Type of Business and Status of Residence

The 20th edition as of May 2024

Introduction

In this pamphlet, we have outlined only general terms, but do not
specify great detail. Since starting up an enterprise, accounting and tax
treatment depend upon varying circumstances, please forward any
specific questions to Osaka Business and Investment Center (O-BIC).
We will refer you to an appropriate professional firm.
O-BIC and its editing advisors will be indemnified from any claims,
liabilities, costs and expenses arising for any reason through use of thisdocument without professional advice.
The latest update of this document is May 2024.
Issued by:
Osaka Business and Investment Center (O-BIC)
Editing advisors:
Legal Management LLP

1

Table of Contents

I. ENTERING THE JAPANESE MARKET (Type of Business andStatus of Residence) ........................................................................................ 3
1.

Representative Office ........................................................................................................... 3

2.

Branch ..................................................................................................................................... 4

3.

Japanese Corporate Entity (Kabushiki Kaisha (KK) or Godo Kaisha (LLC)) ............... 5

4.

Limited Liability Partnership: LLP (Yugen Sekinin Jigyo Kumiai) ............................. 10

5.

Comparison of a stock company (Kabushiki Kaisha), limited liability company(LLC) and limited liability partnership (LLP)* ............................................................... 11

6.

Sample calculations of the costs of establishing a business in Japan .......................... 12

7.

Status of Residence ............................................................................................................. 14

II. BUSINESS START UP ............................................................................ 31
1.

Opening a bank account .................................................................................................... 31

2.

How to find an office location ........................................................................................... 33

3.

Recruiting ............................................................................................................................. 33

2

ENTERING THE JAPANESE MARKET(Type of Business and Status of Residence)
Ordinarily, a foreign enterprise enters the Japanese market using one of the following 4 corporate
structures:
1. Representative office
2. Branch (in Japanese legally known as “Gaikokugaisha no nihon ni okeru eigyousho (a businessoffice of foreign company in Japan)”; hereinafter called “Branch”). Under the JapaneseCompanies Act there are 2 types of branches; those which have a business office in Japan andthose which do not. Branch in this pamphlet shall mean a branch which has a business officein Japan.)
3. Japanese Corporate Entity (Kabushiki Kaisha (KK) or Godo Kaisha (LLC))
4. Limited Liability Partnership; LLP
Prior notification to Minister of Finance and Competent Minister through the bank of Japan isrequired for certain inward direct investment, etc. for security purpose, etc. based on the Foreign
Exchange and Foreign Trade Law (hereinafter “Foreign Exchange Law”), and there is a case wherechange of the content of the investment or cancellation is recommended as a result of theexamination.
The following cases are subject to prior notification:(1) If the nationality or located country (including region) of foreign investor is country/region
other than Japan or listed country in Appended Table 1 of “Order on Inward Direct
Investment” (174 countries/region as of May 2024).
(2) If the business operated by the company to be invested includes any business belonging todesignated industries (business types specified by the Minister of Finance and the minister
having jurisdiction over the business pursuant to the provision of Article 3, paragraph (3) of
the Order on Inward Direct Investment, etc.)
1. Representative Office
In general, a foreign enterprise is free to establish a representative office in Japan for the purposeof collecting and providing information. As such, no permission, notification or registration isrequired for the establishment of such an office under the Foreign Exchange Law. Since therepresentative office cannot conclude contracts, it is therefore not subject to Japanese corporate tax.

Chart 1
Ordinary Activities of a Representative Office
Activities of A Representative Office

Purchase of goods
for head office

Storage of goods forhead office

Other activities assisting head office

Advertising,promotion

Supplying information
to head officeMarket research

3

Other support
activities

The banks in Japan do not allow representative offices to open bank accounts in the name offoreign companies.
If any representative office in Japan intends to conduct activities other than those listed in theabove chart, it must, regardless of its title, implement the procedures necessary to establish abranch or a Japanese corporate entity.
2. Branch(1) Branch Registration
When a foreign company intends to engage in business on a continuous basis in Japan, it isnecessary to appoint a representative in Japan and to have such person registered, as specified in
Article 817 and Article 818 of the Companies Act. Many foreign companies intending to conductbusiness with Japanese companies establish a business in Japan, which is generally registered as abranch in Japan. This registration enables the foreign companies to obtain a commercial register
certificate from the Legal Affairs Bureau, which is evidence of existence as a corporate entity inJapan and makes it possible to open a corporate bank account at a commercial bank.
To apply for registration of a branch, Article 129 of the Commercial Registration Law requires
the following documents to be submitted:
1) Document evidencing the existence of its head office (such as a certified copy of thecommercial register in the home country)
2) Document certifying the status as the representative in Japan
3) Articles of incorporation of the foreign company or such documents as are sufficient to
identity the nature of the foreign company
4) Document certifying the method of public notice as a foreign company, if such a method
exists
The above documents must be attested to by the competent authorities, such as the consul residing
in Japan or a notary public of the foreign company’s home jurisdiction, etc. It is also possible toapply for registration with such documents attested to by the competent authorities, by affidavit
or the like, describing the information required in 1) to 4) above.
Registered Branch Manager (legally known as “Representative in Japan”) represents the branch
and is authorized to conduct business with third parties without headquarters’ internal approval(excluding the cases of existence of an agreement between headquarter and branch whichprescribing that headquarters’ internal approval is required to conduct business with third parties).
However, a change of registration, such as the resignation of Representative in Japan, theappointment of a new Representative in Japan, etc., must be done in each case.
Based on the Foreign Exchange Law, “Notification concerning the Establishment of a Branch, etc.”
is not required except for the cases where the business operated by the branch includes designatedindustries. (In the cases where such designated industries are included, “Notification concerning
the Establishment of a Branch, etc.” shall be submitted to the Minister of Finance and othercompetent Ministers through the Bank of Japan within the period of 6 months preceding the dateof establishment).

4

(2) A general flow of procedure for registering establishment of a branch
1) Appointment of representative in Japan and determination of business location(At least one of the representatives in Japan must be a resident of Japan.)2) Preparation of documents required for registration of a branch(e.g.: attestation of an affidavit by the competent authorities in the headquarters’
home jurisdiction, etc.)3)Application for establishment of a branch with the Legal Affairs Bureau

4)Acquisition of a Certified Copy of the Commercial Register, etc.
5)Opening of a corporate account at a commercial bank6)
Report on the establishment of the corporation to the Taxation Authorities and therelevant local government

3. Japanese Corporate Entity (Kabushiki Kaisha (KK) or Godo Kaisha (LLC))
If the foreign enterprise incorporates a Japanese corporation, it is treated as a “Direct Domestic
Investment” under the Foreign Exchange Law. The enterprise is required to submit notification of
its incorporation to the Minister of Finance and other competent Ministers through the Bank ofJapan within 45 days from the date of registration (prior notification may also be required in somecases).
Under the Companies Act, companies are broadly classified into two types according to investors’
responsibilities and governance. One type is Kabushiki Kaisha (stock company) and the other is
Equity Companies (joint-name company/ joint-fund company/ limited liability company).
- A stock company (Kabushiki Kaisha, KK) consists of shareholders whose liabilities tocreditors of the company are limited to the amount of stock purchased in the company.
- A joint-name company (Gomei Kaisha) consists of partners whose liabilities to creditors of
the company are unlimited.
- A joint-fund company (Goshi Kaisha) consists of limited and unlimited partners. Limited
partners’ liabilities to the creditors of the company are limited to the amount of theircontribution to the company.
- A limited liability company (Godo Kaisha, LLC) consists of partners whose liabilities tocreditors of the company are limited.
It is necessary to acquire independent corporate status in Japan and to establish the legallyrequired officers (institution) or representatives when incorporating. There are two corporate
structures that a foreign investor can assume with limited liability; a stock company (Kabushiki
Kaisha) and a limited liability company (Godo Kaisha, LLC). The other structures specified in the
Companies Act are a general partnership (Gomei Kaisha) and a limited partnership (Goshi Kaisha),designed for small-scale companies. However, since Gomei Kaisha and Goshi Kaisha require
members with unlimited liability, they seem to be seldom utilized by foreign companies forinvestments in Japan.

