Jeongeup-si Leads Efforts to Enhance Small Business Competitiveness and Revitalize Commercial Districts

[Asia Economy Honam Reporting Headquarters Reporter Kim Jaegil] Jeongeup City in Jeonbuk announced on the 23rd that it is promoting various projects to strengthen the competitiveness and stabilize the management of small business owners who are experiencing difficulties due to the prolonged COVID-19 pandemic, economic recession, and weakened consumer sentiment.

The key projects being promoted include the Small Business Special Guarantee Loan Support Project, Card Fee Support Project, and Small Business Mutual Aid (Norang Usan Gongje) Subscription Support Project.

The special guarantee support system issues a guarantee certificate on behalf of small business owners in the region who lack collateral and find it practically difficult to obtain loans from formal financial institutions, enabling them to secure operating funds loans.

The loan limit is up to 30 million KRW per small business owner, and to alleviate the financial burden on small business owners, the city supports an annual interest rate of 2.0% on the loan.

The Small Business Mutual Aid Subscription Support Project targets small business owners with annual sales of 300 million KRW or less, providing 10,000 KRW per month (up to 12 times) annually, totaling 120,000 KRW, when newly subscribing to the Norang Usan Gongje and paying monthly mutual aid contributions.

Projects supporting small business owners and self-employed individuals struggling due to COVID-19 also include public utility fee support and social insurance premium support.

In particular, the COVID-19 related small business public utility fee support project has received great response from small business owners, securing a budget in the second supplementary budget as well.

The public utility fee support project targets local small business owners with annual sales of 200 million KRW or less who operated their business from January to March and did not suspend or close their business.

Business operators without physical stores, such as door-to-door sales and e-commerce businesses, are excluded, and support of 200,000 KRW per month for three months, totaling 600,000 KRW, is provided.

The project is planned to be promoted throughout the year until the budget is exhausted, and so far, 3,923 locations have been supported with 2.34 billion KRW.

Additionally, the card fee support project has secured a supplementary budget and is being promoted year-round until the budget is exhausted, with 2,068 locations supported with 627 million KRW.

The card fee support project targets local small business owners with sales of 300 million KRW or less in the previous year (2019), supporting 0.8% of the previous year's card sales amount (up to 500,000 KRW per business).

All industries except entertainment and gambling businesses can apply.

Small business owners wishing to receive support can apply by fax or visit the town or township office, or the community service center with supporting documents at their business location.

Mayor Yoo Jin-seop said, "I thank the local small business owners who are wisely overcoming management difficulties amid the ongoing economic downturn caused by COVID-19," and added, "We will continue to support small business owners with better policies next year so that their efforts will not be in vain."

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