Jung-gu, Seoul (Mayor Gil-seong Kim) will implement a loan support project for the SME Promotion Fund worth a total of 3 billion won in the first quarter of 2025. This project was prepared to resolve the financial difficulties of small businesses and small merchants in the district and to promote the stability of the local economy.
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[Korean Today] Jung-gu, 2025 1st quarter SME promotion fund loan support © Reporter Seung-ju Ji |
Jung-gu has allocated a total of 8 billion won for the SME Promotion Fund this year, and plans to focus on executing 5 billion won of this in the first half of the year to quickly provide assistance to small business owners who are struggling due to the economic downturn and high interest rates.
Eligibility and Loan Conditions
The support target is small businesses and small merchants with a business location in Jung-gu, and businesses that have completed business registration for more than 6 months as of the application date. Manufacturers can borrow up to 100 million won within the range of 1/2 of the previous year’s sales, and other industries can receive support of up to 50 million won.
The loan interest rate is provided at a fixed rate of 1.5% per annum, and the repayment terms can be chosen from a 1-year grace period followed by equal installments over 4 or 5 years. The borrowed funds can only be used for purposes essential to business operations, such as operating funds, facility funds, and technology development funds.
Application Process and Schedule
Loan applications are accepted until Tuesday, January 21st at the Urban Industry Division on the 4th floor of the Jung-gu Office main building. The documents required for application are ▲Loan application form ▲Business plan ▲Copy of business registration certificate or corporate registration ▲Copy of business premises lease agreement ▲Value-added tax standard certificate (2020-2024), etc. Detailed information and application forms can be downloaded by searching for ‘Small and Medium Business Promotion Fund’ on the Jung-gu Office website.
The operation review committee will be held in January to confirm the beneficiaries and loan amounts, and after review by banks and guarantee institutions, the loan support will be completed in February.
Mayor Kim Gil-seong: “I will do my best to resolve the management difficulties of small business owners.”
Kim Gil-seong, the mayor of Jung-gu, said, “I hope that small business owners in the district who are suffering from the economic downturn and high interest rates can secure funds through this loan support project and resolve their management difficulties,” and added, “In the new year, we will do our best to establish policies that will revitalize the local economy and provide practical help to small business owners.”
This loan support project is a major policy for stabilizing the livelihood of Jung-gu residents and revitalizing the local economy, and is expected to attract the interest of many small businesses and small business owners.
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