ENFORCEMENT DECREE OF THE SUPPORT FOR SMALL AND MEDIUM ENTERPRISE ESTABLISHMENT ACT

CHAPTER I GENERAL PROVISIONS

Article 1(Purpose) #

The purpose of this Decree is to prescribe matters mandated by the Support for Small and Medium Enterprise Establishment Act and matters necessary for the enforcement thereof.

Article 2(Scope of Business Startup) #

(1) The business startup under subparagraph 2 of Article 2 of the Support for Small and Medium Enterprise Establishment Act (hereinafter referred to as the "Act") means the establishment of a new small and medium enterprise to start its business, which does not fall under any of the following cases: <Amended on Feb. 27, 2024>

1. Where an individual who inherits or receives business from another person starts the business of the same kind as the existing business as a small and medium entrepreneur who is an individual;

2. Where a small and medium entrepreneur who is an individual continues to operate his or her existing business and establishes a new small and medium enterprise as follows:

(a) Where starting business as a small and medium entrepreneur who is an individual;

(b) Where establishing a small and medium enterprise that is a corporation in which a small and medium entrepreneur who is an individual owns, alone or in combination with relatives under the Enforcement Decree of the Framework Act on Small and Medium Enterprises, more than 50/100 of the total number of issued shares with voting rights (including equity shares; hereinafter the same shall apply), or owns the largest number of shares in terms of the total number of issued shares with voting rights, and starting the same kind of business as the old business;

3. Where a small and medium entrepreneur who is an individual closes the existing business and establishes a new small and medium enterprise to start the same kind of business as the old business: Provided, That starting the business of the same kind as the old business at least three years after the date of closing business (or two years if the business is closed due to insolvency or bankruptcy) shall be excluded;

4. Where a company that is a corporation creates a new small and medium enterprise that is another corporation that owns more than 50/100 of the total number of issued shares with voting rights, in which case the ownership percentage shall be calculated by aggregating the shares owned by the corporation and by its executive officers;

ENFORCEMENT DECREE OF THE SUPPORT FOR SMALL AND MEDIUM ENTERPRISE ESTABLISHMENT ACT

Article 1(Purpose) #

Article 2(Scope of Business Startup) #

Article 2-2(Scope of Overseas Business Startup) #

Article 3(Scope of Startups) #

Article 3-2(Scope of Overseas Startups) #

Article 4(Types of Business Excluded from Scope of Business Startup) #

Article 5 #

Article 6(Projects to Facilitate Business Startup) #

Article 7(Procedures for Contribution to or Subsidization for Projects to Facilitate Business Startup) #

Article 8(Scope and Method of Fact-Finding Survey) #

Article 9(Establishment and Operation of Comprehensive Business Startup Management System) #

Article 10(Procedures and Methods for Exempting from Charges, Costs, or Expenses) #

Article 11(Business Affairs Processed by Online Business Startup Support System) #

Article 12(Business Affairs of On-Campus Organizations Dedicated to Supporting Business Startup) #

Article 13(Standards for Promising Startups) #

Article 14(Preferential Purchase of Startups’ Products by Public Institutions) #

Article 15(Procedures for Confirmation of Startups) #

Article 16(Designation of Institutions Supporting Overseas Business Startup) #

Article 17(Procedures and Methods for Providing Contributions to or Subsidies for Projects for Supporting Business Re-Startup) #

Article 18(Request for Criminal History Records for Evaluation of Good Faith Management) #

Article 19(Designation and Operation of Institutions Dedicated to Evaluating Good Faith Management) #

Article 20(Approval of Plans to Establish Factories) #

Article 21(Composition and Operation of Council for Processing Civil Petitions for Business Startup) #

Article 22(Guidelines on Processing Business Affairs of Approval of Plans to Establish Factories) #

Article 23(Procedures for Prior Consultation Application) #

Article 24(Period of Consultation with Other Administrative Agencies) #

Article 25(Revocation of Approval of Plans to Establish Factories) #

Article 26(For-Profit Activities of the Korea Institute of Startup and Entrepreneurship Development) #

Article 27(Designation of Institutions Dedicated to Local Business Startup) #

Article 28(Designation of Operators of Business Incubators) #

Article 29(Exemption from Fees for Using State-Owned Property) #

Article 30(Reduction of or Exemption from Fees for Using Public Property) #

Article 31(Requirements for Registration of Small and Medium Enterprise Consulting Companies) #

Article 32(Subsidization of Service Fees) #

Article 33(Establishment and Operation of Small and Medium Enterprise Startup Ombudsman Offices) #

Article 34(Criteria for Revoking Registration and Discontinuing Support for Small and Medium Enterprise Consulting Companies) #

Article 35(Guidance and Supervision over Business Affairs) #

Article 36(Public Notice of Work Guidelines) #

Article 37(Reporting and Inspection of Status of Business Operations) #

Article 38(Delegation of Authority and Entrustment of Business Affairs) #

Article 39(Request for Materials and Information Related to Establishment and Operation of Comprehensive Business Startup Management System) #

Article 40(Criteria for Restriction on Participation in Projects for Supporting Business Startup) #

Article 41(Processing of Sensitive Information and Personally Identifiable Information) #

Article 42(Re-Examination of Regulation) #

Article 43(Criteria for Imposition of Administrative Fines) #