Nurturing of Global Ventures
On April 18, the Small & Medium Business Administration (SMBA) released a series of plans for assisting in the growth of tech-oriented startups in the global arena.
According to the plans, the South Korean government is to shift the focus of its assistance from the ease of starting new businesses to their growth both at home and abroad based on high technology. At the same time, funds are to be raised and startup accelerators are to be organized at colleges so that technical experts and engineers can start their own businesses with greater ease. Programs are to be prepared to facilitate the establishment of new businesses in innovative and convergence industries, too.
Selected startups can be provided with the government’s consulting with regard to business, R&D and global marketing strategies. In addition, business spaces are to be prepared in the Silicon Valley while services for localization, investment attraction and the like are provided.
The government’s startup-related budget is planned to be adjusted so firms in their third to seventh year can be better financed. The budget for investment in them is to be increased from 16% to 35% of the total between this year and next year while that for younger firms is reduced from 72% to 53%. Furthermore, the government is going to act as a mediator between firms willing to be engaged in M&A while running so-called tech startup scouters to find out promising new firms.