Korea has expanded its 2026 SME policy financing plan to include SMEs affected by Homeplus-related business disruption under the Temporary Management Difficulty Emergency Stabilization Fund. Eligible companies may apply for up to KRW 1 billion in working-capital financing through a direct loan. Rolling applications opened July 27 and continue until the allocated funds are exhausted.
Who is eligible?
The applicant must qualify as an SME under Article 2 of Korea’s Framework Act on Small and Medium Enterprises, have temporary management difficulty caused by Homeplus-related damage, and show a reasonable prospect of business normalization. The usual requirement to demonstrate at least a 10% decline in sales or operating profit does not apply to Homeplus-affected SMEs.
The notice does not provide one universal evidence list for every form of damage. Companies should confirm the required proof of transactions, unpaid receivables, settlement delays, or other losses with the responsible KOSME regional office before applying.
Loan terms
- Loan limit: up to KRW 1 billion per company and KRW 1.5 billion over three years
- Use of funds: working capital needed to resolve the management difficulty and normalize operations
- Term: up to five years, including a grace period of up to two years
- Interest rate: the variable SME policy-fund base rate
- Financing method: direct loan from the Korea SMEs and Startups Agency
The ordinary temporary-management-difficulty rate adds 0.5 percentage points to the policy-fund base rate. Homeplus-affected SMEs receive the base rate without that additional spread.
Special treatment for affected SMEs
- Rolling applications rather than only the standard monthly window
- Waiver of the policy-priority review before receiving an opportunity to submit a financing application
- Exemption from the usual 10% sales or operating-profit decline test
- Applications from July 27 until the relevant budget is exhausted
How to apply
Apply online through the KOSME digital branch. The process includes information-consent and company-data submission, financing documents, company assessment, a financing decision, and direct disbursement. KOSME reviews technology and business viability, growth prospects, management capability, financial condition, repayment ability, and the proposed use of funds. Approval may be denied or the requested amount may be reduced.
Important cautions
- Businesses that are closed or suspended, have tax arrears, or have registered credit events such as delinquency, default, rehabilitation, or bankruptcy are generally restricted.
- Excluded industries and businesses classified as small merchants under the separate small-business framework are generally ineligible.
- False information may result in a one-year restriction on policy-fund applications.
- Funds must be used for the approved working-capital purpose. Misuse may trigger early recovery and future financing restrictions.
- The application window can close immediately when the allocated funds are exhausted.
Practical tip
Prepare records that connect the Homeplus relationship to the financing need, such as contracts, transaction statements, tax invoices, account records, unpaid receivables, and cash-flow projections. The decline test is waived, but the company must still substantiate the damage and the amount needed for normalization.
This article summarizes the official amended notice for general information. Eligibility and the approved amount depend on KOSME’s document and company assessment.
Official sources and verification date
- Ministry of SMEs and Startups amended 2026 SME policy financing notice
- KOSME policy financing information
- Policy financing call center: 1811-3655
- Verified July 31, 2026
