IndustryADV vs Inc Authority — The 'Free LLC' Upsell Trap Explained
Inc Authority advertises “free LLC formation,” and the filing itself really is free — but the checkout flow is engineered around a stack of upsells that typically pushes the actual out-of-pocket cost past $500 before you finish signing up. If you know exactly which upsells to decline and you’re willing to say no eight times, the free tier can genuinely be free. Most owners don’t manage that, which is why the “free” number rarely matches what shows up on the credit card.
Updated September 2026
Key Takeaways
- Inc Authority’s free tier covers only the state filing preparation — not the EIN ($49), not the operating agreement ($49), not tax planning ($299), not funding consultations.
- Registered agent is free for year one, then converts to $99/year in year two — the classic loss-leader model.
- Paid packages: Starter is around $399, Fasttrack is around $799 — both still involve additional upsells during checkout.
- IndustryADV Start Your Business is a one-time engagement with EIN, operating agreement, and compliance calendar included — nothing added at the register.
- “Free formation” is a legitimate marketing category, but the sticker price almost never matches the total — check the full add-on list, not the headline.
The direct verdict
Inc Authority is not a scam. They file LLCs, they file them competently, and their free tier is a real free tier for the very specific slice of the filing process they include. The problem is that formation is a stack of five or six deliverables (state filing, EIN, operating agreement, registered agent, compliance monitoring, banking resolution), and Inc Authority’s free tier includes exactly one of them.
Everything else is sold to you during checkout, in a flow designed to make declining feel like you’re missing something important. It’s a legitimate business model — and it’s the reason the average Inc Authority customer’s bill looks nothing like “$0.”
Actual pricing after the upsells
Below is the working math on Inc Authority’s Free tier assuming a hypothetical customer clicks through checkout accepting the recommended add-ons.
| Line item | Inc Authority Free | IndustryADV |
|---|---|---|
| Formation service fee | $0 | Included in Start Your Business |
| State filing fee | Passed through at cost | Passed through at cost |
| Registered agent (year 1) | Free | Guidance on RA selection |
| Registered agent (year 2+) | $99/year (auto-renews) | Your choice, priced separately |
| EIN | +$49 (offered at checkout) | Included |
| Operating agreement | +$49 (offered at checkout) | Included |
| Corporate records book | +$79 (offered at checkout) | Not sold |
| Business tax planning consultation | +$299 (offered at checkout) | Advisor access included |
| Funding & credit consultation | Add-on at checkout | Not sold |
| Typical realized cost year 1 | ~$450–$550 + state fee | Start Your Business + state fee |
The upsell walkthrough
Here’s what actually happens when you go through Inc Authority’s free flow. You enter your business name and state. The site checks name availability. Then the upsell sequence begins:
- EIN application ($49). Positioned as essential (which it is — you need one to open a business bank account). The IRS issues EINs for free directly at IRS.gov; you can also let Inc Authority handle it for $49.
- Operating agreement ($49). Also essential for multi-member LLCs and strongly recommended for single-member LLCs. Not included in the free tier.
- Corporate records book ($79). A physical binder for storing formation documents. Nice to have. Not required.
- Registered agent upgrade or continuation. Free year one, $99/yr afterwards. Auto-renews.
- Business tax planning consultation ($299). A call with a tax professional to discuss entity taxation options.
- Funding & credit consultation. A call about business credit and financing. This one is heavily pushed because Inc Authority makes referral commissions on funding partners.
- Compliance monitoring. Annual report tracking and filing services, tiered by state complexity.
- Faster processing. Rush filing at the state level where available.
Worked example. A first-time Wyoming LLC filer accepts the recommended add-ons: $49 EIN + $49 operating agreement + $79 records book + $299 tax consultation = $476 in Inc Authority fees before the state filing fee ($100 in Wyoming). Total year one out of pocket: $576. Year two: $99 registered agent auto-renewal plus Wyoming’s $60 annual report. Total two-year cost: about $735, most of which the “free formation” marketing did not advertise.
