"Urgent Need for Follow-Up Support in New Businesses"... Minister Lee Soyoung Meets Jump-Up Companies

On-Site Meeting Held with Companies Participating in the Jump-Up Program

Small and medium-sized enterprises (SMEs) said they were struggling to secure professional staff and obtain legal advice as they expanded overseas. Some also called for a support system covering the entire process of entering new businesses, from research and development (R&D) to mass production.

On the morning of October 15, Lee Soyoung, Minister of SMEs and Startups, held an on-site meeting with companies participating in the Jump-Up Program at LK Chem, a semiconductor materials specialist in Cheonan, South Chungcheong Province, and heard about these difficulties. The meeting was attended by representatives of five participating companies—LK Chem, Young Poong Electronics, Saehan, Erkos and KL Cube—and two strategic supporters, Samjong KPMG and Boston Consulting Group (BCG).

In her opening remarks, Lee said, "The Jump-Up Program is designed to help companies grow, so in addition to consulting, vouchers and networking opportunities, there are likely to be obstacles to their growth. If you share your concerns, we will actively reflect them in our policies and do what we can to help."

Ha Hong, president of Young Poong Electronics, described the difficulties the defense company faces in securing professional staff and obtaining legal advice as it enters overseas markets. He called for personnel-cost support to narrow the wage gap between large and small and medium-sized companies, as well as legal assistance that takes into account the defense export sector's differing contract terms from country to country.

Saehan, a second-cohort participant in the Jump-Up Program, called for follow-up R&D support as it pursues a business in actuator reducers for humanoid robots. Saehan President Jeong Jinmo said, "The biggest challenge for small and medium-sized manufacturers entering new businesses is the high barrier to commercializing their products, from technology development through demonstration and mass production."

Erkos, a food company for infants and young children, called for expanded marketing support. Kim Taehyun, head of sales, said, "Compared with mid-sized and large companies, we have limited marketing budgets and staff. We hope support could be provided in those areas as well."

Lee Soyoung, Minister of SMEs and Startups, speaks at an on-site meeting with companies participating in the Jump-Up Program at LK Chem's headquarters in Cheonan, South Chungcheong Province, on the 15th. Ministry of SMEs and Startups

After hearing from participants, Lee explained that the reforms to the Jump-Up Program announced that day include stronger legal support and the introduction of a dedicated R&D program. After the program's support period ends, the ministry plans to track each company's growth over five years and connect it with policies as needed. Lee said, "We will make sure companies are not simply supported for three years and then left on their own, but are well connected to the next stages, including R&D and commercialization."

Lee also announced plans to expand support for defense companies. "The Ministry of SMEs and Startups will identify and pursue various additional initiatives to support defense companies in emerging security sectors," she said. Regarding logistics costs, she said preparations were underway to open an air logistics center dedicated to SMEs by April 2027.

Lee also said the government would expand the role of SMEs in its three mega-projects. "In the large-scale investments that are writing the history of South Korea's growth, our SMEs must be leading players in their own right, not supporting actors for large companies," she said. She added that the ministry had joined efforts to advance the three mega-projects in October and would regularly hear from relevant SMEs and relay their requests for support and regulatory improvements to the government.

This content was produced with the assistance of AI translation services.