Drone Business — 3 Registration Steps Before Business Registration

Hello, this is Administrative Agent Jean.

Over the weekend, on my way to Itaewon, I came across an unmanned tobacco store.
Near university areas, I also noticed more unmanned claw machine shops.

New forms of business are growing quickly: unmanned stores, drones, game development, AI services, pet businesses, and shared kitchens. At first glance, these businesses may look simple. But once you actually try to start them, many require permits, notifications, or registrations separate from ordinary business registration.

Licensing and permits are often called the heart of administrative agent work.
In this series, we will look at the licensing procedures that are easy to miss when starting a new type of business, and where an administrative agent can help.

1. Unmanned stores — 3 licensing issues people often miss
2. Drone business — 3 registration steps before business registration ← This article
3. Game development — required registration before uploading to app stores
4. AI services — one business code can determine eligibility for government support
5. Pet businesses — why pet food may require food manufacturing registration
6. Shared kitchens — licensing changes once the structure becomes outsourced

Read Part 1: https://blog.naver.com/attorney_jean/224335126223

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A obtained a drone pilot certificate. A also had enough skill in aerial filming.

One day, a real estate company contacted A.

“Can you take aerial footage of a building?”

A went to the tax office and registered the business under business code 921505, photography services. The drone had already been reported, and A had a pilot certificate, so A accepted the first filming request.

But one month later, an acquaintance said:

“Did you know that if you get paid to film with a drone, you may need a separate registration with the Ministry of Land, Infrastructure and Transport?”

A had never heard of this.

A had a business registration certificate, a drone pilot certificate, and had reported the aircraft. What else could be required?

This is where the problem begins.

If you provide paid services using a drone, ordinary business registration at the tax office may not be enough. Depending on the structure, you may need to register as an ultra-light vehicle use business under the Aviation Business Act.

What happens if you operate paid drone services without this registration?

Under Article 78 of the Aviation Business Act, this may result in imprisonment for up to one year or a criminal fine of up to KRW 10 million. This is not an administrative fine. It is a criminal penalty.

Korea’s drone market is growing quickly. The market grew from about KRW 70 billion in 2016 to KRW 490 billion in 2020, and the government has announced a plan to grow it to KRW 2.3 trillion by 2030.
(Second Basic Plan for Drone Industry Development, 2023–2032)

In 2024, drone delivery was conducted 2,993 times across 50 areas in 14 local governments.
(Ministry of Land, Infrastructure and Transport, July 1, 2025)

In May 2025, the Drone Industry Alliance also launched with participation from 263 companies, 22 public institutions, and 347 organizations in total.
(Ministry of Land, Infrastructure and Transport, May 13, 2025)

The market is expanding, but many people still start without understanding the registration structure.

Today, let’s summarize the three steps that A missed.

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1. Aircraft Reporting — If You Buy a Drone, Do You Need to Report It First?

Yes. For business-use drones, all aircraft must be reported regardless of weight.

For hobby or non-commercial drones, the reporting obligation begins when the maximum takeoff weight exceeds 2kg.
But business-use drones are different.

Even a small 250g drone must be reported if it will be used for paid services.

| Use | Reporting Standard | Agency | |---|---|---| | Hobby or non-commercial | More than 2kg maximum takeoff weight | Korea Transportation Safety Authority | | Business or commercial | All aircraft regardless of weight | Korea Transportation Safety Authority |

Reporting is handled through the Drone One-Stop Civil Service portal.

In general, the following documents are required:

• Report form
• Proof of ownership
  Example: sales contract, receipt, etc.
• Specifications and performance sheet
• Side-view photo
• Proof of insurance

Once reporting is completed, you receive an aircraft report certificate and a report number.

There are two points that many people miss.

1. The report number must be displayed on the aircraft

Receiving the number is not the end. The report number must be displayed on the drone in a clearly visible manner.

If you fly without displaying the number, a separate administrative fine may apply.

| Violation | Legal Basis | Penalty | |---|---|---| | Flying an unreported aircraft | Aviation Safety Act Articles 122 and 161 | Up to 6 months imprisonment or fine up to KRW 5 million | | Flying without displaying the report number | Aviation Safety Act Article 166(5)4 | Administrative fine of KRW 1 million | | Failure to file cancellation report | Aviation Safety Act Article 166(7)1 | Administrative fine of KRW 300,000 |

In particular, flying an unreported aircraft is not merely an administrative fine issue. It can be a criminal matter.

