Best LLC Formation Services in South Dakota | Comparative Review 2024

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Best South Dakota LLC Formation Services

Best LLC formation services in South Dakota: If you would like to start an LLC in South Dakota, also known as The Mount Rushmore State, there are a few steps to follow. In general, you can set up your LLC in two ways: either you can do it yourself or take help from professionals. South Dakota is a business-friendly state and has immense opportunities for start-ups. However, setting up an LLC in South Dakota can be stressful for beginners. Hence, hiring a professional LLC formation service is better than doing it on your own.

In South Dakota, you will find several LLC formation services that offer great deals. Some offer free service, some offer a business website and logo with the LLC package, and some offer something else. This is incredibly attractive; however, based on your company’s requirements, you must choose the best option for you!

To help you navigate setting up an LLC, Webinarcare Editorial Team has compiled a list of the best South Dakota LLC formation services. These companies can help you handle the paperwork and legal requirements, so you can focus on growing your business.

Best LLC Services in South Dakota

Starting an LLC is attractive for many entrepreneurs looking to establish a new business. Limited Liability Companies (LLCs) offer numerous advantages for entrepreneurs and small business owners, including liability protection, flexibility in management, and favorable tax treatment. As a result, many entrepreneurs are choosing to form their LLCs in South Dakota.

The Best South Dakota LLC Formation Services

In this section, we will describe the operating procedures of the best LLC Formation Services available in South Dakota along with several other relevant information. We will also discuss these companies’ costs, pros, and cons so you to understand better and choose the right LLC formation services you want in South Dakota.

LLC Service

Rating & Pricing

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#1 Recommendation

$0 + State fee

  • Free LLC Formation

  • Legal Support

  • Highly Reputed Company

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$299 + State fee

  • Single LLC formation package

  • Flat price for all services

  • Legal consultation

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Webinarcare Editorial Team has come up with some extraordinary LLC formation services. This is a general list based on our experience. You can compare their services and pricing before you hire them to form your business.

Following are the 5 best LLC formation services in South Dakota:

Now, let’s dive into the list of best LLC formation services in South Dakota.

1. LegalZoom

legalzoom

LegalZoom is a well-established name in the business formation industry, offering a range of legal services beyond South Dakota LLC formation. Their experience and reputation make them a reliable choice for entrepreneurs.

Plans and Pricing

LegalZoom’s pricing for LLC formation starts at $0 plus state fees for the Basic Package, which includes a name check, filing formation documents, and access to an online document library. The Pro Package ($249 plus state fees) adds a personalized operating agreement, while the Premium Package ($279 plus state fees) includes expedited processing and priority shipping.

Add-on Services by LegalZoom

  • Registered Agent
  • Trademark registration
  • Copyright registration
  • Patent services
  • Estate planning
  • Legal advice
  • Expedited Filing

Registered Agent Service is not included in any packages. It is available as an add-on at $299 per year! LegalZoom is the best option if you have a requirement of only registered agent service, not the entire formation package.

Pros 👍Cons 👎
A well-known and reputable companyMore expensive than some competitors
A wide range of legal services beyond LLC formationSome customer reviews mention slow turnaround times.
Lifetime customer support
Explore LegalZoom

2. BetterLegal

betterlegal

BetterLegal provides an efficient and user-friendly platform for entrepreneurs to establish legal entities such as LLCs (Limited Liability Companies) and corporations. The platform streamlines forming a business entity, making it easier and more accessible for individuals without legal expertise.

Plans and Pricing

BetterLegal offers a straightforward pricing structure for its services. The company offers $299 + state fees price for a formation package. You must pay $50 to get the service if you want to obtain the EIN. Besides, BetterLegal is a legal firm that provides legal support and consultation.

Other Services and Add-ons By BetterLegal

  • Registered Agent service – $10/month or $90/year
  • State Annual compliance services – $10/month or $90/year
  • Permit & License Search Service – $125
  • Amendment & document research – $0

Amendment and document research come with BetterLegal’s core formation package. It is free. On the other hand, this service is available as a standalone service. You must purchase the core formation package if you need amendment and document research.

