IncFile LLC Service Review (Advantages & Disadvantages)
IncFile opened their doors in 2004 and they’ve become one of the most popular LLC formation services since, forming over 150,000 businesses.
There are many services that can help you form an LLC online, but IncFile has managed to carve out a prominent space for themselves in this highly competitive industry.
This IncFile LLC service review outlines all of the key factors to keep in mind when considering using their services.
Advantages & Disadvantages
Advantages of IncFile:
– Starting at the low price point of just $49, they’re the most affordable LLC formation service available.
– Even though their base rate is so low, there’s a full year of registered agent service (which is a requirement for all LLCs) included in every LLC formation package offered by IncFile.
– IncFile receives fantastic customer feedback. Not only do they maintain high average rating scores, but they have several thousand reviews (currently over 6,000) available online.
– They usually have very good customer service. IncFile’s support reps are knowledgeable and friendly, and all of their clients receive unlimited phone and email support.
– IncFile has plenty of experience, with over 150,000 businesses formed since they opened in 2004.
– If you order LLC formation service from IncFile, they include lifetime company alerts that send you emails whenever there’s a deadline coming up for annual reports, business licenses, statements of information, and more. Without this feature, you’ll have to keep track of all this stuff yourself, which can be a real hassle.
Disadvantages of IncFile:
– IncFile’s customer support can be difficult to reach at times. While it’s certainly not the norm, we’ve had to wait ~24 hours to get responses to some of our questions on occasion.
IncFile LLC Formation Packages
IncFile has 3 options for LLC formation packages, each with its own combination of pricing and features. If you’d like to check out the full details of each one for yourself, you can review them here.
Silver = $49 + State Fee
– Preparation and Filing of Your Articles of Organization: The articles of organization are the documents required to form your new LLC. IncFile will draft these documents and file them with your state to officially create your business.
– Name Availability Searches: They search your formation state’s business database to ensure that your desired business name isn’t already taken by another entity.
– One Year of Registered Agent Service: A registered agent accepts important documents on behalf of your business, then forwards them to you. This person or entity provides privacy protection for you personally, while also ensuring you never miss a delivery. IncFile provides this service for one full year, after which there’s a $119 annual fee, but there’s absolutely no obligation to renew this service.
– Unlimited Phone and Email Support: If you have a question or concern, it doesn’t matter if you formed your LLC last week or last year ― their support reps are ready and willing to help you. IncFile representatives are available via phone from 10am to 7pm ET weekdays.
– Order Status Tracking: IncFile’s slick real-time tool informs you of what step your order is in at all times.
– Business Tax Consultation: A 30-minute (no-obligation) consult session with a certified tax professional. You can ask them any questions you may have about the tax rules and regulations that apply to your business.
– Lifetime Company Alerts: IncFile will send you email notifications throughout the life cycle of your LLC to inform you of upcoming filing deadlines for documents like annual reports and business licenses.
– Online Document Access: As soon as your state of formation returns your filed documents to IncFile, they’ll post them to your online client dashboard and notify you that they’re ready to view.
Gold = $149 + State Fee
Includes everything from the Silver package, plus…
– Employer Identification Number (EIN): This is a 9-digit number that essentially works as a Social Security Number for your business. With an EIN, you can open a business bank account, file business taxes, hire employees, and more. You can acquire your own EIN relatively easily from the IRS, but IncFile can save you some time and effort by doing it for you.
– Custom Operating Agreement: An operating agreement is a document that outlines the ownership structure of your business, along with laying some ground rules for the way your company will operate. IncFile will prepare this custom document for you.
– Express Shipping: IncFile will ship a hard copy of your filed articles of organization to you using express shipping (1-3 business day delivery), with a tracking number.
– Banking Resolution: This document can help you open a business bank account, but if you have an EIN it’s a bit redundant.
– Gold Business Formation Kit: A box with your company’s name on it, with a transfer ledger and document organizing tabs inside.
– S Corporation Tax Form Preparation: This feature applies to very few LLCs, but if you decide to have your business taxed like an S Corporation, IncFile will prepare and file the relevant forms with the IRS.
