'Certified by Gyeonggi-do and Growing Rapidly'... Promising SMEs in the Province See 10.9% Sales Increase Over 3 Years

Gyeonggi Provincial Government

Gyeonggi Province has found that companies certified as ‘Gyeonggi-do Promising Small and Medium Enterprises (SMEs),’ which identifies and supports local companies with excellent growth potential, have seen their sales increase by an average of 10.9% and operating profit margin rise by 7.5% over the past three years.

Gyeonggi Province and the Gyeonggi Economic Science Promotion Agency announced the results of a performance analysis on companies maintaining the ‘Gyeonggi-do Promising SME Certification’ on the 7th.

The Gyeonggi-do Promising SME Certification is a representative certification system of Gyeonggi Province that has been in place since 1995. Upon certification, companies receive a certificate and a certification plaque issued in the name of the Governor of Gyeonggi Province. New certifications are valid for five years, and re-certifications for three years, during which companies can receive additional points and brand expansion support across 61 types of support projects from nine institutions.

As a result of a performance analysis conducted on 952 companies maintaining the certification this year, the average sales growth rate over the recent three years (2019?2021) was 10.9%, which was relatively higher than the national average of 5.4% and the Gyeonggi Province average of 6.1%.

The total asset growth rate was 17.7%, operating profit margin was 7.5%, and debt ratio was 96.5%, indicating that these companies have maintained a relatively stable management condition while continuing their growth trend.

During the first year after certification, certified companies recorded an increase in sales of 854.6 billion KRW and an increase in employment of 728 people.

Companies certified as promising SMEs responded that the certification helped their business performance in the following order: improvement of corporate image (88.8 points), preferential benefits in government support projects (79.5 points), effects on funding and investment attraction (69.6 points), securing excellent personnel (67.3 points), and expansion of market share (67.3 points). They also stated that the improvement in corporate image and brand value gained through certification is worth 300 million KRW.

Lee Gwan-haeng, Director of the Specialized Enterprise Support Division of Gyeonggi Province, said, "We will continue to discover companies with innovation and growth potential, nurture them as representative companies of Gyeonggi Province, and contribute to revitalizing the regional economy and creating quality jobs."

This year, Gyeonggi Province will select 200 companies out of 1,001 applicants. The final selection will be made through a certification review committee scheduled for October.

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