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ENFORCEMENT DECREE OF THE SMALL AND MEDIUM ENTERPRISES PROMOTION ACT

Presidential Decree No. 21835, Nov. 20, 2009

Amended by Presidential Decree No. 22493, Nov. 15, 2010

Presidential Decree No. 22873, Apr. 5, 2011

Presidential Decree No. 23019, Jul. 4, 2011

Presidential Decree No. 23488, Jan. 6, 2012

Presidential Decree No. 23759, May 1, 2012

Presidential Decree No. 23837, jun. 5, 2012

Presidential Decree No. 24317, Jan. 16, 2013

Presidential Decree No. 24432, Mar. 23, 2013

Presidential Decree No. 24656, Jul. 8, 2013

Presidential Decree No. 25050, Dec. 30, 2013

Presidential Decree No. 25656, Oct. 15, 2014

Presidential Decree No. 25840, Dec. 9, 2014

Presidential Decree No. 25942, Dec. 30, 2014

Presidential Decree No. 26247, May 26, 2015

Presidential Decree No. 26649, Nov. 18, 2015

Presidential Decree No. 26804, Dec. 30, 2015

Presidential Decree No. 26844, Dec. 31, 2015

Presidential Decree No. 27205, May 31, 2016

Presidential Decree No. 27299, jun. 30, 2016

Presidential Decree No. 27524, Sep. 29, 2016

Presidential Decree No. 27808, Jan. 26, 2017

Presidential Decree No. 28213, Jul. 26, 2017

CHAPTER I GENERAL PROVISIONS
 Article 1 (Purpose)
The purpose of this Decree is to prescribe matters delegated by the Small and Medium Enterprises Promotion Act and those necessary for enforcing said Act. <Amended by Presidential Decree No. 21835, Nov. 20, 2009>
 Article 2 (Definitions)
(1) An industrial technology research cooperative that is defined as a small and medium entrepreneur pursuant to subparagraph 1 (c) of Article 2 of the Small and Medium Enterprises Promotion Act (hereinafter referred to as the "Act") shall be a cooperative, at least 90 percent of members of which are small or medium business proprietors defined in Article 2 of the Framework Act on Small and Medium Enterprises. <Amended by Presidential Decree No. 21835, Nov. 20, 2009>
(2) Organizations defined as a small and medium entrepreneur pursuant to subparagraph 1 (d) of Article 2 of the Act shall be either of the following:
1. A trade association, at least 2/3 of members of which are small or medium business proprietors defined in Article 2 of the Framework Act on Small and Medium Enterprises among trade associations established under Article 38 of the Industrial Development Act;
2. A corporation that promotes projects for the inter-business exchange of information and technologies between different types of business under Article 5 of the Act, among those incorporated under Article 32 of the Civil Act.
(3) Deleted. <by Presidential Decree No. 20765, Apr. 10, 2008>
(4) and (5) Deleted. <by Presidential Decree No. 21835, Nov. 20, 2009>
(6) The criteria for maintaining identity under the latter part of subparagraph 10 of Article 2 of the Act are as follows: <Newly Inserted by Presidential Decree No. 20765, Apr. 10, 2008; Presidential Decree No. 27524, Sep. 29, 2016>
1. A person who succeeds to a family business shall run the business for the same type of business purpose (based on the classes of the standard classification of Industries prepared and publicly notified by the Commissioner of the Statistics Korea pursuant to Article 22 (1) of the Statistics Act (hereinafter referred to as the "Korea Standard Industrial Classification") as before the succession. In such cases, if such person adds another type of business in addition to his/her existing business, he/she is deemed to engage in the same type of business, only where the sales of the added type of business is less than 50/100 of its total sales;
2. A person who succeeds to a family business shall maintain the business continuously for at least ten years: Provided, That the business shall be deemed to have been continued where it was closed temporarily for not more than one year in total due to a cause or an event for which the family business successor is not liable;
3. A person who succeeds to a family business shall maintain the average number of regular employees for at least five years at a level of not lower than 70 percent of the average number of regular employees employed during a period of five years before he/she succeeds the business.
CHAPTER II (Articles 3 through 27) Deleted.
CHAPTER III EXPANSION OF SPHERE OF BUSINESS FOR SMALL AND MEDIUM BUSINESSES
SECTION 1 Cooperative Movement Projects
 Article 28 (Standards for Cooperative Movement)
The standards for cooperative movement among small and medium enterprises referred to in Article 28 of the Act (hereinafter referred to as "standards for cooperative movement") shall include the following: <Amended by Presidential Decree No. 28213, Jul. 26, 2017>
1. Matters concerning types of cooperative movement projects, the number of participating entities, qualifications for participation, the feasibility of business plans, the promoting entities, and other relevant matters as required for formulating the action plan for cooperative movement under Article 29 of the Act (hereinafter referred to as "action plan for the cooperative movement");
2. Matters concerning the scope and conditions of, and the procedure for, support to the person with an approved action plan for the cooperative movement and the follow-up management of the cooperative movement project;
3. Matters deemed particularly necessary by the Minister of SMEs and Startups for the matters referred to in subparagraphs 1 and 2.
 Article 29 (Matters Contained in Action Plan for Cooperative Movement)
Each action plan for the cooperative movement shall contain descriptions of the following matters:
1. Objectives of the action plan for the cooperative movement;
2. Participating entities;
3. Details of the project;
4. Promoters;
5. A plan for procuring financial resources;
6. The implementation period;
7. Matters under subparagraphs of Article 31 (2), where the cooperative project includes a project for developing an industrial complex;
8. Other matters necessary for the cooperative movement project.
 Article 30 (Approval of Action Plans for Cooperative Movement)
(1) A person who intends to obtain approval of an action plan for cooperative movement or approval for any modification to such action plan in accordance with Article 29 (1) of the Act, shall file an application for approval or for approval for modification with the Minister of SMEs and Startups. <Amended by Presidential Decree No. 28213, Jul. 26, 2017>
(2) A person who intends to obtain approval of an action plan for cooperative movement or approval for any modification to such action plan in accordance with Article 29 (2) of the Act, shall file an application for approval or for approval for modification with the Special Metropolitan City Mayor, Metropolitan City Mayor, the Special Self-Governing City Mayor, Do Governor, or Special Self-Governing Province Governor (hereinafter referred to as "Mayor/Do Governor"). <Amended by Presidential Decree No. 21835, Nov. 20, 2009; Presidential Decree No. 27524, Sep. 29, 2016>
(3) "Area specified by Presidential Decree" in Article 29 (2) of the Act means 30,000 square meters.
(4) Upon receipt of an application for approval of an action plan for cooperative movement or for approval for modification filed under paragraph (1) or (2), the Minister of SMEs and Startups or the competent Mayor/Do Governor shall approve the plan, only if he/she finds that the action plan for cooperative movement complies with the standards for cooperative movement. <Amended by Presidential Decree No. 28213, Jul. 26, 2017>
 Article 31 (Approval, etc. of Execution Plans for Industrial Complex Development Projects)
(1) "Matters specified by Presidential Decree" in Article 31 (3) 3 of the Act means the following:
1. Matters concerning whether the infrastructure, including roads, water supply system, electricity, and waste disposal facilities, has been established;
2. Matters concerning the impact on the local economy and environment.
(2) A report on or public announcement of approval of an implementation plan for an industrial complex development plan or approval of a modification to such plan under Article 31 (4) of the Act shall include the following matters: Provided, That matters referred to in subparagraph 3 shall apply only where a parcel of land is expropriated or used:
1. Outlines of the project (including matters concerning the name, purposes, location, area, and project execution period);
2. The name and address of the person who obtained approval of the action plan for cooperative movement under Article 29 of the Act or the Small and Medium Business Corporation established under Article 68 (1) of the Act (hereinafter referred to as "small or medium entrepreneur");
3. A list of parcels of land and buildings subject to expropriation or use, and details of ownership and other rights and interests (including the names and addresses of interested parties under subparagraph 5 of Article 2 of the Act on Acquisition of and Compensation for Land, etc. for Public Works Projects).
(3) Article 30 of the Act and Articles 28, 29, and 30 (1) and (4) of this Decree shall apply mutatis mutandis to the standards for overseas cooperative movement projects under Article 31 (5) of the Act and approval of execution plans for such project.
 Article 32 (Service by Public Notice)
(1) A small or medium business entrepreneur may, if it is impracticable to deliver documents to an interested party because the address or abode of an interested party is not clearly known or due to any other reason when he/she executes an industrial complex development project, serve the documents instead by publishing a public notice thereof through a daily newspaper issued in Seoul Metropolitan City and the locality concerned.
(2) The documents served by public notice in accordance with para-graph (1) shall be deemed to be dispatched on the date of the public notice and delivered to the party concerned 14 days after the date of the public notice: Provided, That the aforesaid period of time shall be 60 days after the date of the public notice if the interested party sojourns in a foreign country.
SECTION 2 Collaboration Support Projects
 Article 33 (Criteria, etc. for Selection of Collaborative Enterprises)
(1) "Requirements prescribed by Presidential Decree, such as establishing a detailed collaboration plan" in Article 39-2 (1) of the Act means the following requirements:
1. A small and medium entrepreneur shall have a plan for collaboration containing the following (hereinafter referred to as "collaboration plan"):
(a) The purposes of the project plan;
(b) The names, addresses, and representatives of the small and medium entrepreneur who intends to conduct collaboration (referring to a small and medium entrepreneur prescribed in subparagraph 9 of Article 2 of the Act; hereinafter referred to as "enterprise conducting collaboration") and a participating enterprise (referring to an entity prescribed in any item of subparagraph 9 of Article 2 of the Act; hereinafter the same shall apply);
(c) Details of the project, and execution period;
(d) Facilities, technology, human resources, and capital provided by a participating enterprise;
(e) Methods of funding;
2. Neither the enterprise conducting collaboration nor the participating enterprise shall:
(a) Engage in any type of business referred to in attached Table 1;
(b) Have suspended or closed its business;
3. The enterprise conducting collaboration and the participating enterprise shall meet all of the following requirements:
(a) They shall have facilities, technology, human resources, and capital necessary to conduct collaboration;
(b) They shall have assigned roles for collaboration based on functions;
(c) They shall have concluded a fair collaboration contract under agreement reached on equal ground.
(2) A small and medium entrepreneur who intends to be selected as a person eligible for a collaboration support project under Article 39-2 (1) of the Act, shall file an application for a collaboration support project with the Minister of SMEs and Startups in the form prescribed by Ordinance of the Ministry of SMEs and Startups, along with the following documents: <Amended by Presidential Decree No. 28213, Jul. 26, 2017>
1. Documents related to the collaboration plan referred to in paragraph (1) 1;
2. Documents evidencing that the requirements referred to in paragraph (1) 3 (a) are met;
3. A collaboration contract verified by the heads of the enterprise conducting collaboration and the participating enterprise regarding their rights and obligations and the project management plan, or a notarized internal agreement thereon.
(3) Upon receipt of an application filed under paragraph (2), the Minister of SMEs and Startups shall select the applicant as a person eligible for the collaboration support project in accordance with Article 39-2 (1) of the Act, taking into account the following. In such cases, he/she shall hear experts' opinions: <Amended by Presidential Decree No. 28213, Jul. 26, 2017>
1. Necessity of conducting collaboration and propriety of the composition of the collaborative body;
2. Stability of collaboration;
3. Practicability of the project plan;
4. Capability to execute the project;
5. Other expected effects of collaboration.
(4) The Minister of SMEs and Startups shall issue a certificate of collaborative enterprise in the form prescribed by Ordinance of the Ministry of SMEs and Startups to an enterprise selected as a person eligible for a collaboration support project under paragraph (3) (hereinafter referred to as "collaborative enterprise"). <Amended by Presidential Decree No. 28213, Jul. 26, 2017>
(5) Except as otherwise prescribed in paragraphs (1) through (4), procedures for the selection of collaborative enterprises, and other necessary matters, shall be prescribed and publicly notified by the Minister of SMEs and Startups. <Amended by Presidential Decree No. 28213, Jul. 26, 2017>
[This Article Wholly Amended by Presidential Decree No. 26649, Nov. 18, 2015]
 Article 34 (Designation, etc. of Dedicated Institutions)
(1) The Minister of SMEs and Startups shall designate an institution or organization that meets all of the following requirements as an institution or organization exclusively in charge of collaboration support (hereinafter referred to as "dedicated institution") pursuant to Article 39-3 (1) of the Act: <Amended by Presidential Decree No. 28213, Jul. 26, 2017>
1. Its main business affairs shall be related to promoting small and medium enterprises;
2. It shall have a dedicated organization comprised of at least two regular workers who perform the collaboration support projects referred to in Article 39 of the Act;
3. It shall have office space for performing the collaboration support projects referred to in Article 39 of the Act.
(2) A person who intends to be designated as a dedicated institution shall file an application for designation of a dedicated institution in the form prescribed by Ordinance of the Ministry of SMEs and Startups with the Minister of SMEs and Startups, along with documents evidencing that the requirements prescribed in subparagraphs of paragraph (1) are met. <Amended by Presidential Decree No. 28213, Jul. 26, 2017>
(3) Upon designating a dedicated institution, the Minister of SMEs and Startups shall post such designation on the website of the Small and Medium Business Administration. <Amended by Presidential Decree No. 28213, Jul. 26, 2017>
