Support for Discovering Promising SMEs
Plans to Utilize EFAS
The Korea Venture Capital Association (VC Association) announced on the 20th that it had signed a business agreement with the Korea Credit Information Services on the 19th for the exchange of corporate information through EFAS (Enterprise Financial Analysis System) to support the discovery of promising SMEs in the VC sector.
Kim Hakgyun, Chairman of the Korea Venture Capital Association, and Choi Yusam, President of the Korea Credit Information Services, are taking a commemorative photo at the business agreement signing ceremony on the 19th. VC Association
This agreement is a follow-up measure to the "Corporate Growth Ladder Establishment Plan," which was jointly announced by relevant ministries (Ministry of Economy and Finance, Financial Services Commission, Ministry of SMEs and Startups, Ministry of Trade, Industry and Energy, Ministry of Employment and Labor, and Ministry of Science and ICT) at the Economic Ministers' Meeting in June last year. The agreement was made possible through active collaboration between the two organizations, as well as support from the Financial Services Commission and the Ministry of SMEs and Startups.
The two organizations have agreed to actively cooperate in exchanging information to support promising SMEs with high growth potential and to jointly pursue initiatives to analyze the impact of VC funding on SMEs, among other efforts to support the VC sector.
To this end, the Korea Credit Information Services plans to provide VCs with information on corporate value based on non-financial models, as well as trend analysis data on the growth, profitability, and technological capabilities of the industries in which the investment target companies operate, all through EFAS. EFAS is an integrated corporate finance platform that provides a comprehensive range of information at once, including trends in corporate finance exposure by industry and company, and analysis results on growth and soundness compared to financial supply. The impact of VC funding on SMEs will subsequently be analyzed to confirm key outcomes, and this will be used to secure future growth engines and set policy directions.
Kim Hakgyun, Chairman of the VC Association, stated, "With this business agreement, we hope that the corporate information available to VCs will be further enhanced, allowing the venture investment ecosystem to take another leap forward. Through cooperation with the Credit Information Services, we will continue to expand the range of information, including non-financial data, that the VC sector can utilize."
Choi Yusam, President of the Korea Credit Information Services, said, "This agreement is significant in that the high-quality corporate finance information that the Credit Information Services has intensively collected will now be expanded from being bank-centered to also covering the VC sector. We will continue to work to strengthen the competitiveness of Korea's venture capital market."
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