How To Start An LLC In South Dakota In 2025

Everything you need to know about forming an LLC in South Dakota, plus our expert-tested recommendations for the best formation services in the Mount Rushmore State.

Updated:
Written By South Dakota Business Experts
Reviewed By Legal & Tax Professionals

Affiliate Disclosure: We earn a commission from partner links on Simple LLCs. Commissions do not affect our editors' opinions or evaluations. Learn more about our review process.

South Dakota offers exceptional advantages for LLC formation. With a $150 state filing fee, no state income tax and a business-friendly regulatory environment ranked among the best in the nation, South Dakota is an outstanding choice for entrepreneurs. The state consistently ranks in the top 3 for business tax climate and regulatory environment.

Our top pick for South Dakota LLC formation is ZenBusiness. They offer expedited processing for South Dakota LLCs, include a year of free Worry-Free Compliance, and their $0 formation package means you only pay the $150 South Dakota state fee. With their expertise in South Dakota business law and excellent customer support, they make the entire process simple and stress-free.

$150
South Dakota State Filing Fee
0%
State Income Tax
$55
Annual Report Fee

Compare the Best South Dakota LLC Services of 2025

Side-by-side comparison of features, pricing, and capabilities

Feature
ZenBusiness logo
ZenBusiness
Best Overall Value
Bizee logo
Bizee
Fastest Formation
Inc Authority logo
Inc Authority
Free Formation
Tailor Brands logo
Tailor Brands
Best for Branding
LegalZoom logo
LegalZoom
Best for Legal Support
Rocket Lawyer logo
Rocket Lawyer
Legal Documents
BetterLegal logo
BetterLegal
Speed & Simplicity
Active Filings logo
Active Filings
Traditional Service
Filenow logo
Filenow
Budget Option
Northwest logo
Northwest
Basic Formation
Starting Price
$0
+ state fees
$0
+ state fees
$0
+ state fees
$0
+ state fees
$0
+ state fees
$99.99
+ state fees
$299
all-inclusive
$199
+ state fees
$99
+ state fees
$39
+ state fees
Our Rating
4.9 /5
4.6 /5
4.4 /5
4.3 /5
4.2 /5
4.0 /5
3.9 /5
3.8 /5
3.6 /5
3.4 /5
Standard Processing
7-10 days
3 weeks
7-10 days
3 weeks
5-14 days
5-7 days
2 days
5-10 days
7-10 days
7-10 days
Rush Processing
1 day
+$79
1 day
+$49
2 days
+$99
1 day
+$99
Standard speed
2 days
+$100
3 days
+$50
Compliance Tools
Worry-Free Compliance
Free 1st year
Alerts only
Basic monitoring
Basic tools
Included
Basic alerts
Included
Premium only
Extra cost
Document library
With membership
Limited
Basic support
Basic tools
Limited
None
Not available
None
Not included
Registered Agent
$199/yr
Not included
Free Year 1
Then $119/yr
Free Year 1
Then $199/yr
$119/yr
Not included
$249/yr
Not included
$149/yr
Not included
Included
In base price
Free Year 1
Then $119/yr
+$125/yr
Not included
$125/yr
Available
Operating Agreement
+$99
+$99
+$50
Included
+$99
Included
Included
+$99
+$40
+$39
EIN Service
+$99
+$70
+$70
Included
+$159
+$99
Included
+$70
+$50
+$70
Customer Support
Phone, Chat, Email
Limited
Phone, Chat
Phone, Email
Phone, Chat
Phone, Chat
Phone, Email
Phone, Email
Email only
Email only
Mobile App
Attorney Access
Get Started Get Started Learn more → Get Started Learn more → Get Started Learn more → Get Started Learn more → Get Started Learn more → Get Started Learn more → Get Started Learn more → Get Started Learn more → Get Started Learn more → Get Started Learn more →

Note: State filing fees are additional for all services except where noted. Features and pricing may vary by state.

Our Top Picks for South Dakota LLC Services

#1
ZenBusiness logo Best Overall for South Dakota
4.9/5
$0
+ $150 SD state fee

ZenBusiness excels at South Dakota LLC formation with their expedited filing option and deep knowledge of South Dakota's specific requirements. They include their Worry-Free Compliance for the first year (saving you $199+), handle your state registration, and provide ongoing compliance support. Their team is well-versed in South Dakota's annual report requirements and can help ensure you stay compliant with all state regulations.

