Costs Incorporation Services Incorporate Your Business
 

Find out why incorporation services and attorney incorporations are so expensive.

Discover the secrets that incorporation services do not want you to learn.

Why Are Incorporation Services and Attorneys So Expensive?

Have you checked the cost of incorporating using and incorporation service or a private attorney? If so, you will probably find that you will pay between $300-$500 plus state filing fees with incorporation services by the time you get everything that you really need to completely organize your corporation. Attorneys will generally charge more than this.

This begs for some explanation of why it is so expensive to incorporate your business using an attorney or an incorporation service.

Inexpensive Incorporation "Teaser" Advertisements

You see the advertisements all over the Internet. "Incorporate In Nevada, $99.00 Complete." There is even a major legal form site advertising on TV for a very low "teaser" rate. But when you look behind these offers you find out that this only includes part of what you need to complete your corporate organization. Sure, they will file your Articles of Incorporation for that fee, plus the cost to be paid to your state's incorporation office. But you need much more than that to really organize your Corporation.

Incorporating Requires More Than Just Filing Articles of Incorporation

Filing your document with the state will commence your corporate existence. The state filing is usually a very skeletal document and does not include most of the operative items that you will need to complete you corporate organization. In addition to the state filing, you need to file necessary forms to get an employer identification number, file a small business tax election in many cases, take actions to set up the legal internal structure of your company, elect officers and directors, adopt bylaws, create a minute book, get share certificates and a stock ledger, enter subscription agreements with the shareholders, and make a variety of other decisions regarding the structure and operation of your business.

The Real Costs Behind The Inexpensive Incorporation "Teaser" Ads

You can get most of these items through an incorporation service or an attorney, but they are all additional "add-on" items and each has a price tag attached. By the time you get everything that you need, plus the cost of physically shipping all of these items to you and to the state offices, you will pay between $300-$500, and sometimes more, to incorporate your business. This does not include the state filing fee which obviously can not be avoided. Attorneys will charge even more with an a basic incorporation fee running between $500-$1000.

The Little Secret That Incorporating Services Do Not Want You To Know

There is a little secret about incorporation services that they do not want you to know but which I can tell you because I have played the game while practicing law for 15 years. The secret is that a simple incorporation is based largely on uniform forms. The incorporation service has you complete an online database form. They then merge this information into their standard forms, print them out, put them in the mail, and charge you these high fees.

Trying To Translate Bricks and Mortar To The Internet

I cannot blame incorporation services. They have to make money. They have many employees, rent to pay, and all the other expenses of a normal "brick and mortar" business. Most of these services were around long before the Internet took over. They are stuck with their business model. They use the Internet as an advertising medium for their brick and mortar business structure. But they have not adapted their business model to embrace the Internet. So when you pay an incorporation service to form your corporation, you are not leveraging the Internet to its true financial benefit.

Changing The Incorporation Service Internet Paradigm

The Internet has enabled our company to truly let the Internet change the way incorporation is done. Instead of having you fill out an online form, having us click the mouse, merge, print and mail your documents, we permit you to download the entire system so that you can do this all yourself. We provide complete instructions and resources to assist you along the way. You fill in your variable information and execute the merge function to create your own documents. Rather than needing a large office, employees, secretaries, and other "brick and mortar" expenses, we are able to maintain this delivery method with minimal human interaction. We are always here to assist you with your product if necessary, but we find that our support is rarely necessary.

Using our products you are paying for the product and not to support a large brick and mortar enterprise.

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