold ($199 + state fee): Everything in Silver plus EIN, operating agreement template, banking resolution
Platinum ($299 + state fee): Gold features plus expedited filing, domain name, business website

What’s NOT included: Most packages don’t include EIN filing, compliance tracking, or ongoing support beyond year one. The registered agent service only lasts one year — then you pay $119 annually.

LegalZoom Background

LegalZoom started in 2001 and has processed over 2 million business formations. They’re publicly traded and handle more than just business formation — legal documents, trademark filing, and attorney consultations.

LegalZoom’s Pricing Tiers:

Standard ($79 + state fee): Basic LLC filing, registered agent for one year
Express ($329 + state fee): Standard plus EIN, operating agreement, expedited processing
Premium ($419 + state fee): Express features plus business website, domain name, worry-free compliance

What’s NOT included: The Standard package is pretty bare-bones. Even the Premium package charges extra for things like annual report filing and ongoing compliance tracking.

Both services file in all 50 states. Processing times range from 5-15 business days for standard filing, 2-5 days for expedited.

What We Like About Each

Incfile Strengths

Free filing option gets you started: The $0 Silver package covers basic LLC formation plus one year of registered agent service. You only pay your state’s filing fee.

Simple pricing structure: Three clear tiers without confusing add-ons during checkout. What you see is what you pay.

Decent educational content: Their learning center explains business formation basics in plain English. Not the most comprehensive, but covers the fundamentals.

Mobile app for document access: View your formation documents and registered agent notices from your phone.

LegalZoom Strengths

Established reputation: Twenty-plus years in business with recognizable branding. They’re not going anywhere.

Better included features: Even their mid-tier Express package includes EIN filing and a customized operating agreement, not just templates.

Comprehensive business services: Beyond formation, they handle trademarks, contracts, and legal consultations. One-stop shopping if you need multiple services.

Faster customer support: Phone support typically answers within 10-15 minutes versus Incfile’s 20-30 minute waits.

Attorney network access: Premium customers can consult with attorneys on business questions — though it’s limited consultation, not full representation.

What Could Be Better

Incfile Weaknesses

Aggressive upselling tactics: That “free” LLC comes with constant pitches for add-on services. Many customers report feeling pressured during the signup process.

Hidden ongoing costs: The registered agent service expires after one year. Then you’re paying $119 annually or scrambling to find a replacement.

Slow customer service: Phone support often involves 20-30 minute hold times. Email responses can take 2-3 business days.

Basic included features: The free package is truly minimal. Most customers end up needing the Gold or Platinum tier, which aren’t actually cheaper than competitors.

LegalZoom Weaknesses

Expensive for what you get: Their Standard package costs $79 but includes less than Incfile’s free option. The Premium package hits $419 before state fees.

Compliance services cost extra: Even after paying $419 for Premium, you’ll pay additional fees for annual report filing and ongoing compliance tracking.

Generic document templates: Operating agreements and other documents are basic fill-in-the-blank forms, not customized for your specific business needs.

Pushy sales tactics: Similar to Incfile, LegalZoom representatives try to upsell additional services during the formation process.

Common customer complaints for both companies include delayed processing, difficulty reaching support, and surprise fees not clearly disclosed upfront.

How They Compare

When Incfile wins: You want the absolute cheapest formation option and don’t mind handling EIN filing yourself.

When LegalZoom wins: You prefer established brands and want more comprehensive packages, even at higher prices.

When both lose: You need ongoing compliance support, personalized legal advice, or transparent pricing without upsells.

Pricing Breakdown

True Total Costs

For a basic LLC with EIN and operating agreement:

Incfile Gold: $199 + state fee + $119/year registered agent (after year 1)
LegalZoom Express: $329 + state fee + $159/year registered agent (after year 1)

Both companies charge extra for:

Expedited processing ($100-150)
Certified copies ($50-75 each)
Annual report filing ($150-250)
Compliance tracking ($200+ annually)

The advertised prices are just the starting point. Budget at least $100-200 more for essential add-ons most businesses actually need.

Who Should Use These Services

Best for Incfile:

Very budget-conscious entrepreneurs
Simple LLCs with straightforward ownership
Those comfortable handling some paperwork themselves
Businesses that don’t need ongoing compliance support

Best for LegalZoom:

Entrepreneurs who prefer established, recognizable brands
Those wanting more comprehensive initial packages
Businesses planning to use additional legal services later
People willing to pay more for slightly better customer service

Not ideal for either:

Complex business structures (multiple owners, investors)
Businesses needing ongoing legal or compliance support
Entrepreneurs wanting transparent, all-inclusive pricing
Those requiring fast, responsive customer service

Better alternatives include ZenBusiness for better customer service, Northwest Registered Agent for transparent pricing, or working directly with a business attorney for complex situations.

FAQ

Is Incfile’s free LLC really free?
You pay only your state’s filing fee (typically $50-300), but the registered agent service expires after one year. Then you pay $119 annually or find your own registered agent.

Does LegalZoom include attorney consultations?
Only with Premium packages, and it’s limited consultation, not full legal representation. You get brief answers to basic questions, not comprehensive legal advice.

How long does formation actually take?
Both companies quote 5-15 business days for standard processing, but state processing times vary. Delaware might take 3-5 days while California can take 2-3 weeks.

Can I upgrade my package after filing?
Yes, both companies let you add services later, but it’s more expensive than including them initially. Budget for add-ons upfront if you’ll need them.

What happens if there are errors in my filing?
Both companies fix their mistakes for free, but you pay additional state fees if refiling is required. They don’t cover delays caused by state processing issues.

Do these services work for corporations too?
Yes, both handle C-corps and S-corps, though their pricing and packages focus primarily on LLCs. Corporation formation typically costs $100-200 more.

Our Recommendation

Neither Incfile nor LegalZoom offers outstanding value for most entrepreneurs. Incfile’s “free” option sounds appealing but comes with significant limitations and ongoing costs. LegalZoom provides more comprehensive packages but at premium prices that don’t always match the value delivered.

Both companies rely heavily on upselling and have customer service challenges that can frustrate new business owners during an already stressful process.

If you’re starting a business, consider a formation service that offers transparent pricing, comprehensive packages, and reliable support from the beginning. At BusinessFormations.com, we walk you through entity selection, handle state filing, manage EIN registration, and provide ongoing compliance support — all in one place without surprise fees or aggressive upsells.

[Get started with your business formation here](https://www.businessformations.com/get-started/) and focus on building your business instead of navigating formation complexity.