Choosing the right service provider for forming a limited liability company (LLC) is a crucial step in establishing a business entity that suits your needs.
Form your LLC quickly and easily with LegalZoom's comprehensive services, including preparation and filing of legal documents and access to legal advice.
With an increasing number of online platforms offering LLC formation services, it can be challenging to determine which one best aligns with your specific requirements. In this article, we will delve into a detailed comparison between two prominent players in the market: Nolo and LegalZoom. By examining their key features, pricing structures, customer support, and overall user experience, we aim to provide you with valuable insights to help you make an informed decision when selecting between Nolo and LegalZoom for LLC formation.
Comparison Chart
| Nolo | LegalZoom | |
 |  | |
| Price | Check Price | Check Price |
| Plans | Basic, Standard, Express | Basic, Pro, Premium |
| Registered Agent | Add-on | Add-on |
| Attorney Consultations | No | Yes |
| Accounting, HR & Marketing Software | Yes | No |
| Customer Support | Phone, Email | Chat, Phone, Email |
Overview
Nolo and LegalZoom are two prominent companies that have revolutionized the legal industry by providing accessible and affordable legal services to individuals and businesses. Founded in 1971, Nolo pioneered the concept of self-help legal books, offering do-it-yourself legal solutions to the general public. With a wide range of legal topics covered, Nolo quickly became a trusted resource for individuals seeking legal information and assistance. Over the years, Nolo expanded its offerings to include online legal forms, software, and attorney directory services.
On the other hand, LegalZoom was established in 1999 with a mission to simplify the process of creating legal documents. The company recognized the need for accessible legal services and developed an online platform that allowed individuals and small businesses to create personalized legal documents such as wills, contracts, and trademarks. LegalZoom’s user-friendly interface and affordable pricing attracted a large customer base, making it one of the leading providers of online legal services.
The services offered by these companies are comprehensive. Nolo provides a wealth of legal information through books and online articles, covering areas such as estate planning, personal injury, family law, and more. They also offer do-it-yourself legal forms and software, enabling individuals to handle their legal matters without the need for an attorney. Additionally, Nolo’s attorney directory helps connect individuals with qualified lawyers.
LegalZoom’s services encompass various legal areas, including business formation, intellectual property, estate planning, and family law. They offer online document creation tools, personalized legal advice from independent attorneys, and access to legal plans for ongoing legal support. Through their platform, individuals and businesses can create customized legal documents, protect their intellectual property, and receive professional legal guidance at an affordable cost.
Plans, Pricing & Features
Nolo offers three LLC formation plans with varying features and pricing options to cater to the needs of different customers (prices do not include state fees):
- Basic Package ($49): This package provides essential services to establish an LLC. It includes the preparation and filing of Articles of Organization, a name availability search, and 30 days of online access to Nolo’s library of legal forms and resources.
- Standard Package ($149): The standard package builds upon the basic package and offers additional features. It includes all the services from the basic package, along with an EIN and access to legal document templates.
- Express Package ($299): The express package is Nolo’s most comprehensive and premium offering. It includes all the services and features from the standard package, but with expedited processing for faster LLC formation and a personalized corporate kit and seal. Customers choosing this package receive priority handling of their documents, ensuring swift processing and filing with the state authorities.
Nolo’s LLC formation plans provide a range of options to meet the diverse needs of customers looking to establish an LLC. The basic package offers a cost-effective solution for those seeking a streamlined formation process but it’s pretty barebones when compared against the competition. The standard and express packages are quite expensive for what you’ll get.
Similar to Nolo, LegalZoom offers three LLC formation plans, and right off the bat, we can say that LegalZoom offers more services and features for the price. Here are their plans and prices (not including state fees):
- Basic Package ($0): This package includes the essentials for forming an LLC. It covers the preparation and filing of Articles of Organization, name availability search, and a comprehensive guide on what to do next.
- Pro Package ($249): The pro package expands on the basic package by offering additional features. It includes all the services from the basic package, along with an EIN, tax and insurance consultation and an operating agreement.
- Premium Package ($299): The premium package is LegalZoom’s most comprehensive offering. It includes all the services and features of the pro package, as well as three months of consultations with their attorneys regarding legal issues, one entity amendment per month for 90 days and one copyright registration per month, also for 90 days. In addition to those, you’ll also get access to their full library of customizable legal forms.
The basic package offers a budget-friendly solution for customers who prefer a simple LLC formation process. The pro package enhances the offering with valuable extras but it’s a bit too expensive for what it offers since you can get the premium package for just an additional $50. The premium package provides an elevated experience with expedited filing, access to attorneys, copyright registration and entity amendment.
As for registered agent service, both companies list it as an add-on. Nolo offers the service at $149 per year while LegalZoom’s is pricier, at $299 per year.
User Experience
In terms of website usability, both Nolo and LegalZoom have intuitive interfaces that guide users through the LLC formation process. However, LegalZoom’s website is a bit more user-friendly due to its modern design and clear navigation. LegalZoom’s user interface is streamlined, making it easier for customers to locate the desired information and services. Nolo’s website, while functional, could benefit from some improvements in terms of visual appeal and user experience.
Language clarity is crucial when dealing with legal terms, as it helps users understand the information and services being provided. Both Nolo and LegalZoom make efforts to use plain language to explain legal concepts and procedures, ensuring that users can understand the content without requiring legal expertise.
Regarding upsells and add-ons, LegalZoom tends to be more aggressive in promoting additional services throughout the LLC formation process. Customers may encounter more upsell offers and add-ons during their interaction with LegalZoom’s website. On the other hand, Nolo presents a more straightforward experience, with fewer distractions from upsells and add-ons, allowing users to focus on the specific services they require.
Both Nolo and LegalZoom offer phone and email assistance to address customer inquiries and concerns, but the latter also has chat support if you prefer that. LegalZoom’s customer support is known for being responsive and helpful but there’s still room for improvement since there are instances where the wait times can be long. Meanwhile, Nolo’s customer support receives mixed reviews, with some customers expressing dissatisfaction with response times and support quality.
Verdict
LegalZoom emerges as the superior option for individuals solely interested in LLC formation with their basic package due to its low cost. They also offer higher tier LLC formation packages that give customers access to professional services if you foresee yourself needing these services in the long run, so you’ll get a more complete package with LegalZoom.
Form your LLC quickly and easily with LegalZoom's comprehensive services, including preparation and filing of legal documents and access to legal advice.
On the other hand, Nolo’s LLC formation packages are comparatively lacking when compared to other companies offering similar services. While Nolo excels in providing accessible legal information through books and resources, their website and LLC formation packages may not meet the same level of convenience and comprehensiveness offered by LegalZoom.