Yongsan-gu Provides Up to 100 Million Won at 1.5% Low Interest to Youth Enterprises
by Kim Minjin
Published 31 Jan.2025 09:31(KST)
Applications Accepted Year-Round Starting Next Month
Total Support Amount of 2 Billion KRW
Yongsan-gu, Seoul (District Mayor Park Hee-young) will implement the ‘2025 Youth Enterprise Loan Support’ program for young entrepreneurs in the district starting February. As part of the Yongsan-gu Job Fund project, the total support amount is 2 billion KRW.
Among the autonomous districts of Seoul, Yongsan-gu is the only one offering loan support specifically for youth enterprises. The program, launched in 2019 to provide new breakthroughs for young people struggling due to the economic downturn and to revitalize the local economy, has supported a total of 256 youth enterprises up to last year.
The eligibility criteria include young small and medium-sized enterprises (SMEs) and small business owners aged 39 or younger who have resided in Yongsan-gu for more than six months as of the application date and have registered their business in Yongsan-gu. Businesses such as general entertainment restaurants, dance entertainment restaurants, other gambling facility management and operation businesses, and those with other loan records within Yongsan-gu in the past five years are excluded from support.
SMEs can receive loans up to 100 million KRW, and small business owners up to 50 million KRW, with an annual interest rate of 1.5%. The loan funds must be used only for business stabilization funds, facility funds, or lease deposit purposes, and repayment is made in equal installments over four years after a one-year grace period.
Applications are accepted from February to November on an ongoing basis, but the application period may end early if the total loan support amount of 2 billion KRW is exhausted. Loan funds are disbursed after review in the month following the application, starting from the 21st day.
Youth enterprises wishing to receive loans can apply in person at the Woori Bank Yongsan-gu Office Branch (150 Noksapyeong-daero, Yongsan-gu, 1st floor) Job Fund One-Stop Service counter. However, if providing a credit guarantee certificate as collateral, prior consultation must be obtained at the Seoul Credit Guarantee Foundation Yongsan Branch (4 Hangang-daero 71-gil, Yongsan-gu). Detailed information can be found on the Yongsan-gu Office website under ‘Introduction to Yongsan?District News - Notices/Announcements’ or ‘Job Fund - 2025 Youth Enterprise Loan Support.’
Mayor Park Hee-young stated, “The youth enterprise loan program will serve as a solid foundation for sustainable growth for young enterprises,” adding, “We will continue to provide administrative support so that young people leading the bright future of the local economy can carry out their business activities stably.”
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