Sales at disability-owned firms reach 70.18 trillion won; operating profit hits 6.63 trillion won
Small businesses account for 92% of total; wholesale, manufacturing and food service lead by sector
Demand high for financial, tax and market-access support
The number of disability-owned businesses in South Korea has surpassed 175,000, with sales and operating profit both edging higher, according to a new government survey. However, seven in 10 such businesses identified financial support as their most pressing policy need, underscoring that access to funding remains a persistent challenge.
The Ministry of SMEs and Startups released the results of its "2024 Survey on the Status of Disability-Owned Businesses" on Monday. The survey is a government-approved statistical study conducted to assess the business activities and policy needs of disability-owned enterprises. Starting this year, the ministry shortened the survey cycle from every two years to annually to improve policy responsiveness.
The survey found that as of last year, there were 175,176 disability-owned businesses in South Korea, up 0.5 percent from the previous year. The number of workers employed at these firms rose 1.4 percent to 586,595. Sales totaled 70.18 trillion won ($45.4 billion), while operating profit reached 6.63 trillion won, representing year-on-year increases of 0.8 percent and 1.5 percent, respectively.
The number of disability-owned businesses has grown consistently over the past three years — from 164,660 in 2022 to 174,344 in 2023 and 175,176 last year. Most of these businesses, however, remain small-scale operations. Some 161,270 firms, or 92.1 percent of the total, were classified as micro or small businesses, while 13,906, or 7.9 percent, were small and medium-sized enterprises.
By sector, wholesale and retail trade accounted for the largest share at 51,532 businesses, or 29.4 percent of the total. Manufacturing followed with 27,070 firms (15.5 percent), and accommodation and food service came next with 26,234 (15.0 percent). Workers with disabilities numbered 185,821, making up 31.7 percent of all employees at these firms.
In the policy needs survey, financial support topped the list at 71.3 percent. Tax support came second at 49.8 percent, followed by market-access support at 41.8 percent, reflecting strong demand for help with both financing and market entry.
The findings suggest that while disability-owned businesses are consistently growing in scale, their underlying foundations remain fragile. With more than nine in 10 classified as micro or small businesses, they are particularly vulnerable to economic slowdowns, weak consumer spending and tightening credit conditions. The fact that more than 70 percent cited financial support as a priority points to demand that goes beyond basic startup assistance — specifically, expanded, stage-specific financial programs tailored to business stabilization and growth.
"The survey on disability-owned businesses is foundational data that gives us a comprehensive picture of these enterprises — from startup through growth to business performance," said Lee Byeong-gwon, second vice minister of SMEs and Startups. "Based on the findings, we will further strengthen financial and market-access support that meets the needs on the ground."
boo@heraldcorp.com
