HIGHBuilt-inProduct / Revenue mix
65%
subscription revenue
“10-K Item 1: 'For the year ended December 31, 2025, approximately 65% of our revenue was derived from subscriptions.'”
LZ · Concentration risk · 10-K extracted
LegalZoom.com (LZ) concentration risks
Updated
The most significant concentration LegalZoom.com discloses is subscription revenue at 65%, classified HIGH by disclosed size. Below: the full set from the latest 10-K — verbatim quotes, filing references, and a synthesis of what these exposures mean together.
Model-generated analysis — not investment advice. Not a registered investment advisor. Past performance does not guarantee future results.
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Source: LegalZoom.com’s SEC Form 10-K filed — view the filing on SEC EDGAR ↗
At a glance
Disclosed-size breakdown · 2 disclosed concentrations
HIGH1
MEDIUM1
LOW0
Disclosed concentrations
Each card carries a disclosed-size chip (HIGH / MEDIUM / LOW — how large the exposure is as a share of revenue, not how dangerous it is) and a nature tag: Built-in(the company’s own model, geography, or products) or Outside party (an external customer, supplier, or distributor it relies on).
MEDIUMBuilt-inProduct / Revenue mix
business formation services
“10-K Item 1A: 'The majority of our transaction revenue is generated by providing business formation services to guide our customers.'”
TrendMatrix Research · concentration synthesis
What these concentrations mean together
updated 2026-07-06LegalZoom's revenue is structurally weighted toward its subscription model: approximately 65% of 2025 revenue was derived from subscriptions, a high-disclosed-size exposure that makes recurring-revenue retention the central driver of the business rather than one-time transactions. Layered on top of that, the majority of transaction revenue is generated by business formation services used to guide customers, a medium-sized structural exposure that indicates the non-subscription portion of the business is itself concentrated in one service line rather than spread evenly across offerings. Because both disclosed exposures are structural — tied to the company's business model and product mix rather than to any single customer, supplier, or geography — the risk here is less about a sudden shock and more about durability of demand for subscription renewals and formation services over time. The subscription concentration is the more consequential of the two given its higher share of total revenue, meaning any deterioration in renewal rates or subscriber growth would have an outsized effect on results, while the business-formation concentration within transaction revenue is a secondary consideration that shapes the composition of the non-recurring revenue base rather than the overall verdict.
For the engine’s reasoning on LZ’s current verdict — including which dimensions drove the score — see the per-dimension breakdown.
Industry peers · Specialty Business Services
Peer concentration profile
| Symbol | Name | HIGH | MEDIUM | LOW | Total |
|---|---|---|---|---|---|
| ARMK | Aramark | 1 | 1 | 0 | 2 |
| LZ● | LegalZoom.com, Inc. | 1 | 1 | 0 | 2 |
| AMTM | Amentum Holdings, Inc. | 1 | 0 | 0 | 1 |
| BKSY | BlackSky Technology Inc. | 1 | 0 | 0 | 1 |
| ABM | ABM Industries Incorporated | 0 | 0 | 0 | 0 |
| AZZ | AZZ Inc. | 0 | 0 | 0 | 0 |
Concentration counts reflect items disclosed in each peer’s most recent 10-K; disclosed-size classification uses TrendMatrix’s internal 10-K extraction taxonomy.