The Scope of External Experts Receiving Stock Options Expands... Amendment to the Venture Act Enforcement Decree

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The range of external experts eligible to receive stock options from venture companies will be expanded. Previously limited to professionals such as lawyers and accountants, it will now include individuals with over 10 years of experience and those holding doctoral degrees.

The Ministry of SMEs and Startups announced on the 27th that it approved the revision of the Enforcement Decree of the Special Measures for the Promotion of Venture Businesses Act at the Cabinet meeting, which expands the scope of external experts eligible for stock options.

Until now, external experts eligible for stock options were limited to 13 professional qualifications, including lawyers, accountants, and doctors. The industry has continuously raised concerns about limitations in utilizing stock options when recruiting external experts other than regular employees.

With this revision of the enforcement decree, the scope of external experts eligible to receive stock options has been significantly expanded to include, in addition to the existing professional qualifications, ▲ individuals with over 10 years of experience ▲ doctoral degree holders ▲ and those with a master's degree plus 5 years of practical experience.

Lee Young, Minister of SMEs and Startups, stated, "With the expanded scope of stock option utilization, we expect the innovation and growth of venture companies leveraging external experts to accelerate."

The revised enforcement decree will take effect on the 4th of next month. To support the use of stock options by venture companies, a policy briefing session will also be held on the 6th of next month in cooperation with the Korea Venture Business Association.

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