Starting an LLC does not have to involve complicated paperwork, but it can still take time to understand what needs to be filed and what happens after the business is created.
New business owners may also need an EIN, operating agreement, registered agent, and help keeping up with state requirements.
BetterLegal is built around simplifying these tasks through an online platform.
BetterLegal is an online business formation service that helps entrepreneurs create LLCs and corporations while also providing services such as registered agent support, EIN assistance, operating agreements, and compliance-related services.
Its approach is centered on making the formation process relatively straightforward rather than offering a huge collection of unrelated legal products.
The platform is aimed primarily at entrepreneurs and small business owners who want to establish a company without handling every filing themselves.
BetterLegal can also be useful after formation. Once an LLC is created, owners may still have administrative responsibilities, and having access to related business services can make those tasks easier to manage.
However, the right package depends on what your business actually needs. Paying for additional services that you do not use can increase the overall cost.
In this BetterLegal review, we will look at its LLC formation service, pricing, registered agent options, EIN assistance, operating agreement, compliance support, customer experience, pros and cons, and who may benefit most from using BetterLegal.
What Is BetterLegal?
BetterLegal is an online platform focused on business formation and related services.
The company helps entrepreneurs establish LLCs and corporations and provides additional tools for managing common business requirements.
Its services can include:
- LLC formation
- Corporation formation
- Registered agent services
- EIN assistance
- Operating agreements
- Annual report assistance
- Compliance services
- Business licenses
- Business-related documents
The platform is designed primarily for entrepreneurs who want a simpler alternative to handling business formation completely on their own.
BetterLegal for New Entrepreneurs
Starting a company for the first time can involve a lot of unfamiliar terminology.
BetterLegal provides an online process that guides users through the information needed to establish a business.
This can be helpful for:
- First-time entrepreneurs
- Freelancers
- Consultants
- Online businesses
- Small business owners
- Startups
What Can BetterLegal Help With?
Depending on the services selected, BetterLegal can help with:
- Creating an LLC
- Preparing formation paperwork
- Filing with the state
- Obtaining an EIN
- Creating an operating agreement
- Maintaining a registered agent
- Managing certain compliance tasks
This allows entrepreneurs to use one provider for several common startup requirements.
BetterLegal LLC Formation
LLC formation is one of BetterLegal’s primary services.
The company provides an online process that allows entrepreneurs to submit their business information and have the required formation paperwork prepared and filed.
How Does BetterLegal Form an LLC?
The process generally involves:
- Choose an LLC as your business structure.
- Select the state where you want to form the company.
- Enter your business information.
- Provide ownership details.
- Review the formation service.
- Add any additional services you need.
- Check the order details.
- Submit the formation request.
- BetterLegal prepares and files the required documents.
- Receive the completed business documents.
The state agency ultimately approves the LLC, so the official processing time depends on the state.
Business Name Availability
Choosing a business name is an important part of forming an LLC.
BetterLegal can help entrepreneurs with the business formation process and name availability checks.
However, an available LLC name does not automatically mean that the name is protected as a trademark.
Entrepreneurs building a long-term brand should separately consider trademark availability.
BetterLegal Pricing
BetterLegal uses a straightforward pricing structure for its main business formation service.
The formation fee is separate from the state filing fee, which varies depending on where the LLC is created.
| Service | Pricing Structure | Purpose |
|---|---|---|
| LLC Formation | $299 | Create the LLC |
| Registered Agent | Additional annual fee | Receive official documents |
| EIN | Additional service | Obtain federal tax ID |
| Operating Agreement | Additional service | Document LLC management |
| Compliance | Additional service | Manage ongoing requirements |
The exact price depends on the service and current offering.
LLC Formation Cost
When calculating the cost of using BetterLegal, remember that the state filing fee is separate.
Your total expense may include:
- BetterLegal formation fee
- State filing fee
- Registered agent service
- EIN service
- Operating agreement
- Compliance services
This makes it important to look at the complete cost rather than focusing only on the advertised formation price.
Are There Recurring Costs?
Some business services can involve recurring fees.
Registered agent services and compliance products are examples of services that may continue beyond the initial formation.
Before purchasing, review whether each service is a one-time payment or an annual charge.
BetterLegal Registered Agent Service
Every LLC needs a registered agent that meets the applicable state requirements.
The registered agent receives certain official documents and government correspondence for the business.
BetterLegal offers registered agent services as part of its business service options.
A registered agent can receive:
- Service of process
- Government correspondence
- Compliance notices
- Official state documents
Why Use a Professional Registered Agent?
Business owners can often serve as their own registered agent if they satisfy the requirements in their state.
However, this means maintaining an appropriate physical address and being available to receive important documents.
A professional registered agent can take over this responsibility.
It can also be useful for entrepreneurs who operate from home and prefer to keep their personal address separate from certain official business correspondence.
BetterLegal EIN Service
An EIN is a federal tax identification number issued by the IRS.
Businesses commonly use an EIN for:
- Opening business bank accounts
- Hiring employees
- Handling tax matters
- Managing business finances
BetterLegal provides EIN assistance as part of its business services.
For a first-time entrepreneur, handling the EIN alongside LLC formation can simplify the startup process.
However, businesses can also apply for an EIN directly through the IRS.
BetterLegal Operating Agreement
An operating agreement establishes rules for how an LLC is managed.
It can cover:
- Ownership
- Member responsibilities
- Management structure
- Profit distribution
- Voting rights
- Decision-making
- Changes to the company
BetterLegal provides operating agreement-related services for LLC owners.
