Small Business Grants in South Dakota
Small business money in South Dakota comes mainly from the Governor's Office of Economic Development (GOED). Grants are only part of it.
Small business money in South Dakota comes mainly from the Governor's Office of Economic Development (GOED). Grants are only part of it. Every card carries its type and whether it is open. These programs support workforce training, innovation, infrastructure development, and agricultural enterprises across the state.
Which South Dakota grants fit your business?
Answer 7 quick questions and we sort the 12 programs on this page into likely fits and long shots. Nothing personal is asked or stored, and final eligibility is always decided by the granting agency.
South Dakota Small Business Grant Programs
State-administered funding programs available to South Dakota small businesses. Verify deadlines directly with the granting agency before applying.
Workforce Development Program
Governor's Office of Economic Development (GOED)
Up to 50% of training costs, up to $500 per employee
RollingReimburses eligible South Dakota companies for employee training expenses. Applications must be submitted at least three weeks before training begins, and trainees must earn at least $15 per hour.
South Dakota Jobs Program
Board of Economic Development
Varies (projects under $20M for facilities, under $2M for equipment)
RollingA grant from the Board of Economic Development to offset the upfront cost of relocating, expanding or upgrading equipment in South Dakota. This is one of the few here a company applies for itself. Your project has to come in under $20 million for a new or expanded facility, or under $2 million for an equipment upgrade. The board weighs whether the project would have happened anyway, so a project already committed is the wrong candidate. Retail buildings, housing and transient lodging, health care facilities and oil and gas pipeline structures are all excluded. Note the name, the state now calls this the South Dakota Jobs Program, dropping the word grant.
Specialty Crop Block Grant Program
South Dakota Department of Agriculture and Natural Resources
Varies by project
RollingEnhances the competitiveness of specialty crops produced in South Dakota. Funds can support market access, food safety, pest control, and research for fruits, vegetables, tree nuts, and horticulture crops.
Proof of Concept Fund
Governor's Office of Economic Development (GOED)
Up to $25,000
RollingProvides funding to conduct research demonstrating the technical and economic feasibility of an innovation before commercialization. Applicants must commit to commercializing results in South Dakota and provide a 10% matching cash or in-kind investment.
Economic Development Partnership Program
Governor's Office of Economic Development (GOED)
Varies (matching grants)
RollingMatching grants for equipment, training, new staff, or to seed and top up a local revolving loan fund. Read the eligibility before you plan around it, because the applicant has to be a nonprofit development corporation, a tribal government, a municipality, a county or another political subdivision. A business cannot apply. It reaches this money by working with whichever local development organisation serves its area.
Community Development Block Grants (CDBG)
Governor's Office of Economic Development (GOED) / HUD
Varies by project
Two rounds a year, deadlines April 1 and October 1, the next is October 1, 2026Federal money for community infrastructure, workforce training and industrial development projects that benefit low and moderate income people. A business does not apply for it. You work through your local planning district, and the community is the applicant of record, so this is money that reaches a business through a project its town is running. Deadlines fall twice a year, on April 1 and October 1, and the next one is October 1, 2026.
Local Infrastructure Improvement Program
Board of Economic Development
Varies by project
Applications reviewed quarterly, cutoffs Jan 31, Apr 30, Jul 31 and Oct 31Grants for building or rebuilding the infrastructure that serves an economic development project, roads, water and sewer. You do not apply. The applicant has to be a political subdivision, a tribal government or a local development corporation, so a business reaches this money by getting its city, county or development corporation to apply on the strength of its project. The Board of Economic Development reviews applications quarterly, with cutoffs on January 31, April 30, July 31 and October 31, and the programme keeps running past each one.
Dakota Seeds Internship Grant
Governor's Office of Economic Development (GOED) / SD EPSCoR
$2,000–$10,000 per intern (varies by degree level)
Closed, no longer accepting applicationsThis program has closed. South Dakota's economic development office states on its own page that Dakota Seeds is no longer an active program, and the last public award record covers 2024. While it ran, it paid matching funds toward intern wages, up to $2,000 for undergraduate interns, $8,000 for master's level and $10,000 for PhD research assistants. It is listed here so you do not spend time chasing it.
Federal Grant Programs
These federal programs are available to small businesses in every state.
SBA 7(a) Loan Program
The SBA's primary lending program guarantees loans through participating lenders. This is a loan, not a grant. But the terms favor small businesses that may not qualify for conventional financing.
Learn moreSBA Microloan Program
Loans up to $50,000, not grants. You borrow from a nonprofit lender near you, not from the SBA itself. The money can cover working capital, inventory, supplies or equipment. Most people get far less than the cap. The average microloan is about $13,000.
Learn moreSBIR/STTR Grants
Competitive federal grants for small businesses doing research and development with commercial potential. Eleven federal agencies take part. Phase I funds proof of concept. Phase II funds full development.
