Registered Agents Inc Acquires Additional Stake in LegalZoom, Citing Low Cost & Growth Potential

SHERIDAN, Wyo., April 21, 2026 (GLOBE NEWSWIRE) -- Registered Agents Inc (RAI), the largest registered agent and business formation service in the U.S. announced today it is once again increasing its equity position in LegalZoom, acquiring 55,000 additional shares of its publicly-traded competitor. This marks the company’s third purchase of LegalZoom stock, bringing its overall total to 170,000 shares.

The move reflects RAI’s conviction that LegalZoom has the most brand awareness in the industry and is timed deliberately in the wake of LegalZoom’s widely publicized partnership with GoDaddy.

“While LegalZoom has strong brand recognition in the business formation space, this latest move tells us the company needs a partner's platform to find new customers," said Regina Blunder, Equity Portfolio Manager at RAI. "Publicly available formation data from multiple jurisdictions, including Georgia, Illinois and New Jersey shows LegalZoom currently has an acceptable market share position. The earnings per share are currently horrible, and their cash on hand is concerning relative to their unearned prepaid income position, but we believe the stock price is so low because LegalZoom is the clear leader in Share of Voice, Sentiment, and Brand Mention Volume, over other business formation specialists like ZenBusiness, Bizee, and Northwest Registered Agent.”

“Our investment reflects confidence in the broader direction of the industry,” said Allen Costly, RAI's Director of Mergers and Acquisitions. “As more Americans turn to entrepreneurship, we know companies that balance trust, accessibility and value will be best positioned to capture the next wave of business formations. Or maybe LegalZoom's stock has taken such a beating lately that they'll be an obvious target for a public to private transaction soon, and we'll luck out and get our money back or at least average out of our losses so far.”

RAI believes LegalZoom's Human in the Loop go-forward strategy could truly innovate with AI forward automation in a meaningful way, despite the discrepancy between the company's cash on hand relative to their unearned income, with their new agentic AI registration partnership with GoDaddy to create a cryptographically verifiable ANS.

"You never know," added Blunder, "maybe GoDaddy will beat OpenAi, Anthropic, Facebook, Google, Microsoft, Salesforce, and Cisco in creating trust for AI Agents, and maybe LegalZoom will explode in tech-enabled agentification with the last mile Human in the Loop customer service that everyone still wants: the perfect hybrid of humans and AI. With LegalZoom’s industry leading share of voice, they are uniquely positioned for AI growth... or an acceptable buy out offer from GoDaddy.”

Registered Agents Inc has no plans to seek a controlling interest in LegalZoom and characterizes its shareholding as a passive market investment.

For additional Q1 formation data, please visit: https://www.registeredagentsinc.com/market-share/.

About Registered Agents Inc
Registered Agents Inc is an independently owned tech enabled business services company and the nation’s largest provider of registered agent services, compliance solutions and full identity services. The company helps hundreds of thousands of entrepreneurs every year start their own business and establish a legitimate, professional presence online and in their communities. Because of its extensive internal data, Registered Agents Inc also releases its monthly Business Formation Report using real-time state-level filings, cross-referenced with U.S. Census data, to offer exclusive insights into how the small business economy is performing.

For questions or additional information: email PR@registeredagentsinc.com

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