41 Teams Supported Throughout Entire Process Including Funding and Business Model Development Developed 170 Prototypes and Services
Commercialization Potential Confirmed Through Crowdfunding
[Asia Economy Reporter Lim Cheol-young] A total of 41 teams from the 3rd cohort of Seoul's regional-linked startup incubating win-win project, 'Next Local,' successfully launched startups in 11 regions nationwide, supporting Seoul youth to realize startups in other areas.
According to Seoul City on the 23rd, 75 participants visited a total of 4,367 times over 10 months to 11 regions nationwide, including Mungyeong in Gyeongbuk, Naju in Jeonnam, and Gongju in Chungnam, meeting farm owners and related local institutions and companies. They investigated local specialties, products with low marketability but good quality, and went through a commercialization process to find startup items, business strategies, and realize ideas.
As a result, a total of 170 prototypes and services based on 'locality' and 'uniqueness' were developed. The fields are diverse, including food, products, tourism, and education. The 'Marronnier' team developed a chestnut paste dessert called 'Marron Honey Nougat' using organic chestnuts, a specialty of Gongju, Chungnam. The 'Dumun' team created a vegan solid cleanser using Gondre (Korean thistle), a specialty plant of Yeongwol, Gangwon-do. The 'Go:Gyeol' team discovered and remodeled an old blacksmith workshop space in Mungyeong, Gyeongbuk, transforming it into a space where visitors can directly experience traditional hanji paper and ceramics.
Some companies confirmed market potential through 10 rounds of crowdfunding. The 'Potato Revolution' team, which started up in Gangneung, developed 'Popa Chips,' fresh potato chips made from misshapen potatoes with no commercial value, achieving a complete sell-out far exceeding their initial target. The 'Wiro_Red Rose Bean' team developed mugwort chocolate containing the story of a discontinued product using mugwort from the highlands of Yeongwol, Gangwon-do, recording sales exceeding 36 million KRW through crowdfunding.
Three teams attracted investments totaling 600 million KRW from angel investors and others. During the startup activities, 10 technology transfers and patent applications were made, and 50 jobs were created, including 8 local residents. They signed a total of 41 business agreements with various local institutions such as local governments and foundations, accelerating their business within the local community.
On the 25th, Seoul City will hold an online performance sharing meeting at Dongdaemun Design Plaza (DDP) Seoul ON Studio, where 41 teams from the 3rd cohort, startup and regional experts, and local partners will participate to share the achievements of Next Local 3rd cohort and exchange startup know-how. Seoul City plans to continue follow-up support such as investor matching so that startups can settle in the market after providing support throughout the startup process.
Additionally, Seoul City will hold a private investment competition at DDP Seoul ON Studio to support the continuous growth and scale-up of Next Local 3rd cohort startup teams, with participation from venture capital (VC) and investment institutions. The investment competition will be conducted by dividing tracks into prospective entrepreneurs and existing entrepreneurs according to the startup stage, evaluating growth potential from the investor's perspective, and conducting mock investments. Ultimately, the city plans to operate the program so that Next Local startup teams and investors can be matched for follow-up investments.
Meanwhile, Seoul City will recruit 100 teams and 200 people starting from the 25th of next month. The 4th cohort is expected to participate in 20 regions nationwide. Park Dae-woo, Director of Economic and Job Policy Planning at Seoul City, said, “Through the activities of the 3rd cohort, Seoul youth added vitality to regions from the perspective of balanced regional development and achieved meaningful results by jointly discovering local food sources. We hope Seoul youth entrepreneurs find business opportunities in the regions, and the regions find growth opportunities in Next Local startup companies (teams).”
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