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36-3 · Associations & cooperatives

Social Cooperative Establishment Authorization

Under Article 85 of the Framework Act on Cooperatives, a social cooperative is a non-profit corporation established when five or more persons eligible for membership act as promoters, draft the articles of association, obtain a resolution of the founding general meeting, and then receive establishment authorization. Under Article 32 of the Enforcement Decree, the authority to grant authorization is entrusted to the head of the central administrative agency responsible for the cooperative's main business, while the Korea Social Enterprise Promotion Agency reviews applications and requests supplements. There must be five or more founding consenters drawn from at least two stakeholder groups (producers, consumers, employees, volunteers, sponsors), and the main business, chosen from regional projects, social services for vulnerable groups, jobs for vulnerable groups, projects entrusted by the State or local governments, or other public-interest projects, must account for at least 40% of total business volume (Article 93). The authorizing agency must notify the applicant within 60 days of receiving the application; if it notifies neither a decision nor an extension of the processing period within that time, authorization is deemed granted on the day after the period ends. Authorization is refused if required documents are missing, if the establishment procedure, articles or business plan violate the law, or if the authorization standards are not met; after authorization, the cooperative comes into existence only once establishment registration is completed at the location of its principal office within 60 days of the authorization date.

HWANG YUNSANG ADMINISTRATIVE OFFICESONGDO · 37.3892° N / 126.6439° E
#Social Cooperative Establishment Authorization#Official check#36-3
🌐 Procedure for Authorization to Establish a Social Cooperative
01

Procedure

Procedure

Procedure type
  • Approval Difficulty High

    A procedure, such as establishing a corporation, a business plan or a transfer, that takes effect only when the authority reviews and approves it. The authority has wide discretion, so a well-prepared business plan and supporting evidence are important.

  1. 01

    Confirm main business type and competent ministry: Choose the main business type among regional, social-service-for-vulnerable-groups, employment-of-vulnerable-groups, entrusted-project and other public-interest types, and identify the central administrative agency in charge of that business as the agency to receive the application.

  2. 02

    Organize founding consenters and capital: Gather five or more promoters and make sure the founding consenters include at least two stakeholder groups such as producers, consumers, employees, volunteers and sponsors. To open a medical institution, separate standards apply, such as 500 or more founding consenters per institution (300 or more in a city of 100,000 or fewer residents or a county) and total paid-in capital of KRW 100 million or more (KRW 50 million or more in those areas).

  3. 03

    Draft articles, business plan and budget: Include the mandatory items of Article 86, the prohibition on dividends to members and the rule setting aside at least 30% of surplus as a legal reserve in the articles, and show with figures in the business plan (Form No. 19) and the revenue and expenditure budget (Form No. 20) that the main business accounts for at least 40% of total business volume.

  4. 04

    Give notice of and hold the founding general meeting: Publicly announce the date, place, membership qualifications and agenda of the founding meeting for at least 7 days, then resolve the articles, business plan and budget, election of officers and establishment expenses with a majority of founding consenters present and two-thirds of those present in favor. The chair and at least three founding consenters elected at the meeting sign or seal the minutes.

  5. 05

    File the application and respond to supplement requests: Submit the establishment authorization application (Form No. 18) with the articles, meeting notice and minutes, list of officers, list of founding consenters and proof of the main business to the competent central administrative agency. If the Korea Social Enterprise Promotion Agency requests supplements after reviewing the application, revise and resubmit the documents and the main-business ratio calculation it points out.

  6. 06

    Pay in capital and meet the registration deadline after authorization: Once the authorization certificate is issued, the promoters hand over the affairs to the chairperson without delay, and the chairperson sets a date for prospective members to pay in their capital. The chairperson, as applicant, files for establishment registration with the registry office having jurisdiction over the principal office within 60 days of the authorization date, and after registration the chairperson proceeds with business registration at the tax office.

02

Filing route

Filing route

Central administrative agency in charge of the main business (application review and supplement requests by the Korea Social Enterprise Promotion Agency)

Confirm the current filing office, jurisdiction, and online availability on the official website.

Official check
Actual processing agencyCentral authority responsible for the principal business · Competent Korean authority or official service
Statutory and policy authorityMinistry of Planning and Budget
Online routeCompetent Korean authority or official service
03

Deadlines & processing notes

Deadlines & processing notes

Check deadlines and next steps against the notice, filing date, and any request for additional documents.Official check
04

Basic documents

Basic documents

Basic documents0 / 8

(사회적협동조합, 사회적협동조합연합회)설립인가 신청서(별지 제18호서식)

HWP originalPDF

Source: Korea National Law Information Center, 「협동조합 기본법 시행규칙」 별지 제18호서식(effective 2026.06.24.) · checked 2026.10.26. · the form is in Korean; confirm it is the current version before submitting.

If the main business falls below 40% or the founding consenters come from only one stakeholder group, the application fails the authorization standards and may draw a supplement request or refusal, and the revised articles or business plan may need a new resolution of the founding meeting, so align the ratio calculation in the business plan and budget and the stakeholder categories in the list before the meeting.

Scope of services

Scope of services

Hwang Yunsang Administrative Agent Office prepares and translates documents for administrative agencies, submits them on your behalf, and guides you through permit, application, and notification procedures. Services that require the principal’s personal appearance, principal’s application, or electronic signature may be limited in delegation.