Electromagnetic form factors serve to explore the intrinsic structure of nucleons and their strangeness partners. For the decay $\Sigma^0\to\Lambda e^+e^-$, due to limited phase space, the effects caused by the Sigma-to-Lambda transition form factors compete with the QED radiative corrections. These corrections are addressed in the present work, evaluated beyond the soft-photon approximation, i.e., over the whole range of the Dalitz plot and with no restrictions on the energy of the radiative photon.