Seodaemun-gu Supports Small and Medium Enterprises and Small Business Owners to Alleviate Financial Difficulties

[Asia Economy Reporter Jongil Park] Seodaemun-gu (Mayor Moon Seok-jin) announced on the 31st that it will support the 'Small and Medium Enterprise Development Fund Loans' and 'Special Guarantee for Small Business Owners' throughout the year to stabilize the management and alleviate financial difficulties of local small and medium enterprises and small business owners.

In 2020, Seodaemun-gu's Small and Medium Enterprise Development Fund is 2 billion KRW, and the Special Guarantee for Small Business Owners is 7.5 billion KRW, which will be supported through ongoing applications.

The loan targets for the 'Small and Medium Enterprise Development Fund' are ▲small business owners ▲manufacturing companies registered as factories ▲companies residing in startup support centers ▲social enterprises, etc., which must be located in Seodaemun-gu as of the application date, have been registered for more than one year, and have sales performance.

Applicants can apply for up to 200 million KRW per company for facility funds, operating funds, and technology development funds. However, for credit loans and restaurants, the maximum limit is 50 million KRW.

The loan interest rate is a fixed 1.8% per annum, with secured loans having a grace period of 1 year and repayment terms of 4 years or a grace period of 2 years and repayment over 3 years, and credit loans having a grace period of 1 year with equal installments over 4 years.

Applicants wishing to borrow should prepare related documents such as a copy of the business registration certificate and financial statements, undergo credit screening at Woori Bank Seodaemun-gu Office Branch, and then submit the loan application form, business plan, and related documents to the Seodaemun-gu Office Job Economy Division.

The 'Special Guarantee for Small Business Owners' allows local small business owners to apply for up to 50 million KRW. The interest rate ranges from 2% to 4.5%, with some supported through interest subsidies.

Applicants should bring their business registration certificate and apply in person at the Seodaemun-gu Office Job Economy Division or the Seoul Credit Guarantee Foundation Seodaemun Branch. Loans are made through the issuance of credit guarantees by the Seoul Credit Guarantee Foundation.

Last year, Seodaemun-gu supported 3.8 billion KRW to 38 companies through the Small and Medium Enterprise Development Fund and 4.156 billion KRW to 144 companies through the Special Guarantee for Small Business Owners, receiving much positive response.

Mayor Moon Seok-jin stated, “I hope the loan support project will help stabilize the management of local companies facing difficulties, and we will continue to build a strong Seodaemun-gu that supports the growth of small and medium enterprises through various policies.”

Seodaemun-gu Office Job Economy Division (330-1924)

This content was produced with the assistance of AI translation services.