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Launching Your South Dakota Business: A Step-by-Step Guide

  • 4 min read

Starting a business can feel overwhelming. From budgeting to legalities and marketing, there’s a lot to navigate. And when you look at the statistics it’s even scarier! Around 20-23% of businesses don’t make it past their first year. And only about half of businesses survive the first five years!

By taking the time to set up your business correctly, you’re laying the foundation for long-term success. It minimizes legal risks, opens doors to opportunities, and positions you for sustainable growth.

At Dot Marketing, we’ve helped countless South Dakota businesses get off the ground, and we’re here to guide you through the process.

Here’s a roadmap to follow:

people in the process of starting a new business in South Dakota

1. Crunch the Numbers

Before diving in, solidify your startup costs and ongoing operating expenses. This will help determine your financial needs.There’s no one-size-fits-all answer to ideal operating capital for every business since a service business and a manufacturing business would be very different.

A good rule of thumb for a new business is to aim for at least 3-6 months of operating capital to create a buffer during the initial, uncertain period.

New Business Owner crunching the budget numbers

2. Build Your Online Presence

  • Secure a domain name for your website and email addresses.
  • Obtain a business phone number and establish a business address.
www domain

3. Register Your Business

Officially register your business with the South Dakota Secretary of State: https://sdsos.gov/business-services/default.aspx

4. Secure Tax IDs

Business Tax ID paperwork

5. Open a Business Bank Account

Deposit your startup capital and establish a relationship with a commercial banker who can support your business growth.

6. Develop Your Brand Identity

  • Invest in a professional logo design.
  • Create essential marketing materials like business cards, name tags, website, and promotional products.
  • Consider signage and banners for your business location.
Chameleon logo

7. Assemble Your Professional Team

  • Partner with a qualified accountant to manage your finances.
  • Secure appropriate business insurance.
  • Consult a business attorney to review and draft contracts.

8. Marketing and Launch

  • Implement a strategic plan to attract customers. Generally, expect to allocate anywhere from 5% to 10% of your total budget towards marketing.
  • Open your doors and start building your business!

Building Your Business Network

Beyond these core steps, consider connecting with these essential service providers depending on your office needs:

Essential Services:

Sign company, commercial remodeling company, printer/copier company, office supplies company, janitorial service, water machine company. Business networking could be a great way to make relationships with these businesses.

Building Maintenance Services:

Window cleaning, lawn mowing, snow removal, plumber, electrician, HVAC technician, handyman company.

Need Local Recommendations?

We can help! Reach out to Dot Marketing and we’ll connect you with the qualified service providers in your area. Call us at 605-519-5740 or click the button below to schedule your free consultation.