"Changing Store Names and Business Types"... Self-Employed Struggling to Survive

Signboard Industry Also Booming
Some Self-Employed Still Say "In Recession... Burdened by Cash Expenses"

On the 3rd, a restaurant in Myeongdong, Seoul, where self-employed people’s worries are deepening, was quiet. Photo by Mun Ho-nam munonam@

[Asia Economy Reporter Jang Sehee] Self-employed individuals emerging from the long tunnel of COVID-19 are seeking changes to recover their sales.

On the 21st, Kim (34), who runs a Pilates studio in Seongbuk-gu, Seoul, said, "As the COVID-19 period prolonged, many members left," adding, "Recently, after reopening with a new name, the number of customers increased, but it is still difficult."

Lee (46), a self-employed person who has been running a business in Sejong City for 11 years, said, "I used to run a chicken restaurant and a cozy pub, but recently changed the business to a jokbal (pig's trotters) restaurant," and added, "After changing the business and distributing promotional flyers, the number of customers nearly doubled compared to usual." Choi (41), who has been selling twisted doughnuts (kkwabaegi) in Jung-gu, Seoul for five years, said, "I am seriously considering changing the store name," but also stated, "There are more Naver reviews than expected, so I am looking into the procedures and documents to see if succession is possible."

In fact, the business difficulties experienced by self-employed individuals during the COVID-19 situation were revealed to be severe. According to a survey conducted by the Federation of Korean Industries from June to July 8, targeting 500 self-employed people nationwide, 33% of respondents were considering closing their businesses. In addition, they are facing double hardships such as high inflation and high interest rates, and are devising survival strategies in their own ways.

The signboard industry is also experiencing a boom alongside the strategic changes of self-employed individuals. The representative of Addplus Jung-gu Signboard, located in Inhyeon-dong 1-ga, Jung-gu, Seoul, said, "Recently, many restaurants and cafes are reopening, and they are also changing their previously used names," adding, "Orders have more than doubled compared to before COVID-19." In fact, inquiries about restaurant business changes and naming, such as gukbap (soup with rice), jokbal, and cafes, are flooding the Naver self-employed cafe.

Meanwhile, some self-employed individuals say that the additional costs themselves are burdensome. Choi (35), who runs a salad shop in Gangnam-gu, Seoul, said, "It is hesitant because even previous customers might stop coming," adding, "Changing the signboard costs at least around 100,000 won, which is an immediate burden."