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ENFORCEMENT DECREE OF THE ACT ON THE FOSTERING OF SELF-EMPLOYED CREATIVE ENTERPRISES

Presidential Decree No. 23191, Sep. 30, 2011

Amended by Presidential Decree No. 23644, Feb. 29, 2012

Presidential Decree No. 24716, Sep. 9, 2013

Presidential Decree No. 25050, Dec. 30, 2013

Presidential Decree No. 26466, Aug. 3, 2015

Presidential Decree No. 28213, Jul. 26, 2017

 Article 1 (Purpose)
The purpose of this Decree is to prescribe matters delegated by the Act on the Fostering of Self-Employed Creative Enterprises and those necessary for the enforcement thereof.
 Article 2 (Scope of Self-Employed Creative Enterprises)
(1) "Type of business prescribed by Presidential Decree, such as real estate business" in Article 2 of the Act on the Fostering of Self-Employed Creative Enterprises (hereinafter referred to as the "Act") means types of business, the main business of which falls under attached Table 1. <Amended by Presidential Decree No. 26466, Aug. 3, 2015>
(2) Specific details for the recognition of a person who operates a type of business, the main business of which does not fall under attached Table 1, as a self-employed creative enterprise, shall be determined and publicly announced by the Minister of SMEs and Startups, in consideration of his/her type of business, manner of operation, etc. <Amended by Presidential Decree No. 26466, Aug. 3, 2015; Presidential Decree No. 28213, Jul. 26, 2017>
 Article 3 (Grounds for Exclusion from Recognition as Self-Employed Creative Enterprises)
"Grounds prescribed by Presidential Decree" in the proviso to Article 3 of the Act means grounds that constitute any of the following:
1. Where an enterprise which falls within the period constituting it a self-employed creative enterprise pursuant to the main sentence of Article 3 of the Act, is merged with a small and medium enterprise (hereinafter referred to as "small and medium enterprise") under Article 2 of the Framework Act on Small and Medium Enterprises;
2. Where a self-employed creative enterprise which started business ceases to fall under a small and medium enterprise due to the expansion of its size, etc. before the end of the 12th month has passed since the month to which the date of business startup belongs.
 Article 4 (Designation, etc. of Support Centers for Self-Employed Creative Enterprises)
(1) Any person who intends to be designated as a support center for self-employed creative enterprises (hereinafter referred to as "support center") under Article 8 (1) of the Act, shall meet the standards for designation specified in attached Table 2.
(2) Any person who intends to be designated as a support center, shall submit an application for such designation to the head of a related central administrative agency, along with the following documents:
1. Articles of association or regulations on the operation of business corresponding thereto;
2. A business plan;
3. Current status of professionals available;
4. Details of facilities.
(3) Where the head of a related central administrative agency designates a support center pursuant to Article 8 (1) of the Act, or cancels the designation of the support center or orders the support center to suspend its business affairs pursuant to paragraph (4) of the aforesaid Article, he/she shall post a notice of such fact on the website.
(4) A person designated as a support center shall submit an operational plan for the relevant year to the head of a related central administrative agency by January 31 every year, and shall analyze its performance for each half year and report its performance to the head of the related central administrative agency within one month after each half year ends.
(5) Criteria for cancelling the designation of a support center and the suspension of its business affairs under Article 8 (4) of the Act shall be as specified in attached Table 3.
(6) In addition to matters provided in paragraphs (1) through (5), necessary matters, including procedures for the designation and operation of a support center, shall be determined and publicly announced by the Minister of SMEs and Startups. <Amended by Presidential Decree No. 28213, Jul. 26, 2017>
 Article 5 (Persons Conducting Business, etc. Eligible for Support for Transactions of Knowledge Services)
(1) Any person entitled support for transactions of knowledge services under Article 9 (1) of the Act, shall be a small and medium enterprise provided with goods or services from a self-employed creative enterprise through an integrated management system under Article 7 of the Act or non-profit corporation incorporated pursuant to Article 32 of the Civil Act.
(2) Any person who intends to obtain support for transactions of knowledge services pursuant to Article 9 (1) of the Act, shall submit an application for such support to the Minister of SMEs and Startups, along with the following documents: <Amended by Presidential Decree No. 28213, Jul. 26, 2017>
1. A copy of a contract concluded with the relevant self-employed creative enterprise;
2. Data that may verify the result of goods or services provided by the relevant self-employed creative enterprise;
3. Other documents necessary to verify the details of a contract with the relevant self-employed creative enterprise and the details of the performance of the contract.
(3) Upon receipt of an application submitted pursuant to paragraph (2), the Minister of SMEs and Startups shall verify a registration certificate and a business registration certificate of a corporation through data matching of administrative information under Article 36 (1) of the Electronic Government Act: Provided, That where an applicant refuses consent to the verification of his/her business registration certificate, the Minister of SMEs and Startups shall require the applicant to submit his/her application along with such document. <Amended by Presidential Decree No. 28213, Jul. 26, 2017>
