Incorporating a business can have many benefits but doing so also has its downsides. For example, the process of incorporation requires plenty of time and effort, especially if you’re doing it without help.
Because of this, more and more businesses are opting to avail of online incorporation services such as those provided by Incfile and Incorporate.com. However, both these services have their advantages and disadvantages. Because of this, how will you decide which one to avail of?
With that said, this article will compare them based on five main aspects that can help you make a sound choice. Continue reading to know which incorporation service is better.
5 Main Aspects to Compare
In this article, you will find an in-depth comparison of these online incorporation services based on five key aspects, namely:
- Prices and features to decide which one has better value in general
- Track record and experience
- Quality assessment of their customer support
- The order procedure and convenience of the service
- Duration of completing an online incorporation service
After reading the comparison, you will see that both Incfile and Incorporate.com are fantastic and cost-effective. Nevertheless, you’ll find that Incfile is a better choice because their packages have a one-year registered agent service, and they offer much more affordable price points.
Incfile offers legal services online to help small business owners create their business by filing the required documents and taxes in their respective states of formation. Their services are customized for each company since they depend on the state or states the company operates.
Moreover, their charges for their services are flat and one-time. Therefore, you do not need to pay retainers or get into long-term contracts. Plus, with their services, you get to make the most out of your availed plan or package without having to pay more.
The company is most known for its business formation services. Since it was launched in 2004, it has helped more than 250,000 businesses form their own companies. Moreover, the staff understands entity formation requirements in not just Washington, D.C., but also in all 50 states.
Meanwhile, Incorporate.com offers an LLC formation service that focuses on helping small businesses to start their own company. This incorporation service provider is dedicated to the industry since it has been in the business since 1899. It’s one of the oldest and most experienced in the industry.
They have helped more than 750,000 businesses get started – from their establishment until now. The company describes itself as having a great passion for corporations. This is not surprising considering how long they have been in the business.
Prices and Features
Incfile offers the lowest price for various features. Besides helping you start your business, they also include a year of registered agent service in all their packages.
However, after your first year ends, you pay a renewal fee of $119 for the registered agent service. Because of this inclusion, Incfile offers one of the most competitive plans out there.
Furthermore, their Gold package, priced at $149, and their Platinum package, priced at $299, have impressive features that make them worth trying even if they are at a more premium price.
Meanwhile, Incorporate.com’s most affordable formation package option starts at $99. However, the starting package can be too simple for some since it does not include a registered agent service or additional features.
While they offer more premium packages, once you add the extra fees, these can cost around $634 and $734.
Because of this, their premium-tier plans are almost the same as hiring a lawyer to start your business. Moreover, you need to pay $235 every year to get the registered agent service, which can be considered too hefty.
Which is Better in Prices and Features?
Overall, Incfile tends to be better in terms of prices and features because they offer more and at much more competitive prices. You also get a year of registered agent service with Incfile, which you have to pay more to get at Incorporate.com.
Track Record and Experience
Since it was established in 2004, one of the strengths of Incfile is their customer feedback. They have received thousands of positive comments and reviews on the internet. While they do receive some negative feedback, they tend to be significantly fewer than their positive ones.
Incorporate.com has been in the industry since the 19th century. Thus, it is one of the pioneers in this kind of business in terms of experience.
Although Incorporate.com has serviced almost a million people, you cannot find many customer comments on the internet. Though there are reviews from 3rd-party websites, they receive less positive feedback.
Which is Better in Track Record and Experience?
Generally, Incfile is better in track record and experience. Even though Incorporate.com has been in the business way longer and has served more customers than Incfile, the latter has received more positive reviews than the former.
Furthermore, besides not having many reviews online, Incorporate.com receives significantly fewer positive feedback than Incfile. Because of this, Incfile is generally considered better in this regard.
Customers can reach out to Incfile through two methods – phone and email. While their phone support tends to be quick when answering, their answers to questions are often short and less elaborate than they would provide via email.
If you decide to contact them via email, you’ll receive a response within the next business day. What’s more, is you generally receive detailed answers and explanations than their phone support.
Incorporate.com’s customer service can be contacted through three methods – chat, email, and phone. In terms of response speed, they tend to answer relatively fast. Furthermore, their customer support team gives concrete answers and even offers extra information.
Overall, they did well in terms of customer service, especially if you reach them via phone or chat.
Which is Better in Customer Support?
Incfile and Incorporate.com did well in customer support. Though Incfile has received many good reviews for their quality customer support, Incorporate.com’s chat support tends to be more impressive.
Regardless, they both do well to provide adequate support for their clients. Because of this, this category can be considered a tie.
Incfile’s signup process is considered easy and user-friendly. This is because their ordering process is customized and depends on the business type you want to form and the state you will operate in.