5(1) –A Stock Company: KK (Kabushiki Kaisha)
The Companies Act does not require minimum capital for a Kabushiki Kaisha at the time ofincorporation. Accordingly, a Kabushiki Kaisha can be established even with a ¥1 investment. On
the other hand, such Act prohibits dividends distribution unless its net assets are ¥3,000,000 or
more.
A Kabushiki Kaisha is classified into Large Company or Company which is not a Large Company(hereinafter called “Small-Medium Company”) by its amount of capital or liability, and PublicCompany or a Company which is not a Public Company (hereinafter called “NonpublicCompany”) by transferability of stock.
Large Company (LC): The capital is ¥500 million or more or total liability is ¥20 billion or more
Small-Medium Company (SMC): Other than Large Company
Public Company: Transfer of all or part of shares to be issued does not require the company’s
consent
Non-public Company: Transfer of every class of shares to be issued requires the company’s
consent
Under the Companies Act, the internal organization structure such as director/representative
director, board of directors, statutory auditors and accounting counselor can be more flexibly
designed depending upon the type of Kabushiki Kaisha.
(1)-B A general flow of procedure for registering the incorporation of a stock company: KK
The following is the necessary procedure for foreign investor(s) for establishment of Kabushiki
Kaisha. (There are 2 ways, Hokki-setsuritsu and Boshu-setsuritsu, for company establishment
stipulated by the Companies Act. The following outlines the method of incorporation throughthe Hokki-Setsuritsu; incorporation by subscription of all shares by the promoters.)
1)
2)

3)

Preparation of the articles of incorporation

If the promoter is a foreign company, the articles of incorporation shall be signed by
the representative of the foreign company. It is also necessary to prepare
certification of the qualification of the representative (e.g.: a certificate of signatureattested to by the competent authorities in the home jurisdiction).

Notarization of the articles of incorporation by a Japanese notary publicPayment of the capital subscription into a bank, etc., in Japan specified by thepromoter (Separate deposit account (betsudanyokinkoza) at a commercial bank or apersonal bank account of the initial representative director specified by thepromoter.) * Note 1*5) Election of the initial directors and initial officers, etc. by the promoter(Practically, initial directors, etc. are often specified in the articles of incorporation. )6) Election of the initial representative director by the initial directors(Practically, initial representative directors are often specified in the articles ofincorporation.)(It is acceptable that all the initial directors’ address is outside of Japan. * Note 2*)
4)

6

8)


Examination of incorporation by the initial directors, etc., and determination of thedate of incorporation
Application for establishment of a Kabushiki Kaisha with the Legal Affairs Bureau9)Acquisition of a Certified Copy of the Commercial Register, etc.

7)10) Report on the establishment of the corporation to the competent ministers throughthe Bank of Japan11) Opening of a corporate account at a commercial bank12) Report on the establishment of the corporation to the Tax Authorities and therelevant local government*Note 1*- Name of Bank Account Holder
Payment of the capital subscription into a Japanese bank account, etc., specified by the promoter
is required upon establishment of Kabushiki Kaisha. If a big foreign enterprise is a promoter, it ispossible to make a payment into a separate deposit account (betsudanyokinkoza) at a commercialbank in Japan. However, since it generally is difficult to open a separate deposit account(betsudanyokinkoza) for investment by small/medium foreign enterprises or individuals, suchinvestors shall make payment into “a personal bank account of the initial representative director”
as a bank account, etc., specified by the promoter.
However, third person’s bank account (including corporation) other than promoter andrepresentative director upon incorporation is acceptable only when all promoters and directors
upon incorporation are non-resident in Japan, as an exception. (Circular notes No. 41 of Civil
Affairs Bureau, the Commercial Affairs Division dated March 13, 2017)
In case a bank account other than the promoter’s is used, promoter’s power of attorney is required
to be attached to company establishment registration documents.
With the recent worldwide tightening of AML/CFT (Anti-Money Laundering and Combating the
Financing of Terrorism) regulations, as of May 2024, there have been an increasing number of cases
where financial institutions have refused to accept capital through foreign remittances, even if thepersonal bank account of the aforementioned representative director upon incorporation is used.
In order to verify whether there is anything unnatural or unreasonable about the sender, receiver,
beneficial owner, transaction details (purpose of remittance, etc.), etc., financial institutions will
request the submission of documents or conduct an interview. Therefore, please prepare inadvance so that you can explain and prove your case well.
- Institution Handling Payments
Not only head office and branch offices of Japanese domestic bank but also branch offices of theforeign banks in Japan (the banks established by permission of the Prime Minister) are included
as “institution handling payments”. Further, overseas branch offices of Japanese domestic bankare included as “institution handling payments”. (Circular notes No. 179 of Civil Affairs Bureau,
the Commercial Affairs Division dated December 20, 2016)7

*Note 2*
Residence of Representative Director of a Company
Requirement that at least one representative director of Japanese domestic company must have aresidential address in Japan was abolished. Therefore, registrations of company establishment
only with non-resident representative directors, and appointment or re-appointment of suchdirectors are acceptable. (Notification No. 29 of Civil Affairs Bureau, the Commercial Affairs
Division dated March 16, 2015)
Even if all representative directors live outside of Japan, it is possible to apply for registration ofcompany establishment in Japan (No needs to be Japanese.)(2) –A Limited Liability Company: LLC (Godo Kaisha)
In principle, investor(s) of Godo Kaisha shall individually execute business and represent thecompany. That means that owner(s) (investor(s)) of Godo Kaisha shall manage a company.
However, it is possible that some of investors shall execute business and select a representative
among from such executive investors. Despite its name “Godo (joint)” Kaisha, Godo Kaisha canbe established with even only 1 investor. Godo Kaisha is similar to LLC (Limited Liability
Company) in U.S., which is a combination of limited liability of investors and flexible businessstructure. However, Godo Kaisha is subject to corporate income tax since Godo Kaisha is a
corporate entity. Therefore, it should be noted that treatment by the tax law for Godo Kaisha isdifferent from that of LLC in the U.S.
(2)-B A general flow of procedure for incorporation of a limited liability company: LLC
1)
2)

3)

4)

5)

6)
7)

8)
9)

Preparation of the articles of incorporation

If the member is a foreign company, the articles of incorporation shall be signed by
the representative of the foreign company. It is also necessary to prepare
certification of the qualification of the representative (e.g.: a certificate of signatureattested to by the competent authorities in the home jurisdiction).

Payment of capital subscriptions by members(The members may include a foreign company. Unlike in the case of Kabushiki
Kaisha, payment into a bank account is not required.)
Determination of executive members and representative members(It is acceptable that all the representative members’ address is outside of Japan.)Application for establishment of a limited liability company with the Legal Affairs
BureauAcquisition of a Certified Copy of the Commercial Register, etc.

Report on the establishment of the limited liability company to the competent
ministers through the Bank of Japan

Opening of a corporate account at a commercial bankReport on the establishment of the corporation to the Tax Authorities and therelevant local government8

