NongHyup Bank Makes Special Contribution of 300 Million Won for Startup Guarantee...Cheonan Startup Financing Support

Guarantee Scale Expanded from 5.4 Billion Won to 11.4 Billion Won

On June 19, Cheonan City in South Chungcheong Province announced that NongHyup Bank had made a special contribution of 300 million won to support local startup financing through a special guarantee fund.

The donation ceremony was held that day in the first small conference room at City Hall, with Acting Mayor Kim Seokpil, Park Jangsoon, Head of the South Chungcheong Branch of NongHyup Bank, and Jang Heecheol, Head of the Chungcheong Branch of Korea Technology Finance Corporation, in attendance.

This contribution was made to expand the guarantee scale from the existing 5.4 billion won to 11.4 billion won, as the startup special guarantee program, which was first launched outside the Seoul metropolitan area in November last year, was quickly exhausted.

The program primarily provides working capital guarantees of up to 500 million won for companies established within the past seven years and based in Cheonan. Promising companies designated as C-STAR may receive guarantees of up to 1 billion won.

NongHyup Bank offers preferential loan interest rates, while Korea Technology Finance Corporation provides increased guarantee rates and a reduction of guarantee fees by 0.2 percentage points for three years.

Acting Mayor Kim Seokpil stated, "The rapid exhaustion of the program reflects the technological capabilities and growth potential of local startups," adding, "We will continue to strengthen cooperation with related institutions to support the local startup ecosystem."