How to Get a Business License in SD
You can get a business license online by applying with the correct licensing or regulatory agency for your business.
Business licensing requirements generally depend on your business’s activity and location (zoning requirements).
There are three main licensing jurisdictions:
State of South Dakota Business Licensing
The main state-level permit or license in South Dakota is the sales tax license, also commonly known as a seller’s permit.
You must obtain a sales tax license if your business has a physical presence in South Dakota.
Visit the Department of Revenue to obtain a seller’s permit.
Additionally, businesses in certain occupations must have specific licenses or permits. The South Dakota Department of Labor and Regulation provides a list of all the state’s occupational licensing agencies and their contact information.
Local South Dakota Business Licensing
In South Dakota, you may need other licenses or permits from your local government depending on your business activity or location.
For example, the City of Pierre requires several types of businesses, including contractors and tattoo businesses, to have city licenses.
Steps for Obtaining a Business License in South Dakota
South Dakota Sales Tax License
You can register for a South Dakota sales tax license online.
Other South Dakota Business Licenses
The South Dakota sales tax license does not need to be renewed. Contact the relevant state, municipal, or county government office for the renewal requirements of any other license or permit your business may have.
Federal Business Licenses and Permits
You can get a business license by applying with the correct licensing and regulatory agency for your business. Business licensing requirements depend on your business’s activity and location (zoning requirements).
If your business conducts activities that are regulated by the federal government, you will need to apply for the appropriate business license or permit.
Choose a business activity below to learn how to apply:
Firearms, ammunition, and explosives
Fish and wildlife
Mining and drilling
Radio and television broadcasting
Transportation and logistics
SD Business License FAQ
What is a business license?
A business license is a permit issued to businesses by a government office that allows the business to operate in a particular area. They can be issued by federal, state, or local governments. There are typically different licensing requirements for different businesses and different locations.
What are the types of business licenses?
There are many types of business licenses. These include licenses at the local, state, and federal levels, licenses related to sales tax and other taxes, and specific licenses for various professions. There are also environmental licenses, zoning permits, and more.
Is there a national business license?
Most businesses don’t need a federal business license, but some industries, including broadcasting, investment advising, and drug manufacturing, do have federal regulations and licenses.
Is an EIN the same as a business license?
No. An employer identification number (EIN) is issued by the IRS to identify and keep track of businesses, but it does not license them to operate.
Is an LLC considered a business license?
No. An LLC is a type of business structure. While you are required to register as an LLC, it is not a business license.
Who needs a South Dakota business license?
Every business located in South Dakota needs a sales tax license. Businesses in certain professions or locations may also need other specific licenses.
What licenses do I need to open a business in South Dakota?
You will at least need a South Dakota sales tax license. Businesses in certain professions or locations may also need other specific licenses.
What is a seller’s permit?
A seller’s permit is the common name for a license or permit that allows you to sell products or services. In South Dakota, this is called a sales tax license.
How much does a South Dakota business license cost?
There is no fee to register for a South Dakota sales tax license. The cost of other licenses and permits varies.
How do I get a South Dakota business license?
You can register for a South Dakota sales tax license online through the state’s Department of Revenue website. Contact the relevant state, municipal, or county government office for information about how to obtain other licenses or permits.