20 Billion Won in Small Business Development Funds
Additional Support with Nubijeon Issuance and Cashback
Changwon Special City in Gyeongnam has announced a set of measures for the second half of the year to support small business owners and self-employed individuals who are struggling due to the downturn in the local commercial district following the closure of Lotte Department Store Masan Branch.
The city will focus its support on small business owners facing difficulties, specifically in the areas of ▲financial assistance ▲local consumption promotion ▲fixed cost support.
For financial assistance (Small Business Development Fund Support), the city will expand loans for small business management and stabilization funds to a total of 20 billion KRW in the second half of the year, with applications open on July 17 and July 19 from 9 a.m. Small business owners with workplaces in Changwon who have obtained a credit guarantee from the Gyeongnam Credit Guarantee Foundation can receive up to 50 million KRW in loans with a 2.5% annual interest subsidy for one year.
To promote local consumption, 15 billion KRW worth of regional gift certificates, Nubijeon, were issued from July 4 to 8. This issuance prioritized the elderly by staggering purchase periods by age group. Consumers can purchase up to 200,000 KRW per person via mobile at a 7% discount off face value.
In addition, payments made with Nubijeon at mobile-affiliated stores in the commercial area near Lotte Department Store Masan Branch will receive a 5% cashback the following month, resulting in a total discount effect of 12%. Nubijeon can be used at approximately 2,265 mobile-affiliated stores in the vicinity, including the fish market, Masan Fish Market, Burim Market, Bokgeori, Changdong, and Buljonggeori.
For fixed cost support, the "Good Price Store" system designates and incentivizes dining establishments that offer affordable prices, hygienic environments, and excellent service.
Stores designated as Good Price Stores receive support such as volume-based waste bags, public utility fees (water and sewage charges, etc.), a 3.0% annual interest subsidy for one year on small business development fund loans, and delivery fee support.
Customers who order from Good Price Stores through one of six private delivery apps partnered with the Ministry of the Interior and Safety (Baemin, Yogiyo, Coupang Eats, Meokgaebi, Ttaenggyeoyo, Wemakeprice O) or the public delivery app Nubigo will receive a 2,000 KRW discount on delivery fees.
Additionally, payments made with Nubijeon at mobile-affiliated Good Price Stores will receive a 5% cashback the following month.
To help small business owners adapt to the non-face-to-face and digital transformation of the consumption and distribution environment, the city will continue its digital infrastructure project with a budget of 30 million KRW, benefiting about 15 businesses.
The digital infrastructure support project will cover 70% of the cost of introducing digital devices such as kiosks, smart ordering systems, and frying robots for each store, up to a maximum of 2 million KRW per business. This project is scheduled to begin in early July.
Changwon Special City Mayor Hong Nam-pyo stated, "Rather than the 'handout-style' approach at the core of the 'Comprehensive Measures for Small Business Owners and Self-Employed' announced by the government on the 3rd, Changwon will focus on supporting small business owners in crisis. Once detailed government guidelines are released, we will strengthen tailored support," adding, "We will continue to implement various support policies to do our utmost to alleviate the difficulties faced by small business owners."
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