KaKao

- Commits to a 5-year support plan totaling KRW 30 billion until 2028 for sustainable development and digital transformation of small businesses.

- Plans include setting up digital support centers, constructing social safety nets for disaster response, and fostering digital transformation.

- Aims to provide effective and systematic support for enhancing digital capabilities of small businesses based on local economic foundations.

 

[August 31, 2023] Kakao has announced a strategic initiative to systematically support and collaborate with small businesses for mutual growth.

 

On this day, Kakao (CEO Hong Eun-Taek) signed a memorandum of understanding (MoU) with the Small Business Federation, led by Chairman Oh Se-Hee, at the Federation's headquarters in Yeouido, Seoul.

 

The agreement, titled 'Supporting Sustainable Development and Digital Transformation of Small Businesses,' aims to enhance the competitiveness of small businesses through practical and continuous measures based on mutual trust and reciprocity. As part of this initiative, Kakao has committed to providing 30 billion won over the next five years until 2028. 

 

This contribution is part of the 300 billion won mutual growth fund announced by Kakao in April last year as part of its sustainable growth strategy with society.

 

The collaboration between Kakao and the Small Business Federation will focus on several key areas: ▲establishing and supporting a Digital Support Center for small businesses, ▲developing a social safety net for small businesses in times of disasters like floods and fires, ▲creating and supporting promotional content and events for small business policies, and ▲invigorating local economies and aiding digital transformation through platforms like KakaoTalk channels. 

 

Kakao will work to disseminate the Federation's policies, while the Federation will assist in facilitating smooth collaboration and cooperation with Kakao and the small businesses.

 

The Digital Support Center will offer an array of services aimed at bolstering the digital transition of small businesses. This includes capacity-building training and sustainable growth services in legal, labor, and tax matters. Kakao plans to impart its digital business expertise and conduct Kakao Business training to facilitate the use of various platform assets.

 

The company will also focus on eliminating risk blind spots by supporting disaster insurance to protect small businesses from hazards like floods and fires.

 

Particularly, both parties are placing a strong emphasis on providing systematic support to local small businesses, enhancing their digital capabilities for effective impact, and maintaining continuous cooperation.

 

CEO Hong Eun-Taek of Kakao stated, “We are dedicated to aiding the 7 million small business owners in enhancing their business capabilities through digital transformation, contributing to their sustainable development. Particularly in this digital era, we aim to roll out ESG activities that contribute to the business ecosystem of local small businesses.”

 

Chairman Oh Se-Hee of the Small Business Federation added, “Through the Digital Support Center, we aim to bolster the digital adaptability and competitive edge of small businesses by providing comprehensive services such as professional education, counseling, and networking spaces tailored to their realities and needs in digital transformation.”

 

Last April, Kakao announced its sustainable growth plan with society, committing to create a 300 billion won mutual growth fund over five years. This fund is earmarked for supporting ▲small businesses and local partners, ▲digital content creators, ▲performing arts creators, ▲mobility platform workers, ▲startups, ▲social innovators, and support for ▲regional communities and ▲those disadvantaged in mobility and digital access. Based on this, Kakao is actively implementing programs that provide tangible assistance in various fields. (End)