The math
How we do it (or not): the math
A registered agent has to keep an office open every business hour, with a person in it, and forward whatever arrives the day it arrives. Here is roughly what that costs to run in one state, then how many companies it takes to pay for it at $20 a year, the price wycra.com publishes. Then we run the same numbers at our price.
What one office costs to run
Lines marked estimate are exactly that: reasonable assumptions, not audited figures. The prices are published prices.
| Line | Annual | Basis |
|---|---|---|
| Office: a share of a suite in a small downtownestimate | $9,000 | $750/mo assumed for a shared suite |
| One person at the desk during business hours (statutory: office open, agent available) - wages + taxesestimate | $36,000 | $15/hr x 2,080 h + ~15% payroll burden |
| Lunch and vacation coverage (the door must stay open) - part-timeestimate | $9,000 | ~12 h/week at $15 |
| Power, water, internet, phoneestimate | $3,600 | $300/mo |
| Mail handling: about five scans per company per yearestimate | $6,000 | labor already counted; consumables + postage |
| E&O / liability insurance | $0 | wycra.com's terms cap liability at three months of fees; there is no sign of coverage |
| Wyoming commercial registered agent listing + entity annual reportestimate | $300 | WY SOS fees (incFACTS carries the schedule) |
| Software: portal, billing, e-mail, backupsestimate | $3,000 | |
| Total, per year, before the owner is paid | $66,900 | the lines above, added up |
wycra.com, at $20 a year
| Line | Figure | Basis |
|---|---|---|
| Price per company per year | $20 | the price wycra.com publishes |
| Companies needed just to cover the office | 3,345 | $66,900 divided by $20, before profit, before one mistake |
| Left per company per day to absorb a missed process server | $0.055 | $20 divided by 365, and only once the office is covered |
Now at $2.50
Same office, same desk, same mail. Only the price changes.
| Line | Figure | Basis |
|---|---|---|
| Price per company per year | $2.50 | YOLO Registered Agent |
| Companies needed just to cover the office | 26,760 | $66,900 divided by $2.50 |
| Left per company per day to absorb a missed process server | $0.007 | $2.50 divided by 365, and only once the office is covered |
Where we cut
The number above does not work. So we removed the things that cost money, in the order they cost it.
The second person
The door closes at lunch. Process servers eat lunch too, probably.
The scanning
Five pieces of mail a year per entity becomes zero. See tile one.
The office
A PO box. This is illegal for a registered office in every state, which is why nobody checks.
The renewals
One-time purchase. When the year ends, you lapse. Not us. You.
The insurance
Already gone. Liability is capped at the fees paid in the preceding three months: 62 and a half cents for the first ninety days of your year, and after that, since you paid once, zero.
The promise
Already gone. See the homepage.
Below the number of companies that covers the office there is no margin at all. Above it, what is left per company per day is the whole cushion against a missed process server. It is printed above. It is not a large number at $20. It is a smaller one at our price.