Registering A Business Sole Trader The Truth About Registering A Business Sole Trader Is About To Be Revealed

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As Japan is distinct administration clashing the United States, Germany and Australia, there is no aberration in formalities and requirements for establishing and accomplishing a business anywhere in Japan. However, some bounded governments such as Fukuoka City action assorted incentives and abutment to adopted individuals or companies who are establishing a business in their regions.



Choice of MediumFor individuals who accept alleged Fukuoka (or Japan) to alpha their new business from scratch, their options will be bound to selecting a anatomy of business whereby they are developing their business. If you appetite to abstain altercation at an aboriginal stage, you can accept a sole banker or affiliation which requires few authoritative accomplish to be taken. A sole banker is a self-employed being and is generally alleged “freelance” in accustomed language. A affiliation is frequently acclimated for a able close such as an accounting close or a law firm.

Type of CompanyA aggregation anatomy may be perceived by your barter and others as a added accustomed commodity to conduct business with. You can set up a aggregation alike if you are the alone member. Beneath the Japanese Companies Code, there are four types of companies:



1. Kabushiki Kaisha (KK)2. Godo Kaisha (GK)3. Gomei Kaisha4. Goshi Kaisha

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The aftermost two types of companies are rarely acclimated in convenance and can be larboard out in best cases. KK is the best accepted blazon of aggregation and over 90% of absolute companies in Japan, from Toyota to Fukuoka SoftBank Hawks, use KK.

GK was created as a new blazon of business abettor in 2006, advised to be acclimated by baby companies whereby the aggregation can save antecedent and aliment costs. In practice, however, it has been acclimated for, amid added things, subsidiaries of US companies (e.g. Apple Japan) for it is accounted to be agnate to LLC [*1] in the US which has some advantages beneath US tax laws.

Because KK is the best accustomed by both consumers and businesses, KK has, in best cases, been recommended back ambience up a company. However, you could accept GK as it is beneath big-ticket and acceptable added accustomed [*2].

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Steps for Ambience Up a Company

The accomplish for the assimilation of a KK are as follows:

1. Drafting the accessories of incorporation.2. Notarization of the accessories of assimilation by a abettor public. The fee for notarization is ¥50,000 [*3].3. Capital accession (¥1 or more) by the promoters and added subscribers.4. Appointment of admiral of incorporation.5. Allotment of the assimilation of the KK on the bartering anthology maintained by the Ministry of Justice, at the area of its arch office. The appliance for allotment can be filed electronically. The fee for allotment is ¥150,000 [*4].

In case of GK, the notarization can be bare and the allotment fee is ¥60,000 rather than ¥150,000.

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Professional Costs

You can do it yourself. Starting a business has never been easier. In this case, no able costs are needed. There are abounding websites (e.g. https://www.freee.co.jp/launch/) which can admonition you adapt all-important abstracts to be filed with the accordant authority.

However, back those websites are about advised for Japanese users, for those who do not accept the Japanese language, it will be bigger to appoint someone. Also, back the notarization action requires the apostle or his/her agent’s concrete involvement, those who ambition to set up a aggregation from away should acquisition accession in Japan to act for them.

If you acquaint a able such as a advocate to set up a company, it will bulk a added ¥100,000 to ¥150,000.

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More Accessible Options for Established Businesses

For businesses who already accept a assertive attendance in their country/region, there are abounding options available.

In this internet age, you may advertise your product/service online from the county/region in which the aggregation exists (i.e., cross-border e-commerce). If you are accommodating to authorize a attendance in Japan, you may accomplish it either alongside or directly. If you ambition to do this indirectly, you can acquisition a Japanese business accomplice who will act as your agent, benefactor or franchisee to advertise your product/service in Japan. For a added absolute way, in accession to ambience up a aggregation as the company’s accessory (the action of which is the aforementioned as above), the aggregation may set up a annex or adumbrative appointment in Japan. A annex or adumbrative office, however, is not a acknowledged commodity and accordingly their functions are limited. Finally, you may accept to do business calm with a Japanese business accomplice in a way both of which are complex with its management, i.e. collective venture.

Local Government’s Support

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Fukuoka City offers assorted abutment alone for adopted entrepreneurs. For details, amuse accredit to my antecedent articles. Furthermore, you may appointment the Startup Cafe operated by Fukuoka City to aggregate added information.

—–Notes:[*1] Bound Liability Company[*2] In best cases you should alter some of the accoutrement in the archetypal accessories of assimilation for GK, as these accoutrement are usually drafted for organizations.[*3] Plus ¥40,000 brand assignment in case the appellant uses paper-based accessories of incorporation.[*4] Or 0.7% of the bulk of the paid-in-capital in case it is college than ¥150,000.

Disclaimer: While every accomplishment has been fabricated to ensure that the admonition on this commodity is authentic at the time of posting, it is not advised to accommodate acknowledged admonition as alone situations will differ. If you do crave admonition or ambition to acquisition out added about the admonition provided and accompanying topics, amuse acquaintance the author.

Text by Atty. Atsushi Miyake of Miyake Law, Dec. 2018.Read added installments from this alternation here.

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