Pros 👍Cons 👎
User-Friendly PlatformLimited Legal Advice
Time and Cost SavingsState-Specific Services
Transparent PricingLack of Customization
Explore BetterLegal

3. ZenBusiness

zenbusiness

ZenBusiness is an affordable and user-friendly option for forming an LLC. With its straightforward pricing and comprehensive services, ZenBusiness has quickly become one of the most popular choices for entrepreneurs looking to form an LLC.

Plans and Pricing

ZenBusiness offers three different pricing plans, starting at $0 plus state fees for their basic package, which includes a registered agent service, an operating agreement, and a worry-free guarantee. Their Pro package ($199 plus state fees) adds an Employer Identification Number (EIN), banking resolution, and expedited filing. The Premium package ($299 plus state fees) includes all Pro features, a business website, a domain name, and an email address.

Add-on Services By ZenBusiness

  • Tax and Accounting
  • Compliance Services
  • Annual Reports
  • Business License Reports
  • Business Website
  • Banking & Finances

ZenBusiness provides a standalone registered agent service. If you do not need the entire formation package, you can only purchase their registered agent service at $99 per year.

Pros 👍Cons 👎
Affordable pricing and clear, transparent plansThe basic package does not include an EIN
Excellent customer service and supportNo South Dakota nonprofit formation
Fast turnaround times for LLC formation
Positive customer reviews
Explore ZenBusiness

4. Incfile

incfile

Incfile is another popular choice for entrepreneurs forming an LLC. They offer various services, from basic formation packages to more comprehensive plans with additional features. Incfile is one of those services that started LLC formation services at $0.

Plans and Pricing

Incfile’s pricing starts at $0 plus state fees for their basic Silver package, which includes a registered agent service, company alerts, and online access to incorporation documents. The Gold package ($149 plus state fees) includes an EIN, operating agreement, and banking resolution. In contrast, the Platinum package ($299 plus state fees) adds a business website and domain, expedited filing, and customizable legal forms.

Add-on and Other Services By Incfile

  • Registered Agent: $119 after a year (one year free)
  • Employer Identification Number: $70
  • Operating agreement: $40
  • Certificate of Good Standing: $49 + State Filing Fees
  • File corporation annual report: $88 + State Filing Fees
  • Doing Business As (DBA): $99 + State Filing Fees
  • Trademark Registration: $199 + Federal Filing Fees
  • Business License Search: $99
  • Dissolution: $149 + State Filing Fees
  • S-Corp Tax Election: $50 for current LLC & $25 for current C-Corps

Registered agent service at Incfile is available at $119 per year. However, you can enjoy it for free for one year if you take their formation package.

Pros 👍Cons 👎
Competitive pricing, with a free basic package availableSome additional features, such as a business website, are only available in the most expensive package.
A comprehensive range of services and featuresAdditional cost to obtain EIN
It comes with a registered agent service, even in the basic package
Good customer support
Explore Incfile

5. Northwest Registered Agent

northwest registered agent

Northwest Registered Agent is known for its personalized customer service and commitment to privacy. They offer a simple and straightforward approach to South Dakota LLC formation, focusing on the essentials.

Plan and Pricing

Northwest Registered Agent charges a flat fee of $225 plus state fees for their South Dakota LLC formation service, which includes a registered agent service, filing formation document, and an operating agreement draft.

Add-ons and Other Services By Northwest Registered Agent

  • Registered Agent at $125 yearly
  • Annual report filing at $100 + state filing fee
  • Obtaining EIN at $50
  • Northwest offers National Agent Service. If you operate your LLC Registered Agent in 5 or more states, you can pay $100 + state fees (if applicable) to get a single agent for all states.

With Northwest Registered Agent, you can enjoy the standalone Registered Agent service. If you don’t want the full formation package, you can purchase the only registered agent service for $125 per year.

Pros 👍Cons 👎
Flat fee pricing with no upsells or hidden costs.No tiered pricing or additional features are available.
Excellent customer service and personalized supportMore expensive than some competitors
Focus on privacy and security.

Webinarcare Editorial Team selects these LLC Formation Services through thorough research and market study. You must cross-check all the factors before choosing the right one for your South Dakota business.

Explore Northwest Registered Agent

What is an LLC?