Best For:

South Dakota entrepreneurs who want comprehensive support and reliable, accurate filing

Pros

  • Expedited South Dakota LLC filing available
  • Free Worry-Free Compliance for 1 year
  • Includes South Dakota annual report reminder service
  • Expert support familiar with South Dakota requirements
  • 100% accuracy guarantee on South Dakota filings
  • Free EIN and operating agreement with Pro plan

Cons

  • Premium features require upgraded plans
  • Registered agent is $199/year
#2
Bizee logo Fast South Dakota Formation
4.6/5
$0
+ $150 SD state fee

Bizee (formerly Incfile) offers efficient South Dakota LLC formation with fast processing options. They provide a free South Dakota registered agent for the first year and their dashboard specifically tracks South Dakota's annual report deadline. Perfect for entrepreneurs who need their South Dakota LLC formed quickly and efficiently.

Best For:

South Dakota businesses needing fast, reliable formation

Pros

  • Fast South Dakota processing available
  • Free South Dakota registered agent for first year
  • Lifetime company alerts for South Dakota compliance
  • Dashboard tracks South Dakota annual reports
  • Free business tools and templates
  • No hidden fees on basic package

Cons

  • Operating agreement costs extra
  • Limited phone support hours
#3
LegalZoom logo Best Legal Support in SD
4.2/5
$0
+ $150 SD state fee

LegalZoom brings decades of experience with South Dakota business formation. Their attorney network includes South Dakota-licensed lawyers who can provide state-specific legal advice. While their add-ons are pricier, they're ideal for South Dakota businesses with complex legal needs or those who want the security of professional legal backing.

Best For:

South Dakota businesses needing ongoing legal support and guidance

Pros

  • Attorney consultations for South Dakota law
  • Rush filing available for South Dakota
  • Comprehensive South Dakota legal forms library
  • Phone support with South Dakota expertise
  • 30+ years serving South Dakota businesses
  • Peace of mind guarantee

Cons

  • South Dakota registered agent costs $249/year
  • Operating agreement extra (+$99)
#4
Tailor Brands logo Best South Dakota Branding Package
4.3/5
$49
+ $150 SD state fee

Tailor Brands combines South Dakota LLC formation with comprehensive branding tools. Perfect for South Dakota's growing business sectors, they help establish your brand identity while handling the legal formation. Their packages include everything needed to launch a professional South Dakota business presence online and offline.

Best For:

South Dakota creative businesses and startups needing branding

Pros

  • Logo design and branding included
  • Website builder with South Dakota business info
  • Business cards with South Dakota address
  • 1-2 day South Dakota processing
  • EIN and operating agreement included
  • Social media kit for South Dakota business

Cons

  • Monthly subscription required
  • No rush processing for South Dakota
#5
Inc Authority logo Free South Dakota Formation
4.4/5
$0
+ $150 SD state fee

Inc Authority offers genuinely free South Dakota LLC formation where you only pay the $150 state fee. They include a free South Dakota registered agent for the first year and handle all state filings. While processing is slower than competitors, they're perfect for South Dakota entrepreneurs prioritizing cost savings over speed.

Best For:

Budget-conscious South Dakota entrepreneurs

Pros

  • Truly free South Dakota LLC formation
  • Free South Dakota registered agent for first year
  • Free tax consultation for South Dakota businesses
  • Handles state filing
  • No hidden fees on basic package
  • South Dakota business forms included

Cons

  • Processing takes 7-10 business days
  • South Dakota registered agent renews at $119/year
  • Aggressive upselling reported
#6
Northwest Registered Agent logo Privacy Focused
3.4/5
$39
+ $150 SD state fee

Northwest Registered Agent takes a minimalist approach to South Dakota LLC formation, focusing on privacy and straightforward service without the bells and whistles. They handle your South Dakota state registration efficiently and provide registered agent services at competitive rates, making them ideal for business owners who prefer a simple, direct approach to LLC formation.

