Starting a small business in Tennessee may come with a lot of paperwork. That is why hiring an LLC service provider is your best option.
To help you select the best LLC service for your business entity, we selected and reviewed a ton of them and rounded up these four.
Together with our legal team, we tested each business formation service in terms of its service features, customer service, and turnaround times.
Continue reading to find which LLC service in Tennessee ranks top of all.
Top 4 LLC Formation Services in Tennessee (February 2023)
1 - ZenBusiness (Editor's Choice)
ZenBusiness is known for its well-rounded service features and affordable price, which is why it earned the top spot on this list. ZenBusiness offers three LLC formation package tiers—and the most basic one costs $39.
It has formed more than 300,000 LLCs since its founding in 2015 and has helped small business owners and entrepreneurs nationwide.
In our experience, forming an LLC was simple, and the turnaround time of 3 days was impressive.
Additionally, the help desk personnel always responded quickly when we contacted them for help, and they adequately resolved our issues.
With its outstanding registered agent services at an affordable price, ZenBusiness has earned an average rate of 4.7/5 based on 4,500 positive customer reviews online.
- Starter Formation Package ($49): It includes a free CPA assessment, LLC formation, a full year of registered agent services, and a free operating agreement template.
- Pro Package ($199): Includes Employer Identification Number (EIN) registration, VIP processing, handling of annual report filings, and two yearly amendments in this package.
- Premium Package ($299): Adds rush filing, business domain name, website email address, and domain privacy.
- Professional Registered Agent Service ($99): An entire year of free registered agent service for a whole year is included in all three of its LLC formation packages. The service is then annually renewed for $119 or $99 a la carte.
- Features numerous LLC formation packages
- Butter smooth compliance
- Speedier delivery
- Package features are affordable
- Customer feedback online is outstanding
- Brand isn’t well known in the LLC business world
2 - Northwest Registered Agent
Northwest Registered Agent is perfect for you if you’re looking for a company with the best customer service team.
Since its founding in 1998, Northwest Registered Agent has made a name for itself in the industry—with its top-notch limited liability company formation service and affordable packages.
As a seasoned online LLC creation service, Northwest Registered Agent places a high value on client care, openness, and privacy protection.
What we appreciate the most is the fact that they offer you a free registered agent and a physical address for receiving the service of process.
- Base Formation Package ($39): Has all the required paperwork to form your Tennessee LLC. Namely, the name searches, registration, and filing of all legal documents. It also consists of a year of free registered agent service.
- Deluxe Package ($179): Includes the LLC formation services from the basic package and access to an Employer Identification Number (EIN).
- Best Registered Agent Service ($125): Includes a free registered agent service for your Tennessee business for an entire year. It then renews annually for $135.
- No any hidden fees
- Provides a year of free registered agent service
- Has more than 2 decades of experience
- Strong customer data protection infrastructure
- Features in its packages are expensive
3 - IncFile
If you are looking for a much more affordable LLC formation and registered agent service, IncFile is an ideal company. It provides a free-of-charge LLC formation service for its client.
We gave this firm a high rating since they offer free formation of Tennessee LLCs; as a result, you simply have to pay state fees and other small costs.
In contrast to other Tennessee LLC formation services in the market, IncFile pledges to process and deliver formation and business paperwork within one business day.
The only drawbacks this company has are third-party offers and a few upsells. But regardless of that, IncFile remains among the best providers in the LLC industry.
- Free Silver Package ($0): Includes creating your Tennessee LLC, one year of free registered agent service, and lifetime company compliance alerts.
- IncFile Gold ($149): Includes preparation of the operating agreement, banking resolution, and EIN registration.
- Platinum Package ($249): Includes a free business website and domain name, business contract templates, and priority expedited filing.
- Registered Agent Service ($119): Includes free registered agent service for one year. The service then renews annually for $199.
- LLC services are pretty affordable
- Has handled over 800,000 businesses
- Accessible customer support team
- Has one year of free Tennessee registered agent services
- Has third-party offers and a few upsells
4 - LegalZoom
LegalZoom provides extensive legal services to its clients and has an outstanding track record of helping over 4 million people and businesses in various ways—which mainly involves LLC setup service.
However, there are some drawbacks that we noticed, and they primarily focus on the fact that LegalZoom sits at the higher end of the pricing spectrum.
And despite its high price point, LegalZoom’s entry-level package is not as feature-rich as the others.
Nevertheless, it remains the strongest brand in the LLC formation service industry.
- Basic Economy Package ($79): This package includes everything you need to form an LLC in Tennessee–a business name search, Peace of Mind Review™, compliance check, and 30-minute tax consultation.
- Standard Package ($329): The starting price is $329 + Tennessee state fee, including deluxe organizers, business insurance, and official certificates and seals.
