BizFilings Review : Background Information
BizFilings is owned by legal services giant, CT Corporation and has been one of the major players within the business formation sector for over 20 years. They have led many business owners through their online formation process since 1996.
It is worth noting that there isn’t much information about their track record, apart from the very fact that they’ve been in business for over 20 years. For a business that’s been around this long it’s odd there aren’t more customer reviews of their services.
Genuine Review by LLC
LLC Review has ranked BizFilings 7TH on their website with a 4/5 star. BizFilings main competitors that rank above them are IncFile, Northwest, ZenBusiness, MyCompanyWorks, BETTERLEGAL and CorpNet. LLC Review decided to rank Bizfilings 7 by comparing the top 5 formation companies based on factors such as pricing, reputation and customer service.
One of the negative factors discovered by LLC Review is that the main complaint about BizFilings was its high annual charges for registered agent services which cost $164.
Unfortunately, customers are forced to use their registered agent services when signing up for his or her LLC package.
Therefore, customers of BizFilings are reminded to make sure to cancel it by providing proof in writing that your company has a new registered agent on file with the state if they do not want to be charged when the free 6 months registered agent services expire.
As BizFilings is an online LLC formation company, therefore, customers would conduct pre-purchase research to compare the brands, prices, and products online only to find out that there isn’t much information about their track record, aside from the fact that they’ve been in business for over 20 years.
This reduces potential customers’ confidence in their service.
Neither of these factors are deal-breakers but there are a few companies that we feel offer more value for money, while also having more accessible information about their track record.
BizFilings Reviews – An Insightful Piece
Our Thoughts: BizFilings Overall Pricing and Value – 5/10
Pricing strategy and product value is the major factor that attracts customers.
BizFilings advantages is that they offer a unique tool that helps inexperienced entrepreneurs figure out what package suits them the most.
However, their packages are all more expensive overall than some of the other companies offering similar services.
BizFilings offers three packages for LLC formations. The Basic option costs $99 which are more expensive than similar packages from completing incorporation services however they have a decent value since they include six months of their top registered agent services.
The Standard and Complete packages are more expensive and prices vary from state to state, which makes it a bit difficult to do broad value assessments and it might be unfair to customers that live in those states with higher prices.
The Standard and Complete packages also don’t have enough valuable features to justify the higher price.
Setting a higher price than their competitors could be an attempt to create the perception that they products must have a higher value than competing products.
BizFilings is betting that the consumer will not investigate to find out if the product is truly a higher-value item.
Their final thoughts on BizFIlings are that BizFilings has strong customer support and provides satisfactory service.
However, there are very few customer reviews available online, and at the end of the day their LLC formation packages just do not offer the value as what could be expected for their price points.
They did, however, recommend users to check out ZenBusiness which is another company that provides LLC formation services well.
Highlight: BizFilings’s Registered Agent Service
Registered agent is a term many business owners may never heard of before.
According to United States business law, a registered agent (also known as a resident agent or statutory agent) is defined as a business or individual designated to receive Service of Process (SOP) when an LLC, corporation, or other formal business entity is a party in a legal action such as a lawsuit.
All business formation companies, including BizFilings, offer registered agents.
The BizFilings’s registered agent is answerable for receiving important legal and other documents on behalf of your business such as Service of Process (also known as Notice of Litigation) which initiates a legal claim, significant state mail.
For example, annual reports or statements sent by tax notices from the state’s department of taxation.
The registered agent features a physical address (not a post office box) in the state of incorporation or qualification and is available at that address during normal business hours.
BizFilings provide tools and alerts to help customers stay on top of important compliance obligations.
BizFilings doesn’t charge extra for the services customers needed to stay informed and compliant with legal requirement unlike other providers of registered agent services.
List of services provided by BizFilings Registered Agent include:
- Franchise Tax & Annual Report filing alerts. Registered agent customers receive ongoing notice for any state franchise tax or annual report filings that are due after incorporation. It is easy with a few clicks for customers to file and keep their business in good standing with the state.
