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Setting up a Company in Japan
From Virtual Japan
Setting up a company in Japan requires that you fully understand the types of businesses you can set up in Japan and some of the laws associated with it.
Contents |
Basic Information
There are 3 types of business one can set up in Japan. You can set up a representative office, though these are not allowed to collect any commercial investments. You can set up a branch office, where an existing company opens a new branch in Japan. Those companies are required to pay taxes on any money they make from Japan but are allowed to receive unlimited money from the foreign corporations. The final way to set up a business is if you want to set up your own business in Japan.
Setting Up a Business
Types of Companies
There are only four types of companies once can set up in Japan. You can either set up:
- A Limited Partnership
- A Limited Liability Corporation
- A Commercial Partnership
- A General Corporation
In addition, one can be self employed as well as get into a joint venture, but those work through very different means.
Money and Costs
According to Japanese law, you only need a single yen (1¥) to start a business. But there are several laws about the amount of money you need to make for your businesses to be acceptable. You need to reach 3 million¥ for a Limited Liability Corporation and 10 million ¥ for a General Corporation Limited by Shares. You also need to pay several fees, including 50,000¥ for incorporation certification, 40,000¥ for the revenue stamp, 60,000-150,000¥ for licensing taxes, 30,000¥ for a company seal.
Other Information
Partnerships are the most at risk for debt problems, as all of your assets can get seized in the case of your business debts. However, limited liability corporations and general corporations have more fees.
There are size necessities as well. Partnerships must have 2 partners or more. Limited Liability Corporations can have no more than 50 employees and must have a director. And general corporations must have three directors and an accountant, though there are no size restrictions.