(4) In addition to matters provided in paragraphs (1) through (3), necessary matters, including the scope of business eligible for support for transactions of knowledge services, shall be determined and publicly announced by the Minister of SMEs and Startups. <Amended by Presidential Decree No. 28213, Jul. 26, 2017>
 Article 6 (Criteria, etc. for Designation of Educational Institutions)
(1) "Human resources and facilities, etc., prescribed by Presidential Decree" in Article 10 (2) of the Act shall be as specified in attached Table 4.
(2) Any person who intends to be designated as an educational institution under Article 10 (2) of the Act, shall submit an application for such designation to the head of a related central administrative agency, along with the following documents:
1. Personal particulars and qualification of instructors;
2. Current status of educational facilities;
3. Documents that may verify whether he/she meets the criteria for designation under paragraph (1).
(3) Upon receipt of an application submitted pursuant to paragraph (2), the head of a related central administrative agency shall verify a registration certificate and a business registration certificate of the relevant corporation through data matching of administrative information under Article 36 (1) of the Electronic Government Act: Provided, That where an applicant refuses consent to the verification of his/her business registration certificate, the head of a related central administrative agency shall require the applicant to submit his/her application along with the relevant document.
(4) Where the head of a related central administrative agency designates an educational institution pursuant to Article 10 (2) of the Act, or cancels the designation of an educational institution or orders it to suspend its business affairs pursuant to paragraph (4) of the aforesaid Article, he/she shall post a notice of such fact on the website.
(5) Items for which expenses may be fully or partially subsidized for educational institutions pursuant to Article 10 (3) of the Act, shall be as follows:
1. Instructor fees and allowances;
2. Expenses incurred in manufacturing teaching materials and purchasing equipment and materials for practice;
3. Other items deemed necessary for educational training.
(6) Criteria for cancelling designation and suspension of business affairs of an educational institution under Article 10 (4) of the Act, shall be as specified in attached Table 5.
(7) In addition to matters provided in paragraphs (1) through (6), necessary matters, including the operation of educational institutions, shall be determined and publicly announced by the Minister of SMEs and Startups. <Amended by Presidential Decree No. 28213, Jul. 26, 2017>
 Article 7 (Procedures, etc. for Support for Technological Development)
(1) Any person who intends to obtain support for technological development under Article 11 (1) of the Act, shall submit an application for such support to the Minister of SMEs and Startups, along with the following documents: <Amended by Presidential Decree No. 24716, Sep. 9, 2013; Presidential Decree No. 28213, Jul. 26, 2017>
1. A technological development plan;
2. Other documents deemed necessary by the Minister of SMEs and Startups.
(2) Upon receipt of an application submitted pursuant to paragraph (1), the Minister of SMEs and Startups shall verify a registration certificate (only applicable where an applicant is a corporation) and a business registration certificate of a corporation through data matching of administrative information under Article 36 (1) of the Electronic Government Act: Provided, That where an applicant refuses consent to the verification of his/her business registration certificate, the Minister of SMEs and Startups shall require the applicant to submit his/her application along with such document. <Amended by Presidential Decree No. 28213, Jul. 26, 2017>
(3) The scope of support for technological development under Article 11 (2) of the Act shall be as follows: <Amended by Presidential Decree No. 24716, Sep. 9, 2013; Presidential Decree No. 28213, Jul. 26, 2017>
1. Support for technological development to promote technological innovations and improve technological prowess;
2. Support for the evaluation, transfer, and utilization of developed technologies;
3. Other matters the Minister of SMEs and Startups deems necessary to promote the technological development of self-employed creative enterprises and small and medium enterprises.
(4) In addition to matters provided in paragraphs (1) through (3), necessary matters, including procedures for support for technological development, shall be determined and publicly announced by the Minister of SMEs and Startups. <Amended by Presidential Decree No. 24716, Sep. 9, 2013; Presidential Decree No. 28213, Jul. 26, 2017>
 Article 8 (Criteria, etc. for Selection of Enterprises Eligible for Support for Commercialization of Ideas)
(1) Any self-employed creative enterprise that intends to obtain support for the commercialization of ideas (hereinafter referred to "support for the commercialization of ideas") pursuant to Article 12 (1) of the Act, shall submit an application for such support to the head of a related central administrative agency, along with the following documents:
1. Descriptions of ideas or descriptions of products;
2. Documents evidencing the attainment and the receipt of a prize (only the relevant person is required to submit such documents);
3. Other reference data necessary for evaluation.
(2) Where the head of a related central administrative agency selects a self-employed creative enterprise eligible for support for the commercialization of ideas, he/she shall review the following:
