Rocket Lawyer vs LegalZoom (Which is Better?)
Are you forming an LLC but you’re not comfortable going it alone? That’s why companies like Rocket Lawyer and LegalZoom exist, to help you on your formation journey. But how do you know which one’s right for you?
This Rocket Lawyer vs LegalZoom comparison will answer that question by giving you the information necessary to make an informed decision.
* Note: If you would like to compare the top LLC services, we reviewed and ranked the best based on overall value-price-reliability. See Comparison.
Rocket Lawyer and LegalZoom are the two most popular LLC services in the industry, as they both have millions of customers. As such, it’s easy to recommend either one of them. However, Rocket Lawyer has some distinct advantages that make them our preferred pick for most of our readers.
Most importantly, Rocket Lawyer’s $99.99 price point for LLC formation is considerably lower than LegalZoom’s $149 price tag. In addition, Rocket Lawyer receives excellent customer feedback, which isn’t exactly the case for LegalZoom.
Would you like to learn more about these two LLC formation service providers? Read on as we walk you through the relevant details of each company.
6 Things They Have In Common
1) Affordable: LegalZoom and Rocket Lawyer both fill that gap between the DIY option and hiring a lawyer. You won’t be on your own, and you’ll still save hundreds of dollars over hiring a business attorney.
2) Customer Support: Speaking of not going it alone, one of the biggest benefits of hiring an LLC formation service is that they have customer service reps who are available to help solve your problems. If you have questions or concerns, they’re just a phone call or email away.
3) Experience: Both Rocket Lawyer and LegalZoom have customers that number in the millions. They both have a ton of experience and impressive customer volume.
4) Additional Services: After your formation is complete, these companies still have a lot to offer entrepreneurs. From registered agent to tax ID numbers, from licensing to ongoing compliance, Rocket Lawyer and LegalZoom can provide many services your company might need.
5) Security: Online security is important to LegalZoom and Rocket Lawyer. LegalZoom uses Norton Web Security, while Rocket Lawyer uses McAfee Secure ― both of which protect their websites from malware and encrypt your private data.
6) Educational: If you require additional assistance, or just want to learn more about the business world, both of their websites include a wealth of information on all sorts of issues that might affect your company down the road.
Side by Side Comparisons
With their $99.99 price point for LLC service, Rocket Lawyer is about $50 more affordable than LegalZoom’s $149 base rate.
Both of these providers offer pretty basic LLC formation services. Beyond the simple prep and filing of your articles of organization, LegalZoom adds a banking resolution to help you open business checking and savings accounts, whereas Rocket Lawyer’s only additional feature is a hard copy of your formation documents.
LegalZoom has served over 4 million customers since 1999, with about half of those being business clients. While that’s already quite impressive, Rocket Lawyer is on another level, with an amazing 20 million customers served since 2008.
Rocket Lawyer and LegalZoom are both such large companies that it’s no surprise to hear that their customer service can be a bit hit or miss. With as wide-reaching as these support networks are, it’s understandable that some unsatisfied customers slip through the cracks.
LegalZoom does have an advantage when it comes to hours of availability, as they’re open weekdays from 8am to 10pm ET and weekends from 10am to 7pm ET. Rocket Lawyer’s reps are available 9am to 9pm ET on weekdays.
Rocket Lawyer is faster in some states, LegalZoom in others. This is due to the fact that Rocket Lawyer’s estimates vary by state, whereas LegalZoom bases their turnarounds on the level of service you purchase: LegalZoom’s Economy package takes 30 business days, Standard takes about 15, and Express Gold is ready in 7-10. In general, turnaround times are a toss-up between these two services.
Registered Agent Service
Neither LegalZoom nor Rocket Lawyer includes registered agent with LLC service. As an add-on, LegalZoom charges $159 per year and Rocket Lawyer has an annual fee of $149.99. (What is a Registered Agent?)
LegalZoom has over 1,500 customer reviews available online, and they’re mixed pretty evenly between positive and negative. Plenty of their clients are pleased with their general ease of use, but they also get their fair share of complaints about inconsistent customer service.
On the other hand, customer feedback is a big pro for Rocket Lawyer. They also have 1,500+ reviews online, but they have a much higher ratio of positive reviews than LegalZoom does. Their clients rave about the value they receive from Rocket Lawyer.
Ease of Use
Both LegalZoom and Rocket Lawyer shine in this area, as it couldn’t be much simpler to use either service. Furthermore, their websites are both streamlined with intuitive user interfaces.
The LLC Formation Service for You?
Rocket Lawyer and LegalZoom are two of the top LLC formation services online, and they have a bunch of features in common. Of course, there are also quite a few differences that may sway your opinion one way or the other.
Along those lines, let’s finish by reviewing some scenarios that might lead you toward choosing either Rocket Lawyer or LegalZoom.
Choose LegalZoom if You Are:
With their extended service hours, LegalZoom is a top pick for entrepreneurs who can’t take the time out of the business day to get their questions answered.
Choose Rocket Lawyer if You Are:
If you want lower prices, along with great customer reviews and an unrivaled client volume, Rocket Lawyer is the best choice for you.