(4) An institution or organization designated as a dedicated institution shall submit its business plan for the pertinent year and the outcomes of business performance during the previous year to the Minister of SMEs and Startups, by no later than January 31 annually. <Amended by Presidential Decree No. 28213, Jul. 26, 2017>
[This Article Wholly Amended by Presidential Decree No. 26649, Nov. 18, 2015]
 Article 34-2 (Criteria, etc. for Administrative Dispositions)
(1) Detailed criteria for administrative dispositions prescribed in Article 39-4 (1) of the Act shall be as specified in attached Table 1-2.
(2) Upon revoking the designation of a dedicated institution or upon suspending its business under Article 39-4 (1) of the Act, the Minister of SMEs and Startups shall post the same on the website of the Small and Medium Business Administration. <Amended by Presidential Decree No. 28213, Jul. 26, 2017>
[This Article Newly Inserted by Presidential Decree No. 26649, Nov. 18, 2015]
 Article 35 (Inspections of Outcomes)
To inspect whether a collaborative enterprise has engaged in collaboration activities and the outcomes, etc. of such collaboration activities, pursuant to Article 40 (1) of the Act, the Minister of SMEs and Startups shall give prior notice to the collaborative enterprise of the time, date, purpose, and details of the inspection and other relevant matters. <Amended by Presidential Decree No. 26649, Nov. 18, 2015; Presidential Decree No. 28213, Jul. 26, 2017>
SECTION 3 Projects to Support Business Site Development and Reduction of Environmental Pollution
 Article 36 (Projects to Support Business Site Development)
"Projects prescribed by Presidential Decree" in subparagraph 4 of Article 41 of the Act means: <Amended by Presidential Decree No. 25942, Dec. 30, 2014; Presidential Decree No. 28213, Jul. 26, 2017>
1. A regional development project conducted under the Regional Development Assistance Act (limited to the regional development project conducted in a regional comprehensive development district designated and publicly announced under the former Balanced Regional Development and Support for Local Small and Medium Enterprises Act, which is deemed a district for a regional development project under Article 4 (3) of the Addenda to the Regional Development and Support Act (Act No. 12737)) and a project for supporting factory construction;
2. Projects specified by the Minister of SMEs and Startups as projects to support business site development under other Acts.
 Article 37 (Projects to Support Reduction of Environmental Pollution)
The projects performed by the Minister of SMEs and Startups to support reduction of environmental pollution pursuant to Article 42 of the Act are as follows: <Amended by Presidential Decree No. 28213, Jul. 26, 2017>
1. Financial and technical support necessary to replace existing production facilities and process with low-polluting or pollution-free facilities and process;
2. Financial and technical support necessary to commercialize developed technology for reducing environmental pollution;
3. Financial and technical support necessary to install production facilities and waste treatment facilities for recycling wastes produced from production activities;
4. Other projects that the Minister of SMEs and Startups deems necessary to reduce environmental pollution caused by small and medium enterprises.
SECTION 4 Guidance and Training Programs
 Article 38 (Matters Included in Guidance Plan)
Each guidance plan established under Article 43 of the Act shall contain the following: <Amended by Presidential Decree No. 28213, Jul. 26, 2017>
1. Matters concerning the direction, target entities, details, and method of guidance;
2. Matters concerning the procedure for applying for guidance and follow-up management of guidance;
3. Matters concerning cooperation among guiding agencies that provide guidance for business management and technology pursuant to Article 44 of the Act (hereinafter referred to as "guiding agency");
4. Matters concerning the management of personnel for guidance;
5. Matters concerning the details and scope of, and procedure for support required as a result of guidance;
6. Other matters that the Minister of SMEs and Startups deems particularly necessary for guidance.
 Article 39 (Designation of Guiding Agencies)
Entities that the Minister of SMEs and Startups may designate as guiding agencies pursuant to Article 44 (1) of the Act are as follows: <Amended by Presidential Decree No. 21461, Apr. 30, 2009; Presidential Decree No. 22493, Nov. 15, 2010; Presidential Decree No. 27205, May 31, 2016; Presidential Decree No. 27524, Sep. 29, 2016; Presidential Decree No. 28213, Jul. 26, 2017>
1. Regional Small and Medium Business Administrations;
2. The Small and Medium Business Corporation established under Article 68 (1) of the Act (hereinafter referred to as the "Small and Medium Business Corporation");
3. The Korea Institute of Advancement of Technology, the Korea Evaluation Institute of Industrial Technology, the Korea Institute of Ceramic Engineering and Technology, the National Academy of Engineering of Korea, the Korea Testing Laboratory, and the specializing industrial technology research institutes established under the Industrial Technology Innovation Promotion Act;
4. The Korea Institute of Design Promotion established under the Industrial Design Promotion Act;
5. The Industrial Bank of Korea established under the Industrial Bank of Korea Act;
6. The Korea Credit Guarantee Fund established under the Credit Guarantee Fund Act (hereinafter referred to as the "Credit Guarantee Fund");
7. The Korea Technology Finance Corporation incorporated under the Korea Technology Finance Corporation Act;
8. Banks established under the Banking Act;
9. Universities, colleges, polytechnic colleges, and junior colleges established under the Higher Education Act;
11. Consultants who has established an office in accordance with Article 50 (5) of the Act;
12. Credit guarantee foundations and the Korea Federation of Credit Guarantee Foundations established under the Regional Credit Guarantee Foundation Act;
13. Other institutions designated by the Minister of SMEs and Startups, among specialized institutions that have human resources and ability to provide guidance for business management and technology to small and medium enterprises.
 Article 40 (Contributions to Guiding Agencies)
(1) The Minister of SMEs and Startups may pay a contribution to a guiding agency pursuant to Article 44 (1) of the Act in a lump sum or in installments. <Amended by Presidential Decree No. 28213, Jul. 26, 2017>
(2) Every guiding agency provided with a contribution pursuant to paragraph (1) shall create a separate account for the contribution for the management of the fund.
(3) Every guiding agency shall spend the contribution paid under paragraph (1) only for providing guidance for business management and technology for small and medium enterprises.
 Article 41 (Qualification Examinations for Consultants)
(1) The subjects in the qualification examination for consultants under Article 46 (5) of the Act are as specified in attached Table 2. <Amended by Presidential Decree No. 20765, Apr. 10, 2008>
(2) The primary test of the qualification examination for consultants shall be a multiple-choice test and the secondary test shall be an essay test.
(3) The minimum passing scores for the primary and secondary tests shall be 40 points out of the full score of 100 points for each subject and is average of 60 points or higher for all subjects, respectively.
(4) When successful examinees are screened out from the examination, the Minister of SMEs and Startups shall publicly announce the list of successful examinees and issue an consultant qualification certificate in the form prescribed by Ordinance of the Ministry of SMEs and Startups to each successful examinee. <Amended by Presidential Decree No. 20728, Feb. 29, 2008; Presidential Decree No. 24432, Mar. 23, 2013; Presidential Decree No. 28213, Jul. 26, 2017>
 Article 41-2 Deleted. <by Presidential Decree No. 26247, May 26, 2015>
 Article 42 (Scope of Work, etc. of Testing Institutions)
(1) The scope of work of the testing institution under Article 46 (5) of the Act shall be as follows:
1. Making public announcements for the qualification examinations for consultants;
2. Distribution and receipt of applications for the qualification examinations for consultants;
3. Conducting the qualification examinations for consultants and work incidental thereto.
(2) When the testing institution plans to conduct a qualification examination for consultants, it shall prescribe the date of, and venue for, the examination, examination fees, and other matters necessary for conducting the examination, subject to approval of the Minister of SMEs and Startups, and shall announce them, along with test subjects and minimum passing scores by 90 days before the examination date. <Amended by Presidential Decree No. 21835, Nov. 20, 2009; Presidential Decree No. 23759, May 1, 2012; Presidential Decree No. 28213, Jul. 26, 2017>
(3) The testing institution shall refund the relevant amount where a person who intends to take a qualification examination for consultants falls under any of the following cases: <Amended by Presidential Decree No. 23837, Jun. 5, 2012>
1. Where examination fees have been overpaid: Whole amount of examination fees overpaid;
2. Where the person fails to take a qualification examination for consultants on any ground imputable to the testing institution: Whole amount of examination fees paid;
3. Where an application is cancelled within the application filing period; Whole amount of examination fees paid;
4. Where an application is cancelled during the period from the date immediately following the closing date of application for examination to the date not exceeding 20 days before the examination date: 60/100 of the examination fees paid;
5. Where an application is canceled during the period from 19 days before the examination date to the date not exceeding ten days before the examination date: 50/100 of the examination fees paid.
 Article 43 (Scope of Statutes Related to Small and Medium Enterprises)
The scope of statutes related to small and medium enterprises under Article 47 (1) 7 and (2) 10 of the Act shall be as specified in attached Table 2-2, respectively.
[This Article Newly Inserted by Presidential Decree No. 27808, Jan. 26, 2017]
 Article 44 (Criteria, etc. for Designating Responsible Institution)
(1) The criteria for designating institutions responsible for operating and managing training courses for consultants under Article 49 (2) of the Act are as follows:
1. It shall be a legal entity;
2. It shall have experts and facilities suitable for operating training courses for consultants.
(2) Persons eligible for admission to training courses for consultants under Article 49 (2) of the Act are any of the following persons: <Amended by Presidential Decree No. 28213, Jul. 26, 2017>
1. A person who holds a doctorate or has an academic career recognized as equivalent to such degree and who has at least five years’ career in business practice;
2. A person who holds a master's degree or has an academic career recognized as equivalent to such degree and who has at least seven years of work experience;
3. A person who has graduated from a university or a college or has an academic career recognized as equivalent to such graduate and who has at least ten years of work experience;
4. A person who has graduated from a junior college or has an academic career recognized as equivalent to such graduate and who has at least 15 years of work experience;
5. A person who has worked for the Ministry of SMEs and Startups or a guiding agency in charge of guidance on business management or technology for at least five years.
(3) The degrees, academic careers, and career in business practice under paragraph (2) 1 through 4 mean the degrees, academic careers, and career in business practice related to management of human resources, financial management, production management, marketing, mechanical engineering, metal engineering, electrical engineering and electronics, textiles, chemical engineering, information processing, environmental engineering, or biotechnology, and the period of service in business practice shall include the period of time during which a person actually worked in the relevant field before acquiring the degree or before commencing his/her recognized academic career. <Amended by Presidential Decree No. 21835, Nov. 20, 2009>
(4) Other matters necessary for operating training courses for consultants shall be prescribed by Ordinance of the Ministry of SMEs and Startups. <Amended by Presidential Decree No. 20728, Feb. 29, 2008; Presidential Decree No. 24432, Mar. 23, 2013; Presidential Decree No. 28213, Jul. 26, 2017>
 Article 45 (In-Service Training)
(1) In-service training for consultants referred to in Article 50 (1) of the Act shall be conducted by a legal entity designated by the Minister of SMEs and Startups (hereinafter referred to as "designated entity for in-service training"), from among legal entities related to guidance services. <Amended by Presidential Decree No. 28213, Jul. 26, 2017>
(2) The in-service training course referred to in paragraph (1) shall consist of at least 100 hours: Provided, That a person eligible under any subparagraph of Article 48 (1) of the Act or a person who has completed the training course for consultants referred to in Article 49 of the Act may complete the in-service training course in 60 hours. <Amended by Presidential Decree No. 22873, Apr. 5, 2011>
(3) A designated entity for in-service training may select an institution equipped with educational facilities and specialized human resources from among guiding agencies designated under Article 39 for each field of in-service trainees according to the characteristics of each field, to entrust part of the in-service training course to such institution.
(4) Each designated entity for in-service training shall determine the curricula and period of the in-service training course, fees, and other matters necessary for operating the in-service training course; report them to the Minister of SMEs and Startups; issue a certificate of the in-service training course in the form prescribed by Ordinance of the Ministry of SMEs and Startups to a person who completes the course; and report the results thereof to the Minister of SMEs and Startups. <Amended by Presidential Decree No. 20728, Feb. 29, 2008; Presidential Decree No. 24432, Mar. 23, 2013; Presidential Decree No. 28213, Jul. 26, 2017>
 Article 46 (Renewal of Registration, etc.)
(1) An consultant who intends to renew his/her registration pursuant to Article 50 (2) of the Act shall file an application for renewal of registration as a consultant with the Minister of SMEs and Startups by no later than 30 days before the expiration of the effective period of such registration. <Amended by Presidential Decree No. 28213, Jul. 26, 2017>
(2) The Minister of SMEs and Startups may designate a legal entity related to guidance services to examine and ascertain whether an consultant has a record of actual performance as an consultant and has completed the refresher-training course in accordance with Article 50 (3) of the Act. <Amended by Presidential Decree No. 28213, Jul. 26, 2017>
 Article 46-2 (Prior Notice of Effective Period of Registration)
