"Is Our Company an SME?"... "Easily Understandable Guidebook on the Scope of Small and Medium Enterprises" Published

Reflecting Updated Sales Criteria for SMEs and Small Enterprises

The Ministry of SMEs and Startups announced on December 10 that it has published the "Guidebook on the Scope of Small and Medium Enterprises" to help companies and support organizations easily understand the classification of SMEs.

First page of the Ministry of SMEs and Startups' "Easily Understandable Guidebook on the Scope of Small and Medium Enterprises." Screenshot

This guidebook was created to reduce confusion that may arise during the application of the system and to help companies independently assess their size and prepare for appropriate support programs. It comprehensively covers the following: criteria for the classification of SMEs, small enterprises, and micro-enterprises; the period during which SME status applies; methods for verifying SME status; and frequently asked questions.

In particular, the guidebook reflects key legislative amendments that impact the status of SMEs and micro-enterprises, such as the revised sales standards for SMEs and the option for micro-enterprises to forgo the grace period, which were updated this year. According to the revisions made in September, the sales threshold for SMEs was adjusted from 40 billion to 150 billion won or less, to 40 billion to 180 billion won or less. The sales threshold for small enterprises was changed from 1 billion to 12 billion won or less, to 1.5 billion to 14 billion won or less. In addition, micro-enterprises that exceed the scope of micro-enterprise status, which were previously subject to a uniform three-year grace period, can now choose to forgo this grace period if they wish.

The newly published "Easily Understandable Guidebook on the Scope of Small and Medium Enterprises" is available for download on the official website of the Ministry of SMEs and Startups.

Kim Daehee, Director General of SME Strategy Planning, stated, "Determining SME status is the starting point for policy support for small and medium enterprises," and added, "We hope this guidebook will help companies proactively understand and respond to the updated criteria."

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