Because of the legal issues associated with the formation and registration of a Kabushiki Kaisha or
Godo Kaisha, legal advice and assistance by specialists should be sought.
(3) Corporate Number
Designation, publication and notification of 13-digit Corporate Number
Each corporation is assigned a single 13-digit Corporate Number. Basically, the Notification of
Corporate Number shall be sent by the Commissioner of the National Tax Agency to registeredcorporations in two business days after corporate registration completion date. Basic 3 Information(1. trade name or association name, 2. address of head office or principal place of business, 3.
Corporate Number) for the corporation, etc. that the Corporate Number is designated are
published on the Tax Agency Corporate Number Publication Site.
Corporate Number is not automatically designated for foreign companies simply by registering adomestic office as a branch. Only when certain requirements are met, Corporate Number isdesignated for foreign companies.
Registration and publication in English
Trade name or association name, and address of head office or principal place of business inEnglish as well as Corporate Number may be published on the Tax Agency Corporate Number
Publication Site and its English version web page by completing the registration process (optionaland free of charge).
Some Economic Partnership Agreement require indication of Corporate Number on the
documents to be prepared when exporting goods from Japan, and the customs office of theexporting country may confirm the Corporate Number through an English web page.
Please refer to the Tax Agency Corporate Number Publication Site for English registration process
and details.
Tax Agency Corporate Number Publication Site
Japanese: https://www.houjin-bangou.nta.go.jp/
English: https://www.houjin-bangou.nta.go.jp/en/(4) Opening of corporate bank account after company establishment
Difference between Laws and Actual Business Practices
Under the Companies Act, the directors of Kabushiki Kaisha or Godo Kaisha (LLC) do not need
to be residents of Japan, and it is legally possible to establish a Kabushiki Kaisha or Godo Kaisha(LLC) even if all the directors are foreign residents. However, in practice, at least one
representative director/executive officer must be a resident of Japan, as it is very difficult to open
a bank account after establishment if there is no representative director/executive officer who is a
resident of Japan. There are differences between the legal provisions and practice, so please consult
with a specialist or other professional to ensure that you design your company appropriately.
Difficulty of Opening of Corporate Bank AccountIn recent years, the global ‘Anti-Money Laundering and Counter-Terrorist Financing (AML/CFT)’
regime has become stricter, making it much more difficult to open a new corporate account thanin the past.
Generally, the required documents can be found on bank websites, but it is not always possible toopen an account simply by submitting the documents listed, and there are cases where an accountmay be refused as a result of an assessment.

9

The screening process for opening a corporate account is based on the overall judgment of eachfinancial institution and is not clearly defined, but in most cases, it is not possible for a Kabushiki
Kaisha or Godo Kaisha (LLC) with all directors residing abroad to open a corporate account, so,
as mentioned above, it is necessary to appoint at least one representative director/executive
director who is a resident of Japan. However, the presence of a Japanese resident representative
director/executive officer does not necessarily mean that a bank account can be opened, and it
takes several months to be assessed for opening an account.
Please also refer to “II. BUSINESS START UP 1. Opening a bank account” regarding opening of abank account.
4. Limited Liability Partnership: LLP (Yugen Sekinin Jigyo Kumiai)(1) Features of LLPs
LLPs may be formed in a case where research institute such as university licenses technology andother partner such as corporate entity, etc. contributes funding to start a new business. Registration
is made according to the location of the main office in accordance with certain prescribed rules.
However, please note that an LLP cannot be reorganized into a company such as Kabushiki Kaisha.
(2) A general flow of procedures for establishment of a limited liability partnership: LLP(Yugen Sekinin Jigyo Kumiai)
1)
2)

3)

Conclusion of the contract for a limited liability partnership
If a partner is a foreign company, the contract shall be signed by the representative of
the foreign company. It is also necessary to prepare certification of the qualificationof the representative (e.g.: a certificate of signature attested to by the competentauthorities in the applicant’s home jurisdiction).

Payment of capital subscriptions by partners

5)
Application for establishment of a limited liability partnership with the Legal Affairs
BureauAcquisition of a Certified Copy of the Commercial Register, etc.

6)Opening of a partnership account at a commercial bank

4)10

5. Comparison of a stock company (Kabushiki Kaisha), limited liability company (LLC) andlimited liability partnership (LLP)*
Structure

Limited Liability
Company: LLC

Stock Company: KK

Limited Liability
Partnership: LLP

Corporate status

Yes

Yes

No

Investor(s)(can be both
corporation orindividual)

Stockholders(one or more investors)

Members withlimited liabilities(one or more investors)

Partners with limited
liabilities(two or more investors)

Legally requiredorganization(s)General meeting ofstockholders, directors(Consensus ofmembers)(Consensus ofpartners)

Executive officer

Representative
director, etc.

Executive member

Executive partner

No
restriction
on No restriction on
monetary amounts
monetary amounts

No restriction on
monetary amounts(Contributed amountshall not be registered)Generally free

Approval of members

Approval of partners

Special resolution at a
general meeting ofstockholders

Agreement of all
members

Agreement of allpartners

Required

Required

RequiredTaxes levied onmember(s)(subject to each
investor’s individual
income)

No

No

Yes

Existence with a single
memberPossible

Possible

Not possible

Reorganization into
different corporate
structures

Possible

Possible

Not possible

Capital (*1)

Equity transfers
Modification of articles
of incorporation
Registration

Merger with anotherstock company
Possible
Possible
Not possible(Kabushiki Kaisha)* Stock company (Kabushiki Kaisha); Limited Liability Company: LLC (Godo Kaisha:);Limited Liability Partnership: LLP (Yugen Sekinin Jigyo Kumiai)*1 Stock company (Kabushiki Kaisha) and LLC (Godo Kaisha) can be established with capital of 1 yenor more. However, based on Immigration Regulation, etc., minimum 5 million yen or more investment
may be required in order to acquire residential status as a business manager for non-Japanese after
establishment of company.

11

Pros and Cons of Each Structure
Corporate Entity
or LLP
Stock Company(Kabushiki
Kaisha): KK

Limited Liability
Company(Godo Kaisha):
LLC

Limited Liability
Partnership: LLP

Pros

Cons

 Generally, Kabushiki Kaisha
is the most popular corporate
entity in Japan
 Many of the Japanese big
corporations are Kabushiki
Kaisha Minimum amount ofregistration tax is 150,000yen,
which is higher than otherstructures.
 Third person’s bank accountother than promoter andrepresentative director uponincorporation is acceptable
only when all promoters anddirectors upon incorporation
are non-resident in Japan as
an exception, however,foreign individuals or small
sized foreign companies who
do not have Japanese partners
in Japan often have difficultyin opening a company bankaccount after establishment.
 Not so many Japanese know
existence of “Godo Kaisha”.
 Unlike LLC in U.S., Japanese
LLC (Godo Kaisha) is subject
to Corporate Income Tax.

When compared with
Kabusihki Kaisha, Godo
Kaisha has advantages that: i)payment into a bank account is
not required for capital
investment; ii) minimum
amount of registration tax forcompany establishment is
60,000yen, which is lower than
Kabushiki Kaisha (Registration
tax for Kabushiki Kaisha is
150,000yen).
 Distribution amount can bedecided freely between apartner who licensed
technology and a partner
who contributed funding by
negotiation.

 Entity conversion from LLP tocorporate Entity is impossible.

6. Sample calculations of the costs of establishing a business in JapanThe following section gives examples of costs (in yen) incurred in the establishment in Japan of abranch office, a stock company (Kabushiki Kaisha), a limited liability company (LLC) or a limited
liability partnership (LLP) by non-Japanese on the assumption residential status as a business
manager is acquired. It should be noted that the amounts, etc. indicated here may vary, depending
on different circumstances.

12

BranchStock
Company:
KK

LimitedLiability
Company:
LLC

LimitedLiability
Partnership:
LLP

Free ofchargeFree ofchargeFree ofchargeFree ofcharge10,000 yen

10,000 yen

10,000 yen

10,000 yen

Notnecessary

40,000 yen(Notnecessary if
notarized
electronicall
y)40,000 yen(Notnecessary if
notarized
electronically)Not
necessaryNot
necessary

50,000 yen

NotnecessaryNot
necessary

Charge for issuing acertified copy of thearticles of incorporation

Not
necessary

1,250 yen(250
yen/copy 
5  1 set)

Not
necessaryNot
necessary

Certificate of registeredseal (*2)

Notnecessary

300 yenNot
necessaryNot
necessary

300 yen

300 yen

300 yen

600 yen90,000 yen

150,000 yen

60,000 yen

60,000 yen

2,400 yen
(600yen/copy  4 sets)

2,400 yen
(600yen/copy  4 sets)

2,400 yen
(600yen/copy  4 sets)

2,400 yen
(600yen/copy  4 sets)

10,000 yen

10,000 yen

10,000 yen

10,000 yen

Certificate of registeredrepresentative seal (*5)

450 yen(450
yen/copy 
1 set)

450 yen(450
yen/copy 
1 set)

450 yen(450
yen/copy 
1 set)

450 yen(450
yen/copy 
1 set)

Affidavit or notarization(original and Japanesetranslation)

Variesdependingon homecountryNotnecessaryNot
necessaryNot
necessary

-

-

-

-

-

-

-

-

Document
submitted toLegal Affairs
BureauProfessional advice on
incorporation, etc.