An LLC, or Limited Liability Company, is a legal business structure that combines the benefits of both corporations and partnerships. It offers limited liability protection to its owners, known as members, and provides flexibility in management and taxation. LLCs in South Dakota are popular among South Dakota business owners and entrepreneurs because they are relatively easy to set up and maintain compared to other business structures.

Key features of an LLC include:

  • Limited Liability Protection: Members of South Dakota LLC are not personally liable for the company’s debts or liabilities. This means that their personal assets, such as homes and savings, are protected from creditors and lawsuits related to the business.
  • Flexible Management: Unlike South Dakota Corporations, which require a Three board of directors and officers, LLCs can be managed by the members themselves or by appointed managers. This allows for more flexibility in how the company is run and makes it easier for small business owners to maintain control over their operations.
  • Pass-through Taxation: By default, South Dakota LLCs are not taxed as separate entities. Instead, their profits and losses pass through to the owners, who report them on their personal income tax returns. This avoids the double taxation that affects corporations, which pay taxes on their profits, and then shareholders pay taxes on dividends. However, LLCs can also be taxed as corporations if it’s more advantageous for their specific situation.
  • Easy Formation and Compliance: Forming an LLC typically requires filing South Dakota Articles of Organization with the South Dakota and paying a filing fee of $165 (by mail and $150 online). While some ongoing compliance requirements may apply, such as submitting South Dakota Annual Reports or maintaining a Registered Agent, LLCs generally have fewer regulations and restrictions than corporations.

An LLC offers a flexible and relatively simple way for entrepreneurs and small business owners to establish a legal business structure while providing limited liability protection and potential tax advantages.

How to Choose the Best LLC Formation Services

Choosing the best LLC formation service South Dakota depends on several factors, such as pricing, features, customer support, and overall reputation. To make an informed decision, consider the following steps:

  • Determine your needs: Identify your specific requirements before comparing South Dakota LLC formation services. Do you need help filing the necessary paperwork or require additional services like Obtaining an EIN, drafting an operating agreement, or having a registered agent service?
  • Research and compare options: Compile a list of potential LLC formation services available in South Dakota. Research each company’s reputation, customer reviews, and track record. Look for services with a history of satisfied clients, quick turnaround times, and a strong reputation for providing accurate and reliable support.
  • Compare pricing and packages: Analyze the pricing and packages offered by each service. Some companies offer tiered pricing, while others charge a flat fee for their services. Consider the features included in each package and determine which one offers the best value for your needs. Remember that the cheapest option may only sometimes be the best choice, as it could lack essential features or support.
  • Evaluate customer support: Customer support is crucial when dealing with legal and regulatory matters. Make sure the South Dakota LLC formation service you choose offers responsive and knowledgeable support through various phone, email, or live chat channels. It would be best if you also verified their availability during your preferred hours of operation.
  • Consider additional services: Some LLC formation services offer a range of additional features, such as ongoing compliance assistance, legal advice, or business document templates. If you anticipate needing these services, choosing a provider that can fulfill all your business requirements in one place may be beneficial.
  • Read customer reviews and testimonials: Lastly, read customer reviews and testimonials to gain insights into each company’s performance and client satisfaction. Look for consistent patterns in feedback, such as responsiveness, accuracy, and professionalism. Remember that occasional negative reviews are inevitable, but a company with overwhelmingly positive feedback will likely provide a reliable and satisfactory experience.

By carefully considering your needs, comparing options, and evaluating customer support and additional services, you can choose the best LLC formation service in South Dakota that meets your requirements and helps you start your business on a strong foundation.

Importance of Professional LLC Formation Services

Professional LLC formation companies play a crucial role in helping entrepreneurs and small business owners establish their businesses by simplifying the process of forming a Limited Liability Company (LLC). These services offer a range of benefits, including saving time and effort, ensuring compliance with legal requirements, and providing ongoing support. Here are some key reasons why utilizing professional LLC formation companies is important:

Expertise and experience

Professional LLC formation companies possess the knowledge and experience to navigate the complex process of forming an LLC. They understand the legal requirements, regulations, and documentation needed to establish a compliant LLC in your state. This expertise can help you avoid costly errors, omissions, or delays in the formation process.

