How to start an LLC in South Dakota

To start an LLC in South Dakota, file the Articles of Organization with the South Dakota Secretary of State (from $150) once you have a name the state will accept and a registered agent there. Then write an operating agreement, get a free EIN from the IRS and keep the LLC current with the state.

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

How to start an LLC in South Dakota

  1. Choose a name South Dakota will accept and check it against the South Dakota Secretary of State's records.
  2. Appoint a registered agent with a street address in South Dakota.
  3. File the Articles of Organization with the South Dakota Secretary of State (from $150).
  4. Write an operating agreement.
  5. Get a free EIN from the IRS.
  6. 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).

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