South Dakota
State Resources
South Dakota is the among the least populated states in the country, recognized for its striking beauty, national monuments, indigenous tribes and the largest bison population in the U.S. The South Dakota Governor’s Office of Economic Development (GOED) is the state’s chief economic development agency, charged with “driv[ing] the economic development environment that ensures the next generation can succeed in South Dakota.” Its activities span marketing the state as a business location; targeted business financing and incentives; promoting key industries such as agriculture, bioscience, cybersecurity, and manufacturing; infrastructure and community development; encouraging workforce development; and so on. Highlighted below is a sample of how the South Dakota GOED is going to support new ventures in the state.
Proof of Concept Program
GOED’s Proof of Concept Program provides up to $25,000 to South Dakota entrepreneurs, universities, existing companies, and other entities seeking to demonstrate the technical and economic feasibility of an innovation in order to commercialize. Permitted grant uses include paying consultant contracts, procuring material and supplies, covering non-researcher salaries for employees in South Dakota, and paying for technical feasibility or marketing studies services. Funding is awarded under 3 sub-programs – general Proof of Concept, SBIR/STTR Phase 0 to support a Phase I application, and SBIR/STTR Supplement to bridge the gap between Phase I and Phase II funding or strengthen a Phase II application. A 10% matching cash or in-kind investment is required for grants awarded under the general Proof of Concept and SBIR/STTR Supplement sub-programs. For lists of previous awardees, see files linked on the program’s public records page.
South Dakota Jobs Grant Program
GOED’s South Dakota Jobs Grant Program, begun in 2013 and overseen by the Board of Economic Development, helps companies offset the upfront costs of relocating or expanding operations in South Dakota. Both new facility construction or expansion projects with a total cost of less than $20 million and equipment upgrade projects with a total cost of less than $2 million are eligible. The grant program is intended to fund projects that would not have been carried out without the grant and prioritizes the creation or retention of jobs in South Dakota and the expansion of the tax base. Applications are considered on a rolling basis but must be submitted no later than 90 days after construction or equipment installation begins. (See application materials.) Grants issued in the last 5 years range from about $7,000–$100,000 (see files on the program’s public records page).
