Step 1: Choose a name South Dakota will accept
The name has to end with “Limited Liability Company”, “Limited Company”, “L.L.C.” or another form the state accepts. It also has to differ from the names already on the South Dakota Secretary of State's records, and some words need another agency's approval. Check an LLC name in South Dakota against those rules and the registered names we hold, then confirm it on the official search.
Not ready to file? A reservation holds the name: $25, for 120 days. See how to reserve an LLC name.
Step 2: Appoint a registered agent
The Articles of Organization names a registered agent: a person or company with a street address in South Dakota who receives lawsuits and official notices for the LLC during business hours. You can usually serve yourself if you live in the state, or pay a commercial agent a yearly fee.
Our sister site lists the registered agents South Dakota companies use most, with how many companies each one serves.
Step 3: File the Articles of Organization
File it with the South Dakota Secretary of State. The fee is $150 online ($165 on paper). File online, or on paper. The LLC exists once the state accepts the filing.
How long it takes. Immediately online; paper filings in 1 to 3 business days on average. (The office's page.)
Step 4: Write an operating agreement
South Dakota doesn't require one (SDCL 47-34A-103(a)), but without it the state's default rules decide how the LLC is run and how profits and votes are shared. It stays in the company's records; it isn't filed.
Make a free South Dakota LLC operating agreement and download it as a Word file.
Step 5: Get an EIN
An EIN (employer identification number) is the LLC's federal tax ID: banks ask for it to open a business account, and the LLC needs one to hire. The IRS issues it free; apply online at irs.gov once South Dakota has accepted the Articles of Organization.
Step 6: File the South Dakota LLC annual report
Fee: $55 online; $70 on paper (includes the $15 paper filing fee); $55 late fee once delinquent. Due: Each year by the 1st day of the anniversary month of the original filing (may be filed up to two months early). An LLC becomes delinquent two months after the due date, owes the late fee, and may be administratively dissolved if it stays delinquent. A 2026 law (SL 2026, ch 203, effective January 1, 2027) lets entities choose either the anniversary month or a January 31 due date each year. (Source: Filing fees, sdsos.gov.)
| After formation | South Dakota |
|---|---|
| Recurring report | $55 online ($70 on paper) each year (due the 1st of the anniversary month) |
| State tax or fee on LLCs | None |
| Proof of good standing | Certificate of Good Standing, $20 online ($35 on paper) |
Missing the recurring filing is the most common way an LLC loses its good standing, and in time its existence. On our sister site, look up an LLC's status or see how to get a South Dakota certificate of good standing.
What it costs to start an LLC in South Dakota
| State fee | Amount |
|---|---|
| Formation filing (online) | $150 |
| First year, state fees | $150 |
| Each year after | $55 |
Over five years, South Dakota's state fees come to $370. These are state fees only: a commercial registered agent, a publication notice and income taxes are extra. Compare every state's fees, with the options to reserve the name or file faster.
Sources
Filing fees, sdsos.gov, checked 2026-10-07
Contact, sdsos.gov, checked 2026-10-09
Limited liability companies, sdsos.gov, checked 2026-10-07
Domestic LLC articles of organization (PDF), sdsos.gov, checked 2026-10-07
Reservation of LLC name (PDF), sdsos.gov, checked 2026-10-07
Domestic LLC annual report (July 2025) (PDF), sdsos.gov, checked 2026-10-07
Annual report instr, sosenterprise.sd.gov, checked 2026-10-07
Name availability, sosenterprise.sd.gov, checked 2026-10-07
Domestic business pamphlet (PDF), sdsos.gov, checked 2026-10-07
SDCL 47-34A-105, sdlegislature.gov, checked 2026-10-07
SDCL 47-34A-106, sdlegislature.gov, checked 2026-10-07
SDCL 47-1A-401, sdlegislature.gov, checked 2026-10-07
SDCL 47-34A-211, sdlegislature.gov, checked 2026-10-07
SDCL 59-11-24, sdlegislature.gov, checked 2026-10-07
SDCL 59-11-25, sdlegislature.gov, checked 2026-10-07
SDCL 37-11-1, sdlegislature.gov, checked 2026-10-07
SDCL 37-11-5, sdlegislature.gov, checked 2026-10-07
Taxes, dor.sd.gov, checked 2026-10-08
Apply for an EIN online, irs.gov
How to start an LLC in South Dakota
- Choose a name South Dakota will accept and check it against the South Dakota Secretary of State's records.
- Appoint a registered agent with a street address in South Dakota.
- File the Articles of Organization with the South Dakota Secretary of State (from $150).
- Write an operating agreement.
- Get a free EIN from the IRS.
- Keep up with the recurring filings and fees.
Common questions
How much does it cost to start an LLC in South Dakota?
From $150 to file the Articles of Organization. The state's fees come to $150 in the first year and $55 a year after that; a registered agent service or a newspaper notice costs extra.
How long does it take to start an LLC in South Dakota?
The South Dakota Secretary of State gives immediately online; paper filings in 1 to 3 business days on average.
Do I need an operating agreement in South Dakota?
South Dakota doesn't require one (SDCL 47-34A-103(a)), but it's the document that says who owns the LLC and how it's run; banks and partners often ask for it.
Can I start an LLC in South Dakota online?
Yes. The South Dakota Secretary of State takes the Articles of Organization online, for from $150.
When is the South Dakota LLC annual report due?
Each year by the 1st day of the anniversary month of the original filing (may be filed up to two months early). An LLC becomes delinquent two months after the due date, owes the late fee, and may be administratively dissolved if it stays delinquent. A 2026 law (SL 2026, ch 203, effective January 1, 2027) lets entities choose either the anniversary month or a January 31 due date each year.
Does South Dakota require an annual report for LLCs?
Yes. South Dakota's recurring filing: $55 online ($70 on paper) each year (due the 1st of the anniversary month).