Why LegalZoom IS NOT a "One-Stop Shop" for an LLC Formation

Stressed individual starting a business

When it comes time to form your business, the internet is full of options. But what about those companies that offer a "one-stop shop" for LLC or corporation formation? It's tempting to go with a company like LegalZoom, which claims to make the process a breeze with their online services. However, there are hidden dangers lurking beneath the surface when it comes to using legal document preparation services such as LegalZoom. Let's take a closer look at why you should think twice before filing through LegalZoom.

Got more questions? Our San Antonio business attorney can help! Call (210) 761-6294 or contact us online.

The Pros and Cons of Using LegalZoom

It's not all bad news when it comes to using legal document preparation services like LegalZoom; they do have some advantages over other options. For starters, they are more convenient than filing on your own, or even with an attorney. All you have to do is fill out some forms, pay the fee, and wait for your documents. Additionally, these companies usually offer lower fees than attorneys charge for similar services (but check the fine print as that is not always the case). 

However, there are also several downsides that come with using these services. The most pressing concern is that without any legal knowledge or experience in business formation, you may end up missing important steps, or making costly mistakes, that a lawyer will have to fix later. If you check the wrong box in their forms it could cost you THOUSANDS. Furthermore, if something does go wrong, you may find yourself without any recourse since these companies do not provide any legal advice, or consultation, as part of their service packages.

Another issue is that it can be difficult – or even impossible – to get answers to important questions about your documents or make changes to them after the fact if needed. Plus, many of these companies use automated processes that do not always catch errors in paperwork before it’s submitted to the state which can lead to delays in getting your LLC formed.

Ultimately, while using a service like LegalZoom might seem like an easy option for forming an LLC or corporation, there are quite a few pitfalls associated with this route that could cause major headaches down the road. If you want peace of mind and accurate paperwork filed quickly and correctly, then investing in an experienced attorney who specializes in business formations is likely going to be your best bet in the long run.

Explore Your Options - We Can Help!

Register for our Start Your Business Bootcamp where you’ll be equipped with tools and educational resources to help you on this journey. Contact admin@thesouthtexasbusinesslawyers.com for more information.

For additional help from The South Texas Business Lawyers, reach us at (210) 761-6294 or online.

Disclaimer: This article is made available for educational purposes only, to give you general information and a general understanding of the law, not to provide specific legal advice. By using this article, you understand and acknowledge that no attorney-client relationship is formed between you and The South Texas Business Lawyers, nor should any such relationship be implied. This article should not be used as a substitute for competent legal advice from a licensed professional attorney in your state.
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