The LLC formation services should know about filing an LLC, Articles of Organization, or Articles of Incorporation in South Dakota Secretary of State.

Time and Effort Savings

Forming an LLC can be time-consuming, especially for first-time entrepreneurs needing to become more familiar with the process. By enlisting the help of a professional LLC formation company, you can save time and effort, allowing you to focus on other aspects of starting and growing your business.

Compliance Assurance

One of the primary benefits of using South Dakota professional LLC formation service is ensuring that your LLC complies with state laws and regulations. This includes accurately preparing and filing the necessary paperwork with a Registered Agent, obtaining required South Dakota Business Licenses and permits, and maintaining ongoing compliance through South Dakota Annual Reports and other filings.

Registered Agent Services

South Dakota require LLCs to have a Registered Agent, who is responsible for receiving legal and government correspondence on behalf of the company. Many professional LLC formation companies offer South Dakota Registered Agent Services, which can be a convenient and cost-effective solution for maintaining this requirement.

Customized Operating Agreements

A well-drafted South Dakota Operating Agreement defines your LLC’s structure, management, and ownership. Professional LLC formation services often provide customized operating agreements tailored to your business needs, ensuring your South Dakota LLC is set up correctly.

Ongoing Support and Resources

Many professional LLC formation companies offer ongoing support and resources for business owners, including assistance with compliance, legal advice, and access to business document templates. This can be invaluable in helping you manage and grow your business.

Peace of Mind

South Dakota LLC formation services provide peace of mind, knowing your business is set up correctly and compliantly. This allows you to focus on your core business objectives with the confidence that experts are handling your LLC’s legal and regulatory requirements.

Can an LLC Formation Services Help Me File My Taxes?

Each LLC formation specialist provides tax advice to help you avoid state tax penalties easily. You can even file your taxes on time, so your business won’t be charged a fee. The LLC formation company or your hired Registered Agent can file for your taxes in South Dakota Department of Revenue.

Do I Need South Dakota LLC Formation Services?

You can do everything an LLC service can without paying the service fees. Business owners who don’t want to file independently can benefit from LLC services, which can also give them access to other legal services from experienced lawyers. Your South Dakota LLC can also be created for you by a local business lawyer. South Dakota Business Attorney can be a good option if you prefer a personal relationship with someone who can assist you with various legal questions and issues, even though this may cost more than an online service.

