South Dakota Sale and Assignment of a Percentage Ownership Interest in a Limited Liability Company

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Description

A limited liability company (LLC) is a separate legal entity that can conduct business just like a corporation with many of the advantages of a partnership. It is taxed as a partnership. Its owners are called members and receive income from the LLC just as a partner would. Management of an LLC is vested in its members. An operating agreement is executed by the members and operates much the same way a partnership agreement operates. Profits and losses are shared according to the terms of the operating agreement.


A membership interest may be used to refer to the ownership interest of a member in the LLC. The word unit is often used to reflect the membership interests of a member in the LLC. Some LLC's issue membership interest certificates. To become a new member of the LLC the consent of majority of the members is necessary. A transfer of units of an existing member does not automatically include membership into the LLC.

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FAQ

Although an LLC Operating Agreement is not required in South Dakota, it is good practice to have one. The Operating Agreement serves as your LLC's "rule book" and provides necessary structure for the business.

Dakota's LLCs will protect your personal assets from the creditors of your business. These creditors could be employees, individuals the business has contracted with, or individuals bringing personal liability claims against the business.

A fee is hereby imposed at the rate of fifty cents for each five hundred dollars of value or fraction thereof upon the privilege of transferring title to real property in the State of South Dakota, which fee shall be paid by the grantor.

To dissolve your corporation in South Dakota, you must submit the completed Articles of Dissolution form by mail or in person, in duplicate, to the Secretary of State along with the filing fee.

How do I change my South Dakota LLC name? In order to change your LLC name, you must file the Amended Articles of Organization with the South Dakota Secretary of State. This officially updates your legal entity (your Limited Liability Company) on the state records.

43-4-38 Buyer furnished completed disclosure statement prior to written offer--Amendment. 43-4-39 Terminating written offer made prior to disclosure statement.

To dissolve your North Dakota LLC by filing Articles of Dissolution by Organizers, there is a $20 fee. To file the Articles of Dissolution by Members, there is a $20 filing fee and you must also file the Notice of Dissolution which costs $10.

How do you dissolve/terminate a South Dakota Limited Liability Company? To dissolve/terminate your domestic LLC in South Dakota, you must submit the completed Articles of Termination form to the South Dakota Secretary of State by mail or in person and in duplicate along with the filing fee.

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South Dakota Sale and Assignment of a Percentage Ownership Interest in a Limited Liability Company