Best For:

South Dakota entrepreneurs who prioritize privacy and simple, no-frills service

Pros

  • Strong privacy protection for South Dakota businesses
  • Transparent pricing with no hidden fees
  • Handles South Dakota state filing
  • No aggressive marketing or upselling
  • Straightforward South Dakota LLC process
  • Low-cost registered agent service

Cons

  • Email-only customer support
  • No rush processing for South Dakota filings
  • Limited business tools and resources
  • Basic operating agreement template
#7
BetterLegal logo All-Inclusive & Fast
3.9/5
$299
+ $150 SD state fee

BetterLegal offers a streamlined approach to South Dakota LLC formation with their comprehensive $299 service package plus South Dakota's $150 state filing fee. With guaranteed 2-business-day turnaround and transparent pricing, they're perfect for entrepreneurs who want speed and simplicity without hidden costs in their South Dakota LLC formation process.

Best For:

South Dakota businesses needing everything done quickly with transparent pricing

Pros

  • Guaranteed 2-business-day South Dakota formation
  • Everything included: formation, EIN, operating agreement, registered agent
  • Transparent flat-rate pricing structure
  • South Dakota-specific compliance guidance
  • No hidden fees or surprise costs
  • Streamlined single-package approach

Cons

  • Higher upfront cost than budget options
  • State filing fees are additional cost
  • Limited ongoing support after formation
  • Fewer customization options
#8
Rocket Lawyer logo Legal Platform
4/5
$99
+ $150 SD state fee

Rocket Lawyer goes beyond simple South Dakota LLC formation to provide a comprehensive legal platform. With access to South Dakota-licensed attorneys and an extensive library of legal documents, they're ideal for businesses that need ongoing legal support. While formation takes longer than specialized services, the added legal resources make it worthwhile for complex South Dakota business needs.

Best For:

South Dakota businesses anticipating ongoing legal needs and document creation

Pros

  • Access to South Dakota-licensed attorneys
  • Comprehensive legal document library
  • Ongoing legal support beyond formation
  • Rush South Dakota processing available (additional fee)
  • South Dakota business law resources
  • Attorney consultations included with membership

Cons

  • Monthly membership required for best value
  • South Dakota formation takes 5-7 business days
  • Higher costs compared to formation-only services
  • Complex pricing structure
#9
Active Filings logo Traditional Service
3.8/5
$199
+ $150 SD state fee

Active Filings provides reliable South Dakota LLC formation with a focus on personal service and phone support. While their pricing is higher than newer competitors, they offer a traditional approach that many South Dakota business owners appreciate, with knowledgeable representatives who understand South Dakota's specific LLC requirements and annual reporting deadlines.

Best For:

South Dakota entrepreneurs who prefer phone support and traditional business services

Pros

  • Phone support with South Dakota expertise
  • First year registered agent included
  • Rush processing available for South Dakota
  • Traditional, reliable service approach
  • South Dakota annual report reminders
  • Basic compliance tools included

Cons

  • Higher starting price than competitors
  • Limited online tools and resources
  • Standard processing takes 5-7 days
  • Fewer modern business features
#10
Harbor Compliance logo Compliance Specialists
3.5/5
$99
+ $150 SD state fee

Harbor Compliance specializes in the ongoing administrative and compliance aspects of South Dakota business ownership. While their basic LLC formation is straightforward, their real strength lies in helping established South Dakota businesses navigate complex regulatory requirements, making them ideal for companies planning significant growth or those with specialized compliance needs.

Best For:

South Dakota businesses with complex compliance needs or planning to expand

Pros

  • Specialized in ongoing South Dakota compliance
  • Corporate services and advanced structures
  • South Dakota annual report filing services
  • Business licensing assistance
  • Registered agent services statewide
  • Focus on regulatory requirements

Cons

  • Higher fees for premium services
  • Complex pricing for basic formation
  • Longer processing times (7-10 days)
  • Limited customer support hours

South Dakota LLC Requirements & Steps

What You Need to Form a South Dakota LLC

  • Unique LLC Name: Must include "Limited Liability Company," "LLC," or "L.L.C." and be distinguishable from other South Dakota businesses
  • South Dakota Registered Agent: Required by law - must have a South Dakota street address (no P.O. boxes)
  • Articles of Organization: Filed with South Dakota Secretary of State
  • EIN (Federal Tax ID): Required to open a business bank account and hire employees
  • Operating Agreement: Not required by South Dakota but highly recommended
  • Annual Report: Due by the first day of the anniversary month of formation

