The Ministry of SMEs and Startups (Minister Oh Young-joo, hereinafter referred to as the Ministry of SMEs and Startups) announced on the 26th that it will implement the 2025 M&A Activation Support Project notice to support the activation of M&A of SMEs and venture companies.
This M&A activation support project, which has been implemented as a follow-up measure to the 'SME Leap Forward Strategy' announced by the Ministry of SMEs and Startups last year, will be reorganized to strengthen the division of intermediary roles and support linkage as the 'Technology Guarantee Fund Public-Private Cooperation M&A Platform' opens an online system and an offline M&A support center and begins full operation on March 26.
The M&A Activation Support Project is a project that the Ministry of SMEs and Startups has been operating since 2010 to activate M&A of small and medium-sized and venture companies. This project consists of the operation of the 'M&A Transaction Information Network' that connects companies that are looking to sell and companies that are looking to buy, and the support of M&A corporate value assessment costs that support due diligence costs for companies that are looking to sell and are currently pursuing M&A. The main contents of this year's support project are as follows.
First, the ‘M&A Transaction Information Network’ will be reorganized into the ‘M&A Information Network.’
The Ministry of SMEs and Startups has been operating the 'M&A Transaction Information Network' to connect companies that wish to sell and companies that wish to buy in order to enhance the competitiveness of small and medium-sized and venture companies and to promote a virtuous cycle in the venture capital market. As the 'Technology Guarantee Fund Public-Private Cooperation M&A Platform' is fully operational from March 26, the 'M&A Transaction Information Network' will end its transaction brokerage function and focus on the information provision function to efficiently operate M&A brokerage work.
Accordingly, the 'M&A Transaction Information Network' will change its name to the 'M&A Information Network' and focus on expanding accessibility to M&A by providing educational content on M&A-related laws and contracts, tax/accounting, due diligence, and corporate value assessment, as well as information on the status of domestic and international M&A, and plans to complete the reorganization by the end of June.
Second, we support the cost of evaluating corporate value through M&A for companies seeking to sell.
A company that is looking to sell and pursue M&A must receive an evaluation of its corporate value from an accounting firm or other advisory firm during the transaction process. However, there have been many opinions in the field that the cost of due diligence is a burden for relatively small and medium-sized venture companies. Accordingly, the Ministry of SMEs and Startups will support a portion of the fees required for corporate value evaluation in order to ease the burden of M&A costs for small and medium-sized venture companies.
The support requirements are small and medium-sized enterprises and venture companies with sales of KRW 40 billion or less that have signed an M&A consulting contract with an advisory agency registered in the 'M&A Information Network' or an M&A partner registered in the 'Technology Guarantee Fund Public-Private Cooperation M&A Platform'. Small and medium-sized enterprises can receive support of up to 40% of the evaluation fee within the range of KRW 15 million, and venture companies can receive support of up to 60% of the fee within the range of KRW 20 million.
Small and medium-sized enterprises and venture companies seeking cost support can apply on the 'M&A Information Network' website starting from the 26th. The business value assessment cost support project may close early if the budget is exhausted.
Kim Bong-deok, director of venture policy, said, “M&A of small and medium-sized enterprises and venture companies is a very important part of enhancing the competitiveness of small and medium-sized enterprises and creating a virtuous cycle through the recovery of venture capital,” and added, “In order to activate M&A of small and medium-sized enterprises and venture companies, we plan to establish the Kibo public-private cooperation M&A platform in the field and continue to advance the M&A activation support project.”
Detailed information about the announcement can be found on the Small and Medium Business 24 M&A Information Network website , and information about the newly launched Technology Guarantee Fund public-private cooperation M&A platform can be found on the M&A transaction information network within Kibo Tech Bridge .
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