1. Prospects of commercialization;
2. Technology and marketability;
3. Whether support was provided in the past and ideas are duplicated by other government-supported tasks;
4. Ripple effect on industries.
(3) Deleted. <by Presidential Decree No. 26466, Aug. 3, 2015>
(4) The scope of support for the commercialization of ideas shall be as follows:
1. Advice for the commercialization of ideas;
2. Financing necessary to develop test products;
3. Support for marketing, the exploration of new markets, etc. of commercialized products.
(5) In addition to matters provided in paragraphs (1), (2), and (4), necessary matters, including detailed matters and procedures for evaluation for the selection of self-employed creative enterprises eligible for support for the commercialization of ideas, shall be determined and publicly announced by the Minister of SMEs and Startups. <Amended by Presidential Decree No. 26466, Aug. 3, 2015; Presidential Decree No. 28213, Jul. 26, 2017>
 Article 9 (Designation, etc. of Institutions Solely in Charge)
(1) The Minister of SMEs and Startups may designate an institution solely in charge of business affairs on self-employed creative enterprises (hereinafter referred to as "institution solely in charge") from among any of the following institutions or entities, pursuant to Article 16 (1) of the Act: <Amended by Presidential Decree No. 28213, Jul. 26, 2017>
3. Other institutions or entities which the Minister of SMEs and Startups deems to have professionals and the organization solely in charge necessary to conduct affairs concerning support for self-employed creative enterprises.
(2) Where the Minister of SMEs and Startups designates an institution solely in charge pursuant to paragraph (1), he/she shall post a notice of such fact on the website of the Ministry of SMEs and Startups. <Amended by Presidential Decree No. 28213, Jul. 26, 2017>
(3) The head of an institution solely in charge shall formulate a plan to implement detailed measures and a plan to expend funds concerning affairs entrusted pursuant to Article 21 (2) of the Act and shall submit such plans to the Minister of SMEs and Startups. <Amended by Presidential Decree No. 28213, Jul. 26, 2017>
(4) In addition to matters provided in paragraphs (1) through (3), necessary matters, including the designation and operation of an institution solely in charge, shall be determined and publicly announced by the Minister of SMEs and Startups. <Amended by Presidential Decree No. 28213, Jul. 26, 2017>
 Article 10 (Special Cases concerning the Food Industry Promotion Act)
Notwithstanding Article 22 of the Food Industry Promotion Act, Article 29 (2) of the Enforcement Decree of the aforesaid Act, and statutes related thereto, items to be examined and criteria for examination of a factory for quality certification of traditional foods under attached Table 6, shall apply to self-employed creative enterprises that manufacture traditional foods defined in subparagraph 4 of Article 2 of the aforesaid Act pursuant to Article 18 of the Act.
 Article 11 (Entrustment of Affairs)
(1) The head of a central administrative agency may entrust the following affairs to an institution solely in charge pursuant to Article 21 (2) of the Act: <Amended by Presidential Decree No. 24716, Sep. 9, 2013>
1. Research on status of self-employed creative enterprises under Article 6 of the Act;
2. Establishment and operation of an integrated management system under Article 7 of the Act;
3. Support to support centers for self-employed creative enterprises under Article 8 (3) of the Act;
4. Support for transactions of knowledge services under Article 9 of the Act;
5. Support to educational institutions under Article 10 (3) of the Act;
6. Support for technological development under Article 11 of the Act;
7. Support for the commercialization of ideas of self-employed creative enterprises under Article 12 of the Act;
8. Support for overseas expansion of self-employed creative enterprises under Article 13 of the Act;
9. Public relations activities, etc. of self-employed creative enterprises under Article 14 of the Act.
(2) The head of a central administrative agency may entrust the Korea Creative Content Agency established under Article 31 (1) of the Framework Act on the Promotion of Cultural Industries with affairs related to cultural industries defined in subparagraph 1 of Article 2 of the aforesaid Act, from among affairs referred to in the subparagraphs of paragraph (1).
 Article 12 (Re-Examination of Regulation)
The Minister of SMEs and Startups shall examine the appropriateness of the scope of self-employed creative enterprises under Article 2 and attached Table 1 every three years, counting from January 1, 2014 (referring to the period that ends on the day before January 1 of every third year) and shall take measures, such as making improvements. <Amended by Presidential Decree No. 28213, Jul. 26, 2017>
[This Article Newly Inserted by Presidential Decree No. 25050, Dec. 30, 2013]
ADDENDUM
This Decree shall enter into force on October 5, 2011.
ADDENDA <Presidential Decree No. 23644, Feb. 29, 2012>
Article 1 (Enforcement Date)
This Decree shall enter into force on the date of its promulgation. (Proviso Omitted.)
Articles 2 through 4 Omitted.
ADDENDUM <Presidential Decree No. 24716, Sep. 9, 2013>
This Decree shall enter into force on September 23, 2013.
ADDENDUM <Presidential Decree No. 25050, Dec. 30, 2013>
This Decree shall enter into force on January 1, 2014. (Proviso Omitted.)
ADDENDUM <Presidential Decree No. 26466, Aug. 3, 2015>
This Decree shall enter into force on August 4, 2015.
ADDENDA <Presidential Decree No. 28213, Jul. 26, 2017>
Article 1 (Enforcement Date)
This Decree shall enter into force on the date of its promulgation. (Proviso Omitted.)
Articles 2 through 6 Omitted.