(1) The Minister of SMEs and Startups shall notify every consultant who intends to renew his/her registration under Article 46 (1) of the fact that he/she must file an application for renewal of registration by not later than 30 days before the expiration of the effective period of registration and the procedures for applying for renewal of his/her registration, by not later than two months before the expiration of the effective period of registration. <Amended by Presidential Decree No. 28213, Jul. 26, 2017>
(2) The notice referred to in paragraph (1) may be given in writing, by facsimile, electronic mail, text message to cellular phone, etc.
[This Article Newly Inserted by Presidential Decree No. 23837, Jun. 5, 2012]
 Article 47 (Guidance by Foreign Experts)
The head of a guiding agency may, if deemed necessary, order a foreign expert to provide guidance to small and medium enterprises.
 Article 48 (Referral for Guidance)
If deemed necessary to provide guidance for small and medium enterprises efficiently, the Minister of SMEs and Startups may allow the Small and Medium Business Corporation or the designated entity for in-service training to make referrals of consultants or experts in guidance for specific fields. <Amended by Presidential Decree No. 28213, Jul. 26, 2017>
 Article 49 (Support for Entities Recommended after Guidance)
The support preferentially provided pursuant to Article 55 (3) of the Act is as follows: <Amended by Presidential Decree No. 20728, Feb. 29, 2008; Presidential Decree No. 24432, Mar. 23, 2013; Presidential Decree No. 28213, Jul. 26, 2017>
1. Providing support for the development and introduction of technology;
2. Requesting a financial institution to grant a preferential loan, or requesting a credit guarantee institution to provide credit guarantee necessary for such loan, for the funds required for the construction, extension, improvement, or replacement of facilities;
3. Other support and measures specified by Ordinance of the Ministry of SMEs and Startups.
 Article 50 (Matters Included in Training Plans)
The training plan for small and medium enterprises referred to in Article 56 of the Act shall include the following: <Amended by Presidential Decree No. 28213, Jul. 26, 2017>
1. Matters concerning entities to receive the training and the number of trainees;
2. Matters concerning the curricula and period of the training;
3. Matters concerning support for training;
4. Matters that the Minister of SMEs and Startups deems particularly necessary for the matters prescribed in subparagraphs 1 through 3.
 Article 51 (Designation of Training Institutions)
(1) Each training institution designated under Article 57 (1) of the Act shall have specialized human resources, facilities, and equipment necessary to provide training about business management and technology for small and medium enterprises.
(2) Procedures for designating training institutions and other relevant matters shall be prescribed and publicly notified by the Minister of SMEs and Startups. <Amended by Presidential Decree No. 28213, Jul. 26, 2017>
SECTION 5 Projects to Support Internationalization
 Article 52 (Projects to Support Internationalization)
The projects to support internationalization under Article 58 of the Act shall include the following activities: <Amended by Presidential Decree No. 28213, Jul. 26, 2017>
1. Attracting foreign investments in small and medium enterprises;
2. Introducing and exchanging technology for small and medium enterprises;
3. Assisting small and medium enterprises in investing in overseas markets and transferring technology to overseas markets;
4. Arranging overseas training programs and observation tours for executive officers and employees of small and medium enterprises;
5. Providing information related to activities referred to in subparagraphs 1 through 4;
6. Other activities that the Minister of SMEs and Startups deems necessary to support the internationalization of small and medium enterprises.
SECTION 6 Support for Stable Business Management of Small and Medium Enterprises
 Article 52-2 (Coverage of Insurance Account for Trade Receivables of Small and Medium Enterprises)
(1) The insurance for trade receivable of small and medium enterprises, which shall be operated and managed for the purposes of installing the insurance account for trade receivable of small and medium enterprises pursuant to Article 61-2 (1) of the Act (hereinafter referred to as the "Account"), means insurance for covering the losses and damage that small and medium entrepreneurs who have supplied goods or service sustain due to a default in settlement of a bill or note received by them in consideration for the goods or service supplied or non-performance of an obligation of an obligor to pay the price for such goods or service.
(2) Deleted. <Amended by Presidential Decree No. 23019, Jul. 4, 2011>
[This Article Newly Inserted by Presidential Decree No. 20765, Apr. 10, 2008]
 Article 52-3 (Appropriation of Liability Reserve, etc.)
(1) The Credit Guarantee Fund shall appropriate the following amount as the liability reserve to cover the payment of insurance proceeds and reimbursements to be paid in the future pursuant to Article 61-5 (1) of the Act (hereinafter in this Article referred to as "insurance proceeds, etc."):
1. The following amounts related to the contracts under which any reason for the payment of insurance proceeds, etc. has occurred as at the end of each term for settlement of accounts:
(a) Amounts for which lawsuits on insurance proceeds, etc. are in progress;
(b) Amount the payment of which is finalized;
(c) Amount not yet paid because the amount to be paid has not been finalized;
2. The following amounts related to the contracts under which no reason for the payment of insurance proceeds, etc. has occurred as at the end of each term for settlement of accounts:
(a) Accumulated amount of insurance premiums for period after the end of a term for settlement of accounts out of the insurance premiums paid on or before the end of the fiscal year;
(b) Accumulated amount to pay insurance proceeds, etc. in the future.
(2) In accordance with Article 61-5 (1) 1 of the Act, the Credit Guarantee Fund shall appropriate a contingency reserve within the range of 33/1,000 of the remaining balance after acquisition of insurance account for trade receivable as at the end of the term of settlement of accounts.
(3) Detailed matters concerning the calculation and accounting of the liability reserve under paragraph (1) and the contingency reserve under paragraph (2) shall conform to the operating manual referred to in Article 61-7 of the Act.
[This Article Wholly Amended by Presidential Decree No. 27524, Sep. 29, 2016]
 Articles 52-4 through 52-6 Deleted. <by Presidential Decree No. 27524, Sep. 29, 2016>
 Article 52-7 (Business Activities)
The Credit Guarantee Fund shall carry out the following business activities in order to achieve the objectives of the Account:
1. Operation and management of the insurance for trade receivable of small and medium enterprises;
2. Operation and management of property of the Account;
3. Exercising the right of subrogation arising from the payment of insurance proceeds;
4. Research on the insurance system for trade receivable of small and medium enterprises;
5. Business activities incidental to those under subparagraphs 1 through 4.
[This Article Newly Inserted by Presidential Decree No. 20765, Apr. 10, 2008]
 Article 52-8 Deleted. <by Presidential Decree No. 27524, Sep. 29, 2016>
 Article 52-9 (Insurance Premium Rate)
The insurance premium rate of insurance for trade receivable of small and medium enterprises shall be stipulated in the operating manual under Article 61-7 of the Act, taking into consideration the balanced revenue and expenditure of the Account and the credit rating of each enterprise. <Amended by Presidential Decree No. 27524, Sep. 29, 2016>
[This Article Newly Inserted by Presidential Decree No. 20765, Apr. 10, 2008]
 Article 52-10 (Termination of Contract)
(1) If an insurance policyholder or insured of the insurance for trade receivable of small and medium enterprises breaches the insurance contract, the Credit Guarantee Fund may take the following measures:
1. To decline to pay the insurance proceeds according to the insurance contract;
2. To recover the whole or part of the amount of insurance proceeds already paid;
3. To terminate or cancel the insurance contract.
(2) The Credit Guarantee Fund shall, when it intends to take any measure pursuant to paragraph (1), notify the insurance policyholder of its intention in advance.
[This Article Newly Inserted by Presidential Decree No. 20765, Apr. 10, 2008]
 Article 52-11 Deleted. <by Presidential Decree No. 27524, Sep. 29, 2016>
 Article 53 (Traditional Handicraft Industry)
Persons eligible for support under Article 62 of the Act are small and medium entrepreneurs who produce products made with traditional arts and skills or creative products developed with a folklore motif.
 Article 54 (Support for Traditional Handicraft Industry)
Pursuant to Article 62 of the Act, the Minister of SMEs and Startups and the head of each local government may provide support for the following activities, if deemed necessary to provide support for small and medium entrepreneurs that engage in traditional handicraft business in his/her jurisdiction for stabilizing their business management: <Amended by Presidential Decree No. 28213, Jul. 26, 2017>
1. Funding required for stabilizing business management;
2. Finding markets for products;
3. Developing products, improving the quality of the products, and commercialization of the developed products.
SECTION 7 Support for Small and Medium Enterprises’ Family Business Succession
 Article 54-2 (Criteria, etc. for Designation of Center for Supporting Small and Medium Enterprises in Family Business Succession)
(1) An institution or an organization that intends to be designated as a center for supporting small and medium enterprises in family business succession under Article 62-3 (1) of the Act (hereinafter referred to as "support center") shall file an application with the Minister of SMEs and Startups, as prescribed by Ordinance of the Ministry of SMEs and Startups. <Amended by Presidential Decree No. 24432, Mar. 23, 2013; Presidential Decree No. 28213, Jul. 26, 2017>
(2) An institution or an organization that intends to be designated as a support center under paragraph (1) shall satisfy all of the following requirements:
1. It shall be a legal entity;
2. The scope of the business of the legal entity shall include business activities for supporting family business succession;
3. It shall have a dedicated organization capable of supporting small and medium enterprises in family business succession;
4. It shall have at least three of the following experts, specialized in supporting small and medium enterprises in family business succession:
(a) A business management consultant referred to in Article 46 of the Act, with at least three years’ work experience in affairs related to such qualification;
(b) A certified public accountant under the Certified Public Accountant Act or a certified tax accountant under Certified Tax Accountant Act, with at least three years’ work experience in affairs related to such qualification;
(c) Any other person whose work experience is recognized as equivalent to that of a person referred to in item (a) or (b).
(3) Upon designating a support center, the Minister of SMEs and Startups shall issue public notice thereof through the Official Gazette or the website of the Small and Medium Business Administration. <Amended by Presidential Decree No. 28213, Jul. 26, 2017>
(4) An entity designated as a support center shall report its business plan for the pertinent year and the outcomes of business performance during the previous year to the Minister of SMEs and Startups, by no later than January 31 annually. <Amended by Presidential Decree No. 28213, Jul. 26, 2017>
[This Article Newly Inserted by Presidential Decree No. 20765, Apr. 10, 2008]
 Article 54-3 (Requirements for Prestigious Long-Lived Enterprises)
(1) "Type of business prescribed by Presidential Decree, such as construction business, real estate business, finance business, insurance and annuity business, and finance and insurance-related service business" in Article 62-4 of the Act means any of the following types of business. In such cases, the classification of types of business shall be based on the divisions of the Korea Standard Industrial Classification, except for subparagraph 1, the classification of which shall be based on sectors:
1. Construction business;
2. Real estate business;
3. Finance business;
4. Insurance and annuity business;
5. Finance and insurance-related service business.
(2) The commencement date of business referred to in Article 62-4 (1) of the Act shall be the date classified as follows:
1. If the founder is a corporation: The registration date of the establishment of the corporation;
2. If the founder is an individual: The commencement date of business referred to in Article 8 (1) of the Value-Added Tax Act.
(3) If an individual business is converted into a corporation, the commencement date of the individual business shall be construed as the commencement date of business of the corporation, if all of the following requirements are fulfilled:
1. The main type of business of the individual business and that of the corporation shall be the same;
2. The major production facilities of the individual business shall have been invested in the corporation in kind, and the corporation shall have acquired all liabilities related to the business of the individual business operator.
(4) The changes in the main type of business under subparagraph 1 of Article 62-4 of the Act shall be based on the subclasses of the Korea Standard Industrial Classification. In such cases, the companies that perform business by adding any other type of business to the existing type of business shall be construed as having no change in the main type of business only if the sales of the added type of business are less than 50% of the total sales.
(5) "Enterprise meeting criteria prescribed by Presidential Decree" in subparagraph 2 of Article 62-4 of the Act means an enterprise which has received a score higher than the score determined and publicly notified by the Minister of SMEs and Startups for the following items as a result of an evaluation performed according to the scoring standards determined and publicly notified by the Minister of SMEs and Startups: <Amended by Presidential Decree No. 28213, Jul. 26, 2017>
1. Degree of economic contribution, including long-term employment, sales amount, operating profit, and payment of corporate tax;
2. Degree of social contribution, including compliance with related laws, such as human rights, labor, environment, fair competition, and contribution to the society.
(6) "Enterprise meeting criteria prescribed by Presidential Decree" in subparagraph 3 of Article 62-4 of the Act means an enterprise which has received a score higher than the one determined and publicly notified by the Minister of SMEs and Startups for the following items as a result of an evaluation performed according to the scoring standards determined and publicly notified by the Minister of SMEs and Startups: <Amended by Presidential Decree No. 28213, Jul. 26, 2017>
1. Degree of awareness on the enterprise;
2. Degree of marketability, technicality, and reliability of patents held by the enterprise;
3. Domestic and overseas market share of its products or services;
4. Certification of new technology and new product, and the record on the receipt of awards related to technology and quality.
