Mayor Lee Donghwan: "Practical Support to Strengthen Self-Sufficiency... Breathing New Life into the Local Economy"

Goyang City Steps Up to Strengthen Small Business Self-Sufficiency with Comprehensive Support
Practical Assistance Across Funding, Facilities, Digitalization, and Commercial District Organization... Overcoming the Economic Downturn
Guarantees Worth 60.5 Billion Won Provided to 2,092 Businesses Over Three Years... Easing Financial Difficulties
A Total of 1.2 Billion Won Invested in Improving the Management Environment for 452 Businesses... Revitalizing Local Commercial Districts

Goyang Special City in Gyeonggi Province (Mayor Lee Donghwan) has launched a comprehensive support initiative to alleviate the ongoing management difficulties faced by small business owners due to the prolonged economic downturn and to strengthen their self-sufficiency. The city plans to invigorate the local economy through an effective strategy that encompasses financial support, improvements to the business environment, digital transformation, and the organization of commercial districts.

Lee Donghwan, Mayor of Goyang Special City, visiting a traditional market for Chuseok. Photo by Goyang Special City

According to Goyang Special City on November 5, the city has established a comprehensive strategy that includes not only financial support but also improvements to the business environment, digital transformation, and the organization of commercial districts. The city is currently implementing practical projects that reflect the voices of the field.

Stable Funding Support through 'Special Guarantee for Small Businesses'... Separate Selection for Medium/Low Credit Holders and Young Entrepreneurs

The city, in collaboration with the Gyeonggi Credit Guarantee Foundation, operates the 'Special Guarantee Program for Small Businesses' to help small business owners with insufficient collateral overcome financial difficulties.

Under this structure, the Gyeonggi Credit Guarantee Foundation issues special guarantee certificates using funds contributed by Goyang City, and first-tier banks provide loans based on these guarantees. Each business can receive guarantees of up to 50 million won.

From July 2022 to 2024, a total of 2,092 small business owners received guarantee support amounting to 60.5 billion won. This year, 761 business owners received special guarantees totaling 21.9 billion won.

During the economic downturn, medium and low credit holders and young entrepreneurs in the early stages of starting a business, who face more difficulties in accessing finance, were selected as separate support targets. The city provided financial support to 693 medium/low credit holders (15 billion won) and 112 young small business owners (3 billion won).

Through this, the city is providing a management safety net for vulnerable small business owners in financial blind spots and establishing a foundation to help young people start businesses and settle in the local community.

Comparison Before and After the Small Business Management Environment Improvement Project. Provided by Goyang Special City

Store Remodeling and Digital Transformation Support... Up to 3 Million Won per Store, Leading to Increased Sales

Through the 'Small Business Management Environment Improvement Project,' the city provides up to 3 million won per store to support the remodeling of small shops, facility improvements such as signage, lighting, flooring, and electrical work, as well as a wide range of digital transformation efforts, including POS systems, kiosks, and CCTV installation.

From 2022 to last year, a total of 394 businesses received 1.092 billion won in support, and this year, 58 businesses received 107.3 million won. According to a satisfaction survey conducted last year, 91.4% of respondents answered 'very satisfied,' indicating a high perceived effectiveness of the project. Businesses reported that the management environment improvement project enhanced store operation efficiency and contributed to revitalizing the local economy. Additionally, by preparing further improvement measures such as strengthening online promotion, gradual sales growth is expected.

For example, Store A increased spatial completeness with the introduction of display shelves featuring stylish lighting, resulting in higher sales and customer satisfaction. Restaurant B, which revamped its atmosphere with signage and awnings suited to its food concept, improved its store image, leading to increased sales.

To provide practical support for overall business management, expert consulting is also offered. Four professional consultants participate, providing three sessions per business, covering topics such as HR and labor, tax and accounting, sales promotion (commercial district analysis), marketing, store operation, and service improvement.

2025 Ilsan Market Festival 'Ilsan Market Alliance Commercial District Event'. Provided by Goyang Special City

Building a Commercial District Alliance Network through the Development of the Ilsan Market Alliance and Designation of Alley-Type Shopping Districts

To revitalize local commercial districts, the city is strengthening cooperation between districts and organizing alley commercial areas, thereby building a commercial district alliance network.

This year, through the Gyeonggi Province public project 'Ilsan Market Alliance Commercial District Development Support Project,' a cooperative model was established that unites the adjacent commercial districts of Ilsan Market, Ilsan Seomun Shopping Street, and Ilsan Station Alley Commercial District Merchants Association under a single brand.

This project, jointly funded by Gyeonggi Province and Goyang City with a total investment of 160 million won, has strengthened the unique identity of Ilsan Market by developing specialized products and holding district-specific events, thereby enhancing the competitiveness of the merchants' association.

Additionally, by easing the requirements for designating 'alley-type shopping districts,' which, like traditional markets and shopping streets, can register as Onnuri Gift Certificate merchants, the city has laid the foundation for broader participation by more commercial districts.

Baekseok Cheonggucoa Alley Shopping District. Provided by Goyang Special City

An alley-type shopping district is an area where a certain number of small business stores are clustered. If there are at least 25 stores in a commercial area or at least 20 stores in a non-commercial area within 2,000 square meters, and 50% of merchants agree, an application can be submitted.

Starting with the 'Hwajeong Byeolbit Village Alley Shopping District' earlier this year, other districts such as 'Kwonyul Alley Shopping District' and 'Tanhyeon Onnuri Alley Shopping District' have also been designated. To date, a total of 12 districts have been officially registered: six in Deogyang-gu, two in Ilsandong-gu, and four in Ilsanseo-gu. The city plans to promote additional designations in the future to expand alley commercial districts tailored to local characteristics and provide various benefits, including environmental improvement projects and commercial district revitalization initiatives.

Going forward, the city will expand its integrated support system, linking funding, facilities, sales channels, and promotion to further boost the vitality of small businesses and traditional markets. Through these efforts, the city aims to foster commercial districts that grow independently and to create vibrant traditional markets and alley commercial districts that attract citizens.

Hwajeong Byeolbit Village Alley-type Shopping District. Provided by Goyang Special City

Mayor Lee Donghwan of Goyang Special City stated, "Despite the ongoing economic downturn, small businesses and traditional markets are the roots of the local economy and the foundation of citizens' daily lives. We will continue to provide practical support to enhance self-sufficiency, not only through financial assistance but also by improving the business environment and organizing commercial districts."

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