Ordered a cheap "$49 LLC formation" service two weeks ago. Turns out that price only covers the filing, not the state fee, not the registered agent (which is mandatory in my state), not the "expedited" processing they automatically added. Total came out to almost $400. I feel like a complete idiot. They buried everything in a 20-page terms of service that I skimmed like an idiot. Anyone else get burned like this? Or is this just how it works and I should've known?
LLC Filing
I wish I had read the fine print before ordering LLC services
Yeah, that's how those budget services work. The $49 is clickbait. By the time you add registered agent and the state's actual fee, you're looking at $200-$300 minimum usually. Sorry you had to find out this way.
The 'fine print' isn't even fine print half the time. It's on the pricing page but in gray 8pt font below the big green Buy Now button. Then they auto-bundle everything into a "Silver Package" by default. Classic.
Did they at least give you a free business bank account or a free logo? Usually they throw in one of those to make you feel better about the fees.
@GatorGardener The free bank account usually requires a deposit of $500+ or something. And the "free" logo is like a five-year subscription to some design software. Nothing is free, lol.
Can you cancel? You might have a cooling-off period depending on your state. Or if they haven't filed yet, you might be able to get the state fee back. Registered agent fee is probably gone though.
This is why I always tell people to just file directly with the Secretary of State. It's usually a simple online form. You save the middleman markup. But a lot of people don't realize that's even an option until after they've already paid someone.
I've been considering one of these services because the state website confuses me. After reading this, maybe I'll just call the state office and ask for help. I'd rather look dumb on the phone than get a $400 surprise bill.
Calling the state office is actually a solid move. In my experience they're surprisingly helpful. Just don't call during lunch.
In other news, water is wet, sky is blue, and LLC formation services have hidden fees. But yeah, it sucks. Hope you can get some of it back.
I did the exact same thing my first time. Wound up paying for two years of registered agent upfront plus a "compliance package" that was literally a folder with some PDFs and a calendar reminder. You learn the hard way. At least next time you'll know exactly what to look for.