(7) "Enterprise meeting criteria prescribed by Presidential Decree" in subparagraph 4 of Article 62-4 of the Act means an enterprise whose share of research and development expenditure in the total sales during the last five years is not less than the average of that of the same type of business (based on the divisions of the Korea Standard Industrial Classification).
(8) Except as otherwise expressly provided for in subparagraphs 1 through 7, detailed standards for the requirements for prestigious long-lived enterprises shall be determined and publicly notified by the Minister of SMEs and Startups. <Amended by Presidential Decree No. 28213, Jul. 26, 2017>
[This Article Newly Inserted by Presidential Decree No. 27524, Sep. 29, 2016]
 Article 54-4 (Procedures, etc. for Certification of Prestigious Long-Lived Enterprises)
(1) A small and medium enterprise that intends to obtain certification as a prestigious long-lived enterprise shall submit an application form prescribed by Ordinance of the Ministry of SMEs and Startups to the Minister of SMEs and Startups. <Amended by Presidential Decree No. 28213, Jul. 26, 2017>
(2) Upon receipt of an application for certification under paragraph (1), the Minister of SMEs and Startups shall evaluate whether the relevant small and medium enterprise fulfills all the requirements for a prestigious long-lived enterprise set forth in Article 62-4 of the Act and notify the applicant of the result. <Amended by Presidential Decree No. 28213, Jul. 26, 2017>
(3) The Minister of SMEs and Startups shall issue a certificate of prestigious long-lived enterprise prescribed by the Ordinance of the Ministry of SMEs and Startups to a small and medium enterprise that fulfills all the requirements for a prestigious long-lived enterprise as a result of an evaluation conducted pursuant to paragraph (2) and post such fact on the website of the Ministry of SMEs and Startups. <Amended by Presidential Decree No. 28213, Jul. 26, 2017>
(4) The term of validity of a certification of prestigious long-lived enterprise issued under Article 62-5 (2) of the Act shall be ten years.
(5) If a person who has received a certificate of prestigious long-lived enterprise pursuant to Article 62-5 (2) of the Act falls under any of the following cases, he/she may apply for the re-issuance of a certificate of prestigious long-lived enterprise as prescribed by the Ordinance of the Ministry of SMEs and Startups: <Amended by Presidential Decree No. 28213, Jul. 26, 2017>
1. Where it is impracticable to use the certificate of prestigious long-lived enterprise because it is lost or worn out;
2. Where any matter stated in the certificate of prestigious long-lived enterprise is changed.
(6) Except as otherwise expressly provided for in paragraphs (1) through (5), matters necessary for the certification of prestigious long-lived enterprises shall be determined and publicly notified by the Minister of SMEs and Startups. <Amended by Presidential Decree No. 28213, Jul. 26, 2017>
[This Article Newly Inserted by Presidential Decree No. 27524, Sep. 29, 2016]
 Article 54-5 (Revocation of Certification of Prestigious Long-Lived Enterprises)
(1) "Cases prescribed by Presidential Decree, such as causing a social controversy" in Article 62-6 (1) 4 of the Act means cases where significant damage occurs to the social reputation of a prestigious long-lived enterprise due to any act of an executive officer or employee of the relevant small and medium enterprise.
(2) If the Minister of SMEs and Startups intends to revoke the certification of a prestigious long-lived enterprise pursuant to Article 62-6 (1) of the Act, he/she shall send a document (including an electronic document; hereinafter the same shall apply) clearly indicating the grounds for revocation, date of revocation, etc. to the relevant small and medium enterprise. <Amended by Presidential Decree No. 28213, Jul. 26, 2017>
(3) The serving of documents under paragraph (2) shall be conducted by means of post mail, delivery, use of an information and communications network, or other relevant means.
(4) Upon revocation of the certification of a prestigious long-lived enterprise under Article 62-6 (1) of the Act, the Minister of SMEs and Startups shall post such fact on the website of the Ministry of SMEs and Startups. <Amended by Presidential Decree No. 28213, Jul. 26, 2017>
[This Article Newly Inserted by Presidential Decree No. 27524, Sep. 29, 2016]
SECTION 8 Corporate Social Responsibility in Small and Medium Enterprises
 Article 54-6 (Matters to be Included in Master Plans for Promoting Corporate Social Responsibility in Small and Medium Enterprises)
"Matters prescribed by Presidential Decree" in Article 62-8 (2) 5 of the Act means the following: <Amended by Presidential Decree No. 27524, Sep. 29, 2016>
1. Matters concerning the training of professional human resources with respect to corporate social responsibility management;
2. Matters concerning the education and training of workers of small and medium enterprises with respect to corporate social responsibility management;
3. Matters concerning the development and dissemination of performance indices for corporate social responsibility management of small and medium enterprises;
4. Other matters concerning major policies related to promoting corporate social responsibility management of small and medium enterprises.
[This Article Newly Inserted by Presidential Decree No. 24656, Jul. 8, 2013]
 Article 54-7 (Requests for Provision of Information and Data)
(1) Where necessary to formulate and implement the master plans and implementation plans for promoting small and medium enterprises that manage their business for corporate social responsibility pursuant to Article 62-8 of the Act, the Minister of SMEs and Startups may request cooperation, including providing related information or data, from the heads of relevant central administrative agencies or the heads of local governments. <Amended by Presidential Decree No. 27524, Sep. 29, 2016; Presidential Decree No. 28213, Jul. 26, 2017>
(2) The heads of the relevant central administrative agencies or the heads of local governments in receipt of a request for cooperation under paragraph (1) shall provide cooperation, except in extenuating circumstances.
[This Article Newly Inserted by Presidential Decree No. 24656, Jul. 8, 2013]
 Article 54-8 (Designation, etc. of Support Centers for Small and Medium Enterprises which Integrate Corporate Social Responsibility into their Business)
(1) An institution or an organization that intends to be designated as a support center for small and medium enterprises that integrate corporate social responsibility into their business (hereinafter referred to as "support center for corporate social responsibility management") pursuant to Article 62-9 of the Act, shall meet each of the following criteria: <Amended by Presidential Decree No. 27524, Sep. 29, 2016>
1. It shall be a non-profit corporation;
2. It shall have a dedicated organization capable of providing support for corporate social responsibility in small and medium enterprises;
3. The affairs related to consulting and education about corporate social responsibility shall have been included in its business affairs;
4. It shall have at least one lecture room for collective education and counseling room with an aggregate of at least 150 square meters, including the area of educational facilities.
(2) An institution or an organization that intends to be designated as a support center for corporate social responsibility management shall file an application for designation with the Minister of SMEs and Startups, along with the following documents evidencing that the applicant meets each of the criteria prescribed in subparagraphs of paragraph (1): <Amended by Presidential Decree No. 28213, Jul. 26, 2017>
1. Articles of incorporation or regulations on business operations corresponding thereto;
2. A business plan;
3. Status of professional human resources it has employed;
4. A detailed statement of facilities.
(3) Upon designating a support center for corporate social responsibility management, the Minister of SMEs and Startups shall publicly announce the name and seat of the designated agency, date of designation, etc. through the Official Gazette or the website of the Small and Medium Business Administration. <Amended by Presidential Decree No. 28213, Jul. 26, 2017>
(4) An institution or an organization designated as a support center for corporate social responsibility management shall report its business plan for the pertinent year and the outcomes of business performance during the previous year to the Minister of SMEs and Startups, by no later than January 31 annually. <Amended by Presidential Decree No. 28213, Jul. 26, 2017>
(5) Except as otherwise prescribed in paragraphs (1) through (4), the criteria and procedures for designating support centers for corporate social responsibility management, operation thereof, and other necessary matters, shall be prescribed and publicly announced by the Minister of SMEs and Startups. <Amended by Presidential Decree No. 28213, Jul. 26, 2017>
[This Article Newly Inserted by Presidential Decree No. 24656, Jul. 8, 2013]
 Article 54-9 (Revocation of Designation of Support Center for Corporate Social Responsibility Management)
(1) Where any of the following applies to an institution or an organization designated as a support center for corporate social responsibility management under Article 62-9 of the Act, the Minister of SMEs and Startups shall revoke the designation: <Amended by Presidential Decree No. 27524, Sep. 29, 2016; Presidential Decree No. 28213, Jul. 26, 2017>
1. Where it is designated by fraud or other improper means;
2. Where it fails to meet any of the criteria for designation prescribed in Article 54-8 (1);
3. Where it fails to perform the affairs specified in the business plan submitted under Article 54-8 (2) 2 for at least three months without just cause.
(2) Upon revoking the designation of a support center for corporate social responsibility management under paragraph (1), the Minister of SMEs and Startups shall publicly announce the object of the revocation of designation and the grounds therefor through the Official Gazette or the website of the Small and Medium Business Administration. <Amended by Presidential Decree No. 28213, Jul. 26, 2017>
[This Article Newly Inserted by Presidential Decree No. 24656, Jul. 8, 2013]
SECTION 9 Support for Small Enterprises
 Article 54-10 (Small Enterprises, etc. Eligible for Special Cases concerning Establishment of Factories)
(1) The building area of a factory referred to in Article 62-10 (1) or (2) of the Act or the area of a place of work equivalent thereto, shall be any of the following areas of a manufacturing plant (limited to where the whole building is a factory defined in subparagraph 1 of Article 2 of the Industrial Cluster Development and Factory Establishment Act), among the Class II neighborhood living facilities referred to in Article 2 (2) 4 of the Building Act, or a factory, the construction or extension of which, or changing the type of business engaged in which, is or deemed to be, approved under Article 13 of the Industrial Cluster Development and Factory Establishment Act: <Amended by Presidential Decree No. 27299, Jun. 30, 2016; Presidential Decree No. 27524, Sep. 29, 2016>
1. In the Seoul Metropolitan Area defined under the Seoul Metropolitan Area Readjustment Planning Act, the aggregate of the floor area of each floor of a building where machinery or equipment used as manufacturing facilities is installed, the horizontal projected area of outdoor structures used as manufacturing facilities, and the floor area of each floor of offices and warehouses;
2. In an area outside the Seoul Metropolitan Area, the aggregate of the floor area of each floor of a building where machinery or equipment used as manufacturing facilities is installed, and the horizontal projected area of outdoor structures used as manufacturing facilities.
(2) "Certificate prescribed by Presidential Decree, such as a document verifying that its factory has been registered under Article 16 of the Industrial Cluster Development and Factory Establishment Act" in Article 62-10 (1) of the Act means a document verifying that a factory has been registered under Article 16 of the Industrial Cluster Development and Factory Establishment Act. <Amended by Presidential Decree No. 27524, Sep. 29, 2016>
[This Article Newly Inserted by Presidential Decree No. 26247, May 26, 2015]
 Article 54-11 (Area of Factory Site, etc. Exempt from Farmland Preservation Charges, etc.)
(1) An area of a factory site exempt from the charges referred to in Article 62-10 (2) of the Act shall be the area calculated by dividing the building area of a factory to be newly constructed, extended or relocated or the area of a place of work equivalent thereto, by the standard factory area ratio referred to in subparagraph 2 of Article 8 of the Industrial Cluster Development and Factory Establishment Act. <Amended by Presidential Decree No. 27524, Sep. 29, 2016>
(2) For the purposes of Article 62-10 (2) of the Act, the number of full-time workers hired by a startup enterprise which has not yet commenced business, shall be verified based on the number of full-time workers stated in the business plan submitted by such enterprise under Article 22 of the Enforcement Decree of the Support for Small and Medium Enterprise Establishment Act: Provided, That, if an enterprise has not submitted a business plan, such number shall be verified based on the number of full-time workers stated in its application for approval to establish a factory filed under Article 19 (1) of the Enforcement Decree of the Support for Small and Medium Enterprise Establishment Act. <Amended by Presidential Decree No. 27524, Sep. 29, 2016>
[This Article Newly Inserted by Presidential Decree No. 26247, May 26, 2015]
 Article 54-12 (Establishment and Composition of Committee)
(1) A Financial Support Committee (hereinafter referred to as the "Committee") shall be established under the jurisdiction of the Small and Medium Business Administration in order to deliberate on matters concerning formulating and implementing measures to assist small enterprises in obtaining credit guarantees under Article 62-11 of the Act. <Amended by Presidential Decree No. 27524, Sep. 29, 2016; Presidential Decree No. 28213, Jul. 26, 2017>
(2) The Minister of SMEs and Startups shall serve as the chairperson of the Committee, and the members of the Committee shall be comprised of: <Amended by Presidential Decree No. 27205, May 31, 2016; Presidential Decree No. 27524, Sep. 29, 2016; Presidential Decree No. 28213, Jul. 26, 2017>
1. The Vice-Minister of Strategy and Finance designated by the Minister of Strategy and Finance;
2. The Vice Minister of Trade, Industry and Energy;
3. The Vice Chairperson of the Financial Services Commission;
4. The President of the Small and Medium Business Corporation;
5. The Chairperson of the Korea Federation of Small and Medium Business established under the Small and Medium Enterprise Cooperatives Act (hereinafter referred to as the "Korea Federation of Small and Medium Business");
6. The President of the Industrial Bank of Korea established under the Industrial Bank of Korea Act;
7. The President of the Credit Guarantee Fund;
8. The President of the Korea Technology Finance Corporation established under the Korea Technology Finance Corporation Act;
