South Korea represents an attractive jurisdiction where foreign entrepreneurs can rapidly and easily set up a business. In this article, our company formation consultants in Korea analyze the share capital in Korea which is necessary for various types of legal entities here.
Table of Contents
The minimum capital requirement for the most common legal entities in Korea
The two most common types of legal entities in Korea are the joint-stock company and the limited liability company.
For a Korea joint-stock company formation, there is no minimum capital requirement set in place. However, if the investor is a foreign citizen, an amount of KRW 100 million is needed for every one of such investor to qualify for the benefits according to the Foreign Investment Promotion Law (FIPL).
The shareholders of a joint-stock company in Korea have responsibilities which are limited to the extent of their capital investment.
Stocks of such entities can easily be transferred, even though it depends on the approval of the board of directors.
This type of companies must organize shareholder meetings at least once a year to analyze the financial statements and dividends.
As about the limited liability company, there is no capital requirement either in order to open such a company in Korea.
At the same time, if the company has a foreign entrepreneur, a capital of KRW 100 million is required for each such entrepreneur to qualify for the advantages according to the FIPL in this country.
We are also at your service if you are interested immigration to South Korea. We can help you secure a business visa if you are an investor who needs to conduct their affairs here, or a temporary residence permit if you are coming to join your family. Contact us and ask for detailed information on how we can help you.
You can apply for permanent residency in South Korea before or after arriving in the country. It could be simpler to finish this before you come here. In addition to several documents you need to prepare for the immigration, you must also consider applying for an entry visa with the closest Korean embassy or consulate.
If you require accounting assistance, you can also rely on our accountants in South Korea. If you want to expand your business in this country, we can provide consulting or tax-related services. We use a tailored approach based on the demands of the business and the potential market impact you seek to obtain.
We can also help you apply for Korean residency through family reunion visas. Those who live in the country must get an F-3 visa in order for their spouses and unmarried minor children to move to South Korea legally. The documents that must be presented by the applicants can be drafted by our immigration lawyers.
Other aspects related to the share capital in Korea
A legal entity on Korea has to appoint minimum three directors, comprising a representative director and an in-house statutory auditor, except when the entity has a total capital of less than KRW 1 billion.
In such a case, there can be only one or two directors. Our Korea company formation consultants can provide more details related to this matter.
For further information about the minimum share capital in Korea, please feel free to get in touch with our friendly staff. We also provide assistance related to starting a business in Korea, if necessary.
If you are interested in South Korean immigration, you can rely on our attorneys. In order to determine which type of visa you are eligible for and whether you fall under one or more categories of immigrants, we will first analyze your case. To discuss your alternatives and begin the migration process right away, call us and set up an appointment.
You can apply for a residence visa if you have a job there, a place to study, or family members who live there. It is important to file the application for the permit before actually immigrating to Korea. Please do not hesitate to contact us if you need assistance obtaining the papers that will allow you to live here stress-free.