- Managed filing services. Registered agent customers can enroll in automatic filing of tax and annual reports. A dedicated team will monitor customers state reporting requirements and files on their behalf.
- BizComply management tool. BizFilings has an exclusive account management tool that lets customers schedule and track all their company and compliance events, as well as email reminders on upcoming state obligations and invoices.
- Prompt handling of official documents. BizFilings provides prompt and efficient handling of important state, tax and legal documents received on behalf of the customer’s company.
- Professional and discreet Service of Process delivery. BizFilings will email and digitally scan Service of Process documents for fast viewing.
- Exceptional, friendly customer service. BizFilings customer service is out there by phone, email or chat. Bizfilings have knowledgeable representatives who are happy to answer customers questions on compliance, account or details on how to place an order.
- The Period of Registered Agent Service
The first six months of registered service is free and included in all BizFilings incorporation service packages.
After the initial six-month term, customers will be billed $199 per year. BizFilings will automatically enroll Registered Agent Service to customers in BizFilings’ auto-pay program to ensure uninterrupted service.
This program includes leaving an active credit or debit card on file with BizFilings which allows BizFilings to charge the credit or debit card for renewal of the subscription.
If customers do not reject this auto-pay program, BizFilings will charge the credit or debit card provided by customers and renew the service term they selected.
Prior to automatically renewing BizFilings will notify customers and provide them an opportunity to opt out from the registered agent service.
Customers can rest assured that the credit and debit card information is retained as part of the auto-pay program and is only used for renewal, payment processing and maintenance of the registered agent service and are not used for other purposes without the card owner’s permission.
Customers may cancel the monthly subscription at any time by providing proof (in writing) that the company has a new registered agent on file with the state.
If notification of cancellation is not received in writing prior to the renewal date, BizFilings may charge the full fee for the renewal service term.
If customers cancel prior to the expiration of the term agreed they will not be entitled to a pro-rata refund.
In event that the fees are not fully paid, any accepted partial payment by BizFilings will be considered an incomplete order until full payment is received.
Such partial payment orders may be subject to additional processing fees.
Customers are charged a reasonable collection cost, if necessary, in the event of non-payment, plus interest on any such amounts at a rate of 1.5% per month.
BizFilings also reserves the right to terminate Registered Agent Service in the event that BizFilings does not receive full payment based on the terms dictated on the invoice and BizFilings are not liable or responsible for any damage or inconvenience caused by the termination.
If you are looking for the best registered agent services, you might want to learn more about InCorp. They are well-known for their registered agent services.
The BizFilings LLC Formation
Bizfilings provides formation solutions as a primary service. This includes the formation of limited liability company (LLC), limited partnership (LP) and a limited liability partnership (LLP), Non-Profits, S Corporation, and C Corporations. BizFilings offer their service in all 50 states of the United States of America.
BizFilings has 3 price points for their LLC formation services, namely basic, standard and complete.
Basic BizFilings LLC Formation Package which cost $99 + State fee
This basic LLC formation package includes service that helps to (1) prepare and files your Articles of Organization with the state.
Standard BizFilings LLC Formation Package which cost $229 + State fee
The Standard Package contains 3 out of the 4 core services. Namely (1) preparation and filing Articles of Organization with the state; (2) within 1 business day; (3) with an operating agreement.
This package also comes with an LLC Kit (a binder to keep papers organized). BizFilings’ Standard Package, however, does not include a Federal Tax ID/EIN which will cost an
Complete BizFilings LLC Formation Package which cost $359 + State fee
The Complete Package is essentially the Standard Package plus an Employer Identification Number (EIN) which is used to identify a business entity and a Compliance DVD.
Each BizFilings LLC formation package includes the basic filing and six months of registered agent services, excluding state fee.
The packages likewise incorporate full access to BizComply that provides an online checklist for company compliance.
A Basic Package which costs $99 seems to have the best overall value and customers can add in additional services based on their needs.