Platinum = $299 + State Fee
Includes everything from the Gold package, plus…
– Expedited Document Filing: If your state of formation offers expedited service, IncFile will choose that option. Depending on which state you form your business in, this can cut your turnaround time from a matter of weeks down to a matter of days.
– Sample Document Library: You’ll receive access to IncFile’s legal contract templates. This is a library of 25+ commonly used business forms and documents written by an attorney that you can customize for your needs.
– Business Website and Domain Name: Through IncFile’s partnership with a web development service called SnapWeb, you’ll receive a professionally designed basic website from a premade template. If you leverage this feature, you will still be liable for SnapWeb’s $20/month hosting fee, and the free domain only applies if you sign up for their annual subscription.
What Are Other Entrepreneurs Saying?
IncFile has so much experience in the industry that it’s easy to find customer feedback, which can give you a glimpse of what to expect as one of their clients.
We dove into IncFile reviews all across the web, and determined that their customers experience some pretty clear-cut pros and very few cons. If you want a more complete picture of their feedback, feel free to check out their many individual reviews, but in general their customers enjoy the simplicity of IncFile’s services, as well as their affordable prices.
In short, few competitors can hold a candle to IncFile’s superb customer reviews.
– Shopper Approved: 4.8 out of 5 stars (6,858 reviews)
– Better Business Bureau: 4.8 out of 5 stars (86 reviews)
– FitSmallBusiness: 3.5 out of 5 stars (47 reviews)
Is There a Better IncFile Alternative?
There’s quite a few service providers offering LLC formation these days, so if for whatever reason you don’t like what IncFile has to offer, there are plenty of other options. One IncFile alternative is LegalZoom, which is one of the giants in the online business services industry. LegalZoom has over 2 million business clients, and they have strong brand power as well.
While their $149 base rate is much higher than IncFile’s pricing, LegalZoom still has some advantages. For example, they also have extended customer support hours that last until 10pm ET every weekday and 7pm ET on weekends. LegalZoom also has quite a bit more experience than IncFile does.
Still, IncFile gets the nod in our book because they include a full year of registered agent service with any LLC service package, while still offering price points that can save you $100 or more compared to LegalZoom.
Is IncFile Right For You?
When it comes down to it, IncFile generally has more advantages going for them than disadvantages working against them.
Here’s some scenarios where you should or shouldn’t use IncFile for LLC formation service.
When To Use IncFile:
If you’re on a budget but don’t want to completely sacrifice when it comes to features, IncFile is one of the top LLC formation providers in the industry. We don’t hesitate to recommend them to most entrepreneurs, especially considering their low prices paired with a year of registered agent service.
When NOT To Use IncFile:
The only time we wouldn’t advise using IncFile is if you foresee requiring lots of customer service assistance.
IncFile has some of the best prices in the industry, with glowing customer reviews to match. They are an easy company to endorse for most LLC formations. If you need to look into some alternatives, check out LegalZoom.
Frequently Asked IncFile Questions
Does IncFile Offer Any Discounts?
While they don’t provide any discounts (most LLC creation services don’t), IncFile includes a full year of registered agent service with every LLC service package, which is not a common feature among most competitors’ base packages.
Does IncFile Have Good Customer Support?
For the most part, IncFile has great customer service, with helpful and friendly representatives. The only knock on their support is that sometimes it can take a while to get a response during peak times.
Do They Have a Refund Policy?
While some competitors offer 100% satisfaction guarantees, IncFile does not. They charge a $30 cancellation fee, and they also will only provide a refund if you request it before they submit your payment to the state, which is typically within 24 hours of placing your order.
Can I Form an LLC on My Own?
Some entrepreneurs do choose the DIY route when it comes to LLC formation, but it’s a hassle. It requires a rather significant time investment, and you’ll have to research your state of formation’s specific requirements as well. In addition, you won’t receive the helpful ongoing compliance reminders offered by IncFile, or any of their other convenient features.