South Dakota STEP

Assistance is limited to South Dakota companies that qualify as “eligible small business concerns” (see http://www.sba.gov/document/support-table-size-standards), have profitable U.S. operations, products or services for export that have at least 51% US content, are in good standing with the South Department of Revenue and the IRS, and agree to a limited media release. An individual company that receives a STEP grant may receive a second one if funds are available.

Qualifying expense categories include:

• Export related enhancements to websites, apps or e-commerce platforms, including translation;
• Department of Commerce subscription services;
• Export-related training and education courses;
• Design of international marketing materials, including digital materials and ad placements;
• Costs relating to foreign product certifications/compliance testing;
• Costs associated with international intellectual property protection;
• Fees for shipping sample products;
• Virtual or in-person international trade shows, foreign trade missions or foreign market sales trips;
• Airfare (limited to one person, economy class on a US air carrier, and compliance with Airline Open Skies Agreements (Fly America Act) provisions) ;
• Hotel (limited to one person subject to U.S. State Department Foreign Federal Hotel Per Diem Rates found here. For reimbursement of hotel accommodations, submit invoices containing only room rates, taxes and/or hotel fees; amenities are not eligible for reimbursement.);
• Premiums on trade insurance (i.e., Export-Import Bank premiums); and
• Any other eligible expenses, subject to review.

Expense categories ineligible for reimbursement include, but are not limited to:

• Activities that occur outside the grant period of September 30, 2022 - September 29, 2024;
• Compensation, wages, or salary of any employee of the grant recipient;
• Alcoholic beverages, meals and incidentals, phone and internet usage;
• Passport or visas fees; Immunizations (including Covid vaccinations and tests);
• New product development or alteration of existing products;
• Printing of international marketing materials (including brochures, flyers, posters, etc.);
• Television and radio production costs; and
• Capital goods, product samples, giveaways, supplies and conference registrations.

• Fill out a STEP application providing information on your company, products or services produced, proposed international market activity, anticipated results, and project budget (Attachment A).
• Sign a Letter of Commitment outlining your company’s obligations if you receive a grant (Attachment B).
• Sign a Limited Media Release Form (Attachment C).
• Sign SBA Eligible Small Business Concern Self-Certification Form (Attachment D).
• Sign SBA Form 1624, Certification Regarding Debarment (Attachment E).
• Submit all application materials online to Kathleen Ireland at South Dakota Trade (Ireland@SouthDakotaTrade.com). Applications are received and reviewed on a rolling basis.
• Funding decisions will be made on a competitive basis, based on the likelihood that the company’s export efforts will be sustained or expanded beyond the grant period, and the potential economic impact for the company and for job creation in South Dakota.

• All grant activities and reporting must be completed by September 29, 2024.
• Successful applicants must provide quarterly progress reports during the entire grant period from September 30, 2022–September 29, 2024, even after having been reimbursed. Companies that fail to meet this requirement may not be eligible for a SD-STEP Grant in the future.
• Quarterly progress reports must provide details regarding export successes, such as joint ventures, actual sales, contract agreements, and/or partnerships with distributors/agents.
• Awardees will recover authorized funds only after their activity has been completed and all documentation and receipts are submitted in a single package to the Office of International Commerce.
• The SD-STEP Reimbursement Form and Instructions for completing the Form can be found online at [insert link].
• All reimbursements must be listed on the Reimbursement Form (Attachment F). Only itemized receipts or invoices with eligible expenses and proof of payment will be reimbursed.
• If an award activity is not executed for any reason the applicant is responsible for all activity costs; no pre-paid activity costs for non-executed activities will be reimbursed.
• Reimbursement payments will normally be issued within a month of submission.