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Following National Advertising Division Challenge, Tailor Brands Voluntarily Discontinues Claims for its LLC Formation Services

Following a BBB National Programs’ National Advertising Division challenge brought by ZenBusiness Inc., Tailor Brands Ltd. voluntarily discontinued certain advertising claims for its online business formation services.

New York, NY, May 22, 2025 (GLOBE NEWSWIRE) -- Following a BBB National Programs’ National Advertising Division challenge brought by ZenBusiness Inc., Tailor Brands Ltd. voluntarily discontinued certain advertising claims for its online business formation services.

ZenBusiness and Tailor Brands are competitors offering online business services such as assisting with business formation, registered agent services, compliance, and obtaining necessary tax IDs, licenses, and permits. ZenBusiness challenged express and implied claims made by Tailor Brands regarding its LLC formation services.

During the inquiry, Tailor Brands informed the National Advertising Division (NAD) that it had permanently discontinued all of the challenged claims and modified the interface of its purchase flow by discontinuing its use of the “Show more” link on its website and by permanently discontinuing the free trial for its “Invoicing & bookkeeping” services.

NAD therefore did not review the discontinued claims on their merits and the discontinued claims will be treated, for compliance purposes, as though NAD recommended they be discontinued.

In its advertiser statement, Tailor Brands stated that it “appreciated NAD’s careful and thoughtful consideration of this matter,” and that “Tailor Brands has participated in NAD’s self-regulatory process voluntarily and in good faith.”

All BBB National Programs case decision summaries can be found in the case decision library. For the full text of NAD, NARB, and CARU decisions, subscribe to the online archive. Per NAD/NARB Procedures, this release may not be used for advertising or promotional purposes.

About BBB National Programs: BBB National Programs, a non-profit organization, is the home of U.S. independent industry self-regulation, currently operating more than 20 globally recognized programs that have been helping enhance consumer trust in business for more than 50 years. These programs provide third-party accountability and dispute resolution services that address existing and emerging industry issues, promote fair competition for businesses, and a better experience for consumers. BBB National Programs continues to evolve its work and grow its impact by providing business guidance and fostering best practices in arenas such as advertising, child-and-teen-directed marketing, data privacy, dispute resolution, automobile warranty, technology, and emerging areas. To learn more, visit bbbprograms.org.

About the National Advertising Division: The National Advertising Division of BBB National Programs provides independent self-regulation and dispute resolution services, guiding the truthfulness of advertising across the U.S. The National Advertising Division reviews national advertising in all media and its decisions set consistent standards for advertising truth and accuracy, delivering meaningful protection to consumers and promoting fair competition for business.


Name: Jennie Rosenberg
Email: jrosenberg@bbbnp.org
Job Title: Media Relations

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