AI-powered solutions to navigate and access Korea's startup funding programs
Establishing a corporate bank account is a primary hurdle during the company incorporation process in Korea. For foreign founders, this requires navigating a rigid sequence of bureaucratic milestones and physical presence requirements. Below are important steps and rules to keep in mind when establishing a corporate bank account and conducting company banking.
A valid Alien Registration Card (ARC) is a mandatory requirement for the Representative Director or CEO (대표). Under the Act on Real Name Financial Transactions, the bank must verify your identity through the national database linked to your ARC before any account, temporary or permanent, can be opened. You cannot initiate corporate banking from abroad or with a standard passport once in the country.
In Korea, corporate banking is anchored to a specific physical location known as your Branch of Account.
If your company is structured with Joint Representative Directors (공동대표) rather than Independent Representative Directors (각자 대표), the bank views the leadership as a collective unit. This means all registered Joint CEOs must be physically present at the branch for the account opening and when conducting daily banking business.
To conduct any in-person banking related to your business, you’ll need to provide three types of documents.
Note: As a foreigners, you Personal Seal must be in English and exactly match the name on your ARC.
Every new corporate account in Korea, whether Korean- or foreigner-owned, begins as a Restricted Account (한도제한계좌). This is a fraud-prevention measure that severely caps your financial transactions to 1 million KRW per day for ATM or online transfers and 3 million KRW per day for in-person transactions. This exact amount may differ by bank.
The Solution: To lift these limits, you must prove "Business Substance." This requires submitting proof of active operations, such as:
Strategy: Do not plan for large equipment purchases or significant payroll runs in the first 30 days of opening your account, as your limits will likely be too low. If this is unavoidable, vist your home banking branch to resolve any issues in person.
Symone Gosby
Answer a few questions to discover grants you're eligible for.
On this page