2. If you have multiple drones, each one must be reported separately

Buying one additional drone means filing one additional report.

Also, if reported aircraft information changes, such as use or owner, a change report must be filed within 30 days.
(Aviation Safety Act Article 123)

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2. Pilot Qualification — What Happens If You Fly a Business Drone Without Qualification?

After aircraft reporting, the next issue is pilot qualification.

The required qualification depends on the drone’s maximum takeoff weight.

| Maximum Takeoff Weight | Required Qualification | |---|---| | 250g or less | No separate qualification, but safety rules must be followed | | More than 250g to 2kg | Completion of online training | | More than 2kg to 7kg | Ultra-light vehicle pilot certificate, Class 4 | | More than 7kg to 25kg | Ultra-light vehicle pilot certificate, Class 3 | | More than 25kg to 150kg | Ultra-light vehicle pilot certificate, Class 2 or Class 1 |

Flying without the required qualification may result in an administrative fine of KRW 3 million.
(Aviation Safety Act Articles 125 and 166)

For example, suppose you start a drone filming business. You have a Class 3 certificate. The business grows, and you hire an employee. You then ask that employee to operate the drone.

In that case, the employee must also have the required qualification for the relevant aircraft weight. The business owner’s certificate does not automatically cover flights operated by employees.

When applying for business registration, you must also submit a list of pilots and copies of their certificates. If an unqualified pilot is used in the business, the registration requirements themselves may become an issue.

Aerial Filming Must Be Reviewed Separately From Flight Approval

If the purpose of the flight is aerial filming, you may need aerial filming permission in addition to pilot qualification.

You must apply through Drone One-Stop so that restricted filming facilities can be reviewed.

The important point is that flight approval and aerial filming permission are separate procedures.

You should not assume that filming is allowed simply because flight approval was granted.

| Category | Meaning | |---|---| | Flight approval | Approval related to use of airspace, such as control zones or restricted areas | | Aerial filming permission | Security review related to filming restricted facilities | | Pilot qualification | Pilot qualification requirements based on aircraft weight |

Flying without required flight approval may result in an administrative fine of KRW 1.5 million.

If unauthorized flight in a control zone interferes with aircraft operation, a criminal fine of up to KRW 5 million may apply.
(Aviation Safety Act Article 161)

Violating pilot compliance rules, such as night-flight restrictions, visual-line-of-sight restrictions, or flying under the influence, may also result in administrative fines.
(Aviation Safety Act Articles 129 and 166)

If you are unsure where to begin with drone business licensing, it is better to check the requirements first.

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3. Ultra-Light Vehicle Use Business Registration — This Is the Core Step

This is the key step A missed.

If you provide paid services using drones, you may need to register as an ultra-light vehicle use business under Article 48 of the Aviation Business Act.

This is different from business registration at the tax office.
It is a separate business registration.

Article 2, subparagraph 23 of the Aviation Business Act defines an ultra-light vehicle use business as follows:

An “ultra-light vehicle use business” means a business that uses ultra-light vehicles prescribed by Ordinance of the Ministry of Land, Infrastructure and Transport to perform paid services such as pesticide spraying, photography, and other prescribed work in response to another person’s demand.

In practical terms, there are three key elements:

1. In response to another person’s request
2. For payment
3. Performing work using a drone

If these three elements are present, ultra-light vehicle use business registration may be required.

For example, the following businesses should be reviewed carefully:

• Drone aerial filming
• Drone surveying
• Drone pest control
• Drone delivery
• Drone facility inspection
• Drone video production services
• Drone training or experience programs

On the other hand, if a business uses drones only as an auxiliary tool for its own internal purposes, and not in response to another person’s paid request, it may fall under non-commercial or self-use activity.

The Ministry of Land, Infrastructure and Transport’s drone FAQ also distinguishes between cases where a drone is used only to improve the quality of a result during the course of another business, and cases where the drone is essential to the nature of the business itself.

This boundary often becomes an issue in practice.

