South Dakota LLCs are formed by filing Articles of Organization with the South Dakota Secretary of State, either online through SOS Enterprise for $150 or on paper for $165 (fees as of October 2026). Each year after that, the LLC files an annual report, which costs $55 online.
South Dakota has no state personal or corporate income tax, which is part of its appeal for small business owners. The steps are the usual ones: a compliant name, a registered agent, the articles, an operating agreement, an EIN, and the annual report. One change is coming in 2027, when LLCs get to choose their annual report date.
Updated October 2026.
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Best LLC Formation Services in South Dakota (2026)
Comparing services for forming an LLC in South Dakota? Start with this ranked shortlist; details for each pick follow the table.
| Rank | Provider | Best for | Price | What’s included |
|---|---|---|---|---|
| 1 | Mainstay Filing | Forming an LLC with the agent, EIN and annual report included | $199/year + state fee at cost | LLC formation filing, registered agent for the year, EIN application, annual report preparation and filing |
| 2 | SD Registered Agent.org | South Dakota registered agent service only | $99/year | $99 per year, flat; in-state street address for the registered office; legal documents served on the company are scanned and sent to the owner online |
| 3 | South Dakota Registered Agent.co | South Dakota registered agent service only | $99/year | in-state street address for the registered office; legal documents served on the company are scanned and sent to the owner online |
1. Mainstay Filing
Mainstay Filing is our top pick in South Dakota. It costs $199/year + state fee at cost and covers lLC formation filing, registered agent for the year, EIN application, annual report preparation and filing. The price stays the same every year, with no add-on menu.
2. SD Registered Agent.org
SD Registered Agent.org is a South Dakota registered agent service at $99/year. It provides $99 per year, flat; in-state street address for the registered office; legal documents served on the company are scanned and sent to the owner online. It’s a fit if you only need a registered agent rather than full formation help.
3. South Dakota Registered Agent.co
South Dakota Registered Agent.co is a South Dakota registered agent service at $99/year. It provides in-state street address for the registered office; legal documents served on the company are scanned and sent to the owner online. It’s a fit if you only need a registered agent rather than full formation help.
South Dakota LLC fees and filings at a glance
| Filing | South Dakota fee or rule (October 2026) |
|---|---|
| Articles of Organization | $150 online, $165 on paper (SOS fee schedule) |
| Annual report | $55 online, $70 on paper |
| Annual report due | During the LLC’s anniversary month (2027 option: January 31) |
| Late annual report | $50 late fee per report |
| Name reservation | $25, holds the name for 120 days |
| Change of registered agent | $10 |
| Expedited service | $50 |
| Filing office | South Dakota Secretary of State, Business Services |
| Online system | SOS Enterprise (card payments accepted) |
Step 1: Name your South Dakota LLC
South Dakota law (SDCL 47-34A-105) requires the name to contain “limited liability company” or “limited company,” or one of the abbreviations L.L.C., LLC, L.C. or LC. “Limited” may be abbreviated “Ltd.” and “company” may be abbreviated “Co.”
The name must also be distinguishable on the Secretary of State’s records from existing corporations, limited partnerships, other LLCs, and reserved or registered names. If the name is not distinguishable, you can only use it with the other holder’s written consent or a court judgment establishing your right to it.
Look up names on the South Dakota business search, which our South Dakota business name search guide explains step by step. To hold a name, file a reservation for $25. Under SDCL 47-34A-106 it lasts 120 days, and the same applicant cannot reserve the name again until more than 60 days after it expires.
Before you commit, check the domain and social handles on Namechk, try the business name generator if you need alternatives, and search the USPTO trademark database for conflicting marks.
Step 2: Name a registered agent
Every South Dakota LLC needs a registered agent in the state. South Dakota uses the commercial and noncommercial agent system: under SDCL 59-11-6, a filing names either a commercial registered agent (one listed with the Secretary of State) or a noncommercial agent with a name and South Dakota address. Naming a noncommercial agent counts as your affirmation that the agent agreed to serve.
A noncommercial agent can be you, a co-owner, or someone you trust who has a physical address in South Dakota and is available to accept legal papers. If you live out of state, or prefer not to put a home address on the public record, a commercial agent is the practical choice. Switching agents later costs $10.
Mainstay Filing acts as your South Dakota registered agent for the first year when it forms your LLC. If you are filing yourself and only need the agent, SD Registered Agent.org provides one for $99 a year at a flat rate.
