Segeumwon, Self-Employed Consulting Users Show "Relatively Good Survival and Closure Rates"

Analysis Results of Survival Rate and Closure Rate of Self-Employed Consulting Users Provided by the Korea Inclusive Finance Agency
[Photo by Korea Inclusive Finance Agency]

[Asia Economy Reporter Song Seung-seop] The Korea Inclusive Finance Agency announced on the 17th that among self-employed individuals who received policy-based inclusive finance, those who utilized consulting services showed favorable survival and closure rates.

Based on data from the Corporate Birth and Death Administrative Statistics for sole proprietorships released by Statistics Korea in December last year, the agency's analysis revealed that the closure rate of consulting service users provided by the agency was 9.4%, which is 2.3 percentage points lower than the average closure rate of 11.7% announced by Statistics Korea. The one-year survival rate of start-ups was also 83%, 19 percentage points higher.

The Korea Inclusive Finance Agency supports self-employment consulting through 150 consultants nationwide. Last year, consulting services were provided to 5,733 people, an increase of 11.8% compared to the previous year.

The agency plans to provide consulting not only to policy-based inclusive finance borrowers but also to self-employed individuals undergoing credit recovery support processes. Based on the case of supporting 420 local small business owners with the budget of Buk-gu Office in Gwangju since 2019, the agency intends to expand collaboration with other local governments. Currently, to expand related services, they are recruiting 16 additional consultants until the 22nd.

Lee Gye-moon, President of the Korea Inclusive Finance Agency, emphasized, "Most self-employed individuals find it difficult to manage various factors affecting their business operations," adding, "To provide stronger support for the self-employed, we plan to newly introduce tax and labor advisory services requested for additional support and expand linked support for inclusive finance products."

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