Step-by-Step Guide to Korea Business Incorporation for Foreign Investors
South Korea has a robust legal framework for intellectual property (IP) protection, offering businesses confidence in safeguarding their innovations. The nation’s strict IP laws, backed by one of the world’s most efficient patent offices, encourage businesses to invest in R&D and bring new products to market without the fear of infringement. Additionally, South Korea’s participation in international IP treaties, including the Patent Cooperation Treaty (PCT) and the Madrid Protocol, ensures global protection of IP rights.
How to Register a Limited Liability Company (LLC) in Korea
If you're a foreign investor looking to establish a Limited Liability Company (LLC) in South Korea, follow these key steps:
1. Notify a Foreign Exchange Bank (FEB)
Submit an investment notification and identity verification documents to a designated Foreign Exchange Bank branch. This step is essential to comply with Korea’s foreign investment regulations.
2. Transfer Investment Capital
Remit your investment funds from overseas or deposit them into a temporary bank account in Korea. A bank certificate confirming the deposit is required for the next steps.
3. Register the Company
Submit incorporation documents to the Korean court, including details on directors, auditors, and shareholders. This step formalizes your business as a legal entity.
4. Complete Tax Registration
Register with the relevant tax authorities to ensure compliance with South Korean tax laws and receive a business registration number.
5. Open a Corporate Bank Account
Once tax registration is complete, transfer your initial capital from the temporary account into your company’s corporate bank account.
6. Register as a Foreign Direct Investment (FDI) Company
File for Foreign Direct Investment (FDI) registration within 30 days of completing the capital deposit. This step is crucial for obtaining FDI benefits and legal recognition.
Why Invest in South Korea?
South Korea offers an unparalleled business environment with:
✅ Advanced Infrastructure – High-speed internet, cutting-edge logistics, and robust financial systems.
✅ Skilled Workforce – A highly educated and tech-savvy talent pool ready for global business operations.
✅ Strategic Location – A gateway to Asian markets, with strong trade agreements and global business networks.
✅ Government Incentives – Tax benefits, grants, and subsidies for foreign investors in key industries.
While setting up a business in Korea involves navigating legal and regulatory procedures, expert assistance can streamline the process and ensure full compliance.
At Pearson & Partners Korea, we specialize in helping foreign investors establish businesses in South Korea. From company registration to legal compliance, our team ensures a seamless and hassle-free experience.
📩 Need expert guidance? Contact us today to get started!