9. The Chairperson of the Korean Federation of Credit Guarantee Foundations established under Article 35 of the Regional Credit Guarantee Foundation Act;
10. Five persons commissioned by the Minister of SMEs and Startups, giving due consideration to their gender, from among the heads of banks established under the Banking Act;
11. Not more than ten persons commissioned by the Minister of SMEs and Startups, giving due consideration to their gender, from among the following persons:
(a) Persons recommended by non-profit, non-governmental organizations defined in Article 2 of the Assistance for Non-Profit, Non-Governmental Organizations Act;
(b) Heads of organizations or institutions, members of which are small enterprises;
(c) Persons who serve, or have served, as at least associate professors in a department related to small and medium enterprises or finance at universities or colleges established under the Higher Education Act;
(d) Heads of institutions or organizations that perform research on the field related to small and medium enterprises or finance;
(e) Other persons with abundant knowledge on and experience specialized in small and medium enterprises or finance.
(3) The term of office of a member commissioned under paragraph (2) 10 or 11 shall be two years, and may be consecutively renewed twice only.
[This Article Newly Inserted by Presidential Decree No. 26247, May 26, 2015]
 Article 54-13 (Operation of Committee)
(1) The chairperson shall represent the Committee and exercise the overall control of its affairs.
(2) The chairperson shall convene and preside over meetings of the Committee.
(3) When the chairperson is unable to perform his/her duties due to any extenuating circumstances, a member pre-designated by the chairperson shall act on behalf of the chairperson.
(4) A majority of the members of the Committee shall constitute a quorum, and any decision thereof shall require the concurring vote of at least a majority of those present.
(5) The Committee shall have one executive secretary to be appointed by the Minister of SMEs and Startups, from among public officials of the Small and Medium Business Administration, to perform its business affairs. <Amended by Presidential Decree No. 28213, Jul. 26, 2017>
[This Article Newly Inserted by Presidential Decree No. 26247, May 26, 2015]
 Article 54-14 (Allowances)
Members who have attended a Committee meeting may be reimbursed for allowances and travel expenses within budgetary limits: Provided, That the same shall not apply where a public-official member attends a Committee meeting in direct connection with his/her official duties.
[This Article Newly Inserted by Presidential Decree No. 26247, May 26, 2015]
 Article 54-15 (Bylaws)
Except as otherwise prescribed in this Decree, matters necessary to operate the Committee shall be determined by the chairperson subject to resolution of the Committee.
[This Article Newly Inserted by Presidential Decree No. 26247, May 26, 2015]
SECTION 10 Promotion of Local Small and Medium Enterprises
 Article 54-16 (Basic Guidelines)
Basic guidelines to promote small and medium enterprises in each region referred to in Article 62-14 of the Act shall include the following matters: <Amended by Presidential Decree No. 28213, Jul. 26, 2017>
1. Basic direction-setting for policies for small and medium enterprises set by the Government;
2. Basic direction-setting for the plan to promote local small and medium enterprises referred to in Article 62-15 of the Act (hereinafter referred to as "promotion plan");
3. Matters concerning the projects to be implemented to promote small and medium enterprises in accordance with the basic direction-setting for policies for small and medium enterprises set by the Government;
4. Matters to be requested by the Minister of SMEs and Startups, pursuant to Article 62-15 (2) 7 of the Act, to the Special Metropolitan City, a Metropolitan City, the Special Self-Governing City, a Do, or the Special Self-Governing Province (hereinafter referred to as "City/Do"), respectively;
5. Matters concerning providing support in raising funds for each City/Do under Article 62-17 (2) of the Act;
6. Matters concerning providing support to areas in need of special support for local small and medium enterprises under Article 62-23 of the Act.
[This Article Newly Inserted by Presidential Decree No. 27524, Sep. 29, 2016]
 Article 54-17 (Formulation of Promotion Plans)
(1) In formulating a promotion plan pursuant to Article 62-15 of the Act, a Mayor/Do Governor shall reflect the matters contained in the basic guidelines to promote small and medium enterprises in each region referred to in subparagraphs 2 and 5 of Article 54-16 in the promotion plan, except in extenuating circumstances.
(2) "Matters prescribed by Presidential Decree" in Article 62-15 (2) 8 of the Act means the following:
1. Matters concerning providing support to those who intend to settle down in the region after finding jobs at local small and medium enterprises under Article 62-21 (3) of the Act;
2. Matters concerning providing support for activities to improve technology through regional collaboration under Article 54-25;
3. The City/Do system for promoting local small and medium enterprises;
4. Matters concerning establishing a comprehensive support center for local small and medium enterprises under Article 54-31;
5. Matters concerning promoting a local specialized industry;
6. Matters concerning promoting small businesses;
7. Matters concerning encouraging business spirit of small and medium entrepreneurs.
(3) In formulating a promotion plan, a Mayor/Do Governor shall classify the projects into those requiring financial support from the Government as specified by the Minister of SMEs and Startups and those that the Mayor/Do Governor is able to promote autonomously. <Amended by Presidential Decree No. 28213, Jul. 26, 2017>
[This Article Newly Inserted by Presidential Decree No. 27524, Sep. 29, 2016]
 Article 54-18 (Adjustment of Promotion Plans)
Where an adjustment may be requested pursuant to Article 62-16 (1) of the Act shall be limited to any of the following cases, in which a promotion plan is in conflict with the Government's policies to promote small and medium enterprises or a promotion plan of a City/Do contains any content overlapping or conflicting with a promotion plan of any other City/Do:
1. Where the implementation of a promotion plan intactly is deemed disadvantageous to the national economy or is deemed difficult to achieve the purposes of the Act and this Decree;
2. Where it is deemed necessary to increase the project scale and local finance inputs reflected in the promotion plan of a City/Do to promote local small and medium enterprises.
[This Article Newly Inserted by Presidential Decree No. 27524, Sep. 29, 2016]
 Article 54-19 (Publicity of Promotion Plans)
(1) Upon finalization of a promotion plan, the relevant Mayor/Do Governor shall publicize it so that small and medium entrepreneurs under his/her jurisdiction know its details sufficiently.
(2) When a Mayor/Do Governor deems it necessary or when the Minister of SMEs and Startups requests to do so, the Mayor/Do Governor may hold a policy briefing session on the promotion of small and medium enterprises to publicize the promotion plan. <Amended by Presidential Decree No. 28213, Jul. 26, 2017>
(3) If requested by a Mayor/Do Governor to hold a policy briefing session pursuant to paragraph (2), the Government and institutions supporting local small and medium enterprises referred to in subparagraphs of Article 54-29 shall provide administrative support required therefor.
[This Article Newly Inserted by Presidential Decree No. 27524, Sep. 29, 2016]
 Article 54-20 (Support for Promotion Plans)
(1) The Minister of SMEs and Startups shall consider the following matters when providing support in raising funds pursuant to Article 62-17 (2) of the Act: <Amended by Presidential Decree No. 28213, Jul. 26, 2017>
1. Funds secured by the relevant local government to promote local small and medium enterprises, which are intended to be used for working expenses in the relevant year;
2. Expected economic effects from implementing the promotion plan;
3. Economic situation and financial conditions of the relevant local government.
(2) When the Minister of SMEs and Startups provides support in raising a fund pursuant to Article 62-17 (2) of the Act, he/she may give priority to supporting the following matters: <Amended by Presidential Decree No. 28213, Jul. 26, 2017>
1. Working expenses for invigorating an area in need of special support for local small and medium enterprises designated pursuant to Article 62-23 of the Act;
2. Cities/Dos whose economic situation and financial conditions are remarkably inferior to those of other Cities/Dos.
(3) If it is deemed necessary when providing support in raising funds pursuant to Article 62-17 (2) of the Act, the Minister of SMEs and Startups may provide support by designating projects eligible for the support. In such case, Cities/Dos that have secured the local finance to a certain scale or ratio may be provided with the support on a preferential basis, as determined by the Minister of SMEs and Startups. <Amended by Presidential Decree No. 28213, Jul. 26, 2017>
(4) Where a Mayor/Do Governor intends to use the support money for fund-raising provided by the Minister of SMEs and Startups pursuant to Article 62-17 (2) of the Act as loans for small and medium entrepreneurs of the relevant local government, the Minister of SMEs and Startups may set up guidelines on the interest rates, periods, conditions, etc. of the loans. In such case, the Mayor/Do Governor shall comply with the guidelines, except in extenuating circumstances. <Amended by Presidential Decree No. 28213, Jul. 26, 2017>
(5) The Minister of SMEs and Startups may guide and supervise the performance of the duties of a Mayor/Do Governor related to the use of the support money for fund-raising provided by the Minister of SMEs and Startups pursuant to Article 62-17 (2) of the Act, and may request correction if necessary. <Amended by Presidential Decree No. 28213, Jul. 26, 2017>
[This Article Newly Inserted by Presidential Decree No. 27524, Sep. 29, 2016]
 Article 54-21 (Analysis of Outcomes of Promotion Plans)
The analysis of the outcomes of implementing a promotion plan to be submitted by each Mayor/Do Governor to the Minister of SMEs and Startups pursuant to Article 62-18 (1) of the Act shall include the following matters: <Amended by Presidential Decree No. 28213, Jul. 26, 2017>
1. Details of the implementation and the results thereof by project;
2. Details of the implementation and the results thereof by financial resource;
3. Evaluation of the results of implementation;
4. Other matters that the Minister of SMEs and Startups deems necessary.
[This Article Newly Inserted by Presidential Decree No. 27524, Sep. 29, 2016]
 Article 54-22 (Support for Establishment of Factories)
(1) "Functions prescribed by Presidential Decree" in Article 62-19 (1) 5 of the Act means the following functions: <Amended by Presidential Decree No. 28213, Jul. 26, 2017>
1. Establishment of the knowledge industry centers defined in subparagraph 13 of Article 2 of the Industrial Cluster development and Factory Establishment Act;
2. Development of industrial complexes exclusively for small and medium entrepreneurs and supply of factory sites;
3. Other functions that the Minister of SMEs and Startups deems necessary to support establishment of factories of local small and medium enterprises.
(2) Where the Small and Medium Business Corporation intends to implement projects for supporting the establishment of factories of small and medium enterprises pursuant to Article 62-19 of the Act, it shall formulate an annual support plan and report it to the Minister of SMEs and Startups. <Amended by Presidential Decree No. 28213, Jul. 26, 2017>
(3) "Period prescribed by Presidential Decree" in Article 62-19 (2) of the Act means 20 years.
[This Article Newly Inserted by Presidential Decree No. 27524, Sep. 29, 2016]
 Article 54-23 (Formation, etc. of Council for Promotion of Regional Collaboration for Improvement of Technology)
(1) To facilitate the activities to improve technology through regional collaboration under Article 62-20 (1) of the Act, the Administrator of a regional SMEs and startups office may establish and operate a council for promotion of regional collaboration for improvement of technology (hereinafter referred to as the "promotion council"). <Amended by Presidential Decree No. 28213, Jul. 26, 2017>
(2) Members of a promotion council shall be commissioned by the Administrator of a regional SMEs and startups office, from among persons responsible for the affairs related to technology at the institutions referred to in subparagraphs of Article 62-20 (1) of the Act and recommended by the heads of the relevant institutions. <Amended by Presidential Decree No. 28213, Jul. 26, 2017>
(3) A promotion council may deliberate on the following:
1. Matters concerning the activities of the relevant regional collaborative technology support center set forth in subparagraphs of Article 62-20 (3) of the Act;
2. Matters concerning the joint efforts to provide technical assistance to small and medium enterprises;
3. Matters concerning the survey and research on the development of industrial technology;
4. Matters concerning sharing of facilities, equipment and human resources among institutions set forth in subparagraphs of Article 62-20 (1) of the Act;
5. Matters concerning providing support for commercialization of new technology developed and applied;
6. Matters concerning managing and operating model institutions that perform activities to improve technology through regional collaboration referred to in Article 62-20 (4) of the Act (hereinafter referred to as "model institutions").
(4) A promotion council may request the Minister of SMEs and Startups, the relevant Mayor/Do Governor or the head of a related agency to provide necessary support for smoothly implementing projects subject to deliberation under paragraph (3). <Amended by Presidential Decree No. 28213, Jul. 26, 2017>
[This Article Newly Inserted by Presidential Decree No. 27524, Sep. 29, 2016]
 Article 54-24 (Selection of Model Institutions)
The Minister of SMEs and Startups shall determine and publicly notify detailed matters necessary for selecting model institutions. <Amended by Presidential Decree No. 28213, Jul. 26, 2017>
[This Article Newly Inserted by Presidential Decree No. 27524, Sep. 29, 2016]
 Article 54-25 (Support in Activities to Improve Technology through Regional Collaboration)
A model institution may provide support to small and medium enterprises in the following matters: <Amended by Presidential Decree No. 28213, Jul. 26, 2017>
1. Development and commercialization of technology;
2. Provision or arrangement of human resources, facilities, equipment, information, etc. to improve technical skills;
3. Technical guidance and training;
4. Other matters that the Minister of SMEs and Startups deems necessary.
[This Article Newly Inserted by Presidential Decree No. 27524, Sep. 29, 2016]
 Article 54-26 (Support in Implementation of Vocational Training)
“Matters prescribed by Presidential Decree" in Article 62-21 (1) 2 of the Act means the following matters: <Amended by Presidential Decree No. 28213, Jul. 26, 2017>
1. Providing support in matters related to the development of human resources among matters specified in the promotion plan;
2. Providing support in other matters that the Minister of SMEs and Startups deems necessary.
