Legal Zoom Integration Gives Wix Access to SMBs on Day One

Wix continues to nail down partnerships with platforms that aggregate massive numbers of small businesses.

Last year we wrote about Wix’s deal with on-demand printing giant Vistaprint. At the time, Wix said it expected that deal to “deliver hundreds of thousands of new subscriptions to Wix within five years.”

Now, Wix has launched a partnership with LegalZoom, the go-to resource for small business formation. 

Today the two companies announced an integration across Wix.com and LegalZoom.com, that will allow entrepreneurs to legally form a U.S. business and build an online presence all in one place.

“At Wix, our focus is supporting SMBs and equipping business owners with the tools they need to be successful,” said Anthony Scaglione, EVP Global Partners, Wix. “This partnership with LegalZoom is a prime example of how we are collaborating with companies who share our mission to help small businesses grow. And to support business owners at any touchpoint of their business journey. Partnerships like this one and our existing partnership with Vistaprint open a significant global opportunity for us. And they increase access to the Wix platform to hundreds of millions of businesses.”

Broadening LegalZoom’s Appeal

Kathy Tsitovich, LegalZoom’s head of partnerships suggests the deal is all about providing a better customer experience for younger entrepreneurs.

“Our goal at LegalZoom is to support existing business owners as well as the next generation of entrepreneurs,” Tsitovich said.

“Having a simple way to build a beautiful website is almost universal for small business owners. And our integration with Wix in the U.S. provides a seamless way for our users to form their business and build their online presence. As a champion for small businesses, we are thrilled to see how our integration with Wix empowers entrepreneurs and supports their ongoing growth.”

LegalZoom launched in 2001. Since then, the company has helped more than 2 million people “turn their ideas into businesses.”

Going for Scale

This integration makes a lot of sense for both sides. It expands LegalZoom’s offering to SMBs. And for Wix, where better to begin a long-term relationship with a business at the moment it forms.

Wix is a big presence in the local space. It’s been very aggressive in trying to roll up as many of the legacy media reseller deals as it can worldwide. But it clearly sees opportunity across a wide variety of small business aggregators. Like Vistaprint. And now LegalZoom.

Our sense is that in the website space, you need to pick a lane. For example, a platform can pursue massive scale. On the other hand, a platform can chase a profitable niche. This might mean becoming the preferred platform for graphic designers. Or perhaps for a specific vertical like autos or restaurants. Clearly, Wix is focused on scale.

And while Wix’s stock is trading well below its recent highs (who isn’t right now?), the company’s leadership seems to be pretty confident in its direction. Or at least its recent $500 million stock repurchase program suggests as much.

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