Learn moreMinority Business Development Agency (MBDA) Programs
Help for minority owned businesses that need capital, contracts or new markets. MBDA runs business centers around the country. They give advice, help with bids, and point you toward lenders.
Learn moreGet Grant-Ready
Before you apply, most South Dakota grant programs expect these basics to be in place.
Form your business entity
Most South Dakota grant programs require applicants to be a registered LLC, corporation, or nonprofit. If you haven't formed yet, that's the first step.
$39 + state fee. Includes registered agent, business address, and more.
Get your EIN
An Employer Identification Number is free from the IRS and required on nearly every grant application. You can apply online and receive it immediately.
Open a business bank account
Grant funds need to go into a dedicated business account, not your personal checking. Most agencies will ask for your banking details on the application.
Mercury is a fintech company, not an FDIC-insured bank. Banking services provided through Choice Financial Group and Column N.A., Members FDIC.
Grants by Business Type
Targeted programs for specific business owners in South Dakota.
Rural Business Grants
South Dakota's rural businesses benefit from multiple funding options, including the Specialty Crop Block Grant Program. USDA's Rural Business Development Grant is not one of them, for profit applicants are excluded. GOED also offers agricultural loan programs such as the Agribusiness Bond Program and Livestock Loan Participation.
- ›Specialty Crop Block Grant Program
- ›Agribusiness Bond Program
Technology/Innovation Business Grants
Entrepreneurs and companies with innovative products can access the Proof of Concept Fund for up to $25,000, as well as SBIR/STTR technical assistance through the South Dakota SBDC. The Dakota Seeds program also supports STEM-focused businesses.
- ›Proof of Concept Fund
- ›SBIR/STTR Program
- ›Dakota Seeds Internship Grant
Tips for Applying in South Dakota
Increase your chances of approval with these state-specific tips.
- 1Check the GOED financing and incentives page (sdgoed.com/partners/financing-incentives) regularly, as many programs operate on a rolling basis with quarterly review cycles.
- 2Coordinate with your regional planning district before applying for CDBG or Local Infrastructure Improvement grants. Planning districts assist with application preparation and submission.
- 3For the Proof of Concept Fund, prepare for a dual review process. Your application will undergo both a technical review by the Research Affairs Council and a business review by private equity investors.
- 4Submit Workforce Development Program applications at least three weeks before training begins. Awards are paid on a reimbursement basis, so plan your cash flow accordingly.
- 5Contact the South Dakota SBDC (sdbusinesshelp.com) for free, confidential consulting on grant applications, business planning, and financial projections before you apply.
State Economic Development Agency
Governor's Office of Economic Development (GOED)
GOED provides financing, incentives, and technical assistance to help new and existing South Dakota businesses grow, create jobs, and access capital.
Funding While You Wait
Grant applications in South Dakota can take weeks or months to process. These options can bridge the gap.
Grants in Other States
All state grant guidesFrequently Asked Questions
Yes, South Dakota offers several grant programs that do not require repayment. The Workforce Development Program reimburses eligible training costs, and the South Dakota Jobs Program pays non-repayable grants to businesses expanding or relocating in the state. Dakota Seeds, which used to match the pay of STEM interns, is no longer an active programme. The Proof of Concept Fund may also be forgiven upon successful completion of the feasibility study.
The GOED Workforce Development Program is one of the most accessible grants, covering up to 50% of eligible employee training costs. For innovative startups, the Proof of Concept Fund puts up to $25,000 behind feasibility research, though that one is a conditional loan rather than a grant and is forgiven only if the study finishes as agreed. Businesses expanding in South Dakota may also qualify for the South Dakota Jobs Program through the Board of Economic Development.
Most South Dakota state grant programs do not require minority or women-owned business certification. Programs like the Workforce Development Program, Proof of Concept Fund, and South Dakota Jobs Grant are open to all eligible businesses. However, federal programs such as MBDA grants and SBA contracting programs may require specific certifications. Contact the South Dakota SBDC for guidance on available certifications.
Timelines vary by program. The Proof of Concept Fund screens applications within 10 days and forwards them to reviewers, but the full review process takes longer. The Workforce Development Program pays on a reimbursement basis after training is complete. Programs reviewed by the Board of Economic Development, such as the Local Infrastructure Improvement Program, follow quarterly review cycles with deadlines in January, April, July, and October.
About the Author
Senior Finance & Banking Editor
Richard is the veteran anchor of the site's financial content. Raised in the Midwest and starting his career in Chicago's commercial banking sector, he spent over a decade underwriting small business loans before moving into financial journalism. He doesn't get swept up in startup hype; he cares about unit economics, APYs, and fee structures.
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Grant programs change frequently. Deadlines, eligibility requirements, and funding amounts listed here may be outdated. Always verify information directly with the granting agency before applying. This page is for informational purposes only and does not constitute financial or legal advice.
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