Value-Added Telecommunications Business Report and Location-Based Service Business Report — The 100,000,000 won Capital Rule and Documents for App Startups

Procedure

1. 1. Check Whether Your Service Is a Value-Added Telecommunications Business

   Value-added telecommunications services are telecommunications services that use telecommunications facilities to mediate others' communications or provide facilities for others' communications, other than basic services such as telephone and internet access. Beyond services named in the Act, such as online video services and app markets, any app or web service that lets users exchange information should be reviewed. Special types, such as special online service providers under the Copyright Act or businesses connecting text message sending systems, require a separate registration rather than a report.

2. 2. Check the 100,000,000 Won Capital Exemption

   A business providing value-added telecommunications services over the internet with capital of 100,000,000 won or less is deemed to have reported. If investment or a capital increase pushes capital above 100,000,000 won, the business must report within 1 month from that date. Operating without a required report is punishable by imprisonment of up to 2 years or a fine of up to 100,000,000 won.

3. 3. Submit the Value-Added Telecommunications Business Report

   Attach a statement of personal information protection measures if the service handles personal information, and a network configuration diagram if requested for a new type of service. If the documents are incomplete, a request for supplementation within a period of up to 10 days may be issued, and a report certificate is issued once the report is complete. The business must start within 1 year from the date of the report.

4. 4. File the Location-Based Service Business Report

   To run a location-based service business targeting personal location information, submit the report form with a business plan, documents showing the main business facilities and their installation site, and documents proving location information protection measures to the Korea Media and Communications Commission. Small business owners and one-person creative enterprises may start without reporting, but to continue beyond 1 month they must report their trade name, main office address and type and content of business within 1 month of starting. Before providing the service, the required items must be stated in the terms of use and consent obtained from the data subject.

5. 5. Changes, Transfers and Closure After Reporting

   For value-added telecommunications, a change report is needed when the trade name or address, representative or type of service changes, and a transfer or merger must be reported within 30 days of the contract. For location-based services, a change report is needed before changing the trade name, main office address or location information system, and simplified reporters must report within 1 month of the change. For both businesses, suspension or closure must be notified to users and reported at least 30 days before the planned date.

Required documents

• Value-added telecommunications business report form
• Statement of personal information protection measures (if personal information is handled)
• Network configuration diagram (if requested for a new type of service)
• Location-based service business report form and a business plan describing the business and its operations
• Documents showing the main business facilities (location information system) and their installation site
• Documents proving location information protection measures
• Proof of small business owner or one-person creative enterprise status (for simplified reporting)
• Letter of authorization (when filed by an agent)

Fees

Generally in the range of several hundred thousand to several million won · Fees are quoted after consultation depending on whether both reports are filed together, the scope of location information protection documents, and whether simplified small business reporting applies. Government fees are separate.

See fees and official charges for this service →

Legal basis and review date

• Telecommunications Business Act Article 2
• Telecommunications Business Act Article 22
• Telecommunications Business Act Article 23
• Telecommunications Business Act Article 24
• Telecommunications Business Act Article 26
• Telecommunications Business Act Article 27
• Telecommunications Business Act Article 96
• Enforcement Decree of the Telecommunications Business Act Article 29
• Enforcement Decree of the Telecommunications Business Act Article 30
• Enforcement Decree of the Telecommunications Business Act Article 31
• Enforcement Decree of the Telecommunications Business Act Article 32
• Enforcement Decree of the Telecommunications Business Act Article 65
• Act on the Protection, Use, etc. of Location Information Article 2
• Act on the Protection, Use, etc. of Location Information Article 9
• Act on the Protection, Use, etc. of Location Information Article 9-2
• Act on the Protection, Use, etc. of Location Information Article 11
• Act on the Protection, Use, etc. of Location Information Article 19
• Act on the Protection, Use, etc. of Location Information Article 40
• Act on the Protection, Use, etc. of Location Information Article 41
• Act on the Protection, Use, etc. of Location Information Article 43
• Enforcement Decree of the Act on the Protection, Use, etc. of Location Information Article 9
• Enforcement Decree of the Act on the Protection, Use, etc. of Location Information Article 10

Checked against the statutes on 2026-10-07

Statutes and public notices change, so each case needs to be checked individually. Statute titles are given in English for reference. The Korean statutes are the authoritative text.

Check these first

• If a location-based service business changes its location information system without a change report, it faces imprisonment of up to 1 year or a fine of up to 20,000,000 won, and failing to report a change of trade name or main office address carries an administrative fine of up to 5,000,000 won.
• If a reported value-added telecommunications business does not start within 1 year without good reason or suspends operations for 1 year or more, it may be ordered to close or to suspend business for up to 1 year.

Frequently asked questions