Clerky vs Stripe Atlas: Which tool is better?

As tech enthusiasts, we understand the critical importance of choosing the right platform to kickstart your startup journey. The path to launching your business and finding the ideal support can be a thrilling yet daunting adventure. If you're currently exploring your options for getting your startup off the ground, particularly when it comes to the legal and financial aspects, you've come to the right place.



We're going to delve into two prominent platforms that can pave the way for your entrepreneurial success: Clerky and Stripe Atlas. Both of these solutions are renowned in the startup world, offering distinct advantages and unique features. By comparing and contrasting their offerings, we aim to help you make an informed decision that aligns perfectly with your business needs.

Entrepreneurs and startups often find themselves at a crossroads when it comes to navigating the legal and operational intricacies of launching a business. It's crucial to choose the right platform that can guide you through the complexities and set you on a path to success. When considering the optimal company formation software solution for your startup's legal and financial needs, two names that frequently surface are Clerky and Stripe Atlas. 

Just as no two startups are exactly alike, neither are the tools and resources they require for success. So, let's dive into the details and discover which of these platforms can best empower you to embark on your entrepreneurial journey, allowing you to focus on what truly matters: building a profitable and sustainable business.

When it comes to launching your startup and navigating the intricate world of legal and financial services, two prominent names frequently enter the conversation: Clerky and Stripe Atlas. These platforms are instrumental in simplifying the complexities of startup setup, but they each have their unique attributes that cater to different needs.



One fundamental aspect to consider when pondering the differences between these two software is their approach to business formation. Clerky excels in providing a straightforward and user-friendly experience, making the process of incorporating your business a breeze. The interface is designed with simplicity in mind, ideal for startups seeking a hassle-free setup. On the other hand, Stripe Atlas takes a more comprehensive approach. It not only assists with incorporation but also provides guidance on banking, tax, and operational aspects. This all-inclusive approach can be particularly valuable for startups looking for a one-stop solution to address various needs in their early stages.

Another critical distinction lies in the ongoing support and resources offered by these platforms. Clerky maintains a strong focus on legal compliance, providing startups with the necessary documents and support to meet regulatory requirements. The expertise in legal matters is a valuable asset for businesses navigating complex legal landscapes. In contrast, Stripe Atlas goes beyond incorporation by fostering a broader entrepreneurial ecosystem. It offers access to a network of mentors, investors, and experts, creating opportunities for startups to learn, grow, and secure funding more effectively. This extended support network can significantly benefit entrepreneurs seeking to expand their startup beyond its initial stages.

In conclusion, the difference between Clerky and Stripe Atlas primarily hinges on the level of support and comprehensiveness you require for your startup. Clerky excels in providing a straightforward legal setup, while Stripe Atlas offers a more holistic approach with a broader range of services and resources.

• Legal expertise: Clerky specializes in legal services for startups, offering expert guidance and documentation that ensures compliance and minimizes legal risks.
• Ease of use: The platform is user-friendly, simplifying complex legal processes like incorporation, stock issuances, and more, making it accessible to startups without legal expertise.
• Customization: Clerky's documents are customizable to meet the specific needs of your business, providing flexibility in legal agreements.
• Templates and checklists: Clerky provides templates and checklists for various legal documents and actions, streamlining the startup process and reducing errors.
• Ongoing compliance: Clerky helps startups stay compliant with ongoing legal requirements, such as annual filings and stock option management, ensuring long-term stability.

• Focused on startups: While ideal for startups, Clerky's services may be less suitable for established businesses with complex legal needs.
• Limited scope: It primarily focuses on legal matters related to incorporation, stock issuance, and corporate governance, so additional legal needs may require other services.
• Cost: The cost of using Clerky can add up, especially when incorporating in multiple states or requiring additional legal documents beyond the basics.
• Not a substitute for legal advice: While Clerky offers valuable legal documentation, it's not a substitute for legal advice from an attorney, which may be necessary in some situations.
• Limited network: Unlike some other platforms, Clerky doesn't provide access to a broader network of mentors, investors, or experts for startups seeking comprehensive support beyond legal matters.

