Company registration in Japan

Starting a company in Japan can feel like a significant step, especially if you are entering the market for the first time. You want a clear view of timelines, requirements, and practical decisions before you commit resources. This guide brings everything together so you can assess what opening a business in Japan involves, how company registration works, and what you need to plan for as a foreign investor.

Why register a company in Japan for foreigners

Japan continues to attract global investors. By mid‑2025, foreign direct investment stock reached around ¥2.6 trillion, helped by policy reform, tax adjustments, and smoother visa pathways. You can fully own a company in Japan even as a non‑resident, and do not need a local partner to create a company. You do need a Japan‑based representative for registration, such as a local director or corporate service provider.

You gain access to a stable market, strong purchasing power, and a predictable regulatory environment. At the same time, you should prepare for language gaps, visa requirements for day‑to‑day operations, and sector‑specific rules under the Foreign Exchange and Foreign Trade Act.

You can register a company in Japan without citizenship or residency. To manage local operations after incorporation, you will need the Business Manager visa. From October 2025, this visa follows a tighter review framework, with a ¥30 million investment threshold for higher‑risk cases. For many businesses, ¥5 million paid‑in capital or two full‑time employees still qualifies.

Choosing the right business structure

Before you start a company in Japan, you need to choose the structure that fits your goals. Representative offices, branch offices, and subsidiaries each serve different needs when entering the market.

A KK delivers stronger trust from local banks and partners. A branch office works well for a parent company that already handles compliance and strategy elsewhere. If you operate in a sensitive field, you may need a FEFTA notification up to six months before investment.

Visa and residency requirements for non‑residents

Key visa types

• Startup visa: Gives you four to six months of preparation, extendable up to two years in many regions from 2025. You need endorsement from a municipality and a credible plan showing investment potential. No office is required at the start.
• Business Manager visa: Covers post‑incorporation operations. You need paid‑in capital of at least ¥5 million or two employees and a physical office. Later in 2025, high‑risk applications may require a ¥30 million investment.
• Investor visa: Applies to passive investors who contribute capital rather than manage daily operations.

Documents

You typically need:

• Passport and photos
• Business plan outlining revenue expectations and target market
• Proof of funds
• Office lease agreement
• Notarised power of attorney if applying remotely

Process and costs

You apply either at a Japanese embassy abroad or through the Immigration Services Agency if you entered under a startup visa. Processing takes around one to three months. 

Fees range from ¥4,000 to ¥8,000, plus translation or notary expenses.

Step‑by‑step registration process

1. Preparation

• Secure a registered office. Virtual offices are acceptable for many early‑stage companies.
• Draft the Articles of Incorporation. Include the company name, purpose, capital, director details, and address.
• Appoint at least one representative director with a domestic address.
• Deposit capital into a bank account. A personal account is acceptable for formation.
  
  

2. Notarisation and capital confirmation

KK Articles require notarisation. Fees usually fall between ¥30,000 and ¥50,000. You also need a certificate of capital deposit from your bank.

3. Registration

Submit all formation documents to the Legal Affairs Bureau. Once approved, you receive the certificate of company registration.

4. Post‑registration

• Apply for a company seal
• Register for tax and social insurance
• Open a corporate bank account
  
  

A branch office avoids notarisation and may register slightly faster.

Summary of requirements, documents, and costs

General requirements

• Unique company name in Japanese or English
• Registered office address
• At least one director, with a Japan‑resident director for branch offices
• Paid‑in capital starting from ¥1, though visas require more

Key documents

Cost overview

Ongoing corporate tax is around 23.2%, and social insurance for employees starts near ¥30,000 per month, depending on the plan.

Post‑registration obligations

After you register a company in Japan, ongoing duties help keep the entity compliant and avoid penalties.

• Register with the tax office within one month of incorporation.
• Enrol employees in social insurance within five days of hiring.
• Update the commercial registry for any director change, capital change, or address change within two to three weeks.
• Submit annual filings and maintain statutory records.
• For regulated sectors, file FEFTA reports if required.

Tips and resources

Planning for company registration in Japan becomes easier when you make use of reliable local support. JETRO’s one-stop centres give you access to practical guidance, and many foreign investors use these consultations to refine their market-entry plan before taking formal steps. Working with Japanese-speaking legal or corporate service teams also helps reduce mistakes in your formation documents, especially when preparing notarised materials.

The time spent understanding the local business customs of a place will also help. Generally, the pace of relationship-building is gradual. Patience and clear documentation for meetings support smoother communication, especially if you're going to hire people, seek partnerships, or open an actual office in that place.

If your business touches telecom, defence, or advanced technology, consider reviewing your FEFTA obligations early. Certain sectors require filings many months in advance of investment, so this step pairs well with your initial planning.

You can rely on the following resources when preparing:

• JETRO Invest Japan hotline for customised counselling
• Ministry of Justice English portal for company registration procedures
• Local municipality pages for startup visa programs

Conclusion

Registering a company in Japan gives you access to a stable and sizeable market. With clear steps, credible planning, and a realistic view of timelines, you can create a company that meets your expansion goals. If you prepare each stage carefully and use the support available, you set yourselves up for a smoother experience when starting a company in Japan.