FAQs

What is an LLC formation service?
An LLC formation service is a company that helps people set up their own limited liability companies (LLCs).
Is it necessary to hire an LLC formation service when starting a business in South Dakota?
No, but it can be very helpful in ensuring that everything is set up correctly.
What are the advantages of forming an LLC?
An LLC provides personal liability protection, helps you establish business credibility, and offers tax advantages.
Can anyone form an LLC in South Dakota?
Yes, as long as they follow the proper legal procedures.
What is the process for forming an LLC in South Dakota?
The process involves filing documents with the South Dakota Secretary of State, obtaining an EIN, and complying with local regulations.
How long does it take to form an LLC in South Dakota?
The process typically takes between two and four weeks.
What is the cost of forming an LLC in South Dakota?
It varies depending on the LLC formation service you choose and the specific services you require.
What should I look for in an LLC formation service in South Dakota?
Look for a service that provides ease of use, affordability, and personalized customer support.
Can I use a registered agent service instead of an LLC formation service?
Yes, but an LLC formation service generally offers a more comprehensive set of services.
Is legal assistance necessary when forming an LLC in South Dakota?
It’s not required, but it can be helpful if you’re unsure about the best way to structure your business.
What happens after I form my LLC in South Dakota?
You’ll need to obtain any necessary licenses and permits, file taxes, and set up your business infrastructure.
Can I change the name of my LLC after I’ve formed it in South Dakota?
Yes, but you’ll need to file paperwork and pay a fee.
Are there any ongoing requirements for maintaining an LLC in South Dakota?
Yes, you’ll need to file annual reports and pay a fee.
Can non-US citizens form an LLC in South Dakota?
Yes, but they’ll need to appoint a registered agent in the state and obtain an EIN from the IRS.
Can LLCs have multiple members in South Dakota?
Yes, an LLC can have multiple members in South Dakota.
Can I transfer ownership of my LLC in South Dakota?
Yes, but you’ll need to file paperwork and pay a fee.
What happens if I don’t file my annual report on time in South Dakota?
Your LLC may be dissolved or face other penalties.
Can I form an LLC in South Dakota to run my rental property business?
Yes, forming an LLC can be a good option for rental property businesses.
Can I form an LLC in South Dakota to run my e-commerce business?
Yes, forming an LLC can be a good option for e-commerce businesses.
Can I form an LLC in South Dakota if I’m a freelancer or independent contractor?
Yes, forming an LLC can be a good option for freelancers or independent contractors who want more liability protection.
Can I use a business name that’s already taken in South Dakota?
No, your business name must be unique in South Dakota.
Can I file my LLC formation paperwork online in South Dakota?
Yes, all states allow online filings nowadays.
What is the difference between a single-member and multi-member LLC in South Dakota?
A single-member LLC has one member, while a multi-member LLC has two or more members.
Can I form an LLC with family members in South Dakota?
Yes, you can form an LLC with family members in South Dakota.
Can I get a refund if I change my mind about using an LLC formation service in South Dakota?
It depends on the specific service and their refund policy.
Can I use a PO box as my LLC’s address in South Dakota?
No, you need to provide a physical address for your LLC in South Dakota.
Do I need to get a business license in South Dakota to form an LLC?
It depends on the industry you’re in, but in most cases, yes.
Can I form an LLC in South Dakota if I’m already running my business as a sole proprietorship?
Yes, moving from a sole proprietorship to an LLC can be a good way to get more liability protection.
Are there any mandatary taxes LLC formed in South Dakota need to pay?
Montly charges when registering and filing forms with secretary or state or if specified and an annual report fee to maintain up-to-date records after company formation.
Are there any special requirements for forming an LLC in South Dakota?
South Dakota requires that LLCs file a Statement of Organizational Intent with the Secretary of State in order to legally conduct business in the state.
Can I form an LLC in South Dakota without a physical address in the state?
Yes, you can use a registered agent service that has a physical address in South Dakota to establish your LLC.
How much does it cost to form an LLC in South Dakota?
The filing fee for forming an LLC in South Dakota is $150, though this fee may vary based on the type of service you choose to use.
Are there any additional fees associated with maintaining an LLC in South Dakota?
South Dakota has an annual report fee of $50 that each LLC must file every year.
Do I need to submit annual reports to maintain my LLC in South Dakota?
Yes, LLCs in South Dakota are required to submit an annual report every year.
Is it possible to form a single-member LLC in South Dakota?
Yes, South Dakota allows for single-member LLCs.
Are there any residency requirements to form an LLC in South Dakota?
There are no residency requirements for forming an LLC in South Dakota.
Can I choose any name I want for my South Dakota LLC?
No, your chosen name must be unique and not already in use by another business entity in the state.
Can I reserve a name for my LLC in South Dakota before I actually go through the formation process?
Yes, you can reserve a name for up to 90 days before filing your LLC paperwork.
Do I need to have an operating agreement for my South Dakota LLC?
No, but it is highly recommended that all LLCs have an operating agreement.
What information do I need to provide when forming an LLC in South Dakota?
You will need to provide basic information about your LLC, including its name, purpose, and the names of its officers or managers.
Are there any restrictions on who can form an LLC in South Dakota?
No, anyone may form an LLC in South Dakota as long as they follow the state’s established protocols.
Do I need a tax ID number to form an LLC in South Dakota?
It is recommended but not required to obtain an EIN for tax purposes.
Can I change the name of my LLC later on after it has already been formed in South Dakota?
Yes, it’s possible to change your LLC’s name after it’s been formed by filing an amendment.
Are there any special business licenses or permits I need to operate my LLC in South Dakota?
Depending on your industry and location, there may be additional licenses or permits required at the local or state level.
Can I file online to form my LLC in South Dakota?
Yes, it is possible to file online, though many people find it helpful to hire a professional service that can assist them with the process.
What happens if I don’t file an annual report for my LLC in South Dakota?
Failure to file an annual report in South Dakota can lead to administrative dissolution of your LLC.
Are there any special tax requirements for South Dakota LLCs?
South Dakota does not have a state income tax, but LLCs may still be subject to other state and federal taxes depending on their type of business activity.
How do I choose a registered agent for my South Dakota LLC?
You should look for a registered agent that has a physical address in South Dakota, as well as experience and a reputation for reliability and accuracy.
Can I form an LLC in South Dakota if I am a non-US resident?
Yes, there are no restrictions based on residency for forming an LLC in South Dakota.
How do I know if an LLC is the right choice for my business in South Dakota?
It’s best to consult with a legal professional who can help you decide if an LLC is the appropriate business structure for your specific situation.
Will my personal assets be protected if I form an LLC in South Dakota?
Yes, by forming an LLC in South Dakota, you create a layer of legal protection that can protect your personal assets in the event of a business lawsuit or bankruptcy.
Are there any disadvantages to forming an LLC in South Dakota?
As with any business structure, there are both advantages and disadvantages to forming an LLC. It’s essential to consult with a professional to determine whether this is the best choice for your situation.
Can I have multiple LLCs in South Dakota?
Yes, South Dakota allows businesses to form multiple LLCs as long as each one has a unique name.
Do LLCs have meetings and record minutes in South Dakota?
LLCs in South Dakota may hold meetings, but they are not legally required to do so. There are no minutes to be kept.
Is it possible to form an LLC in South Dakota anonymously?
No, the names of the LLC’s owners or managers must be included in the registration paperwork.
How can I dissolve my LLC in South Dakota?
To dissolve an LLC in South Dakota, you will need to file articles of dissolution with the Secretary of the State and pay any necessary fees.

