{"id":24080,"date":"2024-07-22T10:51:50","date_gmt":"2024-07-22T01:51:50","guid":{"rendered":"https:\/\/inpyeonglaw.com\/?p=24080"},"modified":"2024-09-11T17:54:37","modified_gmt":"2024-09-11T08:54:37","slug":"%ec%99%b8%ea%b5%ad%ec%9d%b8%ed%88%ac%ec%9e%90%ea%b8%b0%ec%97%85-%ec%99%b8%ed%88%ac%eb%b2%95%ec%9d%b8-%ec%84%a4%eb%a6%bd-what-type-of-company-to-establish-in-korea","status":"publish","type":"post","link":"https:\/\/inpyeonglaw.com\/archives\/24080\/","title":{"rendered":"\uc678\uad6d\uc778\ud22c\uc790\uae30\uc5c5\/\uc678\ud22c\ubc95\uc778 \uc124\ub9bd – WHAT TYPE OF COMPANY TO ESTABLISH IN KOREA"},"content":{"rendered":"
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WHAT TYPE OF COMPANY TO ESTABLISH IN KOREA<\/b><\/span><\/p>\n<\/div>\n

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by Andrew Baek. July 11, 2024<\/span><\/p>\n<\/div>\n

Our foreign clients often inquire about the types of companies available in Korea that would best suit their business needs. We generally recommend choosing among a Stock Company, a Limited Company, and a Limited Liability Company.<\/span><\/p>\n

The foreign clients may also consider incorporating a General Partnership Company or a Limited Partnership Company. However, these partnership company types do not provide the level of liability insulation that the foreign clients typically expect. While the foreign clients could join a Limited Partnership Company as limited partners, they will then have to find someone who is willing to take the place of a general partner who will have to assume unlimited liability. <\/span><\/p>\n

In most cases, as our foreign clients are entering into an unfamiliar jurisdiction, they generally prefer company types that limit their liability exposure to their actual investment, which are the three aforementioned types.<\/span><\/p>\n

Another common concern our foreign clients express is the minimum investment required to establish a company. Legally, the minimum amount is KRW100 (approx. 7 cents). However, in practice, it is unlikely that a corporate bank account could be opened with just KRW100.<\/span><\/p>\n

The lower end of the investment amount for our typical clients is KRW10million (slightly above USD7,000). However, to register their company as a Foreign-Invested Enterprise and enjoy regulatory preferential treatment, the investment amount should be at least KRW 100million. <\/span><\/p>\n

The investment amount requirements mentioned above apply to all types of companies. In the next article, and others to follow, we will explore each type of company, addressing the respective pros and cons for foreign investors. <\/span><\/p>\n

Ends.<\/span><\/p>\n

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