Hey there, friend! Today I want to chat with you about two popular services that can help you set up and maintain your business entity: Bizee and LegalZoom. Think of this as a friendly chat where I’ll explain why, in my opinion, Bizee (formerly Incfile) is the better choice. So grab a cup of your favorite beverage, sit back, and let’s dive into the details.
Before diving in, I want to share with you the following video, where I go through every single aspect of LegalZoom:
On 12/1/23 Incfile rebranded to Bizee as they’re offering a full suite of business services beyond just business formation.
Ok, back to business! This review will delve into the ins and outs of LegalZoom’ LLC formation services. We’ll examine their features, pricing structure, customer service, and overall value proposition. We will highlight their key strengths and also point out areas where they could potentially improve.
But the world of online LLC formation services is a competitive one, and LegalZoom isn’t the only player in the game. That’s why, after our in-depth examination of LegalZoom, we’ll be comparing their services to those of Bizee, another well-regarded name in the industry. This comparison will help you understand how these two providers stack up against each other, and by the end, we aim to equip you with all the information you need to decide which LLC service is the best fit for your business.
So, let’s dive in!
Table of Contents
LegalZoom offers a variety of services, including business formation, wills and trusts, intellectual property, and legal consultations.
Diverse range of legal services, making it a one-stop shop for various legal needs.
Option to hire an attorney for personalized assistance.
Offers services such as wills, trusts, and intellectual property.
Potentially higher upfront costs for business formation services.
Less focus on in-depth assistance for maintaining your business entity.
No specific tools for entity selection and limited guidance on tax optimization.
Bizee vs. LegalZoom: A Quick Overview
LegalZoom offers a variety of services, including business formation, wills and trusts, intellectual property, and legal consultations. They’re a one-stop shop for legal services. On the other hand, Bizee focuses primarily on helping you set up and maintain business entities, such as LLCs, C Corps, S Corps, and nonprofits.
Let’s talk money, my friend! When it comes to setting up a corporation, LegalZoom can hit you with state filing fees ranging from $20 to $725, depending on your state. Plus, their service fees range from $149 to $349. Now, let’s peek at Bizee. For the same setup, they offer state fees of $130, and their core package is free. If you need extra services, the price maxes out at $429. So, Bizee gives you a cost advantage right from the start.
Let’s use the state of New York as an example to see the prices in Bizee (formerly Incfile):
Added Value with Bizee
Bizee doesn’t just stop at the basics. They throw in a business banking account and business tax consultation with their packages. This means you get more bang for your buck. LegalZoom, while offering various services, doesn’t match up when it comes to helping you run and manage your business effectively.
Choosing the Right Entity
Not sure what type of business entity is right for you? Bizee’s Learning Center comes to the rescue with a helpful business type quiz. It guides you in selecting the most suitable entity for your needs. I’ve found it incredibly valuable in making the right choice.
S Corp Tax Calculator
If you’re considering an S Corp for tax savings, Bizee’s S Corp tax calculator is a fantastic tool. It shows you how much you can save in taxes by choosing this business structure. For instance, you could save thousands of dollars annually compared to being a sole proprietor.
Tax Benefits of an S Corp
The real magic behind the S Corp lies in how it helps you save on self-employment taxes. As a sole proprietor, you pay the full 15.3% self-employment tax on your income. However, when you’re set up as an S Corp, you split this tax. You take a salary, which is subject to the full tax rate, and then you can take a distribution from the company, which incurs a lower tax rate. This strategy can save you big bucks, and Bizee can guide you through the process.
Bizee’s Additional Services
Bizee is all about making your life easier. They can hook you up with accounting software, help you file taxes, and act as your registered agent. It’s not just about getting you started; it’s about being there for the long term.
A Win-Win with Bizee
Here’s the thing with Bizee: they use a “loss leader” strategy. They don’t make big profits upfront; they make it by being your long-term partner. That’s why they offer those low setup costs. Their goal is to help you grow and succeed. It’s a win-win situation for both you and them.
|PRICING||State filing fees vary, ranging from $20 to $725 (plus additional service fees).||State filing fees typically lower, e.g., $130 for setting up an S Corp in New York (core package may be free).|
|FOCUS||Offers a wide range of legal services, including business formation, wills, intellectual property, and legal consultations.||Specializes in business entity formation and provides ongoing support for maintaining your entity.|
|ADDED VALUE||Diverse range of services.||Includes a business banking account and business tax consultation.|
|ENTITY SELECTION||No specific tools to assist in choosing the right entity.||Provides a helpful Business Type Quiz to guide entity selection.|
|S-CORP TAX CALCULATOR||Not available.||Offers a valuable S Corp tax calculator for potential tax savings.|
|TAX BENEFITS||May not provide as much guidance on optimizing tax savings.||Offers clear explanations of tax benefits, particularly for S Corps.|
|ADDITIONAL SERVICES||Offers a variety of legal services, but less specific focus on business maintenance.||Provides services beyond initial setup, including accounting software and acting as a registered agent.|
|COST STRATEGY||Focused on a broader portfolio of services, resulting in potentially higher upfront costs.||Uses a “loss leader” strategy, focusing on long-term client relationships with lower upfront fees.|
|ATTORNEY VS. ONLINE||Offers the option to hire an attorney, but it can be relatively expensive.||Allows you to handle the process online, making it a cost-effective and efficient solution.|
Pros and Cons
|BIZEE||– Competitive pricing with lower state filing fees.|
– Specialized in business entity formation and ongoing support.
– Provides valuable tools like the Business Type Quiz and S Corp tax calculator.
– Offers added value with a business banking account and tax consultation.
– Cost-effective and efficient online setup.
|– Limited services beyond business formation.|
– May not be the best choice if you need a wide range of legal services.
– Focused on long-term client relationships, which may not be suitable for everyone’s needs.
|LEGALZOOM||– Diverse range of legal services, making it a one-stop shop for various legal needs.|
– Option to hire an attorney for personalized assistance.
– Offers services such as wills, trusts, and intellectual property.
|– Potentially higher upfront costs for business formation services.|
– Less focus on in-depth assistance for maintaining your business entity.
– No specific tools for entity selection and limited guidance on tax optimization.
Attorney vs. Online Services
Sure, you could hire an attorney to set up your business structure, but that can cost anywhere from $600 to over a thousand dollars, and that might not even include state fees. With Bizee, you can do it online yourself, and they provide all the guidance you need. It’s a cost-effective and efficient solution.
In the grand scheme of things, Bizee emerges as the better option for setting up and maintaining your business entity. They offer competitive prices, invaluable tools like the business type quiz and S Corp tax calculator, and a range of services to help you grow your business. LegalZoom might have a broader portfolio, but when it comes to setting up your business, Bizee is the friendly, cost-effective, and efficient choice.
And hey, if you’re ready to take the next step, check out the link in the description below for both Bizee and LegalZoom, and I’ll make sure to secure any promotions I can for you. If you have any questions, feel free to drop a comment, and I’ll be here to help. Cheers to setting up the right business structure and saving those hard-earned dollars! Thanks for tuning in, and I’ll catch you in the next video.
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