• Comprehensive services: Stripe Atlas offers a wide range of services beyond business incorporation, including banking setup, tax guidance, access to Stripe's payment processing, and resources for scaling your startup.
• Global reach: Stripe Atlas is available to entrepreneurs around the world, making it accessible for international startups looking to establish a U.S. presence.
• Educational resources: The platform provides a wealth of educational content, including guides, webinars, and access to a network of mentors, enabling startups to learn and grow.
• Network and community: Stripe Atlas connects entrepreneurs with a network of fellow founders, investors, and experts, creating opportunities for collaboration and support.
• Payment integration: Integration with Stripe's payment processing services simplifies accepting payments, making it convenient for e-commerce and subscription-based startups.

• Cost: While Stripe Atlas offers a lot, it comes at a price. The initial fee and ongoing costs can be substantial for startups with limited budgets.
• Complexity: The comprehensive nature of Stripe Atlas can be overwhelming for first-time entrepreneurs, and some may find it more complex than they anticipated.
• Limited customization: The platform's bundled services may not cater to the unique needs of every startup, and customization options are limited compared to specialized services.
• Banking restrictions: Stripe Atlas partners with Silicon Valley Bank for banking services, which might not be the best fit for all startups, especially those outside of tech hubs.
• Ongoing commitment: Using Stripe's payment processing services is often a requirement, which may not align with startups that prefer to use other payment processors or have pre existing arrangements.

When comparing Clerky and Stripe Atlas, each platform shines in its unique way, catering to distinct aspects of startup formation and support.

Clerky excels in providing a streamlined and user-friendly experience for legal documentation and incorporation. Its strength lies in simplifying the complexities of startup legalities, offering customizable legal documents, and ensuring compliance with regulatory requirements. For startups seeking a hassle-free and straightforward approach to legal matters, Clerky is an excellent choice.

Clerky is an excellent option for startups that primarily need assistance with legal documentation and compliance. It's cost-effective and efficient in its domain. In contrast, Stripe Atlas caters to a broader spectrum of needs, making it a go-to choice for startups looking for comprehensive support, including financial and operational aspects.

Whether Clerky is better than Stripe Atlas hinges on your entrepreneurial priorities. If your main concern is legal compliance, Clerky stands out, especially with its Deed of Assignment for Intellectual Property, ensuring your intellectual assets are protected. 

In contrast, Stripe Atlas offers a more extensive range of services encompassing business formation, banking setup, and tax guidance, providing a holistic approach to startup support. Therefore, Clerky is the superior choice when focused on legalities, while Stripe Atlas excels in providing a broader set of resources for comprehensive startup assistance, helping you navigate various aspects of launching and growing your business.

Clerky is primarily tailored for streamlining the legal aspects of your startup. It shines in handling legal paperwork, providing templates for essential documents like incorporation papers and stock plans. For instance, it simplifies the creation of stock option grants, ensuring that your startup's equity distribution is handled accurately and compliantly. 

This specialized focus on legalities allows entrepreneurs to navigate complexities with ease, even without extensive legal knowledge or experience. By leveraging Clerky's expert-backed resources, you can establish a solid legal foundation for your business, mitigating legal risks and ensuring compliance as you embark on your entrepreneurial journey.

Clerky cannot fully replace Stripe Atlas as they serve different purposes. Clerky specializes in simplifying legal paperwork, offering templates for documents like stock option grants. While it can handle specific legal tasks efficiently, it doesn't encompass the comprehensive services of Stripe Atlas. 

Stripe Atlas, on the other hand, provides a broader range of support, including entity creation, bank account setup, and tax guidance. So, while you could use Clerky for drafting legal agreements, it's not a substitute for the full suite of services that Stripe Atlas offers, making the two platforms complementary rather than interchangeable for entrepreneurs seeking comprehensive startup support.

Understanding their pricing models is key. Clerky offers two pricing options: the Company Lifetime Package (a one-time fee) and Pay Per Use. If your startup requires only specific services like legal document drafting, Clerky may prove more budget-friendly. 

However, if you seek a comprehensive service covering every aspect from entity formation to banking setup, Stripe Atlas might be more cost-effective in the long run. The choice between the two depends on your startup's specific needs and budget constraints, ensuring you make a financially sound decision aligned with your entrepreneurial goals.

