So I get this email from a company offering to form my LLC for free. No catch, they said. Just pay the state fee and they handle the paperwork. Sounded too good to be true, so I read the fine print. Turns out 'free' meant they sign you up for a $99/month compliance service you can't cancel for a year. Almost got me. Anyone else seen these?
LLC Formation
I almost fell for a free LLC formation offer
Yep, seen that one. The 'free' LLC is like a free puppy. The paperwork is free, but the vet bills will kill you
I used one of those services for my first LLC. Not free, but cheap. Ended up paying more in hidden fees than if I'd just filed myself. Lesson learned.
Can't you just file the articles of organization yourself? In my state it's like 50 bucks and a one-page form. Why pay anyone?
That's what I ended up doing. Took me 20 minutes on the Secretary of State website. The 'free' offer was just a lead magnet for their upsells.
The real scam is the registered agent fee. They bundle it and you forget to cancel, then boom, auto-renewal at 3x the price.
I almost fell for a similar thing but for a DBA. The 'free' filing came with a mandatory $200 'business consultation' that was just a sales pitch for more services.
This is why I love forums like this. Saved me from making the same mistake.
Anyone actually used one of those and had a good experience? Or are they all predatory?
My cousin used one and said it was fine, but she also thinks timeshares are a good investment. So, grain of salt.
i think it depends. If you're totally clueless and have zero time, maybe it's worth the convenience fee. But read the contract. And I mean actually read it.
The contract was 12 pages. Who reads that? Well, I did after almost signing. The cancellation clause was buried on page 9.
Page 9? That's wehre they hide all the good stuff. Like the part where you agree to give them your firstborn.
There's a special place in hell for companies that use dark patterns like this. Pre-checked boxes, tiny fonts, confusing language.
so what's the best way to form an LLC on the cheap? Just DIY?
DIY is fine if you're comfortable with forms. Otherwise, hire a local attorney for a flat fee. At least they're on your side.
Or check if your state has a simplified online filing. Mine does, and it's almost idiot-proof. Almost.