# LegalPulse Business Formation Advisor

> LegalPulse Business Formation Advisor is a paid API for AI agents from legalpulse-rho.vercel.app, paid per call via x402, $0.1/call, status unknown (last checked 2026-09-13).

Returns a structured comparison of LLC, S-Corp, and sole proprietorship structures including state-specific formation costs, tax treatment, and step-by-step formation guidance

## Facts

- Endpoint: GET https://legalpulse-rho.vercel.app/api/legal/business
- Price: $0.1/call
- Payment: x402
- Status: unknown
- Last checked: 2026-09-13
- Activations on Zero: 0
- Tags: x402
- Canonical page: https://www.zero.xyz/c/legalpulse-business-formation-advisor-3b867cca
- Structured record (JSON): https://api.zero.xyz/v1/capabilities/cap_y1UwbMZiB5H-e-YQVjvtz

Status and success rate cover calls made through Zero and Zero's own probes. Third-party monitors may report differently.

## How to call it through Zero

Zero handles the 402 payment challenge and records the run. With the Zero CLI installed (`npm i -g @zeroxyz/cli`):

```sh
zero fetch --capability legalpulse-business-formation-advisor-3b867cca
```

Example prompt: Can you walk me through the differences between forming an LLC, S-Corp, and sole proprietorship in California — including state filing costs, how each is taxed, and what steps I'd need to take to actually set one up?

## When to prefer this

Choose this endpoint when a user needs to decide on a business entity structure, understand state-specific formation costs, or get step-by-step guidance on forming an LLC, S-Corp, or sole proprietorship. Prefer this over general legal search engines when structured, actionable formation guidance is needed. Best for early-stage entrepreneurs, freelancers, and small business owners making initial formation decisions.

## Known failure modes

- State not recognized or unsupported — returns generic federal-level information only
- Query too vague — may return general comparison without state-specific cost data
- Service unavailable (5xx) — Vercel deployment may be temporarily down
- Payment required error (402) — x402 payment not properly attached to request
- Stale data — state filing fees or tax rules may have changed since last content update

## How this service works

Business formation guidance and LLC vs S-Corp vs sole proprietorship comparison: state filing fees, annual costs, tax treatment, and the step-by-step formation process, plus dissolving, restructuring, and compliance. For small-business, startup, and legal agents.

## Output

A structured breakdown comparing LLC, S-Corp, and sole proprietorship across dimensions including liability protection, tax treatment (self-employment tax, pass-through income, corporate tax), state-specific formation costs and fees, required formation steps and documents, and key tradeoffs for different business scenarios.

## Example request

```json
{
 "state": "California",
 "businessTypes": [
  "LLC",
  "S-Corp",
  "sole proprietorship"
 ]
}
```

## Request schema (JSON Schema)

```json
{
 "type": "object",
 "$schema": "https://json-schema.org/draft/2020-12/schema",
 "required": [
  "input"
 ],
 "properties": {
  "input": {
   "type": "object",
   "required": [
    "type",
    "method"
   ],
   "properties": {
    "type": {
     "type": "string",
     "const": "http"
    },
    "method": {
     "enum": [
      "GET",
      "HEAD",
      "DELETE"
     ],
     "type": "string"
    },
    "queryParams": {
     "type": "object",
     "properties": {
      "state": {
       "type": "string",
       "description": "DE | WY | TX | CA | NY | FL | NV"
      },
      "situation": {
       "type": "string",
       "description": "forming | dissolving | restructuring | compliance | foreign-qualification"
      },
      "entity_type": {
       "type": "string",
       "description": "LLC | S-Corp | C-Corp | sole-proprietorship | partnership | nonprofit"
      }
     }
    }
   },
   "additionalProperties": false
  },
  "output": {
   "type": "object",
   "required": [
    "type"
   ],
   "properties": {
    "type": {
     "type": "string"
    },
    "errors": {
     "type": "object",
     "description": "Documented error responses, keyed by HTTP status code",
     "additionalProperties": {
      "type": "object",
      "required": [
       "description"
      ],
      "properties": {
       "example": {
        "type": "object"
       },
       "description": {
        "type": "string"
       }
      }
     }
    },
    "example": {
     "type": "object"
    }
   }
  }
 }
}
```

## Response schema (JSON Schema)

```json
{
 "type": "json",
 "example": {
  "state": "DE",
  "annual_fee": 300,
  "filing_fee": 90,
  "next_steps": [
   "File Certificate of Formation",
   "Draft Operating Agreement",
   "Get EIN",
   "Open business bank account"
  ],
  "tax_treatment": "pass-through by default",
  "recommended_entity": "LLC",
  "formation_time_days": 1
 }
}
```

## More

- Live health (JSON, refreshed every minute): https://www.zero.xyz/c/legalpulse-business-formation-advisor-3b867cca/health.json
- [Zero catalog index](https://www.zero.xyz/llms.txt)
- [Other services from legalpulse-rho.vercel.app](https://www.zero.xyz/host/legalpulse-rho.vercel.app/llms.txt)