The processing time is typically 1-2 business days if filing online or 5-7 business days if filing by mail. However, this timeline can vary depending on the workload and any errors. You can expedite the filing to be approved within 1-2 business days with an additional $50 fee. There are factors that affect the timeline like volume of applications, documentation issues, processing errors, and holidays. It’s important to submit proper documentation to avoid delays.
Starting an LLC Online
The fastest way is to file online. To form an LLC you need:
- A completed set of Articles of Organization
- A business name
- A filing fee paid to the Secretary of State
Additional steps before formally starting your LLC include:
- Research your target market to ensure demand
- Read industry guides to understand your niche
LLCs formed in other states can register in South Dakota as a foreign LLC. Deciding on a business name involves brainstorming unique names and researching availability.
Tax Identification and Benefits
When filing taxes the government uses your EIN to identify who owns the company, how much it makes, and how much tax to take. You can file your EIN directly on the IRS website if you have the paperwork or use an online service.
Knowing how to start an LLC in South Dakota for free can be valuable. Incorporating as an LLC offers benefits like pass-through taxation and liability protection. South Dakota provides a business-friendly environment with low taxes and regulations, making it a desirable location to launch an LLC.
While an Operating Agreement is not required, it is highly recommended to have one. LLCs are taxed as pass-through entities, meaning profits and losses pass to owners’ tax returns.
Processing Speed and Additional Fees
The time to form a corporation or LLC depends on the Secretary of State’s office processing speed. Priority processing puts your formation ahead of routine processing, substantially reducing time. Expect routine processing to take 4-6 weeks in slower states. Paying for expedited filing ensures quicker processing.
The annual report filing fee to maintain an LLC in South Dakota is $50 online or $65 via paper. To form an LLC yourself just requires paying the $155-165 state filing fee. Using a service has a small additional fee but handles the process for you.