A strong economy and a low cost of living makes South Dakota an amazing place to launch a business. Depending on your goals and plans, you might want to consider starting a limited liability company (LLC), which promises much-needed protection along with credibility. That being said, there’s a lot to think about when starting a South Dakota LLC — so you will want to plan carefully to streamline this process and make the most of this business structure.
One of the most important decisions when establishing an LLC? Selecting a registered agent. This crucial point of contact is a requirement for starting a South Dakota LLC, but that’s not the only reason to find a registered agent; this decision could have a huge impact on how your LLC functions. After all, registered agent selection is a crucial part of the process for filing South Dakota articles of organization, which, in turn, is necessary when forming an LLC.
In South Dakota, as in other states, the registered agent is meant to receive official communication such as legal documents. The registered agent’s responsibilities may be simple and straightforward, but they are of vital importance to the LLC. As such, the registered agent must meet several strict requirements. These vary between states, but we’re here to clarify: what does it take to appoint a South Dakota LLC?
Starting an LLC in South Dakota doesn’t need to be difficult, but finding the right registered agent is crucial. The wrong decision could prevent you from gaining LLC status or could cause problems down the road, especially if you fail to receive service of process.
In South Dakota, registered agents typically fall into one of two main categories: noncommercial registered agents (including qualifying individuals) or commercial registered agents. Non-commercial registered agents must fulfill one simple requirement: maintaining a street address in South Dakota. A P.O. box does not qualify as a street address and will not be sufficient for acting as a registered agent.
The other main requirement? Consistently being available during business hours (between 9 am and 5 pm) to receive legal documents or service of process on behalf of the LLC. This is sometimes more difficult for individuals to accomplish, but a lot depends on who, exactly, is appointed as the registered agent. It is important to confirm availability prior to making this crucial decision.
South Dakota permits commercial registered agents, which are defined as “organization[s] that [have] paid a registration fee and registered with the Secretary of State to be registered agent service company[ies].”
In South Dakota, it is possible for LLC owners to also serve as registered agents, as long as they meet the previously mentioned requirements: maintaining a street address in South Dakota along with availability during business hours. The street address requirement may be easy to meet, but availability can be more complicated for busy South Dakota entrepreneurs. For this reason, most South Dakota business owners prefer to designate different people or entities as registered agents.
The process of appointing a registered agent can be surprisingly straightforward in South Dakota, but finding the right registered agent is the most important part. From there, some paperwork can be expected, along with a modest filing fee. The process may differ somewhat depending on whether essential steps are completed online.
An official online portal makes it possible to select a registered agent and handle other South Dakota LLC essentials via the Secretary of State’s website. This is part of the overall process of establishing an LLC, so, before designating your registered agent, you’ll submit your business name and register DBA (Doing Business As), if relevant. This is followed by contact information, including an address and a mailing address.
The ‘Select a Registered Agent’ section begins with the designation of a commercial or non-commercial registered agent. If selecting a non-commercial registered agent, it is possible to either search for an existing registered agent or add a new agent by manually entering relevant information.
Appointing online can also involve LLC formation services, which offer additional guidance through every step of this process. Formation services often encompass commercial registered agent services, providing a sort of one-stop-shop that many aspiring business owners find appealing. This is by far the most convenient approach and may also offer the greatest peace of mind.
South Dakota’s Secretary of State provides South Dakota commercial registered agents access to a dedicated registration form. Once completed, this document will detail the name of the registered agent, the jurisdiction and type of entity (if relevant), and contact information (including the registered agent’s street address, email, phone number, and so on).
On this form, commercial registered agents can also provide a statement “regarding alternate means of accepting service of process,” although this is not required. Finally, the form must be signed and dated by an authorized officer. It can be sent to the Secretary of State’s office at 500 East Capitol Avenue in Pierre, South Dakota. This should be accompanied by a filing fee of $100, which is payable to the Secretary of State.
Registered agent information can also be submitted while completing South Dakota’s articles of organization form. This represents article III of the articles of organization and includes either a name and address for a non-commercial registered agent or, if choosing a commercial registered agent, an official number known as the CRA#.
Many business owners are perfectly happy with their registered agents and have no desire to make any changes. Some situations, however, may call for adjusting this role. For example, if a previous registered agent is no longer available during business hours, a new agent should be selected. Some South Dakota business owners may initially select individuals to serve as registered agents but may later discover the value of working with a commercial registered agent service.
No matter why a new registered agent is needed, it is important to notify the Secretary of State. This typically involves a Statement of Change, which details the name and address of the registered agent on file (otherwise known as the ‘old’ registered agent) along with the name and address of the new registered agent. Statements of Change can be filed electronically or through the mail. This calls for a filing fee of $25, payable to the Secretary of State.
Options abound and there is, technically speaking, no one right way to select a registered agent. After taking a close look at various approaches, however, you might conclude that a commercial registered agent service provides the easiest and most reliable approach to meeting South Dakota LLC requirements. Advantages of working with a South Dakota registered agent service include:
Registered agent services are entirely dedicated to their role as the official point of contact for South Dakota LLCs. These services ensure that business owners receive all necessary documentation. This, in turn, provides much-needed peace of mind, with business owners no longer needing to fear missed deadlines or hidden compliance concerns. There are plenty of other matters for South Dakota business owners to worry about; any opportunity to achieve extra peace of mind should be embraced.
South Dakota LLCs must maintain strict compliance with state statutes. One of the key elements of complaints? Meeting registered agent requirements, including not only the appointment of a registered agent, but also, maintaining the necessary street address and availability during business hours. Without these essentials, LLCs risk noncompliance. Non-compliance could result in loss of good standing or could otherwise compromise an organization’s LLC status.
As a South Dakota business owner, you are always busy — and this can make it difficult to remain available between 9 am and 5 pm, as stipulated by local registered agent requirements. Commercial registered agent services provide the ultimate solution: the freedom to run your business as you see fit, but without worrying about noncompliance. You don’t need to feel tethered by registered agent responsibilities when you can let a dedicated service streamline this critical process.
One of the main obstacles to starting an LLC in South Dakota? A major influx in paperwork. This begins with the articles of organization, but additional red tape can be expected. Commercial registered agent services can handle these essentials on your behalf, ensuring that all paperwork is filed correctly and on time. This frees you up to focus on other important business matters.
Registered agents have a powerful role to play in shaping South Dakota LLCs. Don’t let an unreliable registered agent put your local business at risk: with the right registered agent service, you can take confidence in knowing that you will maintain a consistent point of contact — and you can also enjoy the peace of mind that comes with achieving LLC status. Make the most of this opportunity and start working with a registered agent service today.
In South Dakota, the filing fee for a commercial registered agent is $100. The filing fee for completing South Dakota articles of organization is $165, including a $15 paper filing fee. The cost of working with a registered agent service can vary, but this typically costs between $199 and $400.
Simply put, South Dakota LLCs cannot be formed or cannot operate unless they have registered agents. Without meeting this key requirement, local businesses do not legally qualify as LLCs.
In South Dakota, commercial registered agents can choose to no longer serve this function. Known as termination, this process can be carried out by completing the official Statement of Termination. Upon completing this form, registered agents must notify all represented entities.
This portion of our website is for informational or educational purposes only. Tailor Brands is not a law firm, and the information on this website does not constitute legal advice. All statements, opinions, recommendations, and conclusions are solely the expression of the author and provided on an as-is basis. Accordingly, Tailor Brands is not responsible for the information and/or its accuracy or completeness. It also does not indicate any affiliation between Tailor Brands and any other brands, services or logos on this page.
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