Forming an LLC in South Dakota
Forming an LLC in South Dakota in 7 easy steps
- To begin with, you must choose a permissible name for your company. You cannot pick a name that is already used by another LLC and you must naturally refrain from trademark violations. The name you chose must contain an LLC identifier, such as “Limited Liability Company”, “LLC” or “L.L.C.”.
- When forming an LLC in South Dakota, you are not required by law to involve an attorney. It is common to let an attorney check the Operating Agreement before it is adopted, but if you chose to do so or not is up to you. You should be aware that a flawed Operating Agreement can lead to trouble with the IRS in the future.
- The Articles of Organization should be filed at the South Dakota filing office. In South Dakota, the minimum filing fee when forming an LLC is $125. (For 15 business days.)
- During step four, the members of the LLC need to attend an organizational meeting where they adopt the Operating Agreement.
- Get a FEIN (Federal Employer Identification Number) for the LLC.
- The LLC can now open up its own bank account.
- Don’t forget to obtain a local business license form each applicable city/county. Also check if the LLC needs any permits.
Maintaining an LLC in South Dakota
In South Dakota, the LLC is required to hand in an annual report and pay $30 in annual report fee. The annual report is should be handed in the same month as the initial filing each year.