Professional(Fees will vary,depending on
the professional
services chosen,
but the figures
shown here arebenchmarks forone session(about onehour).)

Consultation onregistration

Consultation oncommercial registration

Revenue stamp (forarticles ofincorporation)

Registration expenses

Charge for notarizationof the articles ofincorporation (*1)

Registration tax (*3)

Notary public's
officeLegal Affairs
BureauCertified copy of thecommercial register
Corporate
representative seal (*4)

Confirmation of official
approvals and licenses(Varies depending on category ofbusiness)

Official notification inaccordance with the Foreign
Exchange Law

National andprefectural
governments
Bank of Japan

13

Professional commissions
for registration expenses,
confirmation of
approvals/licenses, andnotification required by theForeign Exchange Law

Professionals
250,000

250,000

250,000

250,000

yen

yen

yen

yen

363,150

514,700

373,150

333,450

yen

yen

yen

yen

(Varies depending on
professional services)

Total
*1

*2

*3

Charge for notarization of the articles of incorporation varies by capital amount of the company to be established. (lessthan 1 million yen: 30,000yen; 1 million yen or more and less than 3 million yen: 40,000yen; other cases: 50,000yen)
Charge in this table is for the company with a capital of 5 million yen or more.
A certificate of each promoter’s registered seal is required at the notary public's office. In the event the promoter is a
corporation, a certified copy of the commercial register and a certificate of the registered seal of the corporate
representative shall be required. In the case of a foreign nonresident, a certificate of the signature (attested to by a notary
public’s office in the home country), instead of a certificate of the registered seal shall be required.
A certificate of a registered seal must have been issued within the previous three months by a local government office.
The registration tax for a stock company (Kabushiki Kaisha) or a limited liability company shall be 7/1000 of the paidin capital. However, the minimum registration tax shall be 150,000 yen for a stock company (Kabushiki Kaisha) and
60,000 yen for a limited liability company.

*4, 5 Submission of a seal (registration of company seal) is optional effective on February 15, 2021 when applying forregistration online; however, there still are many cases that require company seal and seal certificate, therefore,
submission of a seal (registration of company seal) is actually needed.

7. Status of Residence(1) -① Temporary Visitor Visa
Foreigners wishing to enter Japan to conduct preparations, such as selection of a facility forbusiness, hiring staff, etc., in order to open/establish a representative office, branch, or company
are required to obtain a temporary visitor visa at a Japanese diplomatic establishment. Foreigners
show such visa at a port of entry of an airport or seaport in order to get landing permission, andthen enter Japan. Nationals of countries with visa exemption arrangements with Japan do not
require a visa for application for landing permission for short-term stays. However, please notethat the waiver of visa requirements is not applicable in the case of stays exceeding the period oftime stipulated in each arrangement.
The period of stay granted at the time of the landing permission is as follows:《Visa waiver country and region》
・Indonesia and Thailand: 15 days
・Brunei: 14 days・United Arab Emirates and Qatar: 30 days
・Other countries and regions: 90 days《Country/region where a visa is required》
15 days, 30 days, or 90 days, which shall be determined depending on the purpose of entry
and the results of inspection
Those who fall under the Eligible Applicants below are able to apply for a short-term stay visa
for the purpose of Tourism (for a stay of 90 days or less) on JAPAN eVISA website(https://www.evisa.mofa.go.jp/index) from March 27, 2023.

14

《Eligible Applicants》
All foreign nationals/people who reside in the following countries/region.
Australia, Brazil, Cambodia, Canada, Saudi Arabia, Singapore, South Africa, Taiwan, United
Arab Emirates, United Kingdom, U.S.A. (Only foreign nationals/people who are required toobtain short-term visa.)Engaging in paid activities in Japan with a temporary visitor visa is prohibited. Please startwith the procedure for obtaining status of residence as soon as possible in order to work
continually at a representative office, a branch, or a company.
(Engaging in the operation of an income-producing business or paid activities does not fallunder the category of “temporary visitor” no matter how short the term of stay in Japan is.)(1) -② Multiple-entry temporary visitor visa
A Multiple-entry temporary visitor visa may be applied for at Japanese diplomatic offices abroad(Japanese Consulates-General, etc.) for short-term business affairs (business trips, etc.) when an
applicant fulfills certain requirements, such as a full-time employee working in a company which
is a government enterprise, or a company listed on the stock exchange, etc.
Permitted period of stay in Japan and the validity period of such visa vary by his/her nationality(country/region).
In no case is it permitted to perform activities to undertake revenue-generating business
operations or activities to receive remuneration.
The period of stay granted at the time of the landing permission is 15 days, 30 days, or 90 days,
which shall be determined depending on the purpose of entry and the results of the inspection.
(1) -③ Visa For Medical Stay
A “Visa for Medical Stay” is a visa issued to foreign patients wishing to visit Japan for medical
purposes (including full medical check-ups, etc.). Such visa may also be issued to persons
accompanying foreign patients if necessary, and as needed. Under this category, period of stay inJapan is within 90 days, 6 months or 1 year. The period of stay is determined based on the clinicalcondition of foreign patients and other factors. However, please note that if the expected periodof stay is longer than 90 days, it is premised on hospitalization and such foreign patients are
required to obtain a Certificate of Eligibility from the Immigration Bureau of the Ministry of Justice.
The validity period of a Visa for Medical Stay is 3 years as needed.
(2) Types of Status of Residence
When a foreigner wishes to stay in Japan for work, etc., s/he must obtain a status of residence
where the activities to be engaged in are applicable from among status of residence stipulated in
the Immigration Control and Refugee Recognition Act (hereinafter “Immigration Regulation”).
[Status of Residence allowed to work within the designated activities]
Diplomat, Official, Professor, Artist, Religious Activities, Journalist, Highly Skilled Professional((i)a, (i)b, (i)c, (ii)), Business Manager, Legal/Accounting Services, Medical Services, Researcher,
Instructor, Engineer/Specialist in Humanities/International Services, Intra-company Transferee,Nursing Care, Entertainer, Skilled Labor, Specified Skilled Worker ((i), (ii)), Technical Intern
Training ((i)a, (i)b, (ii)a, (ii)b), Designated Activities (such as working holidays, etc.)< Highly Skilled Professional (i)a, (i)b, (i)c, and (ii) / Technical Intern Training (i)a, (i)b, (ii)a, and(ii)b / Specified Skilled Worker (i), (ii) are considered as one category.>[Status of Residence basically not allowed to work]
Cultural activities, Temporary Visitor, Student, Trainee, Dependent

15

[Status of Residence with no restriction on work]
Permanent Resident, Spouse or Child of Japanese National, Spouse or Child of Permanent
Resident, Long Term Resident
The List of Categories of Status of Residence (Annexed table I and Annexed table II of the
Immigration Control and Refugee Recognition Act)
Annexed table I
1
Status of Residence
Authorized Activities
DiplomatActivities on the part of constituent members of diplomatic missions or
consular offices of foreign governments hosted by the Government ofJapan; activities on the part of those who are provided with similar
privileges and/or immunities as is given to diplomatic missions inaccordance with treaty or international customary practices; andactivities on the part of their family members belonging to the same
household.
Official
Activities on the part of those who engage in official business offoreign governments or international organizations recognized by thegovernment of Japan; and activities on the part of their family
members belonging to the same household (excluding the activities
described in this table’s “Diplomat” section).
Professor
Activities for research, direction of research or education at colleges,
equivalent educational institutions or “koto-senmongakko.”
ArtistActivities for the arts that provide income, including music, the finearts, literature, etc. (excluding the activities described in the“Entertainer” section of Table 2).
Religious Activities Missionary and other religious activities conducted by foreign
religious organizations.
Journalist
News coverage and other journalistic activities conducted on the basisof a contract with foreign journalistic organizations.
2
Status of Residence
Authorized Activities
Highly Skilled(i) Activities which fall under any of items (a) through (c) and areProfessional
expected to contribute to the development of academic research or
economy of Japan that foreign human resources with advanced andspecialized skills which conforms to the standards provided by
Ordinance of the Ministry of Justice engage in.
(a) Activities for research, direction of research or education on thebasis of a contract with public or private organizations in Japan
designated by Minister of Justice, or activities to operate a business
relating to said activities by himself/herself in addition to engage insaid activities, or activities for research, direction of research or
education on the basis of a contract with public or privateorganizations in Japan other than said organizations.
(b) Activities to engage in service which requires knowledge ortechnology pertinent to natural science or physical science fields basedon a contract with public or private organizations in Japan designatedby Minister of Justice or activities to operate a business relating to said
activities by himself/herself in addition to engage in said activities.