When it comes to streamlining the legal aspects of launching your startup, Clerky is indeed a robust platform. However, the startup ecosystem offers alternatives that may better align with your unique needs.

As we have seen, Stripe Atlas, one of the top alternatives to Clerky, is a comprehensive solution that extends beyond incorporation, providing support for banking, taxation, and access to Stripe's payment processing service. Other alternatives include doola, Legalstart and Gust Launch.

Ultimately, the choice of incorporation software depends on your startup's specific requirements, budget, and objectives. While Clerky excels in simplifying legal documentation, exploring alternatives ensures you select the software that best suits your startup's individual needs.

Stripe Atlas, notable for its comprehensive approach, provides a wide range of services beyond business incorporation. It offers guidance on banking setup, tax considerations, and grants access to Stripe's robust payment processing services. This all-in-one solution is highly beneficial for startups seeking a holistic approach to addressing various facets of their business setup and operations.

If your startup primarily requires support in legal documentation and compliance, Clerky is a cost-effective and efficient choice. Conversely, if your startup seeks a more comprehensive entrepreneurial ecosystem, including financial and operational aspects, Stripe Atlas offers a broader spectrum of support.

Stripe Atlas may be better than Clerky for startups needing a more comprehensive solution. Stripe Atlas excels as a comprehensive solution, addressing a broad spectrum of startup needs. It assists with tasks like entity formation, bank account setup, and provides valuable tax guidance. 

In contrast, if your primary concern is creating sound legal agreements, Clerky remains a strong choice. For instance, if you're focused on crafting customized stock option grants, Clerky offers specialized support. Ultimately, the decision hinges on your startup's priorities, whether it's comprehensive startup support with Stripe Atlas or specialized legal documentation assistance with Clerky.

Stripe Atlas is an ideal choice for startups looking to launch their operations comprehensively. It excels in business incorporation, simplifying the process of forming your business entity. Moreover, it aids in crucial tasks like opening a dedicated bank account and provides essential services such as obtaining a tax ID and offering expert tax advice. 

If your startup is in its infancy and requires an all-encompassing solution to kickstart its operations, Stripe Atlas offers the necessary resources and guidance, ensuring a solid foundation for your entrepreneurial journey.

Despite its broad coverage, Stripe Atlas cannot fully replace Clerky. While Stripe Atlas offers a wide range of services for startups, its primary focus is on business incorporation and operational aspects. 

In contrast, Clerky specializes in simplifying legal paperwork, excelling in areas like stock option grants and legal document drafting. If your startup's core need is expert assistance in legal matters, Clerky is the go-to choice. 

However, for businesses seeking a comprehensive solution covering various aspects of startup formation and support, Stripe Atlas is a valuable resource. The choice depends on the specific needs of your startup, with both platforms serving distinct but complementary roles in the entrepreneurial journey.

While Stripe Atlas operates on a one-time payment model with a choice to renew, which might seem pricier upfront compared to Clerky's pay-per-item pricing, it's essential to consider the comprehensive range of services it offers. Stripe Atlas charges a flat fee of $500, encompassing business formation, obtaining an Employer Identification Number (EIN), and assisting in opening a business bank account.

In contrast, Clerky offers a more modular approach where you pay for specific services as needed. The choice of which is more cost-effective depends on the nature and scale of your startup's requirements. For startups seeking a comprehensive, all-in-one solution, Stripe Atlas can provide excellent value for the initial investment. However, if your needs are more limited and specific, Clerky's pay-per-item model may be more budget-friendly.

When it comes to establishing your startup, Stripe Atlas is undoubtedly a comprehensive solution. However, the startup ecosystem provides alternatives that may better suit your unique needs.

Alternatives to Stripe Atlas include Clerky, Firstbase and SeedLegals. The choice of incorporation software depends on your startup's specific requirements, budget, and objectives. While Stripe Atlas excels in providing a broad range of services, exploring alternatives ensures you select the software that best aligns with your startup's individual needs.

When it comes to integration possibilities, Stripe Atlas holds a clear edge over Clerky. Stripe Atlas is not only adept at business incorporation but also stands out for its extensive library of integrations. It seamlessly connects with a wide array of third-party applications, facilitating automated operations, payment management, and revenue stream handling. It easily integrates with accounting software, CRMs, and e-commerce platforms, like Intercom, Xero and Silvr, enhancing overall business efficiency.

