Do you need to form a limited liability company, but you don’t want to bother with the complexities and hassles of forming your own LLC?
In this ZenBusiness vs MyCompanyWorks comparison guide, you’ll find all the relevant information about these two reputable service providers organized in a convenient manner. Let’s find out which one is the right choice for your LLC!
With ZenBusiness and MyCompanyWorks, we’re discussing two of the best companies in the LLC services industry, and they’re both quite capable when it comes to forming a compliant business entity in an efficient manner. Even though both of these service providers have their own set of advantages, we tend to prefer ZenBusiness for most of our readers.
First and foremost, ZenBusiness has more affordable pricing models, including an LLC formation package that’s completely free of service charges, as long as you pay your state fee. Additionally, ZenBusiness includes a full year of registered agent service with any LLC formation, a feature that MyCompanyWorks only includes with their top-tier Complete package.
Would you like to learn the details that set these service providers apart, as well as the common characteristics they both share? Read on as we discuss all the information you need to make a decision between these two respected companies.
Is There a Better Alternative?
While ZenBusiness and MyCompanyWorks both have plenty of positives, neither of them are among our absolute favorite companies in this industry. In general, we prefer to use either IncFile or Northwest Registered Agent to form an LLC.
Both of these service providers include a full year of registered agent service with all of their LLC formation packages, which for IncFile start at $49 and for Northwest start at $79. Other than that, IncFile’s best attribute is their fabulous customer feedback reputation, with thousands of positive reviews all over the web. As for Northwest, they’re the only major national service provider that locally scans every document they receive as your registered agent, whereas most competitors only scan the government docs that they’re legally required to.
6 Things They Have in Common
1) Affordable: With either ZenBusiness or MyCompanyWorks, you’ll save a significant amount of money on your LLC formation compared to hiring a business attorney to handle your formation process.
2) Great Customer Feedback: With hundreds ― or for MyCompanyWorks, thousands ― of reviews available online, both of these companies receive high average rating scores for their customer feedback, which indicates an excellent level of client satisfaction.
3) Efficiency: With either ZenBusiness or MyCompanyWorks, you’re getting a service provider that’s capable of processing an LLC formation quickly. If you’re in a hurry, they both have options available that can speed up your formation.
4) Customer Support: While the methods they use to provide customer service are quite different (which we’ll discuss shortly), these two services both have customer support networks that can answer your tough questions. Why go it alone when you can get help from ZenBusiness or MyCompanyWorks?
5) Additional Services: Both MyCompanyWorks and ZenBusiness have many other services that they can provide to your business, from registered agent to annual report service and much more.
6) Experience: Both MyCompanyWorks and ZenBusiness have helped form thousands of businesses over the years, and they both have plenty of expertise. You can definitely trust them to have the experience they need to form your compliant LLC.
Side by Side Comparisons
It’s quite difficult to beat ZenBusiness when it comes to pricing, seeing as they offer their Basic LLC formation package for free, as long as you pay your state fee. As for MyCompanyWorks, their pricing starts at $79 plus state fee.
The free ZenBusiness Basic package includes no additional features beyond the essentials of formation, which include a business name availability check and the preparation and filing of your articles of organization. If you step up to their $120/year Starter package, they add registered agent service.
The $79 MyCompanyWorks Basic package also includes the basic elements of your formation, then adds an operating agreement to describe the ownership structure and operational guidelines of your LLC. You will also receive organizational minutes to help organize meetings, and their company alerts system to help you keep track of filing deadlines and compliance requirements.
MyCompanyWorks opened in 2001, and since then they’ve processed over 60,000 business formations. ZenBusiness is a more recent addition to the industry, as they were founded in 2015, but they’ve already formed thousands of businesses in just a few years.
ZenBusiness provides customer support from 10am to 7pm ET on weekdays. They do not offer support via phone or email. Instead, your only option is to contact them via web chat. MyCompanyWorks offers support via phone from 11am to 7pm ET on weekdays, and you can access their email support from 10am to 8pm ET.
ZenBusiness bases processing times on which level of LLC formation service package you purchase from them. They have a 4-week turnaround time for their Basic package, which you can cut down to 3-4 weeks with the Starter package, 1-2 weeks with the Pro package, and 3-5 days with the Premium package.
MyCompanyWorks has turnaround times based on the actual requirements of your formation state. On their website, they say that “some states take 1-3 days, others take 2-3 weeks or longer.” You can find estimated turnaround times for your specific state on the first page of the LLC formation service order form.
Both of these service providers have order tracking tools available on their websites. Simply log into your account and you’ll find your order status in your profile.
Registered Agent Service
Every LLC in America is required to designate a registered agent, which is a person or business entity that receives important document deliveries (like service of process) from your state government, informs you of the receipt, then forwards the documents to you. This is so crucial because the state needs to have a reliable means of contacting your business at any time. If you would like to see a list of our favorite registered agent service providers, simply click this link.
ZenBusiness includes registered agent service with all of their LLC formation packages except for the free Basic package, and this service costs $120 per year. MyCompanyWorks only includes registered agent with their $279 Complete package, but they only charge $99 per year to add it on.