Also Read

Why is South Dakota One of the Best Places for Business

One of the key reasons why South Dakota is so attractive to businesses is its pro-business climate. The state government has made it a priority to create an environment that is conducive to business growth and success. Unlike some other states, South Dakota has light regulations and business-friendly policies that allow companies to operate with minimal red tape. This streamlined process makes it easier for businesses to get up and running quickly, without being bogged down by bureaucratic hurdles.

South Dakota is also known for its low taxes, which can be a huge advantage for businesses looking to maximize their profits. The state has no corporate income tax, no personal income tax, and no business inventory tax. This savings can have a significant impact on a company’s bottom line, allowing them to reinvest more money back into their business or pass the savings on to their customers.

In addition to its favorable tax environment, South Dakota also offers a skilled and educated workforce. The state boasts a high graduation rate, and many of its residents have pursued higher education, giving businesses access to a workforce that is knowledgeable and well-trained. This well-educated workforce is an asset for businesses in South Dakota, as it enables them to find and retain top talent to help their company succeed.

Another key advantage of doing business in South Dakota is its strategic location. The state is situated in the heart of the country, making it an ideal location for businesses looking to reach both domestic and international markets. With its central location, businesses in South Dakota have easy access to major transportation routes, including interstates and railroads, as well as airports that offer connections to major cities across the country.

Overall, South Dakota stands out as one of the best places for business due to its pro-business environment, low taxes, skilled workforce, and strategic location. For entrepreneurs looking to start a new venture or expand an existing business, South Dakota offers a welcoming and supportive environment that can help drive success. Whether you’re a small startup or a large corporation, South Dakota’s business-friendly climate makes it a top choice for companies of all sizes and industries. With its strong economy and favorable business conditions, it’s easy to see why South Dakota is a prime destination for businesses looking to thrive and grow.

Conclusion

Choosing the right South Dakota LLC formation service for your needs depends on your budget, your support level, and any additional features you may need. ZenBusiness and Incfile are excellent choices for affordable yet comprehensive LLC formation services, while LegalZoom and Rocket Lawyer may be more suitable for entrepreneurs who require ongoing legal support. Northwest Registered Agent is a great option for those prioritizing privacy and personalized customer service.

Regardless of which LLC formation service you choose for your South Dakota LLC, it is essential to research and compares your options thoroughly to ensure you receive the best possible support and value for your money. By doing so, you can focus on growing your business with the confidence that your legal and regulatory requirements are in good hands.

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