Foreign qualification is the process by which a business entity from another state seeks permission to conduct business in South Dakota. This involves registering with the Secretary of State and complying with the state's laws and regulations to ensure legal operation within the state.
There are 2 different ways to foreign qualify in South Dakota depending on your legal entity type and tax classification. Follow the guide below to help you register with the Secretary of State in South Dakota or use Mosey to do it.
Use Mosey to register with the Secretary of State in South Dakota.
Avoid the hassle of doing it yourself and use Mosey to automate foreign qualification, annual reports, and registered agent service.
South Dakota Foreign Registration for LLC
All limited liability companies must obtain a Certificate of Authority from the Office of the Secretary of State before operating in South Dakota. Like most states, South Dakota provides a list of activities not considered "doing business" in lieu of defining "doing business."
Obtain a Certificate of Existence
South Dakota requires a Certificate of Existence from your home state issued within 90 days.
Establish a Registered Agent
You will need to appoint a registered agent in order for your Certificate of Authority filing to be approved. Your resident agent must have a South Dakota street address. It can be any South Dakota resident or a corporation qualified to do business in South Dakota.
Apply for a Certificate of Authority
You can submit your Application for Certificate of Authority and pay the filing fee online with the South Dakota Secretary of State.
South Dakota Foreign Registration for C Corporation
All corporations must obtain a certificate of authority from the Office of the Secretary of State before operating in South Dakota. Like most states, South Dakota provides a list of activities considered not "doing business" in lieu of defining "doing business."
Obtain a Certificate of Existence
South Dakota requires a Certificate of Existence from your home state issued within 90 days.
Establish a Registered Agent
You will need to appoint a registered agent in order for your Foreign Corporation Certificate of Authority filing to be approved. Your resident agent must have a South Dakota street address. It can be any South Dakota resident or a corporation qualified to do business in South Dakota.
Apply for a Certificate of Authority
The Application for Certificate of Authority – Foreign Business Corporation can be submitted online with the South Dakota Secretary of State.
What else do I need to know?
Once you are registered with the Secretary of State, you may have additional requirements to maintain your "good standing" in the state. Failing to do so can result in fines, back taxes, and forfeiting certain priveleges within the state.
Maintaining a Registered Agent
Most states require that you have a registered agent that can receive important mail from the Secretary of State should they need to contact you. There are many commercial options available or you can use Mosey to be your registered agent and keep your information private in South Dakota.
Annual Reports and Taxes
In addition to maintaining a registered agent, most states require you to file a report annually. Registration can also trigger state taxes such as a franchise tax or income tax. You can use Mosey to identify these additional requirements to maintain good standing in South Dakota.
