Online Business in South Korea: Foreigners guide

Embarking on a journey of entrepreneurship is exhilarating yet daunting, especially when venturing into a new territory. For foreigners eyeing South Korea as their entrepreneurial hub, a myriad of questions may swirl in their minds. Can I actually start a business here? What are the prerequisites? How do I navigate the bureaucracy? Fear not, for we are here to guide you through the labyrinth of starting a business in South Korea.

Question 1: Are foreigners allowed to start a business in South Korea?

Indeed, one of the burning questions that often pops up in the minds of aspiring entrepreneurs eyeing South Korea is whether they are even eligible to start a business there. The short answer? Absolutely.

If you hold one the following visas, you're good to go

 

1. F visa (F-2, F-4, F-5, and F-6)

2. D-8–4 Startup (Oasis) visa

3. D-8 (Corporate Investment) visa

 

However, if you find yourself without any of these visas, fret not; seeking legal counsel to establish your company on your behalf is a viable option.

 

Question 2: Can foreigners apply for a sole proprietorship business in South Korea?

Certainly! Among the array of business structures available in South Korea, a sole proprietorship stands out as a feasible option, especially for those embarking on smaller ventures. This structure, locally known as "sa-eob-ja," places the reins of the business firmly in the hands of one individual, making it an attractive choice for solo entrepreneurs.

Question 3: If yes, what are the requirements?

To register a sole proprietorship in South Korea, the process is surprisingly streamlined. You only need the following

1. Alien Registration Card

2. Office Lease Agreement

3. Passport

4. A visit to the tax office and metropolitan office is all it takes.

 

Once the requisite paperwork is completed and submitted, you'll receive a receipt confirming the receipt of your application. Subsequently, upon notification, a visit to the tax office will furnish you with the coveted company registration document, thereby sealing the deal.

 

Question 4: How do I apply? Step-by-step Processs?

The application for a business permit can be conveniently completed via the government website or a visit to the tax office.

1. Upon your visit to the nearest local tax office to initiate the registration process, make sure to inquire at the information desk for directions to the business registration department. To register on a government website, I will write a separate post.

2. Complete the application form provided, ensuring to designate a name for your company and specify the nature of your business or the products you intend to sell.

3. Prepare essential details such as a contact phone number and the address where you intend to establish your office or business operations.

4. Subsequently, the tax office will proceed with registering your company name and issue you a business registration certificate promptly.

5. With the business registration formalities completed, the next step towards commencing your online sales venture entails a visit to the local metropolitan office. Here, you can request the necessary documentation known as the "통신판매업신고증명서," which grants authorization for online sales activities within E-commerce Marketplaces.

 

 

There are no minimum capital requirements for registering a sole proprietorship and commencing business activities. This flexibility allows entrepreneurs to dive into online selling without the burden of stringent financial obligations. So, embrace the opportunity to sell online and embark on your journey of making money with confidence.