Kibo-Korea Federation of Medium-Sized Enterprises, Win-Win Partnership Business Agreement

Establishing Collaborative Systems for Accounts Receivable Factoring and Technology Transfer Businesses

Kim Jong-ho, Chairman of the Korea Technology Finance Corporation (right), and Choi Jin-sik, Chairman of the Korea Federation of Medium-sized Enterprises, are taking a commemorative photo after signing a business agreement.

[Asia Economy Reporter Kim Cheol-hyun] The Korea Technology Finance Corporation (Chairman Kim Jong-ho, hereinafter referred to as Kibo) announced on the 4th that it signed a 'win-win partnership business agreement for the creation of a growth ecosystem and support for scale-up companies' with the Korea Association of Mid-sized Enterprises (Chairman Choi Jin-sik, hereinafter referred to as Junggyeonryeon) at the Listed Companies Hall located in Mapo-gu, Seoul.

This agreement was prepared to have mid-sized enterprises participate as purchasing companies in the accounts receivable factoring business, which Kibo plans to implement in June this year, and to establish a collaborative system for financial and non-financial support for growth companies exceeding small and medium-sized enterprise scale, thereby creating a growth ecosystem connecting SMEs, mid-sized enterprises, and large corporations.

The accounts receivable factoring business is a project in which Kibo purchases accounts receivable without recourse, pays the sales company in advance, and collects payment directly from the purchasing company on the due date. With this agreement, stable business implementation is expected in the future.

According to the agreement, Junggyeonryeon will discover excellent mid-sized enterprises and recommend them to Kibo, and Kibo will strengthen support for participation in accounts receivable factoring, provide technology transfer information, enroll in intellectual property mutual aid, and offer technology finance support such as technology guarantees for the recommended companies.

Kim Jong-ho, Chairman of Kibo, said, "The role of mid-sized enterprises is very important in creating a healthy growth ecosystem where small and venture companies can smoothly transition to mid-sized enterprises and further grow into large corporations." He added, "Through this agreement, by establishing an uninterrupted financial and non-financial support system from Kibo for mid-sized enterprises, I hope this will be an opportunity for both organizations to achieve a win-win outcome."