[This Article Newly Inserted by Presidential Decree No. 27524, Sep. 29, 2016]
 Article 54-27 (Support for Settling down of Persons in Region after Finding Jobs at Local Small and Medium Enterprises)
(1) "Persons who meet requirements prescribed by Presidential Decree" in Article 62-21 (3) of the Act means persons who meet all of the following requirements:
1. Persons with national technical qualifications prescribed in the National Technical Qualifications Act;
2. Persons who have worked at a local small and medium enterprise for at least two years since they were employed by the relevant enterprise;
3. Houseless householders.
(2) When necessary to support the settling down of persons who meet the requirements set forth in paragraph (1) in the region, a Mayor/Do Governor may extend a long-term loan with low interest rate from the fund referred to in Article 62-17 (1) 1 of the Act.
[This Article Newly Inserted by Presidential Decree No. 27524, Sep. 29, 2016]
 Article 54-28 (Requirements for Research Institutes)
"Local small and medium enterprise that meets requirements prescribed by Presidential Decree" in Article 62-21 (4) of the Act means a local small and medium enterprise that has performed activities to improve technology through regional collaboration with a model institution pursuant to Article 62-20 (1) of the Act for at least three years.
[This Article Newly Inserted by Presidential Decree No. 27524, Sep. 29, 2016]
 Article 54-29 (Institutions Supporting Local Small and Medium Enterprises)
"Institutions prescribed by Presidential Decree that perform duties supporting local small and medium enterprises" in Article 62-22 of the Act means any of the following institutions: <Amended by Presidential Decree No. 28213, Jul. 26, 2017>
1. The Korean Agency for Technology and Standards;
2. The Small and Medium Business Corporation;
3. The Korea Federation of Small and Medium Business;
4. The Korea Trade-Investment Promotion Agency established under the Korea Trade-Investment Promotion Agency Act;
5. The Korea International Trade Association established with permission from the Minister of Trade, Industry and Energy under Article 32 of the Civil Act;
7. The Korea Standards Association established under Article 32 of the Industrial Standardization Act;
8. The Korea Productivity Center established under Article 32 of the Industrial Development Act;
9. Other institutions that the Minister of SMEs and Startups deems necessary.
[This Article Newly Inserted by Presidential Decree No. 27524, Sep. 29, 2016]
 Article 54-30 (Establishment, etc. of City/Do Council of Institutions Supporting Small and Medium Enterprises)
(1) For the smooth formulation and implementation of promotion plans, a Mayor/Do Governor may establish and operate a City/Do council of institutions supporting small and medium enterprises comprised of the local organizations of the institutions set forth in subparagraphs of Article 54-29 (hereinafter referred to as "institutions supporting small and medium enterprises").
(2) A Mayor/Do Governor may request the Minister of SMEs and Startups to provide necessary cooperation in connection with the establishment and operation of the City/Do council of institutions supporting small and medium enterprises under paragraph (1). <Amended by Presidential Decree No. 28213, Jul. 26, 2017>
[This Article Newly Inserted by Presidential Decree No. 27524, Sep. 29, 2016]
 Article 54-31 (Support for Establishment of Comprehensive Support Centers for Local Small and Medium Enterprises)
(1) Each Mayor/Do Governor shall strive to establish a comprehensive support center for local small and medium enterprises (hereinafter referred to as "comprehensive support center") that performs the following functions:
1. Providing various information on industries, finance, management, industrial technology, trade, etc.;
2. Providing comprehensive technical guidance and training;
3. Operating the joint exhibition shops;
4. Providing advice on and resolving difficulties of local small and medium enterprises:
5. Providing information on business start-up, and operating business incubators;
6. Other matters acknowledged by the Mayor/Do Governor.
(2) A Mayor/Do Governor may request the Minister of SMEs and Startups and the heads of institutions supporting small and medium enterprises to locate the local organizations of the relevant institutions in a certain place so that a comprehensive support center can efficiently perform the functions set forth in subparagraphs of paragraph (1). In such cases, the Minister of SMEs and Startups and the heads of the relevant institutions in receipt of such request shall cooperate therewith, except in extenuating circumstances. <Amended by Presidential Decree No. 28213, Jul. 26, 2017>
(3) The Minister of SMEs and Startups and a Mayor/Do Governor may subsidize all or part of the expenses incurred for the relocation and operation of the local organizations of the institutions supporting small and medium enterprises that relocate into a comprehensive support center. <Amended by Presidential Decree No. 28213, Jul. 26, 2017>
[This Article Newly Inserted by Presidential Decree No. 27524, Sep. 29, 2016]
 Article 54-32 (Application, etc. for Designation of Areas in Need of Special Support for Local Small and Medium Enterprises)
(1) A Mayor/Do Governor may request the Minister of SMEs and Startups to designate an industrial complex under his/her jurisdiction as an area in need of special support for local small and medium enterprises (hereinafter referred to as "area in need of special support") pursuant to Article 62-23 (1) of the Act. <Amended by Presidential Decree No. 28213, Jul. 26, 2017>
(2) A Mayor/Do Governor who intends to apply for the designation of an area in need of special support pursuant to paragraph (1) shall prepare an industrial complex invigoration plan including the following matters and submit it to the Minister of SMEs and Startups: <Amended by Presidential Decree No. 28213, Jul. 26, 2017>
1. Current status of industries in his/her jurisdictional area;
2. Type of the industrial complex, current status of development, current status of factory sites, and current status of sales and operation of the sites;
3. A plan of the industrial complex on its support to local small and medium enterprises;
4. A long-term development plan of the industrial complex and a plan for supplying and demanding human resources;
5. Other matters determined by the Minister of SMEs and Startups.
[This Article Newly Inserted by Presidential Decree No. 27524, Sep. 29, 2016]
 Article 54-33 (Designation, etc. of Areas in Need of Special Support)
(1) Where the Minister of SMEs and Startups intends to designate an area in need of special support pursuant to Article 62-23 (1) of the Act, he/she shall consider the following matters: <Amended by Presidential Decree No. 28213, Jul. 26, 2017>
2. The industrial complex invigoration plan submitted by the relevant Mayor/Do Governor pursuant to Article 54-32 (2).
(2) Upon designating an area in need of special support, the Minister of SMEs and Startups shall publicly notify such fact without delay and formulate a plan for providing comprehensive support. <Amended by Presidential Decree No. 28213, Jul. 26, 2017>
(3) When the Minister of SMEs and Startups deems it necessary to continue to support an area till after the lapse of five years since it was designated as an area in need of special support, he/she may re-designate it as an area in need of special support. <Amended by Presidential Decree No. 28213, Jul. 26, 2017>
[This Article Newly Inserted by Presidential Decree No. 27524, Sep. 29, 2016]
CHAPTER IV FUND FOR ESTABLISHMENT AND PROMOTION OF SMALL AND MEDIUM ENTERPRISES
 Article 54-34 (Financial Resources of Fund for Establishment and Promotion of Small and Medium Enterprises)
"Revenues prescribed by Presidential Decree" in Article 64 (1) 6 of the Act, means the following: <Amended by Presidential Decree No. 28213, Jul. 26, 2017>
1. Money transferred from the general account;
2. Royalties accruing from research and development projects conducted by the Minister of SMEs and Startups, such as royalties collectible under Article 28 (1) of the Act on the Promotion of Technology Innovation of Small and Medium Enterprises.
[This Article Newly Inserted by Presidential Decree No. 25656, Oct. 15, 2014]
 Article 55 (Issuance of Small and Medium Businesses Promotion Bonds)
(1) The Small and Medium Business Corporation may issue small and medium business promotion bonds (hereinafter referred to as "bonds") pursuant to Article 65 of the Act.
(2) To obtain approval for issuance of bonds, the Small and Medium Business Corporation shall prepare an application for issuance of bonds, stating the amount to be issued, the method, terms, and conditions of the issuance, the method and procedure for redemption, and other relevant matters, and file it with the Minister of SMEs and Startups. <Amended by Presidential Decree No. 28213, Jul. 26, 2017>
 Article 56 (Form of Bonds)
Bonds shall be issued in the form of bearer bonds: Provided, That they may be issued as registered bonds at the request of a subscriber or a bearer.
 Article 57 (Subscription for Bonds)
(1) A person who intends to subscribe for bonds shall fill out two bond subscription forms with the number and value of bonds for which he/she intends to subscribe, the subscriber's address, and affix his/her name and seal thereon: Provided, That if bonds are issued with a fixed minimum value, he/she shall specify his/her subscription value.
(2) The bond subscription form shall contain descriptions of the following matters:
1. Name of the issuer;
2. Total value of bonds issued;
3. Par value for each denomination;
4. Coupon rate;
5. The method and term of redemption and the method of payment of interest;
6. The minimum or issue value;
7. Total value of bonds not yet redeemed, if any;
8. Trade name and address of a company to whom public offering of the bonds are entrusted, if such company is involved.
 Article 58 (Method of Total Underwriting of Bonds)
Article 57 shall not apply to where all bonds are underwritten under an agreement. Neither shall the aforesaid provisions apply to cases where a company to whom public offering of bonds is entrusted underwrites part of the bonds.
 Article 59 (Total Value of Issued Bonds)
The Small and Medium Business Corporation may state in a bond subscription form that it issues the bonds even when the total value of bonds actually subscribed fails to reach the total value of the bonds stated to be issued in the bond subscription form. In such case, the total value of bonds subscribed shall be deemed the total value of bonds issued.
 Article 60 (Payment, etc. of Price for Subscribed Bonds)
(1) The Small and Medium Business Corporation shall, upon closing of subscriptions for bonds, demand that subscribers pay the price for the subscribed bonds in full without delay.
(2) A company to whom public offering of bonds is entrusted may carry out the activities under paragraph (1) in its own name for The Small and Medium Business Corporation.
(3) When bonds are to be issued by public offering, such bonds may not be issued until the price equivalent to the total value of the bonds to be issued is fully paid.
 Article 61 (Mandatory Descriptions of Bonds)
Each bond shall contain descriptions of the following matters and the President of the Small and Medium Business Corporation affix his/her name and seal thereon:
1. Matters under Article 57 (2) 1 through 5 (excluding the matters under Article 57 (2) 2 if the bonds are issued by public sale);
2. The serial number of each bond;
3. The issue date of each bond.
 Article 62 (Bond Register)
(1) The Small and Medium Business Corporation shall keep a bond register at its principal place of business and enter the following matters therein:
1. The number and serial numbers of bonds by denomination;
2. The issue date of bonds;
3. Matters under Article 57 (2) 2 through 5 and 8.
(2) For registered bonds, the following matters shall be recorded in the register in addition to the matters under subparagraphs of paragraph (1), if bonds are registered:
1. The name and address of each bond holder;
2. The acquisition date of the bonds.
(3) A holder or a bearer of bonds is entitled to demand inspection of the bond register. In such cases, The Small and Medium Business Corporation shall comply with such demand, unless there is any particular reason otherwise.
 Article 63 (In Cases of Defect in Interest Coupon)
(1) In cases of any defect in interest coupons of bearer bonds issued with interest coupons, the amount corresponding thereto shall be deducted from the amount when it is redeemed.
(2) A bearer of an interest coupon under paragraph (1) may file a claim for payment of the amount deducted in accordance with paragraph (1) in exchange for the interest coupon.
 Article 64 (Notification, etc. to Bearer or Right Holder of Bonds)
(1) A notice or peremptory notice to a subscriber for bonds before the bonds are issued or a holder of rights to such bonds shall be dispatched to the address stated in the bond subscription form. In such cases, if another address is notified to The Small and Medium Business Corporation, such notice shall be issued to the address so notified.
(2) A notice or peremptory notice to a holder of bearer bonds shall be given by public notice: Provided, That if his/her address is known, a notice or peremptory notice may be dispatched to the address.
(3) A notice or peremptory notice to a holder of registered bonds shall be dispatched to the address recorded in the bond register. In such cases, if another address is notified to The Small and Medium Business Corporation, such notice shall be given to the address so notified.
 Article 65 Deleted. <by Presidential Decree No. 20765, Apr. 10, 2008>
 Article 66 (Fund Management Manual)
The Small and Medium Business Corporation shall formulate a fund management manual that prescribes specific details necessary to manage the Fund for the Establishment and Promotion of Small and Medium Enterprises under Article 63 of the Act (hereinafter referred to as the "Fund") by granting loans and managing the Fund in other ways in accordance with the plan for managing the Fund (hereinafter referred to as "fund management plan") and shall obtain approval therefor from the Minister of SMEs and Startups. The same shall also apply to revisions to the fund management manual. <Amended by Presidential Decree No. 20728, Feb. 29, 2008; Presidential Decree No. 20765, Apr. 10, 2008; Presidential Decree No. 21329, Feb. 25, 2009; Presidential Decree No. 28213, Jul. 26, 2017>
 Article 67 (Subsidies)
(1) A person who desires to receive a subsidy from the Fund in accordance with Article 67 (4) of the Act shall file an application for the subsidy accompanied by a business plan, with the President of the Small and Medium Business Corporation. <Amended by Presidential Decree No. 20765, Apr. 10, 2008>
(2) Upon receipt of an application filed under paragraph (1), the President of the Small and Medium Business Corporation shall examine the feasibility of the business plan in accordance with the fund management and operation plan.
(3) The President of the Small and Medium Business Corporation shall determine to grant a subsidy to the relevant applicant, subject to approval of the Minister of SMEs and Startups, if he/she concludes that the application is feasible after examining such application pursuant to paragraph (2). <Amended by Presidential Decree No. 28213, Jul. 26, 2017>