For customers that want the LLC kit they can start with the Standard package and build from there.
Important: Refund Policy
Customers reserve the option to a full refund if a request is dropped after instalment has been taken by BizFilings however before a fundamental name check has been finished with a $50 processing fee charge.
Customers can get a full refund for the aggregate sum of the order with a $75 processing fee provided LLC documents have not been filed with the state on the occasion that order is dropped after the preliminary name check has finished but before the incorporation documents have been sent off to the state for processing.
If the documents are filed with the state, the total amount of money received by BizFilings for their service becomes non-refundable.
Final Verdict
The Basic package only includes an LLC kit and seal, along with 6-months of registered agent service.It is perfect for entrepreneurs who want to save money and are comfortable creating an Operating Agreement and filing an EIN themselves.
However, BizFilings Basic package is more expensive than those offered by newer companies. Such newer companies also offer a 12-months option as opposed to only the six months of registered agent service.
You should check out our Top Online Incorporation Services Review if you want to know how does it fare against its competitors.
Bonus: Is There a Better Way to Start My LLC?
There are surely better deals out there than BizFilings. ZenBusiness, our recommendation, is a better company to help entrepreneurs start up a business. Is ZenBusiness legit?
A little background about ZenBusiness, Zen Business is a Texas-based company founded in 2015 and has helped thousands of entrepreneurs around the US in setting up their LLC companies successfully.
ZenBusiness platform provides everything entrepreneurs need to start, run, and grow their business all in one place.
The services provided by Zen Business include registered agent services, CPA assessments, Employer Identification Number acquisition, compliance guarantee, and even website-building services
ZenBusiness – The Alternative You Need to Know
The biggest advantage for ZenBusiness is their price point, a formation service package would start at a reasonable price of $39 plus state fees. This could help small business owners to form a LLC without burning a hole in their pocket.
At a lower price ZenBusiness includes 12-months free registered agent services while BizFilings only provides a 6-months service. Zen Business has 3 packages to choose from.
Starter Package $49/year
This package incorporates Standard Filing Speed, Registered Agent Service, Operating Agreement, and 100% Accuracy Guarantee.
Pro Package $249/year
This package incorporates Expedite Filing Speed, Registered Agent, Operating Agreement, Employer ID Number, Banking Resolution, Worry-Free Compliance, and 100% Accuracy Guarantee.
Premium Package($349/year)
This package incorporates the same services as Pro Package with the addition of a Rush Filing Service,
ZenBusiness provides worry-free compliance for annual report filing alerts and a worry-free CPA assessment in its basic package to help customers with business taxes. The worry-free guarantee is included in the Pro and Premium plans.
It allows business owners to receive annual LLC filing report alerts and compliance deadlines to make sure business would remain in good standing with the state.
In the event that the company misses a deadline or a state requirement, ZenBusiness covers the costs required. Other LLC formation companies don’t have this feature, making it one of the best services offered by ZenBusiness.
ZenBusiness also provides a wide range of features that business owners can enjoy such as a Business Domain Name, Business Website, Business Email Address that other LLC companies don’t provide.
ZenBusiness formation services are efficient and easy to use. ZenBusiness personalized online dashboard is the central location for your documents to help you access information anytime during your login online.
If you’d like to have an even better idea on how BizFillings is able to compete with its competitors, we’ve done a comprehensive comparison between BizFillings vs LegalZoom.
Key Takeaway
After reviewing and comparing all the top LLC services, ZenBusiness came out as the best rated LLC service available.
The combination of great customer service, competitive pricing, and effective LLC formation plans make Zen Business the best LLC service that I will recommend to those interested in starting an LLC online.
Frequently Asked Questions (FAQs)
Is BizFilings legit and worth purchasing?
How much would it cost to form an limited liability company with BizFilings?
Starting a business correctly doesn’t have to be difficult. With over 15 years of experience consulting new businesses and start ups, Matthew is probably the best person to help you set a strong foundation for your business.