Jake Lawson here. After helping over 1,200 entrepreneurs launch their businesses, I’ve tested every major LLC formation service multiple times. Today we’re comparing two heavyweights: Incfile (now called Bizee) and LegalZoom. One’s a scrappy specialist focused on small businesses, the other’s a legal marketing machine that’s spent millions convincing you they’re essential. Let me give you the unvarnished truth about which one actually delivers value.
The Tale of Two Companies
Before we dive into the nitty-gritty comparison, let’s understand what we’re dealing with:
Incfile (Now “Bizee”): The Small Business Specialist
Company background:
- Founded in 2004, helped form over 500,000 businesses
- Rebranded to “Bizee” in 2024 (same company, same team, new name)
- Laser-focused on LLC formation and basic business services
- Built their reputation on affordable pricing and straightforward service
Business philosophy: Keep it simple, keep it affordable, focus on what small businesses actually need.
LegalZoom: The Marketing Powerhouse
Company background:
- Founded in 1999, claims over 4 million businesses formed
- Massive marketing budget (you’ve definitely seen their ads)
- Offers everything from LLC formation to legal document templates
- Public company with shareholders to please
Business philosophy: Be everywhere, offer everything, charge premium prices for brand recognition.
Head-to-Head Comparison: What You Actually Get
Basic Package Showdown
Incfile/Bizee Basic Package ($0 + state fee):
- LLC Articles of Organization filing
- Business name availability check
- One full year of registered agent service (FREE)
- That’s it—no fluff, no upsells during checkout
LegalZoom Basic Package ($0 + state fee):
- LLC Articles of Organization filing
- Business name availability check
- Consultation with 1-800-Accountant
- Registered agent service sold separately ($249/year)
Jake’s verdict: Incfile wins this round decisively. The free year of registered agent service alone is worth $120-150, making their “free” package actually valuable. LegalZoom’s consultation sounds nice but adds little practical value.
Hidden State Fees Alert: That advertised price? It’s missing the biggest cost—your state filing fee. Like advertising a car without mentioning you need to buy the engine separately. State fees range from $50 to $500, and formation services conveniently forget to mention this until checkout. I’ve seen too many entrepreneurs budget $99 for LLC formation, then discover they actually owe $300+. Always add your state fee to any advertised price.
Pricing Reality Check
Let’s talk real numbers, including the hidden costs:
| Service | Incfile/Bizee | LegalZoom |
| Basic Package | $0 + state fee | $0 + state fee |
| Mid-tier Package | $199 + state fee | $249 + state fee |
| Premium Package | $299 + state fee | $299 + state fee |
| Registered Agent (annual) | $119 (free first year) | $249 |
| Expedited Processing | Included | $99 extra |
Hidden cost analysis:
- With Incfile: You’re truly paying just the state fee for year one
- With LegalZoom: Add $249 for registered agent service you’ll need anyway
Real first-year cost comparison:
- Incfile: State fee only (typically $50-300)
- LegalZoom: State fee + $249 for registered agent = $299-549
The winner: Incfile by a landslide. LegalZoom’s “free” package becomes expensive quickly when you add necessary services.
Processing Speed: Who Gets You In Business Faster?
Incfile processing times:
- Promise: File with state within 1 business day
- Reality: Generally accurate, though some customer complaints about delays
- Expedited processing: Included at no extra charge
LegalZoom processing times:
- Standard: 5-14 business days (seriously slow for a premium service)
- Expedited: 1 business day for additional $99
Jake’s take: This isn’t even close. Incfile treats speed as a standard feature while LegalZoom charges extra for what should be basic service. If you’re paying premium prices, you shouldn’t wait two weeks for filing.
Customer Experience: The Good, Bad, and Ugly
Website and User Experience
Incfile/Bizee experience:
- Clean, straightforward interface
- Clear pricing with real-time cost updates
- Minimal upselling during checkout
- Easy-to-navigate dashboard after formation
LegalZoom experience:
- Polished, professional design
- Confusing navigation with multiple pages for basic info
- Aggressive upselling throughout the process
- Feature-rich but cluttered interface
Real-world test: I went through both signup processes multiple times. Incfile gets you through formation in about 10 minutes. LegalZoom takes 20+ minutes with constant interruptions for additional services.
Customer Support Quality
Incfile customer support:
- Phone and email support available
- Representatives are helpful and straightforward
- Answer questions without sales pressure
- Generally accurate information
LegalZoom customer support:
- Phone and chat support
- Require extensive personal information before helping
- More focused on selling additional services
- Often push you toward upsells rather than answering questions
My experience: Incfile’s team treats you like a customer seeking help. LegalZoom’s team treats you like a sales lead to be converted. Big difference in approach and results.
The Upsell Game: Where Companies Show Their True Colors
Incfile’s Approach
Valuable upsells they offer:
- Business license research ($99) – actually useful for complex businesses
- DBA filing services ($99) – saves time if you need multiple names
- Bank account assistance – helpful for business banking setup
Jake’s assessment: Their upsells are reasonably priced and genuinely useful. They don’t pressure you during checkout, and you can always add services later.
