Korea Venture Investment Introduces First Electronic Agreement in Policy Finance, Leading ESG

Reducing Paper Document Issuance and Vehicle Movement Expected to Cut Annual Carbon Emissions by About 93,000 kg
New Service Launched to Foster ESG Environment in Venture Industry and Expand Paperless Office Operations

[Asia Economy Reporter Kwangho Lee] Korea Venture Investment announced on the 9th that it will expand the pilot implementation of the electronic agreement system, the first in policy finance, to all selected funds in the Mother Fund investment project following positive feedback from the venture industry.

The agreement is an important document that specifies standards such as ▲asset management and operation ▲selection and investment of portfolio companies ▲distribution of fund assets, agreed upon by members when forming a venture fund.

Until now, Korea Venture Investment has newly drafted over 600 agreements annually on average and stored paper documents signed by all members. The expansion of the electronic agreement system is expected to improve administrative efficiency and customer convenience. Additionally, it is anticipated to contribute to carbon emission reduction by decreasing the number of vehicles used for issuing paper documents and obtaining agreement signatures.

The push for adopting the electronic agreement system began with suggestions from Korea Venture Investment employees after gathering opinions from venture industry workers. Korea Venture Investment has operated an internal innovation proposal system aimed at enhancing work efficiency and improving services for the general public, carrying out various work improvements.

To foster an ESG environment in the venture industry and expand the operation of a ‘Paperless Office,’ Korea Venture Investment is reviewing plans to introduce electronic services for investment-related documents such as ▲investment contracts and ▲shareholders’ agreements alongside the expansion of electronic agreements.

Woonghwan Yoo, CEO of Korea Venture Investment, stated, “We expect to reduce carbon emissions by approximately 93,000 kg annually through the expansion of the electronic agreement service. It is especially meaningful as a case where Korea Venture Investment employees voluntarily proposed a new service that created ESG value.” He added, “Going forward, Korea Venture Investment will proactively adopt an ESG management system and make multifaceted efforts with venture capitalists, ventures, and startups to spread ESG values in the venture investment market.”