In contrast, Clerky, as a specialized legal tool, offers limited integration opportunities. While it excels in automating legal paperwork, its integration capabilities do not extend much beyond that scope. Consequently, businesses seeking a more comprehensive solution with a multitude of integration options may find Stripe Atlas to be the better-suited choice for their needs.

When it comes to cap table management, Clerky holds a significant advantage over Stripe Atlas. Efficiently managing your company's cap table is crucial for tracking ownership stakes, equity distribution, and ownership changes over time. In this regard, Clerky provides comprehensive tools and features specifically designed for cap table management.

On the other hand, Stripe Atlas does not offer any dedicated features or tools for cap table management. While it excels in other aspects of startup support, such as business incorporation and banking setup, it may not be the ideal choice for businesses that prioritize efficient cap table management. For startups requiring robust cap table management capabilities, Clerky is the superior option.

When it comes to the speed of establishing a legal entity, Stripe Atlas has a clear advantage over Clerky. Stripe Atlas is renowned for its swift setup process, allowing entrepreneurs to create a legal entity in just a few minutes. Their team of experts handles all the necessary legal formalities, streamlining the process for you.

In contrast, Clerky provides comprehensive procedures and information for setting up a legal entity but does not specify the speed at which this can be accomplished. While it offers valuable support in legal matters, it may not match the rapidity of Stripe Atlas in establishing a legal entity. For startups prioritizing a speedy setup, Stripe Atlas stands out as the faster option.

When it comes to opening a business bank account with ease and speed, Stripe Atlas outperforms Clerky. Stripe Atlas offers a unique feature that allows entrepreneurs to set up a business bank account within minutes, saving valuable time and minimizing administrative hassle. This rapid bank account opening is a notable advantage of Stripe Atlas.

On the other hand, Clerky does not provide a similar streamlined bank account opening feature. While it excels in simplifying legal procedures and documentation, it may not match the efficiency and speed of Stripe Atlas in this specific aspect. For startups seeking a quick and hassle-free banking setup, Stripe Atlas is the preferred choice.

When it comes to issuing stock to founders, both Clerky and Stripe Atlas offer efficient and secure methods. Clerky provides electronic signatures and customizable contracts, simplifying the process of issuing stocks while ensuring legal compliance. This flexibility allows startups to tailor stock issuance to their specific needs.

Similarly, Stripe Atlas offers robust support for lawfully issuing stocks to founders. While it excels in various aspects of startup support, it also ensures efficiency and security in the issuance of stocks.

In this specific aspect, both Clerky and Stripe Atlas are on equal footing, providing startups with reliable and legally sound methods to issue stocks to founders. The choice between them can be based on other startup needs and priorities.

In the realm of streamlined company creation, Clerky takes the lead over Stripe Atlas. Clerky offers entrepreneurs comprehensive procedures and expert guidance throughout the entire process of establishing a business. It not only simplifies legal formalities but also provides valuable advice on various aspects of company creation, ensuring a smooth journey from inception to operation.

On the other hand, Stripe Atlas primarily focuses on handling legal formalities, without explicitly guiding users through the entirety of the company creation process. While Stripe Atlas excels in aspects such as banking setup and tax guidance, it may not match the holistic approach of Clerky in simplifying the entire journey of establishing a business. For startups seeking a seamless and guided company creation experience, Clerky emerges as the superior choice.

When assessing user-friendliness, Clerky takes the lead ahead of Stripe Atlas. Clerky, a specialized tool, stands out for its intuitive interface, particularly in simplifying the process of setting up legal paperwork for startups. It offers step-by-step instructions and pre-filled template forms, transforming complex legal procedures into a few simple clicks.

On the other hand, Stripe Atlas, while comprehensive and powerful, caters to a broader spectrum of business needs. This extensive range of features may potentially overwhelm some users, especially those without extensive business or legal knowledge. Navigating through these multifaceted offerings can be less straightforward compared to Clerky's streamlined and user-friendly approach, making Clerky a standout choice for entrepreneurs seeking a straightforward legal setup process.