How to apply for Youth Entrepreneurship Support Fund
The most difficult thing for young people who want to start a business is start-up funding. It is true that you need tens of millions of won, not a few million won, but it is burdensome to arrange a high-interest loan. Accordingly, the Small and Medium Venture Business Corporation is providing youth entrepreneurship subsidies of up to KRW 100 million at a fixed interest rate of 2% per year to young people aged 39 or younger.
Go to Youth Entrepreneurship Support Fund
We will inform you more easily about the conditions and how to apply for the Youth Entrepreneurship Support Fund.
Youth Entrepreneurship Support Fund
The Youth Startup Support Fund, also called the Startup Fund, is a policy in which the government provides financial services and conducts education to commercialize start-up items for young people under the age of 39. The Small and Medium Venture Business Corporation provides capital support along with start-up support.
Let’s take a look at how much start-up funds are supported for young people and under what conditions.
Check youth entrepreneurship support amount
The Youth Startup Support Fund provides loans at a fixed interest rate of 2% per year up to KRW 100 million per company. What cannot be found in the era of high interest rates these days is the government’s start-up support policy. However, support for manufacturing and regionally specialized flagship industries is limited to KRW 200 million.
Support funds can be used for facility or operating funds, and can be repaid within 10 years for facility funds and 6 years for operating funds. The grace period is also guaranteed for at least 3 years, so you can see it as a very advantageous condition.
– Loan amount: up to 100 million won
– Loan interest rate: 2% per year (fixed rate)
– Use: Facility funds or operating funds
– Loan period
→ Facility funds: within 10 years (residence period: within 4 years for collateral, within 3 years for credit)
→ Operating funds: within 6 years (period: within 3 years)
→ The borrower is free to repay the principal on the desired date (however, interest is paid regularly every month)
→ Repayment of 1/4 of the principal in the 1st to 4th years after the loan, 1/4 of the principal in the 5th year, and 1/2 of the principal in the 6th year
As the ultra-low interest rate and loan repayment method are carried out under very favorable conditions, many young people dreaming of starting a business are using it. Then, let’s look at the conditions for receiving youth entrepreneurship support.
conditions of application
To receive the Youth Entrepreneurship Support Fund, you must be a representative under the age of 39, and your business start date must be less than 3 years from the date of application. You must prepare for a small business or start-up, and the number of people in your small business must be 5 or more.
– Age: 0 – 39 years old representative
– Less than 3 years from the date of commencement of business (based on application date and receipt date)
– SMEs or those preparing to start a business
– SME size: 5 or more people
How to apply
You can apply for the Youth Startup Support Fund on the website of the Small and Medium Venture Business Promotion Corporation.
Go to Youth Entrepreneurship Support Fund
① Online call reservation – self-diagnosis
② Loan consultation – face-to-face or non-face-to-face
③ Policy Priority Evaluation – Determination of Application Possibility
④ Online loan application
⑤ Corporate screening – on-site visit or non-face-to-face
⑥ Loan review – Determination of eligibility and amount
⑦ Loan execution – direct or agency loan
⑧ Post-management – Inspection of use of funds, mentoring for business plans, etc.
So far, we have looked at the Youth Entrepreneurship Support Fund supported by the Small and Medium Venture Business Corporation. Even if you are not eligible for youth entrepreneurship support, please do not give up. This is because the Small Enterprise and Market Service can also get a youth employment-related fund as a policy fund, and the Seoul Metropolitan Government can also get it from the Seoul Credit Guarantee Foundation.
Below is a helpful article about applying for small business policy funds. I sincerely hope that you receive it smoothly and prosper.