LegalZoom’s Approach
The upsell avalanche:
- Document templates ($59 per document or $99/year unlimited)
- Legal consultations (various pricing)
- Bookkeeping services (monthly subscriptions)
- Business banking referrals (generates junk mail)
- Tax services (ongoing subscriptions)
Jake’s assessment: LegalZoom treats LLC formation as a loss leader to sell you everything else. Most small businesses don’t need these services, but you’ll be pressured to buy them anyway.
Registered Agent Services: A Critical Comparison
Since every LLC needs a registered agent, this comparison matters:
Service Features
Both companies offer:
- Mail scanning and digital upload
- Service of process acceptance
- Online document dashboard
- Email notifications for new mail
The Pricing Reality
Incfile registered agent:
- $119/year (industry average)
- Free first year with LLC formation
- Straightforward service, no surprises
LegalZoom registered agent:
- $249/year (among the most expensive)
- No free trial period
- Same basic service as competitors at double the price
Value analysis: You’re paying $130 extra per year for LegalZoom’s brand name. The service is identical. That’s $1,300 over 10 years for marketing value that doesn’t benefit your business.
Red Flags and Gotchas
Incfile/Bizee Concerns
Misleading elements:
- Refund policy could be clearer
- Some uncertainty about third-party partnerships
- Customer reviews mention occasional document errors
My take: Minor issues that don’t significantly impact value. The company has been around 20 years and generally delivers what they promise.
LegalZoom Concerns
Major red flags:
- Expensive services disguised as necessities
- Aggressive post-purchase marketing
- Subscription services that auto-renew
- Customer support focused on sales over service
My take: LegalZoom’s business model depends on upselling additional services. They’re incentivized to make simple LLC formation seem complex and scary.
Who Should Choose Which Service?
Choose Incfile/Bizee if:
- You want straightforward LLC formation without sales pressure
- You value getting a free year of registered agent service
- You prefer dealing with a company focused on small business needs
- You want to save money without sacrificing quality
Choose LegalZoom if:
- Brand recognition is worth paying extra to you
- You definitely need ongoing legal document templates
- You have a complex business requiring multiple legal services
- Money isn’t a primary concern in your decision
Choose neither if:
- You’re comfortable filing yourself (I provide free guides)
- You want the absolute best service quality
- You prioritize privacy and customer service above all else
My Professional Recommendation
After testing both services extensively, Incfile/Bizee wins this comparison. Here’s why:
Value proposition: Incfile delivers more value for less money. The free year of registered agent service alone justifies choosing them over LegalZoom’s expensive alternative.
User experience: Simpler, faster, less pushy. You can form your LLC and get back to building your business instead of fighting through sales funnels.
Cost effectiveness: Over 5 years, choosing Incfile over LegalZoom saves you approximately $650 in registered agent fees alone.
But here’s the thing: Neither service is my top recommendation.
The Better Alternative: Why I Recommend Northwest Instead
After testing dozens of formation services, Northwest Registered Agent consistently delivers the best combination of value, service, and customer care:
Why Northwest beats both:
- Superior customer service with actual LLC experts
- Strong privacy protection (keeps your address off public records)
- No data selling to third parties
- Competitive pricing with better included features
- 20+ years of experience with excellent reputation
Pricing comparison:
- Northwest: $39 + state fee (with our special link)
- Includes free year of registered agent service
- No upselling pressure, lifetime customer support
The bottom line: For slightly more than Incfile’s “free” service, you get significantly better support and privacy protection. For much less than LegalZoom, you get superior service quality.
DIY Alternative: Form Your LLC Yourself
Consider filing yourself if:
- You’re comfortable with basic paperwork
- You want to understand your business structure completely
- You’re operating in a state with simple requirements
- You want maximum cost savings
What you’ll save:
- Service fees: $0-300
- Annual registered agent: $100-250/year (if you serve as your own)
- Upsells and additional services: $200-500+
Time investment: 2-4 hours of research and filing
Money saved: $300-1,000+ in first year
The Hybrid Approach: Smart Money-Saving Strategy
If you choose a formation service, avoid these unnecessary upsells:
- Operating Agreement ($100-200) – Download free templates online
- EIN application ($50-100) – Apply free directly with IRS
- Banking resolutions ($25-50) – Banks provide their own forms
- Membership certificates ($25-75) – Not required for LLC operation
Smart strategy: Use a service for filing and registered agent service, handle simple tasks yourself.
Final Verdict: Follow the Money
Incfile vs LegalZoom winner: Incfile, no contest
Best overall choice: Northwest Registered Agent
DIY option: Always viable for motivated entrepreneurs
The harsh truth about LegalZoom: You’re paying premium prices for marketing and brand recognition, not superior service. Their business model depends on convincing you that LLC formation is more complex than it actually is.
The reality about LLC formation: It’s a straightforward legal filing that any competent service can handle. Don’t pay extra for fancy marketing when you need simple, reliable execution.
My recommendation hierarchy:
- Northwest Registered Agent – Best overall value and service
- DIY filing – Maximum cost savings with minimal effort
- Incfile/Bizee – Decent budget option with good basic service
- LegalZoom – Only if brand recognition is worth paying double
Remember: Your LLC formation service doesn’t determine your business success. Choose based on value, service quality, and your specific needs—not marketing hype or brand recognition.
Questions about LLC formation services? I’ve tested them all and have no financial incentive to steer you wrong. Drop me a line for honest advice based on your specific situation.