16

(c) Activities to operate an international trade or other business or to
manage said business at public or private organizations in Japan
designated by Minister of Justice or activities to operate a business
relating to said activities by himself/herself in addition to engage insaid activities.
(ii) Activities, which fall under any of the following items, by a person
who engaged in the preceding item and whose stay conforms to thestandards provided by Ordinance of the Ministry of Justice as serving
the interests of Japan:(a) Activities for research, direction of research or education on thebasis of a contract with public or private organizations in Japan.
(b) Activities to engage in service which requires knowledge ortechnology pertinent to natural science or physical science fields basedon a contract with public or private organizations in Japan.
(c) Activities to operate an international trade or other business or to
manage said business at public or private organization in Japan.
(d) Activities, conducted with any of the preceding item (a) to (c),described in the lower column of “Professor” to ”Journalist” sectionsof Table(1) or the activities described in the lower column of“Legal/Accounting Services”, “Medical Services”, “Instructor”,“Engineer/Specialist in Humanities/International Services “,“Nursing Care”, “Entertainer”, or “Skilled Labor “sections, or (ii) in
the lower column of “Specified Skilled Worker” section of this Table(excluding activities any of the preceding item (a) to (c)).
Business Manager
Activities to operate international trade or other business, or to
manage that business (excluding engaging in the operation or
management of business which is not allowed without legal
qualifications described in this table’s “Legal/Accounting Services”
section).
Legal/
Activities to engage in legal or accounting business which is required
Accounting Services to be carried out by attorneys recognized as foreign law specialists
under the foreign lawyers’ law (“Gaikokuho Jimubengoshi”), certified
public accountants recognized as accountants practicing foreign
accounting under the Accountant Law (“Gaikokukoninkaikeishi”) or
those with other legal qualifications.
Medical Services
Activities to engage in medical treatment service which is required to
be undertaken by Physicians, dentists or those with other medical
qualifications.
Researcher
Activities to engage in research on the basis of a contract with public
or private organizations in Japan (excluding the activities described in
the “Professor” section of Table (1)).
Instructor
Activities to engage in language instruction and other education atelementary schools, junior high schools, schools for compulsory
education, high schools, school for the blind, handicapped children’s
schools, advanced vocational schools, (“Senshu-gakko”) vocational
schools (“Kakushu-gakko”) or other educational institutions
equivalent to vocational schools in facilities and curriculum.
Engineer/Specialist Activities to engage in service which requires technology and/orin Humanities/
knowledge pertinent to physical science, engineering or other natural
International
science fields, or technology and/or knowledge pertinent toServicesjurisprudence, economics, sociology or other human science fields, or

17Intra-company
Transferee

Nursing CareEntertainer

Skilled Labor

Specified Skilled
WorkerTechnical Intern
Training

to engage in service which requires specific ways of thought orsensitivity based on experience with foreign culture, based on acontract with public or private organizations in Japan (excluding theactivities described in the lower columns of the “Professor”, “Artist”,
and ” Journalist” sections of Table 1 and excluding the activities
described in the lower columns of the “Business Manager” through“Instructor”, and “Intra-company Transferee” through “Entertainer”
sections of this Table).
Activities on the part of personnel who are transferred to businessoffices in Japan for a limited period of time from business offices
which are established in foreign countries by public or privateorganizations which have head offices, branch offices or other businessoffices in Japan and who engage at these business offices in theactivities described in the “Engineer/Specialist in
Humanities/International Services” section of this Table.
Activities to engage in nursing or instruction of nursing as certifiedcare worker based on a contract with public or private organizations inJapan.
Activities to engage in theatrical performances, musical performances,
sports or any other show business (excluding the activities describedin the “Business Manager” section of this Table).
Activities to engage in service which requires industrial techniques orskills belonging to special fields on the basis of a contract with public
or private organizations in Japan.
(i) Activities to engage in service which requires skills withconsiderable knowledge of or experience as provided by Ordinance ofthe Ministry of Justice in Specified Industry Fields (Industry fields
having difficulties with securing human resources, designated by
Ordinance of the Ministry of Justice, require ensuring the shortage ofhuman resources by accepting foreign nationals; the same applies inthis item) designated by Minister of Justice based on a contract withpublic or private organizations in Japan designated by Minister ofJustice (limited to those which meet the regulations specified in Article
2-5 (i) to (iv); the same applies in the following item).
(ii) Activities to engage in service which requires proficient skills asprovided by Ordinance of the Ministry of Justice in Specified Industry
Fields designated by Minister of Justice based on a contract withpublic or private organizations in Japan designated by Minister ofJustice.
(i) Activities which fall under any of items (a) or (b)(a) Activities to attend the necessary lectures and engage in work
relating to skills, technologies, or knowledge (hereinafter referred to as“Skills, etc.”) based on a technical intern training plan (limited to thosefor “individual-enterprise-type technical intern training (i)” stipulated
in Article 2 (2) (i)) as prescribed in Article 8 (1) of the Technical Intern
Training Act whose training has received accreditation (where achange has been approved in accordance with the Article 11 (1), theplan after the change; the same applies hereinafter).
(b) Activities to attend the necessary lectures and engage in work
relating to Skills, etc. based on a technical intern training plan (limited
to those for “supervising-organization-type technical intern training
18

(i)” stipulated in Article 2 (4) (i)) as prescribed in the same paragraphwhose training has received accreditation.
(ii) Activities which fall under (a) or (b).
(a) Activities to engage in work relating to Skills, etc. based on atechnical intern training plan (limited to those for “individualenterprise-type technical intern training (ii)” stipulated in Article 2 (2)(ii)) as prescribed in the same paragraph whose training has received
accreditation.
(b) Activities to engage in work relating to Skills, etc. based on atechnical intern training plan (limited to those for “supervisingorganization-type technical intern training (ii)” stipulated in Article 2(4) (ii)) as prescribed in the same paragraph whose training hasreceived accreditation.
(iii) Activities which fall under (a) or (b).
(a) Activities to engage in work relating to Skills, etc. based on atechnical intern training plan (limited to those for “individualenterprise-type technical intern training (iii)” stipulated in Article 2 (2)(iii)) as prescribed in the same paragraph whose training has received
accreditation.
(b) Activities to engage in work relating to Skills, etc. based on atechnical intern training plan (limited to those for “supervisingorganization-type technical intern training (iii)” stipulated in Article 2(4) (iii)) as prescribed in the same paragraph whose training hasreceived accreditation.
Note: The Minister of Justice shall consult with the heads of the relevant administrative
organs in prescribing the ordinance set forth in the bottom of the “Specified Skilled Worker”
column.
3
Status of Residence
Authorized Activities
Cultural activities
Academic or artistic activities that provide no income, or activities forthe purpose of pursuing specific studies on Japanese culture or arts, or
activities for the purpose of learning and acquiring Japanese culture orarts under the guidance of experts (excluding the activities describedin the sections from “College Student” to “Trainee” in Table 4).
Temporary Visitor
Sightseeing, recreation, sports, visiting relatives, going on inspection
tours, participating in lectures or meetings, business contact or othersimilar activities during a short period of stay in Japan.
4
Status of Residence
Authorized Activities
Student
Activities to receive an education at a university, college of technology(kotosenmongakko), senior high school (including a course of study inthe latter part of secondary educational school (chutokyoikugakko)),senior high school course of school for special needs education(tokubetsushiengakko), lower secondary school (including a course of
study in the latter part of schools for compulsory education(gimukyoikugakko) and in former part of secondary educational
school (chutokyoikugakko)), lower secondary school for special needs
education, elementary school (including a course of study in the19Trainee

Dependent

former part of schools for compulsory education), elementary schoolfor special needs education, vocational school (senshugakko),
miscellaneous educational institution (kakushugakko) or an equivalenteducational institution in terms of facilities and organization in Japan.
Activities to learn and acquire skills, etc. at public or privateorganizations in Japan (excluding the activities described in the lower
column of “Technical Intern Training (i)” section of Table 2 and the“College Student” and “Pre-college Student” sections of this Table).
Daily activities on the part of the spouse or unmarried minor child of
those who stay in Japan with the status of residence mentioned inTables 1, 2 or 3 (excluding “Diplomat,” “Official” “Specified Skilled
Worker (limited to the lower column of “Specified Skilled Worker (i)”section of Table 2)”, “Technical Intern Training”, and “Temporary
Visitor”) or those who stay with the status of residence of “Student” inthis Table.

