Corpnet vs. MyCorporation Online LLC Comparison

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Introduction

For decades, businesses operating within the U.S. have used the Limited Liability Company to shield personal assets effectively. An L.L.C. offers protection from personal liability for your business’s debts and claims.

Since they use the L.L.C. assets to pay off any outstanding debts, owners stand to lose only the amount they’ve invested in the L.L.C. State governments extend this protection to encourage investment which in turn bolsters the locale economy and benefits the society.

However, to obtain the protection guaranteed under corporation and L.L.C. laws, your business needs to abide by the strict LLC formation statutes. Thus, seeking out professional legal service during company formation is prudent.

Apart from offering you legal protection, there are other immense benefits to running your business as an L.L.C. instead of a sole proprietor.

You can easily access funds to grow and expand your business, gain legitimacy in the public’s eyes, pass through Federal taxation on profits, flexible management, etc.

As a small business owner, you must begin your business on a good note. Interestingly, L.L.C.’s are the most popular business entities in the U.S.; registering your small business as one lays a solid foundation for your success.

Business incorporation can be a headache- particularly for first-timers. Fortunately, this is a field that online incorporation service providers such as Swyft Filings, MyCorporation, LegalZoom, Rocket Lawyer, and many others excel.

They handle all the heavy lifting from name searches, LLC operating agreement, registered agent service, filing all legal forms, E.I.N. applications, and much more, which frees you to deal with other aspects of your small business.

So, with so many LLC formation companies out there, how do you go about picking the right online LLC formation service? In this Corpnet vs. MyCorporation review, I shall highlight their features, strengths, weakness and ultimately determine the winner! This way, you can easily make an informed decision.

Remember to check for individual Corpnet review and MyCorporation review in my previous articles.

Without further ado, let’s get into what happens in an LLC formation company.

How to Form an L.L.C

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Online L.L.C. formation service providers have in recent times grown in popularity. Apart from easing the process of registering your business, they tend to charge a fraction of what you’d have spent retaining an attorney.

Using these companies’ business formation service is simple and straightforward. You don’t need to be computer savvy. You can break the entire process into the following steps:

State for Registering your LLC

You need to pick a business structure you want to run. It can be a partnership, LLC, or any other corporation.

Assuming you’ve settled for a Limited Liability Company as your business entity, you have to figure out in which state you wish to register. Please consider factors such as workforce availability, rate of taxation, regulatory burden, and so on to help you with this.

Most entrepreneurs prefer to form L.L.C.s in their state of residence. It offers the convenience of working and living in the same state. Alternatively, others opt to go with more business-friendly states; these include Wyoming, Nevada, and Delaware.

Pick a Company Name.

The second step is to pick a business name and ensure it meets all the legal requirements. Each state has its own set of regulatory requirements. Fortunately, most L.L.C. formation service providers tend to offer FREE name searches.

Registered Agent Service

All 50 states require a registered agent for an L.L.C. formation. It can either be a person or a business entity. A registered agent is in charge of receiving any legal documents from the state concerning your business.

Articles of organization

For your business entity to be legally recognized and function, you need to file the business’ Articles of Organization. Also referred to as a certificate of formation, this legal document presents the preliminary statements you need to form an LLC in the U.S.

Operating document

Unlike its counterpart- Article of Organization- this one isn’t mandatory. Despite this, it doesn’t make it less significant. The Operating Agreement stipulates the ownership and operational rules of a Limited Liability Company. This legal document entails member rights, responsibilities, ownership, etc.

Apply for E.I.N.

An Employer Identification Number is a nine-digit number assigned by the I.R.S. It’s used in filing your business’ taxes, hire employees, open a business bank account, apply for a business credit card, get loans, and so on. You can apply for E.I.N. via the official I.R.S. website for FREE!

Corpnet vs. MyCorporation Review

Whether you operate a brick and motor store or run multiple online businesses, forming an L.L.C. is the best thing you can do. Corpnet and MyCorporation are two of the most prolific L.L.C. formation service providers in the market.

As an entrepreneur and small business owner, there are vital points that form the foundation of my decision-making process when picking a platform. In this Corpnet vs. MyCorporation review piece, I will be using seven points to gauge and rate each company individually.

Using these parameters, you will be able to see which platform is superior to the other. This way, you can proceed with all the confidence, knowing you are in safe hands. Here we go.

Experience

The more experienced a firm is, the better as it helps foster a sense of confidence in the firms’ business formation service capabilities. When in doubt, always go with the oldest firm. However, this isn’t the golden rule; it’s merely sound advice.

