"Form your LLC for free!" It's everywhere. Bizee does it. ZenBusiness has a free tier. LegalZoom advertises it. And in our experience, a first-time business owner who takes the bait often discovers that "free" was just the beginning of the bill.
This isn't necessarily a conspiracy — it's how subscription businesses work. But when you're trying to budget for your new business, not knowing what's coming can create real financial stress. Let's walk through what these "free" offers appear to cost over time, based on publicly posted pricing as of April 2026.
The $0 Formation Trap: How It Works
In our view, here's the basic playbook: advertise $0 formation (you still pay the state fee), get you in the door, then make money on mandatory add-ons, high-margin renewals, and subscription upsells you didn't budget for. Based on our review of publicly posted pricing, most services on the market do this to some degree — some more aggressively than others.
Bizee (formerly Incfile): "Free" With a $119/Year Catch
Bizee was one of the first services to popularize the $0 formation model. Based on Bizee's publicly posted pricing as of April 2026: Year 1 cost is $0 formation + $0 registered agent (included free year 1) + Wyoming state fee. Year 2 and beyond: $119/year for registered agent. In our analysis, by year 2 you're paying the state annual report fee plus $119 RA renewal to maintain your LLC.
What Bizee doesn't appear to highlight: No privacy filing. Based on our review of Bizee's publicly posted process, when Bizee forms your LLC, your name and address appear on the public record as the organizer. In our opinion, if privacy matters to you, Bizee's free formation is actually costing you something significant: your anonymity. Read more in our guide to Wyoming LLC privacy and the file-as-organizer method.
ZenBusiness: The Renewal Jump That Surprises Everyone
Based on ZenBusiness's publicly posted pricing as of April 2026: their Standard plan ($200 at formation) includes registered agent service for year one. In our view, what's buried in the fine print is the year 2 registered agent renewal at $120/year — a jump from effectively bundled-in to $120/year at renewal. In our experience, many customers don't realize this until they receive the renewal invoice.
ZenBusiness estimated 5-year total (Standard plan, based on published pricing): $200 + $120 x 4 renewals + $60 x 4 annual reports = approximately $920 total.
Compare that to forming with us: $229 (includes year 1 RA) + $99 x 4 (RA renewals) + $60 x 4 (annual reports) = $865 total — and you get organizer privacy that ZenBusiness doesn't provide.
LegalZoom: The $49/Month Subscription in Your Formation Package
Based on LegalZoom's publicly posted pricing as of April 2026: their Pro plan ($249 + state fees) includes LLC formation, operating agreement, EIN, and a 30-day free trial of LegalZoom's attorney guidance subscription. After 30 days, that subscription auto-renews at $49/month. In our opinion, if you don't cancel — and many first-time business owners miss this in the busy first month — that's $588/year for a legal subscription that wasn't clearly presented as a recurring charge.
Based on our estimate using published pricing: LegalZoom's 5-year cost (if you catch and cancel the attorney subscription) runs easily $1,000–$1,500+ depending on which add-ons you keep.
What "Free" Actually Costs: A Real Comparison
All competitor pricing below reflects standard published rates as of April 2026. In our opinion, these are the effective multi-year totals based on publicly posted renewal rates. Verify current pricing directly with each provider before making a decision.
| Provider | Year 1 Total | Annual Renewal | 5-Year Total (est.) |
|---|---|---|---|
| Us | $229 + $100 state | $99 RA + $60 annual report | $865 |
| ZenBusiness (Standard) | $200 + state | $120 RA + $60 annual report | $920 |
| LegalZoom (Pro) | $249 + state | Unknown RA + $60 annual report | $1,000+ |
The table above compares like-for-like: services that include privacy filing, organizer protections, and consistent renewal pricing. In our opinion, comparing only on year-one price misses what matters most — the total cost over the life of your business and whether your name stays off the public record.
How to Avoid Getting Burned
- Read the renewal terms before you buy. Every formation service has to disclose renewal pricing somewhere. Find it before you check out.
- Cancel free trials immediately. If a service gives you a free trial of anything, cancel it the same day you sign up. If you decide you want it later, you can re-subscribe.
- Understand what's included in year 1 vs. year 2. Bundled RA for year 1 is common. Year 2 is where the price jumps.
- Ask about the organizer. "Will my name appear on the Articles of Organization?" If the answer is yes — or if they don't know — your name is going public.
- Do the 5-year math. Formation is a one-time cost. RA renewal and annual reports are forever. Run the numbers over five years before picking based on the first-year price.
A Formation Service That's Honest About Its Prices
Our Complete Wyoming LLC Formation is $229 + $100 state fee. Year 1 registered agent included. Renewal is $99/year — same rate, every year. No subscription traps, no surprises.
Form My Wyoming LLC