ZenBusiness excels when it comes to customer feedback, as they have over 500 reviews available online, and nearly all of them are positive. Their clients are clearly satisfied with their services, and they frequently praise their efficiency, along with the general ease of use provided by their platform.
MyCompanyWorks might have an even stronger reputation in this area, as they maintain very high average rating scores with over 2,650 reviews. Their customers like the support they receive from MyCompanyWorks, and they also seem to appreciate the value they provide.
Ease of Use
Both of these services make the formation process far simpler than it is to DIY an LLC formation. We will give a slight edge to MyCompanyWorks in this category though, because their website is more intuitive and user-friendly than the ZenBusiness site, which is rather basic and can be surprisingly hard to navigate.
Which Is the Best LLC Service for You?
As you can see, ZenBusiness and MyCompanyWorks have many common characteristics, but they also have several aspects where they differ in significant ways. If you’re still undecided between them, let’s look at a couple scenarios that might help you figure out which company you’d like to form your new LLC.
No matter which one you choose, we’re confident that either of these companies is capable of correctly forming your compliant LLC.
Choose ZenBusiness if You Are:
Are you looking to form an LLC as cheaply as possible? Or perhaps you’re looking for registered agent service bundled in with an affordable LLC formation package? ZenBusiness should be a good fit for your business.
Choose MyCompanyWorks if You Are:
Do you want access to phone and email support instead of just web chat? Maybe you prefer a company with a longer track record? Give MyCompanyWorks a look.
While both of the LLC services in this comparison offer decent overall value and have formed thousands of businesses, we think ZenBusiness is the better option. However, in the larger picture, neither of these LLC services are our top pick. We highly recommend checking out our list of the top LLC services to see which is the best option available.
Frequently Asked Questions
If I Decide to Use ZenBusiness, Which Package Should I Choose?
Our favorite ZenBusiness LLC formation package is obviously their Basic package, because it really is entirely free, other than your state fee. We also really like their Starter package, which adds registered agent service and still only costs $10 per month.
Does ZenBusiness Handle Extra State Requirements Like New York Publication?
They sure do. In our opinion, there are too many companies in this industry that only handle the basics of LLC formation, without offering assistance with the often-complex state-specific requirements like publication. ZenBusiness is a comprehensive LLC formation service provider, and they will gladly handle your publication requirement if you live in a state that has one. For instance, check out their description for New York publication service.
Which Service Has Fewer Upsells?
MyCompanyWorks does a good job of minimizing the upsell attempts, as they largely let their high-quality products and services sell themselves. However, ZenBusiness definitely attempts some upsells as you work your way through their LLC formation service order form. All told, they attempt $495 worth of upsells, which might sound crazy but is actually fairly routine in this industry. For example, it’s still much better than the $1,080 of upsells LegalZoom pushes on their customers.
Do These Services Share My Information With Third Parties?
Both of these companies are guilty of this to a degree. MyCompanyWorks has some third-party info-sharing agreements, like their offer to help you set up a bank account with Bank of America, or their “free domain name and hosting” offer with InMotion Hosting. As for ZenBusiness, their offers of CPA consults, domain name registration, insurance quotes, and accounting software are similar attempts to share your info with third parties.
If privacy is a major concern for you, you can simply request that these companies opt you out of any third-party partnerships. Or, you can form your LLC with Northwest Registered Agent, as they never share or sell your info with any other business entities.
Do Either of These Services Have a Refund Policy?
We can’t quite figure out the ZenBusiness refund policy, as it’s rather convoluted. It seems to rely quite a bit on a set of conditions that they never specify. Take a look for yourself, in their own words: “Once ZenBusiness has submitted your business for filing with the State under no circumstances can you charge-back or dispute the fees associated with forming your business. If you contact ZenBusiness before your business has been submitted for filing with the State, ZenBusiness may refund the charge, less a $50 cancellation fee, if certain conditions are met.”
MyCompanyWorks isn’t any better in this regard, as their refund policy has a series of processing fees depending on when you request your refund. Without getting into an unnecessary level of detail, the cancellation fees start at $25 and work their way up to $75, and once they’ve submitted your paperwork to the state, their refund window is entirely closed.
Which LLC Formation Website Is Faster?
MyCompanyWorks bases their turnaround time estimates on each state’s actual average processing times, and therefore their processing times can vary from a few days all the way up to several weeks. ZenBusiness has a different method, as they instead base their processing speeds on which LLC formation package you select:
- Basic (Free): 4 weeks
- Starter ($10/month): 3-4 weeks
- Pro ($30/month): 1-2 weeks
- Premium ($60/month): 3-5 days
Can I Just Form an LLC On My Own, Without a Service?
You certainly can, and many entrepreneurs do in fact form their own LLCs without professional assistance. Before you decide to tackle the DIY route, we’d simply like to mention that it can be more hassle than you might expect, due to the fact that all 50 states have their own set of rules and regulations governing LLC formations. Therefore, it can take some legwork to figure out what exactly your state requires. Plus, the DIY option doesn’t provide the same peace of mind that we get from a service like ZenBusiness or MyCompanyWorks.