Easier Business Establishments

It will become easier to start a company, as the minimum capital for establishment (50 million won for an incorporated company) will be reduced and the entire establishment process will be handled at one location.

Among those abroad who were born in a foreign country and have citizenship for both the country he was born in and for Korea, they can work at a company for the substitution of military service if they have the high technology skills.

It seems that large enterprises will have to form all their auditing committees inside the company with outside directors.

The government held its fourth international economic committee meeting, presided over by President Roh Moo-hyun, on Wednesday, April 6 at Cheong Wa Dae and announced the above details as it decided to take on the job of setting forth to be an advanced trading country.

The government has decided to begin with cutting down the minimum establishment capital limit, currently set at 50 million won, for stock companies and 20 million for venture companies, to induce foreign investments and activate business establishments.

The transactions for establishing a company will be unified, and the number of corporate registration documents will be reduced.

Chin Dong-soo, the deputy minister for International Affairs at the Finance-Economy Ministry, said, “The Regulatory Reform Task Force under the Office of the Prime Minister will decide on the concrete measures and announce the plans during this month.”

In order to draw in foreign technical human resources, the issuance of multiple visas will be expanded so that foreign experts with at least a master’s degree in the science and technology field will be able to freely enter and leave the country for several years once receiving the visa.

Chi-Young Shin higgledy@donga.com