When launching a business, is it really possible to get everything — from formation services to logo design — in one seamless platform? Enter ...
LegalZoom vs SwyftFilings Comparison
Written by: Carolyn Young
Carolyn Young is a business writer who focuses on entrepreneurial concepts and the business formation. She has over 25 years of experience in business roles, and has authored several entrepreneurship textbooks.
Edited by: David Lepeska
David has been writing and learning about business, finance and globalization for a quarter-century, starting with a small New York consulting firm in the 1990s.
Published on September 4, 2022
Establishing a business entity is a pivotal step in starting a business, and given its often intricate and laborious nature, many business founders enlist the help of a professional to ensure it’s done correctly. These business formation services often extend their offerings to include other beneficial services for new business proprietors.
Two prime examples of online formation services are LegalZoom and Swyft Filings. To aid you in identifying the right one for you and your enterprise, we’ve conducted a comprehensive review of their services, approaching it from an entrepreneur’s perspective. Continue reading to make an informed decision that will set your business on a trajectory toward success.
Services Overview
Business Formation Service
LegalZoom
Swyft Filings
Plans and Pricing
3 plans: Basic, Pro, and Premium: $0 – $299 + state filing fees
3 plans: Basic, Standard, and Premium; $0 – $299 + state filing fees
Registered Agent Service
Not included, $249 annually
Not included, $199 annually
Operating Agreement
Included in Pro and Premium plans
Included in Standard and Premium; $35 for Basic
Annual Report Service
Not included; Starts at $99 + filing fees
Not included, $99 + state fees, or included in the Annual ComplianceGuard Subscription (free for 14 days, then $149)
Processing Time
Around seven to 10 days
Same day, Standard, and Express
Customer Support
Chat, phone, email; Mon – Fri 5am – 7pm PT; Weekends: 7am – 4pm PT
Chat, phone, email; Mon – Fri 9am – 6pm CST
Business Documents Online Library
No
Top-tier plan only
Other Services Offered
Taxes, Licenses, and Permits, Legal Forms and Agreements, Trademark, Patent, and Copyright, Business Changes and Filings
Digital Corporate Kit, Seller’s Permit, Corporate Bylaws and Resolutions, Banking Resolution
Number of Business Served
Over 3.5 million
More than 300,000 since 2015
Money Back Guarantee
60 days
No, but they offer a 100% satisfaction guarantee
Our Verdict
Upon a comprehensive evaluation, we have concluded that Swyft Filings provides superior value. By opting for Swyft Filings, you stand to save money and are likely to experience excellent customer service and quicker processing times. The primary strength of LegalZoom lies in its name — if you anticipate your business will require substantial legal advice, LegalZoom could be the more suitable option for you.
Pricing
Turnaround Time
Help and Support
Customer Satisfaction
Ease of Use
Overall Score: 4.2/5
Pricing
Turnaround Time
Help and Support
Customer Satisfaction
Ease of Use
Overall Score: 4.4/5
Overall, Swyft Filings offers a better value with their business formation services packages and better price for registered agent services.
Pros and Cons
Pros
- Reputable and reliable services
- Local attorneys available in all 50 states
- Great customer support
- Quick and easy purchase process
- Variety of legal services and documents available to business owners
Cons
- Registered agent service cost is higher compared to competitors
- Too many upsells when signing up
- Slow turnaround time
Pros
- Competitively-priced packages offer good value
- Fast turnaround times
- Personalized customer service specific to your needs
- Quick and easy purchase process
- Good rating from the Better Business Bureau
Cons
- Registered agent services aren’t included in packages and are pricier than competitors
- Significant upselling
- Uses third parties for some services
Plans and Pricing – Winner: Swyft Filings
LegalZoom
While LegalZoom offers an initial $0 LLC package, the continual upselling may become costly and cumbersome. Moreover, none of their formation packages come with a registered agent service, which is an add-on service priced at $249 annually.
Swyft Filings
The Basic package is free of charge, suitable for budget-conscious entrepreneurs, and includes company name verification, document filing, and lifetime support.
The Standard package, priced at $199, adds a federal tax ID, custom operating agreement, and corporate bylaws, serving businesses seeking more legal aid.
The $299 Premium package expedites filing and offers a business website and hosting, and a digital LLC kit, making it a one-stop solution for comprehensive business services.
The registered agent service is not included, and it is priced at $199 annually.
Experience – Winner: LegalZoom
LegalZoom
Having served more than 3.5 million customers since 2001, with approximately half being business clients, LegalZoom has extensive experience in this field.
Swyft Filings
Swyft Filings was founded in 2015, but they have formed over 300.000 businesses.
Customer Support – Winner: Swyft Filings
LegalZoom
They provide support via phone, chat, and email. Overall all three channels have quick responses with polite and professional customer service representatives.
Swyft Filings
Swyft Filings’ customer support team can be reached via phone, email, and chat form during business hours. Their online chat operates more like a contact form, typically responding within 24 hours. The phone support is notably useful, and in our interactions, we experienced no upselling from the customer service representatives.
Turnaround Times – Winner: Swyft Filings
LegalZoom
Unlike many rivals, their processing times depend on the package chosen, not the state of formation. For their premium package, finalized business formation documents could be received within 7–10 business days. Still, more economical packages could take up to 30 business days (or six weeks).
Swyft Filings
The Basic package assures filing within 10 days. The Silver package quickens the process with a 5-day filing period. For immediate needs, the Premium package offers same-day filing. However, it’s important to note that actual incorporation times can fluctuate based on the specific state and the volume of requests being processed.
Customer Reviews – Winner: LegalZoom
LegalZoom
We found over 9,000 reviews on BBB and Trustpilot, with a significant portion being positive. Happy customers frequently mentioned LegalZoom’s services’ convenience and user-friendliness.
Swyft Filings
Swyft Filings has similar ratings as LegalZoom. Over 6,200 online reviews indicate positive customer satisfaction; however, lately, there have been negative experiences with add-ons and third-party services.
Ease of Use – Winner: Swyft Filings
LegalZoom
LegalZoom has numerous upsells, which can lead to a confusing and potentially costly ordering process. Despite this, the actual process of business formation with LegalZoom is efficient and straightforward. Upon forming an LLC with them, we received documents along with comprehensive instructions, which we found to be extremely beneficial.
Swyft Filings
The initial formation process with Swyft Filings is generally swift, simple, and straightforward. One disadvantage is the inability to see all the details of the three plans before starting your filing, making upfront comparison challenging.
Throughout the process, there’s an ongoing upsell of services, which some may find annoying.
Additional Services – It’s a tie between the two
Swyft Filings and LegalZoom offer a wide range of services to their clients, with considerable overlap between the two. Both provide registered agent service, annual reports, Employer Identification Number (EIN) acquisition, business licensing research, and amendments, among other services.
LegalZoom offers a wider range of additional legal services, while Swyft Filings has lower prices for its additional services.
FAQs
Why should I use a business formation service to start my LLC?
Using a business formation service to start your LLC frees you up to focus on growing your business. These services handle the filing process for you and offer additional services that can make life easier for a new business owner.
What should I take into consideration when choosing the right business formation service for my LLC?
When assessing whether or not a business formation service is right for you, it’s important to dive into the following four categories: included features, customer service, pricing, and turnaround time.
Why should I use LegalZoom?
Overall, LegalZoom is a reliable service that has been around for a while. If you need a one-stop shop for legal and business services, they are probably your best bet.
Where can I learn more about what real customers think of the various business formation services?
To learn more about the customer experience at a particular business formation service, check out the reviews and ratings on the Better Business Bureau and Trustpilot websites.
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