New D-8 Investment Minimum $300K?

Just a heads up to anyone considering starting an FDI company. In the process of sorting out my D-8 visa renewal nightmare, I've twice now run into a rumor that the minimum investment amount is about to increase again. A couple years ago it went from $50K to $100K, and now I'm hearing it will increase in April to $300K. I most recently heard it from our Korean CPA, who told me she is crazily busy this month helping a surge of clients start their FDI companies before the new limit takes effect in April.

This is all rumor and I haven't confirmed it with immigration. Not even sure they would confirm if asked. But if you're considering an FDI startup this year, I would recommend doing some more research on this matter.

Views: 643

▶ Reply to This | 이 글에 답하기

Replies to This Discussion | 이 토론에 대한 답글들

Permalink Reply by Steven S. Bammel on February 11, 2013 at 10:47am

Wow! Thanks for the tip...

Permalink Reply by Steven S. Bammel on February 27, 2013 at 7:04am

Just so everyone knows... This is not a rumor; it's a fact. The investment amount is scheduled to increase to 300K. I'm understanding it will go into effect in the latter part of the year, but at any rate, if you're looking to start a business to get a D-8, do it now...

Permalink Reply by Jason Head on February 27, 2013 at 10:01am
Is the investment minimum being used as a foreign small business tariff to ostensibly to protect domestic small businesses?
Has anyone heard what arguments are used to support the raising of the minimum, and filtering out investments?
Permalink Reply by Steven S. Bammel on February 27, 2013 at 10:08am

Yes, I spoke with someone from the foreign investment ombudsman's office and he said they are tired of people bringing in 100 million won (mostly from other Asian countries) only in order to get a visa and with no actual intention of doing business. This is the people they are wanting to filter out.

Permalink Reply by Joon Kim on March 13, 2013 at 2:06am

Another stupid move.

Who cares if they don't set up a business or not. It's money coming IN and immigrants (God knows we need them) coming to live, study, etc. There are other ways to monitor irregular or illegal inflows.

I think the main reason is to control the KRW from appreciating, which in itself is fairly stupid in a country that imports most of its resources, and many industrial components. A strong KRW is a reflection of a strong economy. As long as it doesn't fluctuate wildly, trying to control it is futile.

Permalink Reply by Veronica Y Kim on February 28, 2013 at 11:38am

I understand that if you do business with F4 holder, you don't have to go through this.

Just for reference. (*further verification needed since it is my personal understanding)

Permalink Reply by Steven S. Bammel on March 1, 2013 at 1:08pm

Thanks, Veronica. The issue for many foreign entrepreneurs though is the visa, not the company. I don't think doing business with an F4 holder will bestow on the F4 holder's business partner(s) the rights to a work visa without other employment conditions being met.

Permalink Reply by Gabriel Varaljay (가브리엘) on March 3, 2013 at 7:42pm

As I know the western world see South-Korea as a risky investment country, because everybody think that there will be a war, etc. so I think if somebody want to start one Asian center, that will be not in Seoul from this time. I working for very fast growing internet startup company, and there is question to choose Asian center in the future... This will be a problem, because Japan is more attracting for European companies and it will be very hard to lobby for Korea.

Permalink Reply by Robert DeVaun on March 3, 2013 at 11:34pm

Wow. I was considering starting a business in Korea in early 2014, but I'm not sure if this will be possible. Thanks for the heads up. Does anyone have any suggestions regarding alternative visa opportunities for individuals interested in start ups located in Korea? C-2 possibly?

I would likely enter into a partnership with a Korean national, but would prefer an option for individual investment should the partnership fall through.

Permalink Reply by Gabriel Varaljay (가브리엘) on March 6, 2013 at 11:20pm

Good point. Other countries supports startups like Chile, etc. but I think in Korea similar sponsorship not exist. 

Permalink Reply by Veronica Y Kim on March 6, 2013 at 10:25am

by the way, I understand this is starting from June not April?

Permalink Reply by Anne Ladouceur on March 27, 2013 at 11:24am

Yes, the official implementation date is now June. Possible it could be pushed back further.

The other part of this new regulation that is of concern is the one that applies to existing foreign invested sole proprietorships. For more details see the information here: http://www.korea4expats.com/article-foreign-sme-investment-requirem....

RSS

For full details about Korea Business Central (KBC), visit the KBC Overview and Support pages.

Feedback, ideas, suggestions or questions about KBC? Click here to share your thoughts publicly with KBC Creator Steven Bammel. Or send Steven a message anonymously.

Contact Steven for media inquiries or professional services support.

Function-Oriented Menu

Members Events
Discussions Groups
Videos Blog
KBC Friends Photos
Topic Central Pages
KBC Overview & Support

© 2013   Created by Steven S. Bammel.

Badges  |  Report an Issue  |  Terms of Service