Yangcheon-gu Provides 2 Billion KRW Loan for SME and Small Business Development Fund... Ultra-Low Interest Rate of 0.8%

Applications accepted until the 21st of this month... Up to 300 million KRW for manufacturing, up to 80 million KRW for wholesale and retail industries

Yangcheon-gu Mayor Lee Gi-jae is talking with small business owners at Mokdong Kkaebi Market. Provided by Yangcheon-gu.

Yangcheon-gu, Seoul (District Mayor Lee Gi-jae) announced on the 11th that it will provide a 2 billion KRW “Small and Medium Enterprise Development Fund” loan at an ultra-low interest rate of 0.8% to help small and medium-sized enterprises (SMEs) and small business owners who are experiencing management difficulties due to the prolonged economic downturn, with applications accepted until the 21st of this month.

According to the district, following the support of 3 billion KRW to 73 SMEs in the first half of this year, an additional 2 billion KRW will be loaned in the second half, with the loan interest rate being the lowest among Seoul’s autonomous districts at 0.8%. The interest rate has been frozen without any increase this year as well, continuing from the previous year, focusing on alleviating the burden on SMEs and small business owners.

The support targets are SMEs and small business owners with business locations in Yangcheon-gu who have been registered for more than six months as of the announcement date, August 5. However, companies that are currently repaying or have not passed one year since repayment of the existing loan, as well as non-store retail businesses, tobacco wholesale and retail businesses, restaurants, real estate businesses, and others are excluded from the application.

The loan limit is up to 300 million KRW per manufacturing company and up to 80 million KRW for other wholesale and retail businesses. The repayment terms are a 2-year grace period followed by 3 years of equal installment repayments, and the loan funds must be used for working capital, facilities, or technology funds.

Companies wishing to apply must prepare ▲loan application form ▲business plan ▲business registration certificate ▲national and local tax payment certificates ▲recent fiscal year financial statements or documents verifying sales, and submit them in person to the Job and Economy Division of the district office by the 21st of this month.

After review by the Small and Medium Enterprise Development Fund Operation Committee, selected applicants can receive loans through the Woori Bank Yangcheon-gu Office branch starting mid-September.

Mayor Lee Gi-jae said, “Our district is making efforts to help resolve financial difficulties and stabilize management for local SMEs and small business owners by providing loans at the lowest interest rate again this year,” adding, “We will continue to develop support policies for small merchants struggling due to the economic recession.”

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