Establishment of a Company
We help you establish a company best suited for you.
A company should not just be formed blindly.
It is important to establish a company that suits your business most with careful consideration for types (Kabushiki Kaisha or Godo Kaisha), capital structure, etc.
Contents of Services
- Establishment of a Kabushiki Kaisha
- Establishment of a Godo Kaisha
- Establishment of a Japanese branch
- Establishment of a general incorporated association
- Advices on expanding business in Japan
*We work closely with judicial scrivener’s office specializing in incorporation and establish a company or branch on your behalf.
Establishment of a Company
Merits of Establishing a Company
Compared to sole proprietorship and freelance, company has the following merits.
- Earn credibility from customers
- More ways to raise funds (bank loans or increasing capital)
- Advantages in hiring employees
- Limited liability
- Possible tax saving
- Can apply for Business Manager visa
Yet, the biggest merit of company formation is to earn credibility with the society at large. Compared to sole proprietorship, Kabushiki Kaisha can have better social images of well-organized and sustainable business.
Japanese major corporations often do not conduct business with sole proprietors. Moreover, in hiring, company can attract more employees because people tend to prefer working for company which has more prestige than sole proprietorship.
Procedure of Establishing a Company
We explain how to establish Kabushiki Kaisha and Godo Kaisha that are the largest in number of formation.
- Have an interview to decide matters regarding the establishmentclientsadywell
Choose the type of company (Kabushiki Kaisha or Godo Kaisha)
Decide company profile (trade name, head office location, business purpose, amount of capital, number of shares, fiscal year, director, investor, etc.)
We make suggestions most suitable for your situations.
- Pay fees and actual expense of establishing a companyclient
- Make the registered seal of companyclient *We can make it on your behalf.
- Prepare for the certificate of seal registrationclient
- Draw up the articles of incorporationsadywell
- Certify the articles of incorporation at notary public officesadywell *Not necessary for Godo Kaisha
- Deposit the capitalclient
- Affix a seal to the articles of incorporation and necessary documentsclient
- Apply the registration of establishment to the Legal Affairs Bureausadywell
The day of submission becomes the date of company formation.
- Complete registration
After submission, it takes approximately a week to complete the registration and issue the certificate of full registry records (copy).
What we ask you to do are,
- Pay fees and actual expense of establishing a company
- Make the registered seal of company *You can ask us to do it, and in that case, we ask for the actual expense.
- Deposit the capital
- Affix a seal on the application of registration
*A company can be established in about a week if all the necessary documents are in order. However, the whole process usually takes a few weeks since clients also need to give consideration to the trade name, head office location, etc.
*After the establishment, you need to submit forms of taxation and social insurances.
If you have a foreign citizenship and your resident status is not of having a Japanese spouse, long-term resident, permanent resident, or having a spouse or of permanent resident, you need to apply for Business Manager visa.
The Differences Between Kabushiki Kaisha and Godo Kaisha
Their differences are the following.
|Kabushiki Kaisha||Godo Kaisha|
|Trade name||○○○Kabushiki Kaisha
|Social recognition||High||Lower than
|Actual cost for establishment
*Registration & license tax, certification fee, etc.
|About ¥200,000||About ¥60,000|
|Profit sharing||Distribute by investment ratio||Can distribute with no regard to investment|
|Shareholders meeting (General meeting of members)||Annual||Voluntary|
|Public offering||Possible||Not possible|
|Obligation to announce financial results||Yes||No|
|Term of directors||Maximum 10 years||Not limited|
|Minimum number of directors||1|
|Minimum capital amount||¥1|
|Legal liability||Limited to the amount invested|
|Length of time till establishment||2-3 weeks|
|Need for Japanese directors||No (all directors can be foreign nationals or non-residents)|
|Merit or demerit of taxation||None *No difference between Kabushiki Kaisha and Goddo Kaisha in taxation|
*We can also help you establish a general incorporated association or Japanese branch of foreign corporation. Please feel free to ask if you are interested.
The table below shows the charges when we set up a company on your behalf. We do not just establish a company, but also offer consultation for you to decide what best suits for your business.
|Contents||Kabushiki Kaisha||Godo Kaisha|
|Registration and license tax||¥150,000||¥60,000|
|Certificate of full registry records||¥600||¥600|
|Letter pack, stamps||¥4,000||¥4,000|
*The different charges will be applied to clients living outside of Japan.
*Please consult us regarding the establishment of a general incorporated association or Japanese branch of foreign corporation.