Jeonbuk Province Promotes Designation of Preliminary Social Enterprises and Financial Support Project Competition

[Asia Economy Honam Reporting Headquarters Reporter Park Seon-gang] Jeonbuk Province announced on the 29th that it will promote the "2020 First Half Preliminary Social Enterprise Designation and Financial Support Project Contest" aimed at creating jobs for vulnerable groups through the designation of preliminary social enterprises and support for financial support projects.

This contest project consists of four projects: ▲Preliminary Social Enterprise Designation ▲Social Enterprise Job Creation Project (New and Re-examination) ▲Social Economy Enterprise Business Development Expense Support Project ▲Social Economy Enterprise Infrastructure Support Project.

First, applicants for preliminary social enterprise designation must meet the designation requirements, such as having an organizational form according to the Social Enterprise Promotion Act (corporations or cooperatives under the Civil Act, companies under the Commercial Act, etc.), primarily pursuing social objectives, and conducting business activities in the month of the announcement.

The designation period for preliminary social enterprises is three years, and if selected, they can participate in the job creation project and business development expense support project for two years.

The job creation project supports part of the labor costs at the minimum wage level (1,795,000 KRW) to create new jobs in social enterprises, with support rates varying by year, and additional support is provided for employment of vulnerable groups.

The business development expense support project supports social economy enterprises in product development, quality improvement, and market expansion. The support amount is up to 100 million KRW annually for social enterprises, and up to 50 million KRW annually for preliminary social enterprises, village enterprises, social cooperatives, and self-sufficiency enterprises. Participating companies must bear at least 10% of the total project cost (20% for the second round, 30% for the third round or more) as their own expense.

The infrastructure support project provides infrastructure such as equipment and facilities necessary for social economy enterprises. Eligible applicants are certified social enterprises, social cooperatives, village enterprises (excluding preliminary village enterprises), and self-sufficiency enterprises, with a support limit of up to 50 million KRW per company in total project costs.

Companies and organizations wishing to participate in the preliminary social enterprise designation and financial support projects must apply through the Social Enterprise Integrated Information System by the 4th of next month. Social economy enterprises wishing to participate in the infrastructure support project must visit or mail their applications to the city or county office with jurisdiction over their location. For detailed information, refer to the announcement posted on the provincial website.

Jeollabuk-do plans to announce the newly selected preliminary social enterprises and financial support project companies at the end of March after document review, on-site inspection, and evaluation by a professional review committee.

Song Geum-hyun, Director of the Social Economy Division of the province, said, "Through this contest, we will discover many sound social enterprises that provide stable jobs to vulnerable groups and contribute to revitalizing the local economy, and we will spare no interest and support to secure the self-sustainability of social enterprises."