Why? Older firms tend to be less likely to innovate. Additionally, their services tend to come at a higher premium compared to their competitors. These are my thoughts and points of view, and here’s what I could find regarding both firms.

Corpnet

This L.L.C. formation service provider traces its roots back to 2008. The family-owned incorporation company assists entrepreneurs to register their businesses across all 50 states.

You can register as a Limited Liability Company, Corporation (S Corp and C Corp), Doing Business As (D.B.A.), Partnership, Sole-proprietorship, Non-profit, Professional Corporation.

According to C.E.O. and founder- Nellie Akalp, Corpnet has managed to help more than half a million small businesses establish themselves.

MyCorporation

For 23 years (founded in 1998), MyCorporation has helped new business owners form and maintain their business. It has managed to distinguish itself as one of the most highly sought-after online business filing firms with time.

At the time of writing this, the business formation firm has played a central role in forming over a million new businesses. In addition to incorporation services, the behemoth offers copyright registration, D.B.A. registration, registered agent services, trademark searches and application, and numerous other products/services.

Thanks to their lengthy existence and role in the opening over a million new businesses, MyCorporation bags the first point.

Packages

Being an entrepreneur, I must partner with an L.L.C. formation company that offers a means of setting up, running, and expanding my business- all under one roof. This way, I don’t have to worry about managing several platforms, which lessens the chances of errors and allows smooth operations.

Corpnet

Unlike most online business formation firms that offer L.L.C.’s, Corporations, Non-profit, and D.B.A., Corpnet offers other business entities. These include professional corporations, sole proprietorships, and partnerships.

However, considering we are focusing on setting up an L.L.C., we will look at the various offers. These are Basic, Deluxe, and Complete packages. Each retail at $79, $199, and $249 respectively. Please note that these amounts are exclusive of the state filing fee.

MyCorporation

Like its rival, MyCorporation offers similar business entities, but with the addition of “Benefit Corporation” as an entity. The business formation firm grants its clients access to 4 packages Basic, Standard, Deluxe, and Premium. They retail at $99, $124, $244, and $324 respectively minus the state fee.

All four packages come with payroll Processing, Free Domain Name, Logo Design, Business Bank Account, Business Checks, Customer Relationship Management, and Website Design.

Not only does MyCorporation offer more packages than Corpnet, but they are also more affordable and offer additional features, including access to MyCorp vault document storage. Hence, MyCorporation scores the second point in my book.

Features

While picking the ideal L.L.C. service firm, you need to have the ability to see through marketing stunts. Most companies will offer you “additional features” in an attempt to lure you in. But, unless they provide something essential to business incorporation, it’s all smoke and mirrors.

Remember, while forming a Limited Liability Company, you need Articles of Organization, E.I.N., Registered Agent Service, L.L.C. Operating Agreement, etc. If a filing company offers any or several of these features for free in their L.L.C. formation package, they are the winners in my eye.

Corpnet

All three L.L.C. formation packages come with a 100% satisfaction guarantee. In case you are not pleased with the filing services, you can reach out and claim your money. Please note that the amount will be minus the state fee as paid to the state and can’t be reversed.

A quick look at Corpnet’s entry-level package- Basic- it comes with free name availability checks. This process is vital as it reduces the chances of your filing being rejected by the state. Furthermore, you get access to Corpnet’s Corporate Compliance Tool: BIZ (Business Information Zone).

This corporate compliance concierge tool allows you to receive reminders for upcoming crucial dates such as tax and annual report filing. With B.I.Z, you can comfortably access all your official documents and print them straight from the cloud. Lastly, you receive official filed Articles of Organization.

MyCorporation

Before we proceed, please note that with MyCorporation, your session times out if the system notices inactivity on your end during the application process. Hence, it’s best to sign up then continue with the application process; at least you have to start all over.

So, as previously states, unlike Corpnet, LegalZoom, Rocket Lawyer, etc., MyCorporation offers four formation packages. As a new business owner, this offers you more choice and value. However, like before, we shall be taking a look at their entry-level package- Basic- to see how it holds against Corpnets’.

Right off the bat, all four packages come with unlimited customer support service. Like its competitor, MyCorporation offers Articles of Organization plus unlimited access to Business Documents, including sample Minutes, Operating Agreement, and Membership Certificates.

The firm also offers free Name Checks to determine the availability of your L.L.C. business name. The Basic package grants you access to MyCorp Vault Document Storage, where you can store, access, and share all corporate and business documents in one place.

