Starting a business can be a thrilling and gratifying undertaking, but it also involves a lot of effort and hard work. Market research, product development, and legal compliance are some of the major considerations of starting a business.
Anyone that has embarked on this journey can attest that ensuring the legality of your business entity is a crucial aspect to starting a business. This particular process can be complex and time-consuming, but it’s paramount to do it right while following all the rules and regulations.
Are you ready to be all zen while forming an LLC? Well, you’re in luck! We have reviewed ZenBusiness, one of the companies offering useful business formation services at affordable prices. Join us as we take you through all there is to know about ZenBusiness, its features, the pros and cons, and a whole lot more.
What Exactly Is ZenBusiness?
ZenBusiness is a Texas-based company that is on a mission to help everyday Americans start and grow their businesses. Since its founding in 2015, ZenBusiness has become one of the fastest-growing companies in the country and has amassed sizable investments (even Shark Tank’s own Mark Cuban recently jumped on board and became the company’s advocate and spokesperson).
With a focus on simplifying the business registration process, ZenBusiness offers a variety of services to help new businesses get off the ground and succeed. Whether you’re looking to start a new business or need help with your existing business, ZenBusiness can be a valuable resource.
In a nutshell, ZenBusiness is like having a personal business assistant. The company’s platform makes it easy to track and manage all of the essential tasks involved in starting and running a business. From registering your business to tracking deadlines and staying on top of important tasks, ZenBusiness has everything you need in one place.
You can relax and focus on what’s most important – running your business – while ZenBusiness takes care of the rest.
The Pros and Cons of ZenBusiness
Just as with any other business services there are ups and downs, but what matters is that the ups outnumber the downs. Here are some of the pros and cons of using ZenBusiness:
Pros
- Affordable pricing. ZenBusiness offers competitive prices on its services compared to other business formation companies.
- User-friendly. ZenBusiness makes it easy to navigate the process of starting and running a business. From the website to customer support, you’ll find everything you need to get started.
- Add-on features. ZenBusiness offers a variety of additional services that can be added to your plan as needed without upgrading to a higher-tiered plan.
- Fast turnaround times. No matter which pricing tier you choose, ZenBusiness is known for completing business formations relatively quickly, even during the busiest times of the year. With the most expensive plan, your business can be up and running within a few days.
- Hassle-free submission. ZenBusiness takes the stress out of ongoing business compliance. They offer reminders for annual report deadlines and audit your report for any errors or inconsistencies. They also help ensure your business remains in good standing with the government by assisting you with filing your annual report on time.
- Accounting consultation. ZenBusiness can help you set up the financial side of your business, from tracking invoices to filing taxes.
- Online assistance. ZenBusiness can help you build a website and set up a professional email address for your business. This makes it easy for customers to find you online and gives your business a more professional look.
Cons
- Extra cost for filing fees. One thing to be aware of is that ZenBusiness’s pricing does not include state filing fees. You’ll need to pay these separately.
- Subscription models. While a subscription-based model may seem convenient, you may want to consider a one-time payment option if you only need business formation services and nothing else.
- Narrow website capacities. ZenBusiness has limited website templates and customization options and some businesses may not find them to be ideal. If you run an eCommerce business or need a highly customized website, ZenBusiness may not be your best option.
- Some features are pricey. While ZenBusiness offers many additional features, some are quite expensive and may not be worth the cost for people who only need basic business formation services. For example, the EIN filing service may not be worth the extra cost for some business owners. Be sure to consider whether the additional features are right for you before you purchase them.
Who Should Use ZenBusiness
The target audience for ZenBusiness’s services is the average person looking to start their own business. This includes people who are just starting out, like new freelancers or gig workers, as well as more established businesses. ZenBusiness aims to make the process of registering a business easy and stress-free for people who may find the legal aspects of entrepreneurship intimidating.
While ZenBusiness specializes in LLC and corporation formations, they might recommend that you form a different type of business entity if they believe it is better suited to your needs.
ZenBusiness Features
When it comes to business formation services, ZenBusiness is widely known for the LLC and corporation filing packages. These packages make it easy to set up your business entity, whether starting a new or expanding an existing business.
ZenBusiness’ main feature is the possibility to reserve a business name. This is a valuable option for entrepreneurs who want to reserve their perfect business name before fully registering their company. After all, it can take time to decide what entity type and structure are best for your business.
With a business name reservation, you can be sure that your ideal name is still available when you’re ready to move forward with the registration process. ZenBusiness will guide you through the name reservation process and make sure it’s completed correctly.
Other than reserving your business name, the company can also help you file for a “doing business as” (DBA) name. ZenBusiness provides all the documents and resources you need to understand the benefits and differences between these business entities.
Some of the add-on features that ZenBusiness offers include the following:
- Standalone registered agent
- Expedited filing speed
- Rushed filing speed
- Annual report filing
- Filing amendment
- Certification of good standing
- Business license report
- Business document template library
- Business bank account
- Banking resolution templates, etc.