(4) Except as otherwise prescribed by this Decree, matters concerning the grant of subsidies shall be prescribed by the President of the Small and Medium Business Corporation.
CHAPTER V SMALL BUSINESS CORPORATION
 Article 68 (Establishment and Operation of Automation Support Center)
(1) The automation support center established pursuant to Article 68 (4) of the Act shall perform the following business activities:
1. Training of experts specializing in automation systems;
2. Development and dissemination of automation systems;
3. Exhibition of and education on automated machines;
4. Collection, analysis, processing, and distribution of information on automation technology;
5. Standardization of automated machines and parts thereof;
6. Establishment and operation of model automated factories;
7. Other business activities that the President of the Small and Medium Business Corporation deems necessary for promoting the automation of small and medium enterprises.
(2) The Small and Medium Business Corporation may, if necessary for promoting the automation of small and medium enterprises, invite any person other than small and medium entrepreneurs to participate in the business activities under paragraph (1) 2, 3, and 5 through 7.
 Article 69 (Establishment and Operation of Informatization Support Center)
The informatization support center established pursuant to Article 68 (4) of the Act shall perform the following business activities:
1. Establishment of the database for disseminating information on small and medium enterprises and operation of an information bank;
2. Training of experts specializing in informatization of small and medium enterprises;
3. Establishment and operation of an integrated computer network for supporting small and medium enterprises;
4. Operation of facilities for exhibition of and education on machines and software related to informatization of small and medium enterprises;
5. Assistance to small and medium enterprises engaged in electronic commerce to promote exchanges of information between them and help them develop markets for their products;
6. Other business activities that the President of the Small and Medium Business Corporation deems necessary for promoting the informatization of small and medium enterprises.
 Article 70 (Concession, etc. of Public Property)
(1) The head of a local government shall, if he/she intends to grant a concession for any public property to The Small and Medium Business Corporation pursuant to Article 68 (7) of the Act, execute a concession agreement with The Small and Medium Business Corporation.
(2) Except as otherwise prescribed by this Decree, the concession of public property shall be governed by the Public Property and Commodity Management Act.
 Article 71 (Establishment and Operation of Companies for Distributing Products of Small and Medium Enterprises)
(1) A company established for assisting small and medium enterprises in finding new markets for their products pursuant to Article 69 (1) of the Act (hereinafter referred to as "distribution center for small and medium business"), shall be a stock company defined under the Commercial Act.
(2) If the Small and Medium Business Corporation desires to obtain approval for establishing a distribution center for small and medium enterprises pursuant to Article 69 (1) of the Act, it shall file an application with the Minister of SMEs and Startups, along with a plan for the establishment thereof and other documents specified by Ordinance of the Ministry of SMEs and Startups. <Amended by Presidential Decree No. 20728, Feb. 29, 2008; Presidential Decree No. 24432, Mar. 23, 2013; Presidential Decree No. 28213, Jul. 26, 2017>
(3) Each distribution center for small and medium business may engage in the following business activities: <Amended by Presidential Decree No. 28213, Jul. 26, 2017>
1. Establishment and operation of facilities for distributing products from small and medium enterprises;
2. Wholesale and retail sales of products from small and medium enterprises and assistance in wholesale and retail sales;
3. Advertisement and exhibitions of products from small and medium enterprises;
4. Mail-order sales and electronic commerce for products from small and medium enterprises;
5. Other business activities that the Minister of SMEs and Startups deems necessary for promoting the extension of markets for small and medium enterprises.
(4) Each distribution centers for small and medium business shall operate its store directly or lease it to a third person, but shall not sell the store in units.
 Article 72 (Consultation and Approval)
(1) Upon receiving an application for establishing a distribution center for small and medium business pursuant to Article 71 (2), the Minister of SMEs and Startups shall examine the following matters and make a request to the competent Mayor/Do Governor for consultation on the application, along with the documents specified by Ordinance of the Ministry of SMEs and Startups: <Amended by Presidential Decree No. 20728, Feb. 29, 2008; Presidential Decree No. 24432, Mar. 23, 2013; Presidential Decree No. 28213, Jul. 26, 2017>
1. Feasibility of the business operation plan for the business activities referred to in Article 71 (3);
2. Adequacy of financial structure or the financing plan;
3. Feasibility of the store operation plan.
(2) Upon receiving a request for consultation under paragraph (1), the competent Mayor/Do Governor shall examine the feasibility and notify the Minister of SMEs and Startups of his/her opinion. <Amended by Presidential Decree No. 28213, Jul. 26, 2017>
(3) Upon completing the consultation with the competent Mayor/Do Governor pursuant to paragraph (1), the Minister of SMEs and Startups shall notify the Small and Medium Business Corporation of his/her decision as to whether he/she approves the establishment of the distribution center for small and medium business. <Amended by Presidential Decree No. 28213, Jul. 26, 2017>
 Article 73 (Composition of Operating Committee)
(1) The members of the operating committee established under Article 71 of the Act (hereinafter referred to as "operating committee") shall be comprised of the following persons: <Amended by Presidential Decree No. 20728, Feb. 29, 2008; Presidential Decree No. 24432, Mar. 23, 2013; Presidential Decree No. 28213, Jul. 26, 2017>
1. One person each appointed by the head of a relevant agency from among Class-III public officials who work for the Ministry of Strategy and Finance, the Ministry of Trade, Industry and Energy, or the Small and Medium Business Administration, or public officials in general service who are members in the Senior Civil Service;
2. The standing Vice Chairperson of the Korea Federation of Small and Medium Business;
3. Not more than 14 persons commissioned by the Minister of SMEs and Startups from among those who have abundant knowledge and experience in small and medium enterprises and recommended by the President of the Small and Medium Business Corporation.
(2) The term of office for the members commissioned pursuant to paragraph (1) 3 shall be two years.
 Article 73-2 (Dismissal and Withdrawal of Appointment of Members)
(1) The Minister of SMEs and Startups may dismiss a member referred to in Article 54-12 (2) 10 or 11 or 73 (1) 3 from office, where: <Amended by Presidential Decree No. 27524, Sep. 29, 2016; Presidential Decree No. 28213, Jul. 26, 2017>
1. The member becomes incapable of performing his/her duties due to a mental disorder;
2. The member engages in misconduct in connection with his/her duties;
3. The member is deemed unfit for a member due to neglect of a duty, loss of dignity, or any other reason;
4. The member voluntarily admits that it is impracticable for him/her to perform his/her duties.
(2) A person who has appointed a member of the operating committee pursuant to Article 73 (1) 1, may withdraw the appointment, if the member falls under any subparagraph of paragraph (1).
[This Article Newly Inserted by Presidential Decree No. 26844, Dec. 31, 2015]
 Article 74 (Functions of Operating Committee)
The operating committee shall deliberate on the following matters of the Corporation:
1. Matters concerning the formulation and settlement of budgets;
2. Matters that the committee deems necessary to refer to the operating committee for deliberation from among the matters subject to resolution by the board of directors of The Small and Medium Business Corporation.
 Article 75 (Operation of Operating Committee)
(1) The committee chairman shall call meetings of the operating committee and shall take the chair of such meetings: Provided, That if the committee chairperson is unable to perform his/her duties due to any unavoidable cause or event, one of committee members shall act on his/her behalf in such order as determined by the committee chairman in advance.
(2) The operating committee shall adopt a resolution with the presence of a majority of the committee members and by the concurring vote of a majority of those present.
(3) Except as otherwise prescribed by this Decree, matters necessary for the operation of the operating committee shall be stipulated by the Small and Medium Business Corporation's articles of incorporation.
 Article 76 (Executive Officers' Duties)
(1) The President shall represent the Small and Medium Business Corporation and exercise the overall control of business affairs of the Small and Medium Business Corporation.
(2) The Vice President shall assist the President and act on his/her behalf where the President is unable to perform his/her duties due to any unavoidable cause or event.
(3) Each director shall take responsibility for the allocated business affairs of the Small and Medium Business Corporation as stipulated in its articles of incorporation and act on behalf of the President and the Vice President in the order stipulated in its articles of incorporation when they are unable to perform their duties due to any unavoidable cause or event.
(4) The auditor shall audit the business affairs and accounting of the Small and Medium Business Corporation.
 Article 76-2 (Registration of Appointment of Proxy)
Where the President of the Small and Medium Business Corporation appoints a proxy in accordance with Article 73-3 of the Act, he/she shall have the following matters registered at the seat of the principal office or regional office where the proxy is assigned within two weeks of the appointment of the proxy. The same shall also apply where the registered matters are modified:
1. The name and address of the proxy;
2. The seat of the principal office or regional office where the proxy is assigned;
3. If any of the proxy's authority is restricted, details of such restriction.
[This Article Newly Inserted by Presidential Decree No. 24656, Jul. 8, 2013]
 Article 77 (Establishment and Operation of Training Course for Technical Experts)
(1) The Small and Medium Business Corporation may establish and operate training courses for technical experts under Article 74 (1) 14 of the Act.
(2) Where the Small and Medium Business Corporation intends to establish and operate training courses for technical experts for small and medium enterprises pursuant to paragraph (1), it may obtain approval from the Minister of SMEs and Startups in advance for the curricula, eligible trainees, training period, and other necessary matters. <Amended by Presidential Decree No. 28213, Jul. 26, 2017>
 Article 78 (Cooperation, etc. with Local Governments)
Pursuant to Article 74 (2) of the Act, The Small and Medium Business Corporation may cooperate with a local government with respect to the following matters:
1. Matters that the head of a local government requests with respect to business affairs carried out or supported by The Small and Medium Business Corporation pursuant to any provision of Article 74 (1) 1 through 13 of the Act;
2. Entrustment of business affairs related to lands for use and compensation for losses, support for the establishment of infrastructure, and support for the various kinds of licenses and permits in relation to project execution under Article 74 (1) 6 through 9 of the Act;
3. Contributions to and aid for the expenses required for the establishment and operation of a startup business fostering center under Article 74 (1) 10 of the Act;
4. Other matters deemed necessary for carrying out business affairs efficiently under subparagraphs of Article 74 (1) of the Act.
 Article 78-2 (Public Organizations which Become Subject to Request for Provision of Data)
"Public organizations prescribed by Presidential Decree" in Article 76-2 of the Act means public institutions under Article 4 of the Act on the Management of Public Institutions.
[This Article Newly Inserted by Presidential Decree No. 24656, Jul. 8, 2013]
CHAPTER VI SUPPLEMENTARY PROVISIONS
 Article 79 (Guidance on and Supervision of Business Affairs)
(1) The Minister of SMEs and Startups may require the Small and Medium Business Corporation to file a necessary report on its business affairs, accounting, and property or assign subordinate public officials to inspect account books, documents, and other items of the Small and Medium Business Corporation. <Amended by Presidential Decree No. 28213, Jul. 26, 2017>
(2) Public officials who conduct inspections pursuant to paragraph (1) shall produce an identification indicating their authority to interested persons.
 Article 79-2 (Hearings)
The Minister of SMEs and Startups shall hold a hearing to make any of the following dispositions: <Amended by Presidential Decree No. 28213, Jul. 26, 2017>
1. Revoking selection of a collaborative enterprise under Article 39-2 (2) of the Act;
2. Revoking designation of a dedicated institution under Article 39-4 (1) of the Act.
[This Article Newly Inserted by Presidential Decree No. 26649, Nov. 18, 2015]
 Article 80 (Management of Personally Identifiable Information)
The Minister of SMEs and Startups (including persons to whom the authority of the Minister of SMEs and Startups is delegated or entrusted under Article 83 of the Act) may manage the data which contain resident registration numbers or foreigner registration numbers referred to in subparagraph 1 or 4 of Article 19 of the Enforcement Decree of the Personal Information Protection Act, if it is unavoidable to perform the following: <Amended by Presidential Decree No. 24317, Jan. 16, 2013; Presidential Decree No. 28213, Jul. 26, 2017>
1. Affairs concerning the operation of training courses for consultants under Article 49 of the Act;
2. Affairs concerning the registration of consultants under Article 50 of the Act;
3. Affairs concerning the qualification examination for consultants and the issuance of consultants' qualification certificates under Article 41;
4. Affairs concerning in-service training under Article 45;
5. Affairs concerning the renewal of registration and refresher training under Article 46.
[This Article Newly Inserted by Presidential Decree No. 23488, Jan. 6, 2012]
 Article 81 (Entrustment of Authority)
(1) Pursuant to Article 83 (2) of the Act, the Minister of SMEs and Startups shall entrust the following business affairs to the Small and Medium Business Corporation: <Amended by Presidential Decree No. 27524, Sep. 29, 2016; Presidential Decree No. 28213, Jul. 26, 2017>
1. Approval of action plans for cooperative movement or modifications to such plans pursuant to Article 29 (1) of the Act;
2. Revocation of approval of action plans for cooperative movement pursuant to Article 30 (1) of the Act and recovery of principal and interest of subsidies provided;
