Cost to incorporate LLC via attorney vs. online

[Michael Andrews]

I am in the process of getting my real estate investment LLC off the ground and after meeting with an attorney and comparing costs to an online solution like Legal Zoom I am wondering if there is a benefit to one or the other. The attorney mentioned that she would draft the operating agreement to protect my initial investment from future marital disputes (currently single) as the funding for the startup is coming from an inheritance. She has advised me that if I were to get married some day down the road and potentially get divorced the capital invested in the business could be kept safe from the 50/50 marital property laws in Wisconsin if she drafts the operating agreement. To form the LLC with all applicable filings and an EIN she quoted me $800-$900.

I know I could use Legal Zoom or similar and get this done with boilerplate language for much less than this, so I am wondering if she has a point in trying to protect my investment down the road or if she's offering something overpriced and unnecessary.

[Bob Okenwa]

You can file the LLC yourself through the Secretary of State website for free outside of the initial filing fees with the state. It's $135 for the filing fee and $25 a year for the annual fee. As far as the other costs go and operating agreement, I'd get a 2nd and/or 3rd opinion from other attorneys and stay away from LegalZoom as they are more cookie cutter and your situation sounds to be more unique than anything they'd cover. Also, getting an EIN from the IRS costs $0. It takes like 5 minutes through their site.