Despite starting the race slower, Corpnet scores a point when it comes to their packages. They are affordable and offer more bang for your buck. You get FREE Registered Agent Service- though for 6o days on the Basic package and one year across the Deluxe and Complete packages.

Additionally, Corpnet charges $69 to obtain the Federal Tax ID, and MyCorporation charges $79.At the same time, MyCorporation charges more in comparison Corpnets $89.

Support Team

As a business owner, you know that things are bound to go wrong at some point. It’s only a matter of when not if. Thus, you need to ensure that you partner with a firm that’s reliable and professional.

You need to know that you can get the much-needed help at any time of day or night. Communication needs to be easy to ensure a seamless operation.

Corpnet

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You can get in touch with the team via phone.

Toll-free: 1.888.449.2638

Direct/Int’l: 805-449-CNET (2638)

Please send an e-mail to

Information: [email protected]

Sales: [email protected]

Customer Service: [email protected].

If you prefer sending mail, you can address it to:

Corpnet, Incorporated

32416 Agoura Rd. Suite 118

Westlake Village, CA 91361

For your convenience, you have the option of communicating with the company via social media. You can find them on Facebook, Twitter, and YouTube.

MyCorporation

You can reach out to MyCorporation via Phone. Call them on 1-877-692-6772.

Additionally, send your mail to

MyCorporation Business Services, Inc.

26025 Mureau Rd, Suite 120,

Calabasas, CA 91302

You can also contact the support team through an online form available on their website. You can find MyCorporation on online platforms like Facebook, Twitter, YouTube, Linked In, and Instagram. For more information, you can also visit their blog for regular content and updates.

Customer Review

Reviews play a crucial role in most people’s decision-making process. Up to 90% of shoppers tend to look through reviews before making a purchase and for a good reason.

Taking your time to go through what others have to say about a product or service is a sure way of lessening the chances of disappointment.

Fortunately, multiple third-party agencies can help you with this. Additionally, you can go through their social media pages to feel the company before retaining their services. Here’s a sample of what some had to say.

Corpnet

TrustPilot

MyCorporation

TrustPilot

Products/Additional Features

Top business document filing firms like LegalZoom and Rocket Lawyer offer a suite of carefully crafted tools, features, and products. This way, you can comfortably establish, grow and expand your business.

Rating

Thanks to third party platforms like TrustPilot, it’s possible to have a look at how well a company performs. Here’s how the two perform:

Corpnet

Trustpilot

From 452 reviews, Corpnet manages to score 4.9 stars, with 98% of the reviews being positive.

MyCorporation

TrustPilot

MyCorporation manages to score a rating of 4.4 stars from a total of 214 reviews. Of which, a total of 89% being positive. Thanks to the overwhelmingly positive reviews and a superior rating, Corpnet scores another point over Mycorporation.

Corpnet

Start a Business

Are you looking to start a new business? Take advantage of Corpnets numerous products and services to establish your new venture. These include:

Free Business Consultation

Can’t decide on which business entity best suits you? Don’t worry; Corpnet offers FREE business consultation to assist you in making an informed choice. There are no costs or obligations on your end.

Reverse Business Name

If you have a unique, catchy name and would like to have it for yourself, Corpnet can help you save time, money, and headache by reserving the name. You can always use it at a later date. The standard waiting time is between 7 to 10 days.

Business Licenses

Forming an L.L.C. is essential; however, that’s just the beginning of the journey. In some cases, you may need to apply for various business licenses before opening your doors. For $149, Corpnet will handle the research on all the permits and licenses you’ll need.

Register for Sales & Use Tax

Both non-profits and for-profit businesses need to register for sales and use tax in the U.S. Any company that fails to comply with the relevant collection, reporting, and payment regulations could face hefty penalties, including having their licenses revoked.

Register for Payroll Taxes

If you are looking to hire additional staff, you’ll need to register for payroll taxes. They are mandatory in the U.S. To avoid government audits, you need to track and report all payroll taxes on time. Corpnet will help you remain compliant across all 50 states for $199 per application.

Conduct a Trademark Search

A trademark includes any name, sign, symbol, word, or device used commercially to distinguish one company from another. Corpnet can help you search the Federal Trademark Database and return exact results for your review.

Federal Trademark Application

Starting at $299, you can register with the U.S. government trademark protection agency. Doing so is beneficial in that you get treble damages if you don’t adhere and a smooth process for securing domain names on social media.