South Dakota LLC Costs

  • State Filing Fee: $150 online ($165 by mail)
  • Registered Agent: $100-$300/year (or free first year with most services)
  • EIN: Free from IRS, $50-$150 through formation services
  • Annual Report: $55 per year
  • Name Reservation: $25 (optional, reserves name for 120 days)
  • Business License: Varies by business type and location

South Dakota LLC Timeline

  • Name Approval: Instant online check via Secretary of State
  • Processing Time: 1-2 business days online, longer by mail
  • EIN Application: Instant online or 4 weeks by mail
  • Total Time to Launch: 1-5 business days with expedited service

Why Form Your LLC in South Dakota?

Tax Advantages

  • • No state income tax
  • • No franchise tax on LLCs
  • • Business-friendly tax climate

Business Environment

  • • Strong agricultural economy
  • • Growing technology sector
  • • Tourism and outdoor recreation
  • • Central location for distribution

Legal Protections

  • • Strong asset protection laws
  • • Privacy for members
  • • Flexible management structure
  • • No ownership restrictions

Easy Administration

  • • Reasonable state filing fee ($150)
  • • Fast processing times
  • • Simple annual reporting ($55)
  • • Business-friendly regulations

South Dakota LLC Frequently Asked Questions

How much does it cost to form an LLC in South Dakota?

The South Dakota state filing fee is $150 for online filing ($165 by mail). Additional costs include a registered agent ($100-$300/year, though many services offer the first year free), EIN application (free from IRS or $50-$150 through a service), and the annual report fee of $55. Most South Dakota entrepreneurs spend between $150-$500 total to form their LLC, depending on which services they choose.

Do I need a registered agent for my South Dakota LLC?

Yes, South Dakota law requires every LLC to have a registered agent with a South Dakota street address (P.O. boxes are not acceptable). The registered agent receives legal documents and official state correspondence on behalf of your LLC. You can serve as your own registered agent if you have a South Dakota address, but most business owners use a professional service for privacy and reliability. Some services include the first year free.

How long does it take to form an LLC in South Dakota?

South Dakota offers efficient LLC processing times. Online filing through the Secretary of State typically takes 1-2 business days, while mail filing takes longer. With expedited service through providers like ZenBusiness or Bizee, you can streamline the process further. Most entrepreneurs can have their South Dakota LLC approved and ready to operate within a few business days.

What is South Dakota's annual report requirement?

South Dakota LLCs must file an annual report by the first day of the anniversary month of formation each year. For example, if you formed your LLC in March, your annual report is due by March 1st each year. The report costs $55 and can be filed online through the Secretary of State. It updates your business information including address, registered agent, and manager details. Failure to file results in a $55 penalty and potential dissolution.

Can I form a South Dakota LLC if I don't live in South Dakota?

Yes, you don't need to be a South Dakota resident to form a South Dakota LLC. However, you must have a registered agent with a South Dakota street address. This is where professional registered agent services become essential for out-of-state business owners. Keep in mind you may also need to register as a foreign LLC in your home state if you're conducting business there.

What name requirements exist for South Dakota LLCs?

Your South Dakota LLC name must be unique and distinguishable from other businesses registered in the state. It must include "Limited Liability Company," "L.L.C.," or "LLC" at the end. You can check name availability through the Secretary of State's website. Certain words may require additional approval. You can also reserve a name for 120 days for a $25 fee if you're not ready to form your LLC yet.

Popular South Dakota Cities for LLCs

Eastern South Dakota:
  • • Sioux Falls
  • • Watertown
  • • Brookings
  • • Mitchell
Black Hills Region:
  • • Rapid City
  • • Deadwood
  • • Spearfish
  • • Hot Springs
Central South Dakota:
  • • Pierre
  • • Huron
  • • Aberdeen
  • • Yankton
Other Cities:
  • • Lead
  • • Sturgis
  • • Madison
  • • Vermillion

Ready to Start Your South Dakota LLC?

Join thousands of entrepreneurs who've successfully formed their South Dakota LLCs. Get started today with our top-rated formation services.