“2020 Sales Increase is 0 Won” … Fourth ‘Blind Spot’ Disaster Grant Confusion

On the morning of the 29th, the start date of the fourth disaster support payment, citizens wait at the Seoul Central Center of the Small Business Development Corporation in Jung-gu, Seoul to apply for the Support Fund Plus to Small Businesses. News 1

The application and payment of the 4th disaster support fund ‘Support Fund Plus’ to small business owners began on the 29th. The applications were made on the 29th and 30th by dividing them into odd and even numbers according to the company number. This is because a “blind spot” was created, which is the goal of the fourth disaster support fund.

According to industry coverage on the 31st, the fourth disaster grant can only be received if last year’s sales decreased compared to 2019, even in industries that had ‘operating restrictions’ due to social distancing. The intention is to focus on supporting companies that have suffered business damage due to the new coronavirus infection (Corona 19). However, as a blind spot has been created, a line of petitions for the Blue House continues.

Kim, 40, opened a restaurant in Buan, Jeollabuk-do on December 24, 2019. After opening the business, he thought about going step by step, and from January of last year, sales began to increase due to effects. promotional. However, after the Corona 19 outbreak in Korea starting in February, sales were down again. It has become difficult to cover 2 million won in monthly fixed expenses, including rent and utility bills.

However, Mr. Kim was not included in the 4th Accelerated Support Disaster Relief Fund. This is because sales were up last year compared to 2019. He said, “I pay 2 million won a month for rent and utility bills, but since August last year, I couldn’t even afford that as well. I’m still in debt, “he said. He said, “I feel like it’s been neglected by the government.”

On the 30th, a petition to reconsider the fairness of the fourth disaster support payment rule was published in the Blue House National Petitions Bulletin. [청와대 게시판 캡처]

The situation is similar for 42-year-old Kim Hye-jin, who has been running a cafe in Gimhae, Gyeongsangnam-do since May 2019. Kim said, “I opened the store with a new interior upon receiving a loan, but since it is a cafe in a remote location, has weathered 2019 by making regulars. ” As a result, daily sales were reduced to 50,000 won. ”

Kim received a loan of about 50 million won last year alone. With a fixed cost of 5 million won per month, the only way to cover it is said to be through loans. He cried and said, “Now the second financial sector is blocked from making loans, so if I receive 3 million won in disaster support, I tried to repay the interest, but even that could not be done,” he yelled.

Some point out that it is not reasonable to compare the fourth criterion of disaster support payment for sales. Kim Min-ho, 33, who runs a cafe in Seongdong-gu, Seoul, began giving birth in February last year. After Corona 19, there were a lot of delivery orders, so last year’s sales were up compared to 2019, but operating profit was down.

Mr. Kim said, “If a 10,000 won delivery order arrives, only the fee paid to the shipping company and the money paid for the shipping cost is 4000 won.” “The government will also know that the operating profit has decreased when comparing only the declared amount of VAT. When it comes to compensating for trade restrictions, you need to compare before and after trade restrictions. ”

Myeongdong Street, Jung-gu, Seoul, shows a busy appearance on the 29th, when the fourth payment of the disaster support fund began to be paid to victims of corona19, such as small business owners and special-type workers. News 1

Shin Kyung-sook (55), who runs a café in Magoknaru, Seoul, opened in late 2017 when development of the Magok district was underway. At the time of its opening, there were no customers other than workers on the construction site, and it was said to have turned into a surplus since late 2019 when companies like LG moved in. Shin is in a position to calculate losses based on trade restrictions due to social distancing, as each industry or region has its own specificity.

Shin said, “It was a newly developed place, so even though the rent is high, I have been holding onto the belief that it will be fine from 2020. “With Corona 19, the deficit is millions of won every month from a nearby business working from home. Still, compared to 2019, last year’s sales were slightly higher, so they were excluded from support.”

In response, the Ministry of SMEs and Startups said that of the 3.85 million people eligible for support from the support fund, 2.7 million people, who can only be verified by the National Tax Service, were selected as the goal for expedited payment. An official from the Ministry of Medium and Medium Enterprises said: “I will not enter the objective quickly, but I will look at the ‘dead zone’ because there is a small company that needs support,” he said.

Reporter Jeong Jin-ho [email protected]