This can be particularly useful for multi-member LLCs because the agreement can document how the owners expect the company to operate.
A single-member LLC can also use an operating agreement to formally establish the company’s structure.
BetterLegal Compliance Services
Creating an LLC is only the first stage of running a business.
Depending on the state, LLC owners may need to submit annual reports, pay certain fees, maintain a registered agent, and keep company information current.
BetterLegal provides compliance-related services to help business owners manage some of these responsibilities.
What Can Compliance Support Include?
Depending on the service, compliance assistance may include:
- Annual report reminders
- Filing assistance
- Compliance notifications
- State requirements
- Registered agent support
The exact requirements depend on the state and type of business.
Even when using a compliance service, business owners should keep track of their own company information and deadlines.
BetterLegal Business License Services
An LLC does not automatically provide every license or permit a business may need.
Licensing requirements can depend on:
- Industry
- Business activity
- State
- County
- City
BetterLegal provides business license-related assistance to help entrepreneurs understand some of the requirements that may apply to their company.
This can be useful for someone who is unfamiliar with the licensing process.
Businesses operating in regulated industries should still confirm their requirements with the appropriate government authorities.
Is BetterLegal Easy to Use?
BetterLegal is designed around a relatively simple online formation experience.
The process takes entrepreneurs through the information needed to establish their company and allows them to select additional services.
The general process is:
- Choose the business structure.
- Select the state.
- Enter company information.
- Review the formation service.
- Add optional services.
- Submit the order.
- Receive the completed documents.
This can make the formation process less intimidating for someone creating an LLC for the first time.
As with any online formation provider, it is worth reviewing the order carefully before submitting payment.
BetterLegal Customer Support
Customer support is an important part of the experience when using an online business formation service.
Entrepreneurs may need help with:
- Formation orders
- Filing status
- Business documents
- Registered agent services
- Compliance
- Account questions
BetterLegal provides customer support for its business services.
For complex legal, tax, or regulatory questions, however, business owners may still need to work directly with a qualified attorney or accountant.
BetterLegal Privacy
A professional registered agent can help separate a business owner’s personal address from certain official business correspondence.
This can be useful for:
- Home-based businesses
- Freelancers
- Online entrepreneurs
- Remote companies
However, registered agent service does not make every piece of LLC information private.
Each state has different public-record requirements, and some business information may still be accessible to the public.
Entrepreneurs who place a high priority on privacy should check the requirements in their state before forming an LLC.
BetterLegal Pros and Cons
Pros
- Online LLC formation
- Corporation formation
- Registered agent services
- EIN assistance
- Operating agreement options
- Compliance support
- Business license assistance
- Guided online process
- Useful for first-time business owners
- Additional business services
Cons
- State filing fees are separate
- Additional services increase the overall cost
- Some services can have recurring fees
- Entrepreneurs may not need every available feature
- Complex legal matters may require an attorney
Who Should Use BetterLegal?
BetterLegal can be useful for entrepreneurs who want assistance with the basic administrative work involved in creating a business.
First-Time Entrepreneurs
New business owners can use the guided formation process instead of preparing and filing every document independently.
Freelancers
Freelancers who want to establish an LLC can use BetterLegal for formation and additional startup services.
Online Businesses
Remote entrepreneurs and online businesses can use the platform to establish their legal business entity and arrange related services.
Small Businesses
Small business owners who want formation and ongoing administrative assistance may find the combination useful.
Who May Not Need BetterLegal?
BetterLegal may not be necessary for entrepreneurs who are comfortable filing directly with their state.
It may also provide limited additional value if you already have:
- An attorney
- An accountant
- A registered agent
- Compliance software
- Business document resources
In these situations, paying for an online formation service may not be necessary.
BetterLegal vs DIY LLC Formation
Entrepreneurs can create an LLC directly through their state.
The DIY process can reduce service costs, but the business owner becomes responsible for handling the entire process.
That can include:
- Preparing formation documents
- Filing paperwork
- Paying state fees
- Maintaining a registered agent
- Tracking annual reports
- Keeping business information current
BetterLegal charges for convenience and administrative assistance.
For someone who is comfortable handling these responsibilities, DIY formation can be an option.
For someone who wants a guided process, BetterLegal can reduce some of the administrative work involved in starting the company.
Is BetterLegal Worth It?
BetterLegal can be worth considering if you want a straightforward way to establish an LLC and access related business services.
Its value depends on how many services you actually need.
If your only requirement is filing the LLC paperwork, you may not need additional products.
If you also need an EIN, operating agreement, registered agent, or compliance assistance, using one provider can make the process more convenient.
The total price should be considered before choosing a package because optional and recurring services can increase the overall cost.
Final Thoughts on BetterLegal
BetterLegal takes a focused approach to business formation and administration.
The platform is primarily designed to help entrepreneurs form LLCs and corporations while providing access to registered agent, EIN, operating agreement, compliance, and licensing services.
This can make the company useful for people who are starting a business for the first time and want help managing the administrative side of formation.
Its online approach can also be convenient for freelancers, consultants, online businesses, and small companies that do not want to deal with every filing independently.
The main thing to consider is how much assistance you actually need. A business owner who only wants basic formation may not need every additional service. Someone who wants several startup requirements handled through one provider may find the broader offering more useful.
The state filing fee is also separate from the service fee, so the total cost should always be calculated before placing an order.