For example, a real estate agent using a drone partly to introduce their own listed property may be different from a business that receives requests from others and delivers drone footage as a paid service.

So the standard is not simply “whether a drone is used.”

The key question is whether drone use is the essence of the business and whether the service is provided for payment in response to another person’s request.

Operating paid drone services without registration may result in imprisonment for up to one year or a fine of up to KRW 10 million under Article 78 of the Aviation Business Act.

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Documents Required for Registration

Based on Drone One-Stop, the following documents are generally required for ultra-light vehicle use business registration.

| No. | Document | Note | |---:|---|---| | 1 | Business plan | Aviation Business Act Article 48(1) | | 2 | Office lease agreement | Proof of right to use premises if using another person’s property | | 3 | Proof of capital | Required when using aircraft over 25kg | | 4 | Pilot list and certificate copies | Required when operating aircraft over 250g | | 5 | Copy of aircraft report certificate | At least one aircraft | | 6 | Proof of liability insurance | Personal injury coverage of at least KRW 150 million and property damage coverage of at least KRW 20 million |

The two areas where applicants most often get stuck are insurance and capital.

Insurance

Business-use drones must be covered by liability insurance.
(Aviation Business Act Article 70)

Flying without insurance may result in an administrative fine of KRW 5 million.
(Aviation Business Act Article 84)

Also, simply having insurance is not enough. If the coverage limit does not meet the legal standard, the registration may be rejected.

You should check the insurance policy carefully for the following:

• Personal injury coverage limit
• Property damage coverage limit
• Whether business-use flight is covered
• Whether the actual scope of work, such as filming, pest control, or surveying, is covered

Capital

Capital requirements depend on aircraft weight.

If you use only drones with a maximum takeoff weight of 25kg or less, the capital requirement is exempted. Most small-drone filming or surveying businesses fall under this category.

However, if you use even one aircraft over 25kg, capital requirements must be checked.

| Business Type | Capital Requirement | |---|---| | Corporation | Paid-in capital of at least KRW 30 million | | Sole proprietor | Asset valuation of at least KRW 30 million |

For sole proprietors, the preparation may be more complex because separate asset valuation may be required. For corporations, capital can often be verified more clearly through corporate registry documents, but individuals may need additional supporting documents such as bank balance certificates.

When I explain this in foreign entrepreneur lectures, this is the part that surprises people most.

There may be an aviation business registration separate from tax office business registration.

Foreign entrepreneurs must also review their visa status. Being able to register a business and being allowed to conduct that business activity under a particular status of stay can be separate issues.

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The Correct Order

When preparing a drone business, the order matters.

A recommended flow is as follows:

1. Purchase the drone
2. Report the aircraft
   Korea Transportation Safety Authority, Drone One-Stop
3. Check pilot qualification
4. Purchase liability insurance
5. Register as an ultra-light vehicle use business
   Korea Transportation Safety Authority, Drone One-Stop
6. Complete tax office business registration
7. Before actual flight, check whether flight approval or aerial filming permission is required

Without aircraft reporting, the business registration application itself may be difficult.
Without insurance, the registration may be rejected.
Even if business registration at the tax office has already been completed, that alone does not make paid drone services legal.

The responsible agencies are also divided.

| Procedure | Agency | |---|---| | Aircraft reporting | Korea Transportation Safety Authority, Drone One-Stop | | Pilot qualification examination and issuance | Korea Transportation Safety Authority | | Ultra-light vehicle use business registration | Korea Transportation Safety Authority, Drone One-Stop | | Aerial filming permission | Ministry of National Defense, through Drone One-Stop | | Flight approval | Regional aviation office or Ministry of National Defense | | Business registration | Tax office |

This is not a process that ends through one window in one step.
If one step is delayed, the following steps can also be delayed.