Secretary of State Filing

Corpnet ensures to remain current with the ever-changing laws across all 50 states. This way, you can rest assured your Secretary of State Filing will proceed efficiently and quickly.

Form an L.L.C.

Your choice of business entity has both legal and financial ramifications. One of the best ways of starting a business is by forming an L.L.C. It allows you to take advantage of the tax benefits and offer legal protection. Creating an L.L.C. with Corpnet is simple and straightforward.

Business Name Search

An application may get rejected by the state if your choice of business name has already been taken. Corpnet offers FREE name search; this way, you can reserve and use it for yourself.

Register a Sole Proprietorship

This type of business entity is popular with freelancers and entrepreneurs, thanks to its simplicity of creation. By default, most states recognize a single owner business as a sole proprietorship. The owner is personally liable for the financial debts and legal issues regarding the company.

Form a Professional Corporation

If you are a professional, you need to consider forming a professional corporation. Like any other corporation, it offers you liability and tax advantages.

Form a Non-profit

As the name suggests, this type of business entity is popular with charities, educational, scientific, religious, and literary centers. The beauty about non-profits is that they operate tax-free and offer liability protection.

Run a Business

Every start-up aspires to grow and expand operations to new territory. To ensure corporate compliance with the State, Corpnet offers:

Business Filing

Any L.L.C. or Corporation needs to remain compliant with corporate requirements to stay in good books with the Secretary of State’s office. To do this, Corpnet can assist you with corporate filings in any State.

Business Compliance

You’ve successfully applied for your permits, and your L.L.C. status is out. Great! However, it would be best to remain compliant with the various state requirements to ensure you avoid any fines. Fortunately, Corpnet has all this in mind and is ready to help you stay compliant.

Annual Meeting Minutes

Corporations are expected to hold annual meetings. These meetings act as a record of the businesses’ annual meeting. Apart from Delaware, Nevada, Kansas, Oklahoma, and North Dakota, State governments require corporations to keep minutes.

File an Annual Report

All states, except for Alabama and Ohio, require businesses to file their Annual reports. Failure to submit the filing promptly may result in the assessment of penalties and fines by the state.

File a DBA

DBA name varies from the legal standing of the business. It is a name the company wants to use while dealing with customers and marketing itself to the general public. D.B.A. ensures you remain in good standing with the government and offers a degree of anonymity.

Articles of Amendment

If a business makes any adjustments to an existing corporation or L.L.C., most states require an Amendment to be filed. They state the changes made within the business’s organizational structure.

Change a Registered Agent

Changing Registered Agent is simple with Corpnet’s business experts. They will save you time and money by handling all the compliance filing across all 50 States. There’s no need to research anything.

Bulk Registered Agent Services (across all 50 states)

A registered agent needs to be available at all times of the business. One of the requirements while applying for an L.L.C. Corpnet charges a flat fee of $149 per year for this service. Additionally, it offers competitive pricing for multiple entities and years of service.

Close a Company

For one reason or another, you may need to close a business. You need to ensure that you execute this appropriately to avoid any potential fines or potential legal issues. Corpnet can help you dissolve any company, file your last tax returns, cancel any business permits and licenses.

Certificate of Good Standing

Every often, an L.L.C. or corporation may require a certificate of good standing with their state of formation. The purpose of this document is to prove that your business is compliant with all the State requirements.

Reinstatements

A reinstatement is a filing with the Secretary of State to officially bring your L.L.C. or Corporation back into good standing with the government. To do this, Corpnet will file for “Reinstatement” for the company.

Foreign Qualification

Suppose your business is incorporated in one state but is conducting its activities in a different state. In that case, you may need to file for Foreign Qualification in the state where the transactions are taking place. This way, you can conduct business in multiple states, and it permits you to open a bank account in that new state.

Annual Compliance Checklist

Running a business takes a lot of energy; as such, it’s easy for you to forget compliance. You are legally obligated to inform the state of any changes that happen in your business. Making use of Corpnets’ annual compliance checklist ensures you are in compliant with the state regulations.

S Corp Election

A corporation can avoid double taxation by electing to be treated as an S Corp. S Corporations are generally exempted from the Federal Income Tax.

MyCorporation

Start My Business

Federal Tax ID

An Employer Identification Number is required to hire employees, open a bank account, establish a credit profile and file your business’s taxes.

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Business licensing

Most businesses require some form of license or permits to operate within a State. Please note that these vary from one state to another. For $149, MyCorporation will search for all the necessary permits and licenses.