SGI Seoul Guarantee, Expands Synergy Through Partnership Management

In December 2021, Yoo Kwang-yeol, CEO of SGI Seoul Guarantee, and startup employees are taking a commemorative photo at the SGI Win-Win Plus '2021 Win-Win Day' program. (Photo by SGI Seoul Guarantee)

[Asia Economy Reporter Changhwan Lee] SGI Seoul Guarantee Insurance announced on the 19th that it is discovering various business models through partnership management based on the role and know-how of guarantee insurance, which has been part of South Korea's economic development history.

SGI Seoul Guarantee Insurance is the largest comprehensive guarantee institution in Korea, providing guarantee services to small and medium-sized enterprises (SMEs) and ordinary citizens for 53 years since 1969. Despite the difficulties caused by COVID-19 last year, about 92% of the approximately 300 trillion KRW in new guarantee supply was provided to SMEs and ordinary citizens.

In addition to the company's vision 'SGI WAY' declared last year, a new mission, "Guaranteeing Dreams. Adding Hope," has been added to discover new future revenue through expanding various partnerships and to lay the foundation for sustainable growth.

Through a partnership with KakaoBank, SGI Seoul Guarantee Insurance pioneered the emergency loan and mid-interest loan markets for office workers, and it is also collaborating with 'KCS (Korea Credit Information Service),' a credit evaluation company for individual business owners that received official approval in July this year.

KCS stated that by combining information such as Hometax data, it aims to advance the credit evaluation model for individual business owners who have faced difficulties after COVID-19, enabling a more multifaceted assessment of many individual business owners' capabilities and allowing them to access reasonable financial services.

Additionally, SGI Seoul Guarantee Insurance participated in the first joint venture established in August by the three telecommunications companies SK Telecom, KT, and LG U+, together with the personal credit evaluation agency KCB.

The joint venture is expected to provide broad financial benefits and expand financial accessibility for thin filers (individuals with insufficient financial history) who lack sufficient financial transaction information.

Recently, SGI Seoul Guarantee Insurance has been reviewing participation in financial platforms specialized for SMEs. It emphasized that through partnerships, it is discovering innovative business models while striving to build an ecosystem that can sustain growth together with SMEs and ordinary citizens.

SGI Seoul Guarantee Insurance continues to support startups. Following last year, it signed an agreement this year with the Korea Productivity Center for the 'Startup Development Program SGI Win-Win Plus.'

Selected startups will receive special guarantee services of up to 500 million KRW, along with business support funds, mentoring and consulting services in desired fields, and opportunities to attract external investment through 'Demo Day.'

An SGI Seoul Guarantee Insurance official stated, “As our new mission ‘Guaranteeing Dreams. Adding Hope’ suggests, we will provide a wide range of financial services from SMEs and startups to individual business owners through partnerships,” adding, “We will enhance corporate value through synergy effects with various partners.”