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Penalties at a Glance

Here are the main penalties discussed above.

| Violation | Legal Basis | Penalty | Type | |---|---|---|---| | Operating an unregistered business | Aviation Business Act Articles 48 and 78 | Up to 1 year imprisonment or fine up to KRW 10 million | Criminal | | Flying an unreported aircraft | Aviation Safety Act Articles 122 and 161 | Up to 6 months imprisonment or fine up to KRW 5 million | Criminal | | Failure to display report number | Aviation Safety Act Article 166(5) | Administrative fine of KRW 1 million | Administrative | | Flying without insurance | Aviation Business Act Articles 70 and 84 | Administrative fine of KRW 5 million | Administrative | | Flying without pilot certificate | Aviation Safety Act Articles 125 and 166 | Administrative fine of KRW 3 million | Administrative | | Flying without flight approval | Aviation Safety Act Articles 127 and 166 | Administrative fine of KRW 1.5 million | Administrative | | Unauthorized flight in a control zone interfering with aircraft operation | Aviation Safety Act Article 161(4) | Fine up to KRW 5 million | Criminal | | Violation of pilot compliance rules | Aviation Safety Act Articles 129 and 166 | Administrative fine up to KRW 2 million | Administrative |

The most serious point is operating an unregistered business.
This is exactly what A missed.

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Where Do People Get Stuck When Preparing Alone?

Let’s return to A’s case.

A started paid filming after completing only tax office business registration. To correct the procedure later, A would need to go through the following steps again.

1. Stop paid filming
2. Recheck aircraft reporting
   If the drone was reported for hobby use, change reporting to business use
3. Purchase liability insurance
   Confirm coverage of at least KRW 150 million for personal injury and KRW 20 million for property damage
4. Prepare a business plan
5. Prepare proof of office use
6. Apply for ultra-light vehicle use business registration through Drone One-Stop
7. After registration, correct the tax office business code
8. If the business involves aerial filming, apply separately for aerial filming permission from the Ministry of National Defense
9. Before actual flight, check whether flight approval is required

Of course, business owners can handle these procedures themselves.

However, the following points are often difficult to judge alone:

• Whether registration is required when a drone is used only as an auxiliary tool in one’s own business
• The boundary between commercial and non-commercial use
• Additional requirements by business type, such as filming, surveying, pest control, or delivery
• Whether airspace approval is required depending on the flight area
• Whether aerial filming permission is required
• Whether a corporation or sole proprietorship is more suitable
• For foreign entrepreneurs, whether the planned business activity is allowed under the current visa status

If the order is wrong, you may have to stop paid operations like A.
If the order is right from the beginning, you can start without unnecessary business interruption.

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What Changes When You Work With an Administrative Agent?

Drone business licensing is not simply a matter of submitting a few documents.

The key is to align three things:

1. Whether the actual business is subject to registration
2. Whether the aircraft, pilot, insurance, and office requirements meet registration standards
3. Whether separate approval or permission is required at the filming or flight stage

An administrative agent can review this flow before the business begins.

In particular, prior review is recommended in the following cases:

• You plan to start paid drone filming
• You plan to expand into surveying, pest control, facility inspection, or delivery
• You plan to use employees or outsourced pilots
• You plan to operate multiple drones
• You are considering using aircraft over 25kg
• A foreign entrepreneur plans to operate a drone business in Korea
• You have already completed business registration but have not checked aviation business registration requirements

A drone business does not end with buying a drone, getting a certificate, and registering a business at the tax office.

If you provide drone services for payment in response to another person’s request, you should first check whether the business structure itself is subject to registration under the Aviation Business Act.

Check first, for free, whether your planned drone business is subject to registration.

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Before Starting a Drone Business, Check the Order First

The most important thing in drone business licensing is the order.

Aircraft reporting, pilot qualification, insurance, business registration, flight approval, and aerial filming permission all move separately. If even one step is missing, problems may arise at the actual operation stage.

Business registration may be the starting point, but in drone business, it is not the end.

If you are preparing paid drone filming, surveying, pest control, delivery, or inspection services, check the following questions first:

• Is my business subject to ultra-light vehicle use business registration?
• Has the aircraft been reported for business use?
• Does the pilot have the required qualification for the aircraft weight?
• Does the liability insurance meet the legal coverage standards?
• Does the filming area require flight approval or aerial filming permission?
• Does the business registration code match the actual business activity?
• If the founder is a foreign national, does the current visa status allow this business activity?

Answering these questions before starting is much safer than stopping operations later and going back through the procedures.

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In the next article, as vibe coding grows more popular and more people are developing games individually, we will cover Part 3: Game Development — Required Registration Before Uploading to App Stores.