South Korea’s economy is the fourth largest in Asia and the eleventh largest in the world, according to statistics. It has a mixed economy that is led by family-owned businesses called chaebols. However, the chaebols are not likely to stay in charge for long, which could slow down Korea’s economic transformation. In just a few generations, South Korea went from being one of the poorest countries in the world to a developed, high-income country. People call this economic growth the “Miracle on the Han River”. It has helped this nation become a member of the OECD and the G-20, which is a group of the best countries in the world.
Steps for starting a business in South Korea
The following steps show how to start a job in that country:
Find out more about the industry you want to work in
When thinking about starting a job here, you should first do a lot of research on the industry in which you want to start. It has different rules and regulations for starting a new job, and as a foreigner, you don’t want to choose an industry where you won’t be able to get an employment license.
Give your business a name
The next step in starting a job here is to decide on a name for your business. Before deciding on a name for your employment, it won’t cost you anything to look up the names of the top brands in the industry you want to get into. This will help you choose a name that fits your job well.
Fill out an application for the right visa
When your foreigner coming to this nation to start a business, you should make sure you apply for the right visa, one that will let you live there and run your occupation. Even though there are different types of visas that allow foreigners to live and work in South Korea, those with a residential visa (like an F-2, F-4, F-5, or F-6) have the most freedom to start a business with the same benefits and fewer restrictions as a Korean citizen. Please know that When you have an E-series visa, like an E-1 or E-2, you are not allowed to run, and when you try to do so illegally, you are likely to face harsh consequences. If you don’t have an F-series visa, a visa for foreign entrepreneurs is a safe bet (D-8 or D-10). With a d-8 visa, you can live and work in Korea. The D-8 visa is only good for six months and can only be extended if you can show that your taxes are paid up to date and that your job is doing well through receipts and invoices.
Open a bank account
After getting the right visa, the next step is to open a bank account. Opening a bank account in South Korea so that you can start a business is easy and straightforward. In fact, you only need a valid passport to show at the bank. You must send a block fund of 50 million Won, which is about $40,900 in U.S. dollars, from an account in your name outside of the country to the bank account you have opened in Korea. This shows that you can put money into South Korea and run a business there. Please note that the deposit must be made all at once and marked “For Investment Purposes Only”. If you need more clarification about the current exchange rate, you can use a currency conversion chart online to figure it out with the currency of your country.
Register your business name
After you have successfully opened an account with a South Korean bank and made the required deposit, the next step is to go ahead and register your job name. After you make your deposit, your Korean bank should send you the paperwork so you can start the paperwork for registering your business. To start this process, you should fill out a registration form and then bring your bank account documents and real estate lease to your local district office to register the business name. Please keep in mind that all business names must be registered in the Korean alphabet, called hangeul. If you don’t know how to use hangeul, you can get help from the service or a business consultant.
Start getting customers by opening your doors
If you aren’t sure if you can start your business yet, you can check with your local district office to see if you need permission to open. In South Korea, there are 16 district offices. One is in each of the major provinces. If you need permission, ask for it as soon as you can.
In the end, this article only covers the basic steps for starting a business in South Korea. There are other legal issues and accounting requirements that are not covered here but are also essential steps for starting a business in South Korea.
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