Step 3: File Articles of Organization online or on paper
The fastest route is the SOS Enterprise online registration: click “Start a New Business,” choose the LLC registration type, complete the form, and pay $150 by card. If you prefer paper, the system can generate the form for you to print and sign, or you can use the paper Articles of Organization. Paper filings cost $165 because of a $15 paper processing fee.
The articles collect the LLC name, the registered agent, the principal office address, and organizer information. If you need the filing completed sooner than normal, South Dakota offers expedited service for $50.
For a complete look at formation costs, see the South Dakota LLC cost breakdown from Mainstay Filing.
Step 4: Adopt an operating agreement
South Dakota does not require LLCs to file an operating agreement, and the Secretary of State does not review one. Write one anyway. It records ownership percentages, management roles, how profits are split, and what happens if someone wants to leave.
A signed agreement also supports your liability protection by showing the LLC is run as its own business, and banks frequently ask for it.
Step 5: Get an EIN and register for state taxes
Apply for a free EIN through the IRS. Most banks will not open an LLC account without one, and you need it to hire.
South Dakota does not tax personal or corporate income, but it does have a sales tax. If you sell taxable products or services, register with the South Dakota Department of Revenue for a sales tax license before you start selling. Federally, a single-member LLC is a disregarded entity and a multi-member LLC is a partnership by default.
Step 6: File the annual report (and note the 2027 change)
Every South Dakota LLC files an annual report with the Secretary of State. It costs $55 online or $70 on paper, Through 2026, the report is due during the LLC’s anniversary month and becomes delinquent after the last day of that month, with a $50 late fee per delinquent report. The annual report instructions suggest using the business search to confirm your LLC’s Business ID and due date. An LLC that is dissolved or revoked for not filing must go through reinstatement.
Starting January 1, 2027, a 2026 amendment to SDCL 59-11-25 lets each entity pick its filing schedule: either the month of its formation anniversary each year, or on or before January 31 each year starting the calendar year after formation. An LLC in good standing can switch between the two by filing a change-of-filing-date form.
South Dakota also uses annual reports to collect information about agricultural land held by foreign entities, which the Secretary of State compiles into a public report each year. Read each question on the form rather than copying last year’s answers.
Step 7: Check licenses and permits
South Dakota has no general statewide business license. You may need a state license for regulated work, such as contracting, cosmetology or food service, and some cities and counties require local permits.
See our South Dakota start-a-business guide for licensing, insurance and banking steps that go beyond the LLC filing.
South Dakota LLC FAQs
How much does it cost to start an LLC in South Dakota?
The South Dakota Secretary of State charges $150 to file Articles of Organization online or $165 on paper, as of October 2026. The annual report costs $55 online or $70 on paper. Optional fees include a $25 name reservation and $50 expedited service. South Dakota has no state income tax on LLC profits.
When is the South Dakota LLC annual report due?
Through 2026, a South Dakota LLC’s annual report is due during its anniversary month and is delinquent after the last day of that month, with a $50 late fee. From January 1, 2027, under a 2026 law change, entities can choose to file either in their formation anniversary month each year or by January 31 each year starting the year after formation.
What name endings does South Dakota allow for an LLC?
Under SDCL 47-34A-105, a South Dakota LLC name must include “limited liability company,” “limited company,” or an abbreviation such as L.L.C., LLC, L.C. or LC. “Limited” may be written “Ltd.” and “company” may be written “Co.” The name must be distinguishable from others on file.
Can I be my own registered agent in South Dakota?
Yes. You can serve as a noncommercial registered agent if you have a South Dakota address and are available to receive legal papers. Your name and address go on the public record. Owners outside South Dakota, or who want more privacy, usually name a commercial registered agent instead.
Does South Dakota have a state income tax for LLCs?
No. South Dakota does not impose a personal or corporate income tax, so LLC profits are not taxed at the state level. Federal taxes still apply, and businesses selling taxable goods or services must register with the South Dakota Department of Revenue to collect sales tax.
How long is a South Dakota LLC name reservation good for?
A South Dakota name reservation costs $25 and holds the name for 120 days under SDCL 47-34A-106. The same applicant cannot reserve the name again until more than 60 days after the reservation expires, although a reservation can be transferred to another person by filing a notice with the Secretary of State.
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