BetterLegal, another business formation service, recently made some claims about Incfile that are simply not true.
We don’t normally comment on what our competitors are saying since we believe our price, value, expertise and customer service speak for themselves. However, in BetterLegal’s case, we feel that their dishonest claims and misinformation about our services require a response. So, we’ve decided to dig into their claims…
BetterLegal’s $149 Business Formation Package
BetterLegal’s main claim is about the difference in what they provide in their $149 formation package, versus what Incfile provides (in a package they say costs $199).
This is where they run into their first error: our Gold business formation package actually costs $149 as well.
What BetterLegal incorrectly says we charge.
What we actually charge (note that they are comparing their package to our Gold package).
The $149 Package: BetterLegal vs. Incfile
Here’s what both BetterLegal and Incfile offer as part of the $149 package:
|Service||BetterLegal Cost||Incfile Cost|
|Collect information for creating a business||All included in $149 package fee|
|Prepare and file Articles of Organization|
|Get an Employer Identification Number|
|Create an Operating Agreement|
|Registered Agent service||$10 a month ($120 a year)||Included for the first year|
Additional Services Provided by Incfile as Part of Our $149 Gold Package
It’s fair to say that the BetterLegal formation service is a little basic. For $149, BetterLegal will provide you with:
- A Certificate of Formation
- An Operating Agreement
- An Employer Identification Number
- Some other documentation
And that’s it. But at Incfile, some extra services come standard.
IncFile Provides a Registered Agent Service for Free (Saving You $120)
All businesses need to provide a Registered Agent themselves or use a Registered Agent service — using BetterLegal will cost $120 more per year if you want that option. We provide a year of Registered Agent service for free when you incorporate through us, saving you $120 vs. incorporating through BetterLegal.
Lifetime Company Alerts
One of the most cumbersome tasks in maintaining a corporate entity is knowing what reports and paperwork to file and when. Failing to do so means that your company could be dissolved by the state, or subject to costly late fees or reinstatement penalties.
That’s why Incfile built a complete compliance tool that considers several factors to keep you informed. We customize your alerts based on:
- Business entity type
- Date of formation
- Foreign or domestic entity status
- Filing and other deadlines/requirements for all 50 states
Then, we notify you when your reports and other deadlines are due to make sure your business is always compliant.
BetterLegal does not indicate that they’re able to provide lifetime company alerts.
Business Formation Kit
With Incfile, all your documents are available online through your client dashboard as soon as we receive them from the state. If you want to add a little more style to your paperwork, our $149 package includes a business formation kit.
If you’d like a formation kit, Incfile is the better choice; BetterLegal does not provide these.
Preparation and Filing of IRS Form 2553
Some LLCs can save thousands of dollars in taxes if they choose to be taxed as an S Corporation by filing Form 2553 with the IRS.
We found that many of our clients were filing this form as part of their tax strategy, so we include the option in all our Gold and Platinum packages at no extra charge. When we file the form on your behalf, we collect all the necessary information and signatures, saving you time, money and effort.
BetterLegal does not provide this service as part of their $149 formation package.
Online Access to Incorporation Documents
One feature Incfile business owners really love is the client dashboard. When you incorporate through us, you get immediate, secure, lifetime access to all your company’s most important legal documents at no charge.
The dashboard also lets you manage your company, make changes, file paperwork, complete an annual report, see when your compliance forms are due and much more.
We couldn’t find a reference to a client dashboard on BetterLegal’s website.
Next Business Day Processing
We file all your documents the next business day, so there are no delays in forming or managing your business. We’ve researched the industry, and we’re sure nobody else files as efficiently or as quickly.
Other Services Incfile Provides
Here are a few other standard services we provide with our $149 Gold package:
- Statement and resignation of the incorporator
- Free 30-minute business tax consultation
- Online order status tracking
- Corporation bylaws and meeting minutes
- Banking resolution
- Express shipping with tracking number
Cost of Expedited Processing
BetterLegal also mentioned that we charge $50 for expedited processing — this is true, and we want to explain why. Expedited processing speeds up the formation of your business by getting documentation to your state more quickly and ensuring they treat your paperwork with urgency.
We charge this $50 fee so we can guarantee expedited processing for those who need it. Many of our clients don’t have a set time by which they need their company formed, so we don’t charge them any extra (or roll this fee into our package for everyone).
But some of our clients do want their business formed more quickly, so we charge a fee for express delivery — and the reassurance that they’ll get their company formed within the stated delivery time.
Incfile Has Stronger Pricing, Products and Services Than BetterLegal
If you’ve read this far, we hope it’s clear that BetterLegal’s claims are exaggerated. Here at Incfile, we’ve helped over 150,000 entrepreneurs like you form businesses since 2004. We know what our customers value, and we keep our prices as competitive as possible to help us deliver the services you expect, while also innovating new products for the next generation of business owners.
We expect and welcome competition — the company formation industry is big enough for good businesses to coexist. We’re delighted that customers choose us year after year to help them bring their dreams to life, and that they can look beyond the misleading information circulated by others and make an informed choice.
We’re Just Going to Leave This Here…
Unfortunately, BetterLegal doesn’t even seem that certain about their own pricing, judging from the difference between their online ad and their pricing page.
Retrieved 2 November 2018