Form of base in Japan
Updated: July 2024, 11
There are three types of business forms for conducting business activities in Japan.
These three types refer to the establishment of a Japanese corporation (establishment of a local corporation), establishment of a Japanese branch, and establishment of a representative office.
It is necessary to make a comprehensive judgment based on the industry type and relationship with Japanese partners, and each has its advantages and disadvantages.
①Establishment of Japanese corporation/establishment of local corporation
The company will be separated from its headquarters in its home country and run independently, with accounting and tax filings completed in Japan.
Since the corporation is different from the head office, you will need to make decisions yourself.
It can also be said to be a business form that is used when the business is at a certain stage of progress, such as when the product is already distributed in Japan or there are partners in Japan.
②Establishment of Japan branch
This Japanese branch is a business form attached to the head office in the home country.
It is possible to combine the income with your home country's income, and in the event of a loss, you may benefit from tax savings at the head office.
This is the business form that will be selected if you are planning to expand into Japan and acquire customers.
This can be established by registering a branch at the Legal Affairs Bureau of Japan.
③Establishment of representative office
There is no need to register with the Legal Affairs Bureau in Japan, and you can start your business by simply renting a business office.
A representative office is not allowed to engage in sales or contract activities, so it can be said to be the business form chosen for advertising, publicity, and information provision.
Comparison of each business type
| Business form | ①Japanese corporation | ②Japan branch | ③Representative office |
| work activities | Possible | Possible | Improper |
| Capital | 必要 | Must not | Must not |
| Registration with the Legal Affairs Bureau | 必要 | 必要 | Must not |
| Opening a bank account | Possible | Possible | Improper |
| representative visa | business Administration | Transfer within a company | Transfer within a company |
| employment of employees | Possible | Possible | Possible |
For inquiries regarding the establishment of a Japanese branch office or permissions related to the establishment of a Japanese branch office, please contact the Support Administrative Scrivener Corporation.
At Support Administrative Scrivener Corporation, we provide legal services and consulting to companies that are entering the Japanese market and those who are setting up bases in Japan.
The work related to expanding into Japan is highly specialized, and it can be said that it is one of the fields where there are few administrative scriveners who can handle it.
Our staff can speak a variety of languages and have a proven track record of application. Please contact us by all means.
Our dedicated staff handles cases nationwide.