In the application steps, you will see small question marks and hyperlinks to give you information on what to put for a specific entry. Moreover, several offers from 3rd parties and upsells can be seen.
Your total payment will be updated in real-time if you avail of any of them. Because of this, you will never be shocked after you completed the application.
Forming your business on Incorporate.com is relatively simple. However, you might be confused with the pricing. However, customers who paid for the registered agent service separately can access two of the listed features: CSCNavigator compliance and the yearly report service.
Moreover, as you go through the application, you will see upsells. Because of the site’s simple design, you will not find it hard to make an order and go through payment.
Which is Better in Convenience?
Incfile and Incorporate.com are rather convenient and easy to use. However, the package prices at Incorporate.com can be confusing and difficult to understand. Because of this, Incfile tends to do better as their prices are more upfront.
Business Formation Speed
Within a day is a guarantee given by Incfile to process and submit your LLC or corporation formation to your state. Many companies ask for extra payment to have the process started the following day.
If you prefer your company to be created quickly, you can tell Incfile to expedite the state processing. You can also avail of the Platinum package since it has an expedited service. However, this still depends on your state as the processing varies in each one.
You will see detailed information and estimates for the turnaround period of standard and expedited service at the bottom part of the order form. Therefore, Incorporate.com is transparent in terms of what customers can expect for the period of business formation.
Incorporate.com does not promise a certain period for their services. They promise to process the application as soon as possible after all the business information is given. This makes everything more realistic.
Which is Better in Business Formation Speed?
The turnaround period for Incfile and Incorporate.com is close in many states, so both win for this category.
When deciding between Incfile and Incorporate.com, you can consider the features that Incfile offers at more affordable rates.
Although Incorporate.com does well in completing business formations and providing customer service, Incfile did an excellent job in these factors, too. Moreover, the customer feedback given to Incfile is something worth thinking about.
Overall, while both companies are excellent at what they do, Incfile generally offers more bang for the buck, especially with their included registered agent services. Nevertheless, it’s still ultimately up to you to decide which one is more suited for your business.
What is the main benefit of Incfile or Incorporate.com?
The main benefit of Incorporate.com is their long experience in the business. They have been operating a century longer than Incfile. Moreover, Incorporated.com has done way more business formations.
Nevertheless, Incfile has the edge over Incorporate.com. One of the most notable is their package prices and features. Incfile also provides more to customers so that you can get a better value for your money here than Incorporate.com.
What package can you recommend from them?
For Incfile, the Silver package tends to be the best option. Its price is $0, including state expenses.
You get full preparation and completion of your organization or incorporation’s articles. We have not seen other companies that offer this kind of package with many unique features.
Which of them can help me more while I complete my current compliance requirements?
Both of them offer a lot with ongoing compliance requirements. Nevertheless, the big difference is the price of this service. As mentioned, Incfile has a one-year registered agent service included in all of its packages. After a year, a payment of $119 is needed. If you want a yearly report service, Incfile charges an $88 rate for that with state expense.
For Incorporate.com, you need to pay a separate fee for the service since it is not included in any of the packages it offers. You need to pay $235 each year for that. There is also a yearly report service, which is $150 each year, making it pricier than Incfile.
Is a refund possible in case I need it?
According to Incorporate.com, if you cancel the order’s processing before the submission to the local, state, or federal office, you can get the full refund minus the service fees.
Nevertheless, if you request a refund after the submission, it will be at the company’s discretion how much, if any, for the refund amount.
Incfile has a better policy when it comes to requests for refunds. If you requested a refund before submitting your payment to the state, it would be granted. The period is usually within 24 hours upon making an order. The request will not be granted after that.
If I need a publication service, what is a better choice?
Some states require a company’s formation to be published in a regional newspaper. For instance, Nebraska and Arizona need LLCs and corporations to publish.
In New York, LLCs are only required to do this. While in Georgia and Pennsylvania, corporations are the only ones needed. Sadly, Incfile and Incorporate.com do not offer publication services, and any assistance such as instructions is not available.
Which of the 2 has too many upsells and 3rd-party affiliations?
Incfile mostly veers away from upselling. However, they have 3rd-party affiliations that try to provide your information to other businesses. Some of these partnerships are with Snapweb and Bank of America.
Incorporate.com is the opposite. It does not have 3rd-party partnerships, but it has an upsell that we dislike. These upsell try to make customers pay for a registered agent and yearly report service to enjoy the features included in the packages.
Does the law require it to avail of a formation service?
Getting a formation service is not legally required when creating a new business. However, these companies can lessen the burden of doing much paperwork. If you choose to do it alone, you can make your own LLC. Another option is to hire a business lawyer to help you.