5
Status of Residence
Authorized Activities
DesignatedActivities which are specifically designated by the Minister of Justice
Activities
for foreign individuals.
Annexed Table II
Status of Residence Personal relationship or status on which the residence is authorized
Permanent Resident Those who are permitted for permanent residence by the Minister ofJustice.
Spouse or Child of
The Spouses of Japanese nationals, the children adopted by JapaneseJapanese National
nationals or those born as the children of Japanese nationals.
Spouse or Child of
The Spouses of permanent residents, etc., or those born as children of
Permanent Resident permanent residents, etc. in Japan and have been residing in Japan.
Long TermThose who are authorized to reside in Japan with a designation of
Resident
period of stay by the Minister of Justice in consideration of special
circumstances.
Applicable status of residence and conditions vary depending upon the activity to be engaged in.
Also, the required documents, etc. vary in each case, thus, it is advisable to consult with specialists
such as Gyoseishoshi (Solicitors), etc.
(3) Major Categories of Status of Residence
Criteria and supporting documents for the following 4 major categories of status of residence forwork are listed below.
 Business Manager
 Engineer/Specialist in Humanities/International Services
 Intra-company Transferee Skilled Labor(3) -1 Business Manager<Criteria>Business must be run properly, and be recognized as stable and continuing.
 Facility for the business must be reserved.
 Employment of two or more full-time employees other than the person engaged in operation20

or management of the business, or 5 million JPY or more capital or investment is required.
*full-time employees must be a Japanese national, permanent resident, spouse of Japanesenational or permanent resident, or long-term resident.
 (For Manager)
Must have three or more years’ experience in operations or management and must receive
equal or greater compensation when a Japanese national is in the same position.
＜Period of Stay>
5 years, 3 years, 1 year, 4 months or 3 months<Supporting Documents>
 Material Certifying Business- Certified Copy of Company Registration (issued within the last 3 months)*In case, the company is in the process of applying for its registration; documents certifying
the process of the company establishment such as articles of incorporation.
- The latest financial statement (Business plan for a newly established company)- Brochure, etc.
 Material Certifying Number of Full-time Staff and Wage Payments of the Staff Concerned- Copy of employment contract or copy of payroll book
- Residence certificate- Employment insurance fee payment receipts, etc.
 Material Certifying Business Place- Company brochure- Copy of lease agreement, etc.
 Documents certifying the activity, its duration, the position, and the remuneration of theperson concerned- A copy of the mandate contract between the applicant and the recipient organization, etc.
(For Manager)- Documents certifying job history with 3 years or more experience for management*Important Point for a Payment Required for Establishing an Entity
The legally required minimum payment to establish a company is one yen. In the case of alimited liability partnership, the minimum amount shall be two yen, as two or more partners
are required. No legally stipulated payment is required to establish a branch.
If a non-Japanese intends to acquire “Business Manager” resident status, he or she is required
to employ two or more full-time employees, or manage the business sized with five million
yen or more, or a minimum payment of five million yen or more.
(3) -2 Engineer/Specialist in Humanities/International Services<Criteria>
 Majored in the subject related to the necessary knowledge for the business to engage in andgraduated, or having 10 years or more work experience in the business to be engaged in.
(When engaged in interpreting, translation, language teaching, or overseas operations, etc.,
3 years or more work experience in the business to be engaged in is required. However,university graduates who wish to engage interpreting, translation or language teaching are
not required to have such experience.) Must receive equal or greater compensation when a Japanese national is in the same position.
<Period of Stay>
5 years, 3 years, 1 year or 3 months<Supporting Documents>
 Material Certifying Business of the recipient organization- Certified Copy of Company Registration (issued within the last 3 months)

21

- The latest financial statement (Business plan for a newly established company)- Brochure, etc.
 A diploma or a certificate of graduation with a major in the subject regarding the activity ofthe person concerned, and documents certifying his/her professional career.
- A diploma or a certificate of graduation- Documents certifying applicant’s professional career- Applicant’s CV, etc.
 Documents certifying the activity, its duration, the position, and the remuneration of theperson concerned- A copy of the employment contract between the applicant and the recipient organization,etc.
(3) -3 Intra-company transferee<Criteria>
Activities by personnel who are transferred from business offices in foreign countries to businessoffices in Japan for a limited period of time and who engage in the activities described in the“Engineer/Specialist in Humanities/International Services” sections.
 Must be continuously working for more than 1 year for head office, branch offices, or otherbusiness offices just before the transfer and engage in the activities described in the“Engineer/Specialist in Humanities/International Services” sections.
 Must receive equal or greater compensation when a Japanese national is in the same position.
<Period of Stay>
5 years, 3 years, 1 year or 3 months<Supporting Documents>
 Documents certifying the relationship between the business office in a foreign country andthe business office in Japan- Notice of commencement of business- Brochure, etc.
 Material Certifying Business of the business office in Japan- Certified Copy of Company Registration (issued within the last 3 months)- The latest financial statement (Business plan for a newly established company)- Brochure, etc.
 Documents certifying the activity and its duration in the business office in a foreign country- Documents certifying the activity and its duration for the last year before the transfer, suchas certificate of employment issued by the business office in a foreign country Material Certifying Business of the business office in a foreign country- Certified Copy of Company Registration (issued within the last 3 months)- The latest financial statement (Business plan for a newly established company)- Brochure, etc.
 Documents certifying the activity, its duration, the position, and remuneration- Notification of transfer, etc.
 A Diploma and documentation certifying the career- A diploma or a certificate of graduation- CV, etc.
(3) -4 Skilled Labor<Criteria>
 Must receive equal or greater compensation when a Japanese national is in the same position.
 Activities to engage in service that require industrial techniques or skills belonging to special
fields.

22

E.g.) A person who has more than 10 years work experience in food preparation, or food
manufacturing techniques which were invented in a foreign country and to engage inbusiness activities that requires such skills.
(However, based on a treaty such as EPA, etc. between Japan and Thailand, there aresome cases where only 5 years work experience is required to engage in businessactivities requiring such skills.)<Period of Stay>
5 years, 3 years, 1 year or 3 months<Supporting Documents>
 Material Certifying Business of the recipient organization- Certified Copy of Company Registration (issued within the last 3 months)- The latest financial statement (Business plan for the newly established company)- Brochure- List of foreign employees, etc.
 A personal history and documents issued by the official organization which certify the career
and the qualifications regarding the activity- Applicant’s CV- If a certificate of qualification issued by the official organization is available, a copy of thecertificate- Documents certifying the activity and its duration, such as a certificate of employment
issued by the business office in a foreign country Documents certifying the activity, its duration, the position, and remuneration- A copy of employment contract between the applicant and the recipient organization, etc.
(4) Certificate of Eligibility (COE)
When foreigners wish to enter Japan under the status other than “Temporary Visitor”, theImmigration Regulation stipulates that the Minister of Justice is able to issue a document
certifying applicability of status of residence for the activity a foreigner is to engage in byexamining compatibility in landing condition for status of residence based on an applicationby the foreigner. Such document is called a Certificate of Eligibility.
A foreigner who has a Certificate of Eligibility will obtain a visa from an embassy or consulateby showing the Certificate of Eligibility. Then, they may enter Japan after obtaining landing
permission from an Immigration officer at the port of entry. The advantage of having a
Certificate of Eligibility is that the length of time for examination for visa and landing will be
shortened, as compatibility in landing condition for applicability of status of residence, etc. canbe proved easily.
Application for issuance of a Certificate of Eligibility will be made at the Regional Immigration
Bureau which has jurisdiction over the planned residential address or the location of therecipient organization. As stipulated in the Ministry of Justice’s ordinance, submission of theapplication can be done by proxy such as personnel of the recipient organization, or byregistered Gyouseishoshi (solicitor) who is authorized to submit the application for theapplicant.
■Receipt of Certificate of Eligibility by e-mailFrom March 17, 2023, it is possible to receive the Certificate of Eligibility by e-mail. In addition,
foreign nationals themselves can now apply for visas and landing permission by presenting
a copy of the e-mail.
Persons eligible for this treatment are:- Those who apply for issuing a Certificate of Eligibility online.
- Those who have completed user registration online in advance and visit a regional
Immigration Services Bureau to apply for issuing a Certificate of Eligibility