3. Approval of execution plans of overseas cooperative projects or modifications to such plans pursuant to Article 31 (5) of the Act.
(2) Pursuant to Article 83 (2) of the Act, the Minister of SMEs and Startups shall entrust the following business affairs to the Korea Federation of Small and Medium Business: <Newly Inserted by Presidential Decree No. 27524, Sep. 29, 2016; Presidential Decree No. 28213, Jul. 26, 2017>
1. Certification of prestigious long-lived enterprises;
2. Revocation of certification of prestigious long-lived enterprises.
(3) Whenever the Small and Medium Business Corporation or the Korea Federation of Small and Medium Business performs business affairs entrusted under subparagraphs of paragraph (1) or (2), it shall report the results thereof to the Minister of SMEs and Startups. <Amended by Presidential Decree No. 27524, Sep. 29, 2016; Presidential Decree No. 28213, Jul. 26, 2017>
(4) Deleted. <by Presidential Decree No. 21835, Nov. 20, 2009>
 Article 81-2 (Re-Examination of Regulation)
The Minister of SMEs and Startups shall examine the appropriateness of the following matters every three years, counting from the each base date specified as follows (referring to the third anniversary after the base date), and shall take measures, such as making improvements: <Amended by Presidential Decree No. 26804, Dec. 30, 2015; Presidential Decree No. 28213, Jul. 26, 2017>
1. Procedures for applying for approval of action plans for cooperative movement and the area to be applied for approval under Article 30: January 1, 2014;
1-2. Matters to be considered, reported, and announced as at the time of granting approval of the implementation plans for industrial complex development plans and the standards for overseas cooperative movement projects and approval of the implementation plans thereof under Article 31: January 1, 2016;
2. Criteria for the selection of collaborative enterprises under Article 33: January 1, 2016;
3. Criteria for the designation of dedicated institutions under Article 34: January 1, 2016;
4. Criteria for administrative dispositions under Article 34-2: January 1, 2016.
[This Article Wholly Amended by Presidential Decree No. 26649, Nov. 18, 2015]
 Article 82 (Criteria for Imposing Administrative Fines)
The criteria for imposing administrative fines pursuant to Article 86 (1) and (2) of the Act shall be as specified in attached Table 3. <Amended by Presidential Decree No. 27524, Sep. 29, 2016>
[This Article Newly Inserted by Presidential Decree No. 22873, Apr. 5, 2011]
ADDENDA
Article 1 (Enforcement Date)
This Decree shall enter into force on the date of its promulgation.
Article 2 (Effective Period of Qualification for Cooperatives Participating in Competitive Bidding among Small and Medium Entrepreneurs)
The amended provision of Article 5 (2) shall be effective until December 31, 2009.
Article 3 (Transitional Measure concerning consultants)
The persons who had been registered as consultants in accordance with the previous provisions (referring to those in force before they were amended by Presidential Decree No. 15412) in force as of June 26, 1997 shall be deemed to have been registered as consultants in accordance with this Decree.
Article 4 (Transitional Measure concerning Qualification Requirements for consultants)
The persons who satisfied the qualification requirements under the previous provisions (referring to those in force before they were amended by Presidential Decree No. 15412; the same shall apply in this Article) in force as of June 26, 1997 shall be deemed to satisfy the qualification requirements under this Decree: Provided, That the persons who fell under the previous provision of Article 33 (1) 2 shall be so deemed only if they had completed the supplementary training course under the amended proviso to Article 33 (2) (referring to the proviso before it was amended by Presidential Decree No. 15598) within one year from June 26, 1997 and were registered as consultants, while the persons who fell under the previous provision of Article 33 (1) 3 shall be so deemed only if they completed the registration of consultant within 90 days from June 26, 1007.
Article 5 (Transitional Measure concerning Existing Company for Supporting Small and Medium Enterprises to Secure Markets for Their Products)
A company established by The Small and Medium Business Corporation before February 20, 1998 with approval of the Minister of Commerce, Industry and Energy for the purpose of supporting small and medium enterprises to secure markets for their products pursuant to Article 55 (1) of the Act (referring to the provision before it was amended by Act No. 5529) shall be deemed to have been notified by the SME Minister of the SMBA of his/her approval for its establishment pursuant to the previous provision of paragraph (3), when the company obtained confirmation of the SME Minister of the SMBA that it met the criteria under the previous provisions of subparagraphs of Article 61-3 (1) (referring to the provisions before they were amended by Presidential Decree No. 15729; the same shall apply in this Article).
Article 6 Omitted.
Article 7 (Relations to Other Statutes)
A citation of a provision of the previous Enforcement Decree of the Promotion of Small and Medium Enterprises and Encouragement of Purchase of Their Products Act by any other statute in force at the time when this Decree enters into force shall be deemed to be a citation of the corresponding provision of this Decree in lieu of the previous provision, if such corresponding provision exists herein.
ADDENDA <Presidential Decree No. 20728, Feb. 29, 2008>
Article 1 (Enforcement Date)
This Decree shall enter into force on the date of its promulgation.
Articles 2 and 3 Omitted.
ADDENDA <Presidential Decree No. 20765, Apr. 10, 2008>
Article 1 (Enforcement Date)
This Decree shall enter into force on the date of its promulgation.
Article 2 (Applicability to Ascertainment by Head of Public Agency of Direct Production)
The amended provisions of Article 8 shall begin to apply from the contracts publicly notified for the procurement of products on or after the enforcement date of this Decree.
Article 3 (Transitional Measure concerning Preparation by Head of Public Agency of Purchase Plan)
The heads of public agencies who are obligated to prepare a purchase plan pursuant to the amended provisions of Article 9 shall prepare a purchase plan for the fiscal year in which this Decree enters into force and notify the SME Minister of the SMBA of the plan within one month from the enforcement date of this Decree.
Article 4 Omitted.
ADDENDA <Presidential Decree No. 20993, Sep. 10, 2008>
Article 1 (Enforcement Date)
This Decree shall enter into force on the date of its promulgation.
Article 2 Omitted.
ADDENDA <Presidential Decree No. 21052, Sep. 30, 2008>
Article 1 (Enforcement Date)
This Decree shall enter into force on the date of its promulgation.
Articles 2 and 3 Omitted.
ADDENDA <Presidential Decree No. 21087, Oct. 20, 2008>
Article 1 (Enforcement Date)
This Decree shall enter into force on the date of its promulgation. (Proviso Omitted.)
Articles 2 through 4 Omitted.
ADDENDA <Presidential Decree No. 21329, Feb. 25, 2009>
Article 1 (Enforcement Date)
This Decree shall enter into force on the date of its promulgation.
Article 2 (Applicability)
The amended provisions of Article 3 (2) through (4) shall be applicable to the contracts publicly notified for the procurement of products on or after the enforcement date when this Decree enters into force.
ADDENDA <Presidential Decree No. 21461, Apr. 30, 2009>
Article 1 (Enforcement Date)
This Decree shall enter into force on May 1, 2009.
Article 2 Omitted.
ADDENDA <Presidential Decree No. 21565, Jun. 26, 2009>
Article 1 (Enforcement Date)
This Decree shall enter into force on June 30, 2009: Provided, That...(Omitted.)...Article 3 of the Addenda shall enter into force on the date of its promulgation.
Articles 2 through 4 Omitted.
ADDENDA <Presidential Decree No. 21641, Jul. 27, 2009>
Article 1 (Enforcement Date)
This Decree shall enter into force on July 31, 2009. (Proviso Omitted.)
Articles 2 through 15 Omitted.
ADDENDA <Presidential Decree No. 21744, Sep. 21, 2009>
Article 1 (Enforcement Date)
This Decree shall enter into force on October 1, 2009.
Articles 2 through 5 Omitted.
ADDENDA <Presidential Decree No. 21835, Nov. 20, 2009>
Article 1 (Enforcement Date)
This Decree shall enter into force on November 22, 2009.
Article 2 Omitted.
Article 3 (Relationship with other Statutes)
A citation of the former provisions of Enforcement Decree of the Promotion of Small and Medium Enterprises and Encouragement of Purchase of their Products Act in force at the time this Decree enters into force shall be deemed a citation of this Decree or the corresponding provisions hereof in lieu of the former provisions, if such corresponding provisions exist herein.
ADDENDA <Presidential Decree No22493, Nov. 15, 2010>
Article 1 (Enforcement Date)
This Decree shall enter into force on November 18, 2010
Articles 2 through 5 Omitted.
ADDENDA <Presidential Decree No22873, Apr. 5, 2011>
Article 1 (Enforcement Date)
This Decree shall enter into force on the date of its promulgation.
Articles 2 (Transitional Measure concerning Administrative Fines)
(1) When the standard for the imposition of administrative fines is applied to violations before this Decree enters into force, the previous applications shall govern, notwithstanding the amended provisions in attached Table 3.
(2) No administrative fines imposed due to violations before this Decree enters into force shall be included in the computation of the number of violation pursuant to the amended provisions in attached Table 3.
ADDENDUM <Presidential Decree No. 23019, Jul. 4, 2011>
This Decree shall enter into force on the date of its promulgation.
ADDENDA <Presidential Decree No. 23488, Jan. 6, 2012>
Article 1 (Enforcement Date)
This Decree shall enter into force on the date of its promulgation. (Proviso Omitted.)
Article 2 Omitted.
ADDENDA <Presidential Decree No. 23759, May 1, 2012>
Article 1 (Enforcement Date)
This Decree shall enter into force on the date of its promulgation. (Proviso Omitted.)
Article 2 (Applicability to Public Announcement of Examination)
Matters concerning the amendment of the term of public announcement of examination, etc. provided for in this Decree shall apply beginning from the examination conducted on or after January 1, 2013.
ADDENDA <Presidential Decree No. 23837, Jun. 5, 2012>
Article 1 (Enforcement Date)
This Decree shall enter into force on the date of its promulgation.
Article 2 (Applicability to Sanctions against Persons who Commit Misconduct in Examination)
The amended provisions of Article 41-2 shall apply beginning from the consultant qualification examination publicly announced after this Decree enters into force.
Article 3 (Applicability to Refund of Examination Fees)
The amended provisions of Article 42 (3) shall apply beginning from the consultant qualification examination applied for after this Decree enters into force.
Article 4 (Applicability to Prior Notification for Renewal of Registration of Consultants)
The amended provisions of Article 46-2 shall apply beginning from the case where the effective period of registration arrives after the lapse of two months from the date on which this Decree enters into force.
ADDENDUM <Presidential Decree No. 24317, Jan. 16, 2013>
This Decree shall enter into force on the date of its promulgation. (Proviso Omitted.)
ADDENDA <Presidential Decree No. 24432, Mar. 23, 2013>
Article 1 (Enforcement Date)
This Decree shall enter into force on the date of its promulgation.
Articles 2 through 4 Omitted.
ADDENDUM <Presidential Decree No. 24656, Jul. 8, 2013>
This Decree shall enter into force on the date of its promulgation.
ADDENDUM <Presidential Decree No. 25050, Dec. 30, 2013>
This Decree shall enter into force on January 1, 2014. (Proviso Omitted.)
ADDENDUM <Presidential Decree No. 25656, Oct. 15, 2014>
This Decree shall enter into force on January 1, 2015.
ADDENDA <Presidential Decree No. 25840, Dec. 9, 2014>
Article 1 (Enforcement Date)
This Decree shall enter into force on January 1, 2015.
Articles 2 through 16 Omitted.
ADDENDA <Presidential Decree No. 25942, Dec. 30, 2014>
Article 1 (Enforcement Date)
This Decree shall enter into force on January 1, 2015.
Articles 2 through 4 Omitted.
ADDENDA <Presidential Decree No. 26247, May 26, 2015>
Article 1 (Enforcement Date)
This Decree shall enter into force on May 28: Provided, That the amended Articles 41-2 and 43 shall enter into force on July 29, 2015.
Article 2 (Transitional Measures concerning Members of the Financial Support Committee)
Persons commissioned as members of the Financial Support Committee under the former Enforcement Decree of the Act on Special Measures for Development of Small and Micro Enterprises, as at the time this Decree enters into force, shall be deemed commissioned as members of the Financial Support Committee under the amended Article 54-9 (2) 10 and 11.
ADDENDUM <Presidential Decree No. 26649, Nov. 18, 2015>
This Decree shall enter into force on November 19, 2015.
ADDENDUM <Presidential Decree No. 26804, Dec. 30, 2015>
This Decree shall enter into force on the date of its promulgation.
ADDENDUM <Presidential Decree No. 26844, Dec. 31, 2015>
This Decree shall enter into force on the date of its promulgation.
ADDENDA <Presidential Decree No. 27205, Jun. 30, 2016>
Article 1 (Enforcement Date)
This Decree shall enter into force on September 30, 2016. (Proviso Omitted.)
Articles 2 and 3 Omitted.
ADDENDUM <Presidential Decree No. 27299, Jun. 30, 2016>
Article 1 (Enforcement Date)
This Decree shall enter into force on July 1, 2016. (Proviso Omitted.)
Articles 2 through 5 Omitted.
Article 6 (Applicability to Amendment of the Enforcement Decree of the Small and Medium Enterprises Promotion Act)
The amended Article 54-7 (1) of the Enforcement Decree of the Small and Medium Enterprises Promotion Act shall begin to apply from a factory, construction or extension of which, or changing the type of business engaged in which, is approved or deemed approved under Article 13 of the Industrial Cluster Development and Factory Establishment Act after this Decree enters into force.
Articles 7 through 15 Omitted.
ADDENDA <Presidential Decree No. 27524, Sep. 29, 2016>
Article 1 (Enforcement Date)
This Decree shall enter into force on September 30, 2016.
Article 2 (Repeal of other Statutes)
The Enforcement Decree of the Balanced Regional Development and Support for Local Small and Medium Enterprises Act is hereby repealed.
Article 3 Omitted.
Article 4 (Relationship to other Statutes)
Where any other statute cites the Enforcement Decree of the Balanced Regional Development and Support for Local Small and Medium Enterprises Act or any provisions thereof as at the time this Act enters into force, it shall be deemed to cite this Decree or the relevant provisions of this Decree in lieu of the former Enforcement Decree of the Balanced Regional Development and Support for Local Small and Medium Enterprises Act or any provisions thereof, if provisions corresponding thereto exist in this Decree.
ADDENDUM <Presidential Decree No. 27808, Jan. 26, 2017>
This Decree shall enter into force on January 28, 2017.
ADDENDA <Presidential Decree No. 28213, Jul. 26, 2017>
Article 1 (Enforcement Date)
This Decree shall enter into force on the date of its promulgation.
Articles 2 through 6 Omitted.