None of those add-ons are hidden in a fine-print sense — they’re prominently displayed, priced, and optional. The design just makes each decline feel slightly uncomfortable, especially the tax and funding consultations, which are pitched as things you’d be irresponsible to skip.
What IndustryADV includes upfront
IndustryADV’s Start Your Business is priced against the deliverables, not against a menu you assemble during checkout. The engagement includes state formation filing, EIN registration, a drafted operating agreement matched to your ownership structure, guidance on registered agent selection, and a 12-month compliance calendar with your state’s deadlines pre-loaded.
There’s no upsell page. There’s no funding consultation pitch. If you need tax planning, you buy the Tax Prep Kit or engage the tax service separately. If you need contracts, the Contracts & Legal Kit is a distinct product. Every purchase is a decision you make when you actually need the thing, not a decision made under time pressure during checkout.
Owners who want to understand the process end-to-end before engaging can read the 50-state LLC formation guide, and the 2026 best formation services roundup lays out how every major provider compares.
Inc Authority’s Starter and Fasttrack packages
If the free tier feels underpowered, Inc Authority sells two named packages: Starter (around $399) and Fasttrack (around $799). Starter bundles the EIN, operating agreement, and records book into one paid tier, plus a business credit and funding analysis. Fasttrack adds tax planning consultation, expedited processing, and a domain name.
These are cleaner than the free-plus-upsells path in the sense that you know what you’re paying upfront. They’re also more expensive than most competitors’ equivalent tiers, and the registered agent renewal at $99/year still kicks in during year two.
Who should pick Inc Authority
- You’re disciplined enough to click through the free tier and decline every optional add-on. Genuinely free is possible.
- You’re specifically interested in their funding and business credit consultation and see it as valuable rather than a sales pitch.
- You want the Starter or Fasttrack package as a bundle and understand the year-two renewal on registered agent.
- You’ll get your own EIN directly from the IRS and don’t need their $49 upsell for it.
Who should pick IndustryADV
- You want a straightforward one-time price with all the essential deliverables included.
- You don’t want to make eight decisions during checkout under mild sales pressure.
- You don’t want a registered agent auto-renewal in year two attached to your formation.
- You want compliance guidance and advisor access included, not sold as a $299 tax planning add-on.
For a comparison on the same “free tier plus RA renewal” model but at the higher-volume end of the market, our IndustryADV vs Incfile analysis covers the same trap at a different provider.
Frequently Asked Questions
Is Inc Authority legit?
Yes. They’ve been in business for over three decades and file LLCs competently. Legitimacy isn’t the concern — the concern is that “free formation” as marketed doesn’t match the typical customer’s realized cost after the checkout flow.
What does “free” actually include at Inc Authority?
The free tier includes preparation of your Articles of Organization, name availability check, and one year of registered agent service. It excludes the EIN, operating agreement, corporate records book, tax planning, and any ongoing compliance work — all of which are pitched as add-ons during checkout.
What hidden costs should I expect?
Nothing is hidden in a legal sense — every add-on is priced and visible — but the sequence and framing lead most customers to accept several of them. The other cost most people miss is the $99/year registered agent renewal starting in year two, which auto-renews unless you cancel or switch providers.
How do I cancel the free registered agent before it renews?
Log into your Inc Authority account roughly 30–45 days before your one-year anniversary and either cancel the registered agent service or file a change-of-agent form with your state to move to a different provider. Waiting until after the renewal charge posts makes recovery of the fee much harder.
Can I really get an EIN for free from the IRS?
Yes. Go to IRS.gov, search “apply for EIN online,” complete the SS-4 application, and receive your EIN immediately. It takes about ten minutes and costs nothing. Any service charging you for the EIN application is charging for their time to enter the form on your behalf, not for the EIN itself.
Skip the eight-step upsell gauntlet. Get filing, EIN, operating agreement, and compliance calendar in one straightforward engagement.
Idea to open for business. In twelve weeks.
The Everyday Owner's Blueprint walks you from a fuzzy idea to legally formed, tax-registered, and open for customers — with one focus each week and a finished outcome at the end. $1 to start.
START FOR $1 →