23

■General Flow of Application for Certificate of Eligibility (COE)
Outside of Japan
ApplicantInside of Japan
Applicant or Proxyin Japan

Applicantor Proxy, etc.
・・・
Regional
Immigration
Authority

Application for issuanceof Certificate of Eligibility
Examination for
qualifications for landing
conditions

Notify the result

ApplicantSend the Certificate of
Eligibility(Original or copy of paper
COE, or Email)・・・

Applicantor Proxy, etc.

Visa Application（Bring the Certificate of Eligibility (Original or copy of paper COE,
or printed copy of email) and other required documents.）

Japanese Embassy/
consulate, etc.
・・・ Issuance of Visa
Landing Examination
Applicant(Submit the Certificate of
Eligibility (Original or copyof paper COE, or printed
copy of email))

Landing examination by an immigration
inspector at the airport or seaport
Examination Result

Return to homecountry

Permitted

Rejected(Status of residence and its term will be determined.)

At Narita, Haneda,
Chubu, Kansai,
Shinchitose,
Hiroshima, andFukuoka Airports

At the other ports ofentry

Resident card will be
issuedNotification of place of residence atmunicipal offices
Resident card will bemailed to thereported place ofresidence24

(5) Preferential immigration treatment for highly skilled foreign professionals
There are status of residence named “Highly Skilled Professional (i)” for foreign humanresources with advanced and specialized skills ,and “Highly Skilled Professional (ii)” forforeign nationals who stayed in Japan for certain period with the status of residence as “Highly
Skilled Professional (i)”, where the restriction on activities has been substantially loosened andthere is no restriction on period of stay in order to promote more acceptances of highly skilled
foreign nationals who have advanced abilities since those foreign professionals are expected tocontribute to economic growth and creation of new demand and employment in Japan.
Highly skilled foreign professionals’ activities are classified into three as “Advanced academic
research activities”, “Advanced specialized/technical activities”, and “Advanced business andmanagement activities”. The following preferential immigration treatment is granted to nonJapanese scoring 70 points or more based on factors such as educational history, work history,
annual income, research achievements, and so on, and recognized as highly-skilled foreign
professionals.
Highly-Skilled Professional (i)1. Permission for multiple activities during the stay in Japan
Usually, a non-Japanese is only allowed to engage in the activities permitted under a single
status of residence. However, a highly-skilled foreign professional may engage in activities
covered by multiple statuses of residence, such as simultaneously engaging in research
activities at a university and in the management of a business organization related thereto.
2. Grant of the “5 years” period of stay
The longest period of stay legally permitted (5 years) is granted uniformly to highly-skilled
foreign professionals.
3. Relaxation of requirements for grant of the permission for permanent residence concerning
the period of stay in Japan
In principle, in order to obtain permission for permanent residence, a foreign national isrequired to stay continuously in Japan for 10 years or more, but in cases where a foreign
national has engaged in activities as a highly-skilled foreign professional for 3 years, or cases
where a highly-skilled foreign professional, who is deemed as particularly skilled (a person
scoring 80 points or more), has engaged in activities as a highly-skilled foreign professionalfor 1 year, the foreign national will be eligible to apply for permission for permanent
residence.
4. Permission for the spouse of the highly-skilled foreign professional to work
When a foreign national staying in Japan under the status of residence of “Spouse” intends
to engage in activities covered by statuses of residence for work, such as “Instructor, “or“Engineer/Specialist in Humanities/International Services,” he/she must satisfy certain
requirements with regard to academic background, work experience, and the like, andobtain the relevant status of residence. A spouse of a highly-skilled foreign professional may
engage in these activities even if he/she does not have the required academic backgroundor work experience, etc.
5. Permission for bringing the parent(s) to accompany the highly-skilled foreign professional
to Japan under certain conditions
Under the current system, parents of foreign nationals staying in Japan under a status ofresidence for work are not allowed to enter in Japan. However, the parent(s) (including a
non-biological parent) of a highly-skilled foreign professional or his/her spouse is allowed
to enter and stay in Japan subject to conditions detailed below:(i) where the parent will take care of a child younger than 7 years of age of the highly-skilled
foreign professional or his/her spouse; or25

(ii) where the parent will take care of a pregnant highly-skilled foreign professional or to apregnant spouse of a highly-skilled foreign professional
6. Permission for a domestic worker to accompany the highly-skilled foreign professional to
Japan under certain conditions
Only foreign nationals who stay in Japan under statuses of residence such as “Business
Manager,” “Legal/Accounting Services,” etc., may employ foreign domestic workers.
However, a highly-skilled foreign professional may bring a foreign domestic worker toJapan subject to certain conditions.
7. Preferential processing of entry and residence procedures
Applications for entry and stay of highly-skilled foreign professionals are processed more
quickly than others.
Applications for preliminary immigration examination (issuance of a certificate ofeligibility) are scheduled to be processed within 10 days of receipt.
Applications for the examination the status of residence are scheduled to be processed
within 5 days of receipt.
Highly-Skilled Professional (ii)a. In conjunction with the activities "Highly-Skilled Professional (i)" permitted to engage inalmost all of the activities of statuses of residence based on employment
b. Granted an indefinite period of stayc. Eligible for the preferential treatment of the abovementioned 3 to 6
* "Highly-Skilled Professional (ii)" is for foreign nations who have engaged in activities of"Highly-Skilled Professional (i)" for three years or more.
Expansion of Preferential Treatment under the Highly Skilled Foreign Professionals Point
System for the Realization of an International Financial Center Open to the World
Japanese government is aiming to establish the position as an International Financial Center
open to the world, and the following preferential immigration treatment is granted tofinancial professionals:
1. Grant of additional points in the Point-based system
Of the foreign nationals performing the activities listed in “Highly Skilled Professional”(i)- (b) and (c) of the Annexed table I-2, those who perform the business activities
concerning type-II financial instruments business, investment advisory and agency
business, or investment management business stipulated in Financial Instruments andExchange Act (hereinafter “Investment Management Business, etc.”) are eligible for special
additional point (10 points) in the Highly-skilled Professionals Point-based System.
2. Relaxation of requirements for employment of domestic worker
Highly-skilled foreign professionals who engage in the business activities concerning
Investment Management Business, etc. may employ a certain number of domestic workers
who meet certain requirements based on the following annual household income:- 10 million yen or more and less than 30 million yen: 1 person- 30 million yen or more: 2 persons
3. Exceptional measures for “Temporary Visitor Visa”
If registration of Investment Management Business, etc. has been completed during thestay in Japan with “Temporary Visitor Visa”, changing the status of residence from26

