Businesses Headquartered in South Dakota
The US Small Business Administration defines small businesses as companies with fewer than 100 employees. According to a report by this administration, in 2018, there were 85,252 small businesses in South Dakota employing 209,694 people. The finance and insurance industry which includes banking, employs 9,164 people in South Dakota. However, this report does not indicate how may of these businesses specifically have headquarters in the state. Based on data provided by Hoovers, the number of small, medium, and large businesses headquartered in South Dakota are 1,279, 270, and 39 respectively.
Since the US U.S. Bureau of Labor is responsible for measuring and providing data on working and labor conditions, our first strategy involved scouring the organization's website. There, we located a data search tool which allowed us to find the number of employees in South Dakota and the amount earned by these employees by industry. While these statistics were somewhat helpful in understanding South Dakota economic and labor trends, they did not directly answer the question.
We continued our research by examining a variety of press releases and news reports. Forbes provided a list of the largest companies in South Dakota. However, Forbes only listed the companies by total revenue. After thoroughly looking at a few of these companies such as Black Hills Corporation, we found that sales in South Dakota only accounted for a small portion of their revenue. Other reports were published by Zippia and Business News Daily but they only offered a list of the top companies in South Dakota. There was no indication of whether or not these companies are actually headquartered in the state neither did they offer a full list of businesses by size.
Next, we consulted other government sources including American Fact Finder by the US Census Bureau and South Dakota's Office of Economic Development. American FactFinder provided data from the 2015 census in the US. Not only was this data old, we were only able to find the number of businesses in South Dakota with a payroll. As a last resort, we turned to a third party database, Hoovers. This platform provided a breakdown of businesses in South Dakota by size.
BUSINESSES IN SOUTH DAKOTA
As stated by the US Small Business Administration , mid-size or medium companies have between 100 to 999 employees while large businesses have more than 1,000 employees. Based on data provided on Hoovers, there are 1,279 small businesses (defined as businesses with less than 100 employees), 370 medium or mid-size businesses (100-999 employees), and 39 large businesses headquartered in South Dakota.
By employees, the breakdown of businesses headquartered in South Dakota is as follows:
- Number of businesses with less than 4 employees: 133
- Number of businesses with between 5 to 10 employees: 261
- Number of businesses with between 11 to 49 employees: 629
- Number of businesses with between 50 to 99 employees: 256
- Number of businesses with between 100 to 499 employees: 323
- Number of businesses with between 500 to 999 employees: 47
- Number of businesses with between 1,000 to 4,999 employees: 33
- Number of businesses with over 5,000 employees: 6
By revenue, the breakdown of businesses headquartered in South Dakota is as follows:
- Number of businesses with a total annual revenue of between $1 million to $5 million: 535
- Number of businesses with a total annual revenue of between $5 million to $10 million: 192
- Number of businesses with a total annual revenue of between $10 million to $50 million: 255
- Number of businesses with a total annual revenue of between $50 million to $500 million: 136
- Number of businesses with a total annual revenue of between $500 million to $1 billion: 10
- Number of businesses with a total annual revenue of between $1 billion to $10 billion: 5
- Number of businesses with a total annual revenue of over $10 billion: 3
BUSINESS BANKING IN SOUTH DAKOTA
There are 435 banks and financial groups in South Dakota, most of which offer business banking services. The largest banks offering business services in the state are First PREMIER Bank with 2,093 employees in South Dakota and Great Western Bank with 1,568 employees. According to South Dakota's Office of Economic development, financial services - which includes business banking, is a key industry in the state. The industry makes up 15% of South Dakota's economy. It also saw a 10.3% growth from 2003 to 2013. The average wage of financial services jobs in South Dakota is $28.04 per hour.