How can foreigners set up a company in Japan?
With simplified laws and accelerated internationalization, it is now much easier for foreigners to set up companies in Japan than ever before.
Our firm specializes in assisting foreign clients with the establishment of Japanese corporations and the application of relevant registration and tax procedures, ensuring that the process is legal, secure, and completed smoothly.
Three main situations in which foreigners establish Japanese companies
1.
Foreigners living in Japan
Establishment of Japanese corporation
2.
Foreigners living overseas
Coming to Japan to establish a Japanese corporation
3.
Foreign corporations in Japan
Establish subsidiaries, branches or dispatch offices
The third category (branch stores/resident offices) requires special attention:
With simplified laws and accelerated internationalization, it is now much easier for foreigners to set up companies in Japan than ever before.
Our firm specializes in assisting foreign clients with the establishment of Japanese corporations and the application of relevant registration and tax procedures, ensuring that the process is legal, secure, and completed smoothly.
Types of companies that can be established
The two most common types in Japan are:
1. Kabushiki Kaisha Co., Ltd. (Kabushiki Kaisha, KK)
2. Contract company (Godo Kaisha, GK)
| project | Co., Ltd. (KK) | Contract Company (GK) |
|---|---|---|
| responsibility | limited liability | limited liability |
| Owners and operators | Can be different people | Must be the same person |
| Common uses | Larger enterprises | small scale entrepreneurship |
Company Establishment Process (General Procedures)
Decide on the company's basic matters (name, address, business scope, shareholders, representative, and registered capital).
Prepare documents such as seal verification and signature verification.
The articles of association were notarized at the notary office and the capital was transferred in.
Registration with the Legal Affairs Bureau (starting from approximately 240,000 yen)
After registration is completed, you can apply for tax and social security declarations, foreign investment declarations, and other permits.
The general application process will begin on the application date.two monthsto complete procedure
Japan "Business Management Visa"
Key points of the new regulations in October 2025
To obtain or renew the "Business Manager" residence status, the following criteria must be met.
(Effected from October 16, 2025):
● Employment obligations for full-time employees
The company must employ at least one Japanese national or person with long-term residency in Japan.
● Capital threshold
The minimum capital requirement has been raised to 30 million yen and must be clearly stated in the certificate of registration.
● Japanese language proficiency required
Applicants or full-time employees must possess a Japanese language proficiency level of N2 or higher, which can be proven through any of the following methods:
○ JLPT N2 level or above
○ BJT score of 400 or above
○ Residing in Japan for more than 20 years
○ Graduated from a Japanese university or high school
● Educational or experience requirements
Applicants must possess a master's degree or higher in a business-related field or have at least three years of management experience.
● Business plans need to be evaluated by experts.
The assessors include SME diagnosticians, certified public accountants, tax accountants, etc.
● Other restrictions and precautions
1. It is prohibited to use a residence as a place of business.
2. If a person is absent from the country for an extended period, the Japanese government will consider it as a lack of actual activity.
3. Proof of legally paid social security and taxes must be provided.
4. Failure to meet the standards will affect your application for permanent residency or a tertiary vocational visa.
WE CAN DO FOR YOU
What we can do for you…
1.
Provide suggestions on how to qualify for the new business management visa regulations.
2.
Assist in writing a business plan that meets review standards.
3.
Reviewed by tax accountants, certified public accountants and other experts.
4.
Track your application progress and receive guidance on requesting additional documents throughout the process.
We focus on assisting people in starting and developing businesses safely and legally in Japan.
Add us as an official Line friend and we will provide the most suitable solution based on your situation.