ZenBusiness Pricing
ZenBusiness offers its clients three pricing plans that come with annual billing. Note that these plans don’t cover the filing fees to the state and are different in every state.
| Starter | Pro | Premium |
| ✅ FreeNon-renewable+ State filing fees ✅ Ready in 2-3 weeks ✅ Standard filing speed ✅ Expense and deduction tracking | ✅ $199Annual billing+ State filing fees ✅ Ready in 4-6 days ✅ Faster, expedited filing speed ✅ Hassle-free compliance ✅ Guided operating agreement | ✅ $299Annual billing+ State filing fees ✅ Ready in 1-2 days ✅ Fastest filing speed ✅ Email address and domain name ✅ Customizable business website |
Which ZenBusiness Package to Choose
The Starter plan is considered the most affordable option, but keep in mind that it has fewer features than the other plans. On the other hand, the Premium plan has the most comprehensive range of features, including a guarantee for accuracy and worry-free compliance.
The Pro plan is considered the most popular choice for the majority of businesses because it delivers a good balance between cost and features.
How ZenBusiness’s Refund Policy Works
One of the standout features of ZenBusiness is its 60-day money-back guarantee. This means that if you’re not happy with the plan for any reason, you can ask for a refund within 60 days of signing up. Most LLC formation services don’t offer a money-back guarantee, so this is definitely an advantage of using ZenBusiness.
The only thing you won’t get back is any state filing fees, but that’s to be expected.
How to Form LLC Using ZenBusiness
ZenBusiness really lives up to its name, making the whole LLC formation process super simple and easy to understand. There are 5 basic steps that take your business to the next level, i.e., becoming a legal business entity.
- Name the LLC
- Select a registered agent
- File a Certificate of Formation/Articles of Organization
- Prepare an Operating Agreement
- Apply for EIN and review tax requirements
Naming Your LLC
One thing to keep in mind when naming your LLC is that you need to choose a name that is unique and distinct from other businesses in your state. While the exact rules for doing so can vary from state to state, typically, you need to make sure that your business name is completely different from any existing businesses. That said, in some cases, just a small change, such as adding punctuation or a word, can make it unique enough.
Choosing a Registered Agent
The role of a registered agent is to send and receive (and handle) all legal papers on your behalf. In other words, the person designated is the bridge between your LLC and the state that’s registered in. You can hire a third-party person or a business entity to act as your registered agent, or you can take on the role yourself as long as your physical address is in the same state where the LLC is registered.
Filing the Certificate of Formation/Articles of Organization
The name of the paperwork that you need to file to register your LLC varies from state to state, but it typically goes by one of a few names: Articles of Organization, Certificate of Formation, or Certificate of Organization. It doesn’t matter what the document is called; it still serves the same goal: to officially register your LLC with the state and define the LLC’s structure and members.
Creating an Operating Agreement
Even though not every state in the U.S. will ask for LLCs to have an Operating Agreement, still, having one is a smart business move. As a legally-binding document, the Operating Agreement outlines and defines the obligations and ownership details regarding every member of the LLC.
Applying for an EIN and Reviewing Tax Requirements
When you’ve formed your LLC, you may want to apply for an Employer Identification Number (EIN) from the IRS. Considered your business’ Social Security number, an EIN is required if your LLC has multiple members or employees.
Apply for an EIN for free through the official IRS website. The process is straightforward.
Once you’ve completed the online application, you’ll receive your EIN immediately.
Frequently Asked Questions (FAQs)
Is ZenBusiness good for LLC services?
In short, yes! ZenBusiness ranks as one of the best LLC services for several reasons. To start, they make the process simple and straightforward, and their customer support is excellent.
Is ZenBusiness a good registered agent?
It actually is. ZenBusiness offers solid registered agent services that can be super helpful for the formation and existence of your LLC.
How long does ZenBusiness take?
Hands down, ZenBusiness has a proven track record of quick turnaround time. In most cases, you can expect your LLC to be formed within 1-2 weeks after submitting your application. However, it’s important to note that the exact timeframe can vary depending on the state where you’re forming your LLC, the type of LLC you’re forming, as well as the pricing plan you’re using.
Final Thoughts
Whether you have some business background or are a total newcomer to the world of starting a business, it’s always a good idea to have a helping hand nearby. ZenBusiness is one of the most reputable and client-favorite online providers of business registration and other relevant services that are essential for a successful launch of a business.
Offering three pricing plans, you can choose how much you’re willing to spend and what you get in return. In general, ZenBusiness’ satisfied clients opt for the Pro Plan, which costs $199 a month (billed annually), and get a handful of useful options and services for their business formation needs.
Whichever way you choose to go, before anything else, make sure you understand the legal requirements around forming an LLC and get the most bang for your buck.