- Express Gold Package ($349): The starting price is $349 + the Tennessee state fee, along with the bundle's express shipping and VIP processing.
- Tennessee Registered Agent Service ($299): As your premium registered agent service, Legalzoom acts as your primary business address and point of contact with the secretary of state. Note that after the first year, this service then renews annually for $249.
- Provides extended customer support hours.
- Provides extensive legal and premium registered agent services
- High client volume
- Does not include a lot of many features in its packages
- Many upsell high-priced add-on services.
Our Selection Process
When evaluating service providers, we based our selection process on these four key aspects.
1. Customer Support
A quick response staff is necessary to guide customers through the challenging process of forming and managing an LLC. We contacted several support teams via phone, email, and their chat feature dashboard.
Then, we evaluated how quickly and thoroughly customer service responded to our questions.
2. Service Features
We choose a supplier that offers more features, especially in lower-tier packages, in terms of service features.
We chose the package that included the following: crucial LLC creation, certificate of organization, operating agreement, and EIN acquisition, among others.
Any startup business must have all of these essential services in order to launch operations in Tennessee.
3. Price Points
The price models for the various LLC creation services' packages vary widely. Here, we looked at each service provider's price to see if it reflected the value that clients were getting for their money.
4. Turnaround Times
Starting a business in Tennessee requires a quicker order processing time so that you’re up and running as soon as possible.
We ordered various documents from the top LLC service providers and assessed how quickly we received the delivery to ensure we only suggested the fastest service providers.
We chose services with turnaround times of 1 to 5 business days.
Advantages of Creating an LLC in Tennessee
Here are four advantages of creating an LLC in Tennessee .
1. Personal Asset Protection
Creating your Tennessee LLC is your best option to protect your liabilities from debt collectors that may appear upon starting your business. With this, they cannot chase after your assets.
Moreover, LLCs are a great help in protecting owners and members from liabilities that fellow owners and members may potentially incur.
2. Pass-Through Taxation
Dealing with taxes can be pretty troublesome when starting your business. But with the help of your Tennessee LLC, you get more advantages over corporations by pass-through taxation and also unemployment insurance tax.
With this, the taxes passing through your business will come straight to you as personal income.
3. Less Complexity in Formation and Operation
Your Tennessee LLC can save you more time and effort in regularly dealing with legal documents and paperwork. It provides a far more straightforward formation process than other corporations.
Furthermore, your Tennessee LLC only requires filing articles of organization with the Tennessee Secretary of the State. Unlike a corporation, it is also not required to have annual meetings or corporate minutes.
4. Flexibility in Raising Capital
Your Tennessee LLC can help you raise capital more quickly and efficiently. Not only that, but you can add new members without giving them a complete say in management .
And unlike a sole proprietorship and general partnership, accepting investments is also not allowed without becoming partners.
Tennessee LLC Formation Process
Follow these steps if you want to start your Tennessee LLC:
- Step 1: Come up with a name for your Tennessee LLC
- Step 2: Find a registered agent in Tennessee
- Step 3: Submit theTennessee Certificate of Formation
- Step 4: Create your Tennessee LLC Operating Agreement
- Step 5: Receive your Employer Identification Number (EIN)
- Step 6: Choose the type of your LLC in the Tennessee department
- Step 7: File your Tennessee LLC annual report
How Long Does It Take To Form My LLC in Tennessee?
It takes anywhere between 3-7 business days to form an LLC in Tennessee by mail. Meanwhile, South Dakota accepts online LLC filings right away. Since you may download your documents as soon as they are approved, there is no additional transit time.
How Much Does It Cost To Create a Tennessee LLC?
It costs about $300 to create a Tennessee LLC. This amount is payable to the Tennesse secretary of state. The Tennessee Secretary of State levies a minimum filing fee of $50 for each LLC member that is included in the file. And the filing fee for the Articles of Organization may not be more than $3,000.
Do I Need an LLC Service in Tennessee?
Yes, you need an LLC service in Tennessee. It’s best to use LLC services if you don't want to deal with the paperwork required for Tennessee LLC formation. But according to the Secretary of State, you can start your own business and finish the procedure without using LLC services.
What Is the Best LLC Service in Tennessee for You?
As a small and medium business owner, you must work with a trustworthy and affordable LLC service provider with a successful track record, excellent customer support, and quick turnaround.
With more than 5 years of experience, ZenBusiness has demonstrated that it does not prioritize costs over customer satisfaction.
We got to use some of this company's excellent customer services tools, such as guided operating agreements, order tracking, and a fully customizable business website.
Additionally, ZenBusiness unquestionably takes the top place on our list due to its extensive service features, first-rate customer care, and speedy turnaround.