“Temporary Visitor Visa” directly to “Highly-skilled Professionals”, “Business Manager”,
etc. is permitted.
4. Preferential processing of entry and residence procedures for spouse of the highly-skilled
foreign professional who intends to work
Spouse of the highly-skilled foreign professional who intends to work is subject topreferential processing of entry and residence as highly-skilled foreign professionals.
(6) New System for Acceptance of Foreign Human Resources
A new status of residence named “Specified Skilled Worker” was established and started on
April 1, 2019 in order to accept experienced foreign human resources with specific expertiseand skills in Specified Industry Fields (12 (formerly 14) Industry Fields).
1. The status of residence “Specified Skilled Worker” has 2 categories: “Specified Skilled
Worker (i)” and “Specified Skilled Worker (ii)”.
(1) “Specified Skilled Worker (i)”: A status of residence applicable to foreigners who workin jobs that require considerable knowledge of or experience in Specified Industry Fields.
- Period of Stay: Renewed annually, every 6 months or every 4 months, for a maximum
stay up to 5 years in total- Skill Standard: Confirmed by exams (those who have completed Technical Intern
Training (ii) are exempt from the exam)- Japanese Language Level: Proficiency in Japanese language used in daily life and at theworkplace confirmed by tests to measure it (those who have completed the TechnicalIntern Training (ii) are exempt from the tests)- Accompaniment by Family Members: Basically not permitted- Supported by Accepting Organizations or Registered Supporting Organizations(2) “Specified Skilled Worker (ii)”: A status of residence for foreigners engaged in jobs that
require proficient skills in Specified Industry Fields.
- Period of Stay: Renewed every 3 years, annually, or every 6 months- Skill Standard: Confirmed by exams- Japanese Language Level: No confirmation by exams, etc. is required- Accompaniment by Family Members: Permitted if he/she meets requirements (Spouse,
Children)- Not supported by Accepting Organizations or Registered Supporting Organizations
2. The following 12 (formerly 14) Industry Fields are specified as Specified Industry Fields:
Care Worker, Building Cleaning Management, Machine Parts & Tooling/Industrial
Machinery/Electric, Electronics and Information Industries, Construction Industry,
Shipbuilding and Ship Machinery Industry, Automobile Repair and Maintenance, Aviation
Industry, Accommodation Industry, Agriculture, Fishery & Aquaculture, Manufacture of
Food and Beverages, Food Service Industry (For Specified Skilled Worker (ii), Construction
Industry, and Shipbuilding and Ship Machinery Industry only.)(7) Foreign Entrepreneurship Activity Promotion Project (known as “Startup Visa”)
The "Foreign Entrepreneurship Activity Promotion Project" is conducted by local governments(Foreign Entrepreneurship Promotion Organizations: hereinafter “FEPO”) who have beencertified by the Ministry of Economy, Trade and Industry for the purpose of expanding theacceptance of foreign entrepreneurs and promoting entrepreneurship. As of May 2024, 18 local
governments, including Osaka city government, have been certified as FEPO.

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In order for a foreigner to operate a business in Japan, he/she needs to obtain a status ofresidence under the category of "Business Manager", which criteria includes such as: Facility for the business must be reserved.
 Employment of two or more full-time employees other than the person engaged in operationor management of the business, or 5 million JPY or more capital or investment is required.
(see (3)-1 Business Manager)
However, in this project, before the above-mentioned criteria are met, a certificate ofconfirmation will be issued by FEPO if such organization confirm that an entrepreneur who
submits a New Business Implementation Plan is expected to fulfill the criteria to obtain statusof residence “Business Manager” within one year.
By submitting this certificate of confirmation and necessary documents to the Immigration andgetting through an inspection process, status of residence "Specific Activities" will be issued for
up to one year (which must be renewed after six months) and an entrepreneur is allowed to
conduct business startup activities.
Please note that eligible business category and required documents, etc. vary by FEPO.
Therefore, please contact with Osaka City's Foreign Enterprise Promotion Support Office fordetailed requirements and application process.
[Osaka City's Foreign Enterprise Promotion Support Office]Osaka Innovation Hub (OIH)
Address: 7th Floor, Grand Front Osaka Tower-C, 3-1 Ofuka-cho, Kita-ku, Osaka 530-0011
Website: https://www.innovation-osaka.jp/ja/oih/ja/startupvisa/ (Japanese);https://www.innovation-osaka.jp/startupvisa/ (English)(8) Digital Nomad VisaIn response to the global proliferation of telework, the status of residence "Designated Activities(for Digital Nomad/Spouse or child of Digital Nomad)" was established for person who work
remotely internationally, and started on April 1, 2024. The main requirements are as follows:- Staying period should not exceed six months in a year
- Must be nationals or citizens of countries/regions which are under the scope of the visa
exemption arrangements and also subjected to Japan's Tax Conventions- Must have an annual income of at least 10 million yen at the time of application- Must hold a private medical travel insurance which covers death, injury, illness during their
stay
Please note that the period of stay to be granted is six months and no extension will be granted.
(9) Resident Card and Resident Record for a Foreign Resident
There is the Resident Card and Resident Record issuance system which is applicable to foreign
nationals residing legally in Japan for the mid- to long-term with resident status under the
Immigration Control Act (hereinafter “mid- to long-term residents”).
Mid- to long-term residents means foreign nationals who do not come under any of thefollowing i) through to vi).
i) Persons granted permission to stay for 3 months or less;ii) Persons granted “Temporary Visitor” status;iii) Persons granted “Diplomat” or “Official” status;

28iv) Persons recognized by Ministry of Justice ordinance as equivalent to the foreign
nationals in the aforementioned i) to iii);v) Special permanent residents; orvi) Persons with no resident status.
① Resident Card
A resident card is issued to mid- to a long-term residents when granted permission pertaining
to residence, such as landing permission, permission for change of resident status andpermission for extension of period of stay. A resident card contains the holder's picture, name,nationality/region, date of birth, sex, status of residence, period of stay, eligibility to work,etc., and the holders are required to carry it with them at all times.
② Resident Record for a Foreign Resident and Individual Number Card (My Number Card)
For foreign nationals to whom issuance of resident card is applicable, Resident Record is
prepared based on “Residential Basic Book Act”, and the foreign nationals are able to obtaina copy of their Resident Record like Japanese nationals.
Foreign nationals to whom issuance of resident card is applicable have obligation to visit themunicipal office where they live and notify the place of residence within 14 days of finding aplace to settle down.
Foreign nationals who stay in Japan for longer than three months can apply and obtain an
Individual Number Card, so-called “My Number Card” in Japanese. (Foreign nationals withthe status of residence of “Temporary Visitor”, “Diplomat” and “Official” are exempted.) The
Individual Number Card is a plastic card with IC chip embedded, and the holder’s name,address, date of birth, sex, and the Individual Number printed on the face of the card.
(10) Re-entry Permit
Foreign nationals who will be re-entering Japan by the expiration date of period of stay orwithin 1 year of their departure, whichever is shorter, are in principle, not required to apply fora re-entry permit.
(11) Permission for Extending Period of Stay
① This permission is required when a foreigner wishes to remain in Japan under the same
status of residence after the originally authorized term of residence has expired. Applications
must be made before the term of residence expires (a foreigner who has a 6 month or longer
authorized term of residence can apply for such permission 3 months prior to the expiration
date.)② A foreigner who applies for permission for extending period of stay before their term of
residence expires may stay in Japan under their current status of residence until theapplication result is issued, or 2 months after the expiration date of the current status ofresidence, whichever comes first, even though the application result is not issued until the
expiration date of the current term of residence.
(12) Change of Status of ResidenceThis permission is required when a foreigner wishes to cease his or her present activity andengage in another activity covered by a status of residence different from the one originallygranted.

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■General Flow of Application for permission for the change of status of residence/extending period of stay
Inside of Japan
Applicant・・・

Application for permission for the change ofstatusApplication for permission for extending
period of stay

Regional Immigration Bureau/Branch/Office which has jurisdiction over applicant’s
residence
Examination result
Change/Extension rejected

Change/Extension permitted

Leave Japan

Procedure for Change/Extension
New Resident Card will be issued
Reside in Japan(13) Sample calculations of the costs of acquiring resident status
Documents
Document submitted to
Application for Certificate of Eligibility (*1)

Cost
Free of charge
Actual expenses

Photos required for Certificate of Eligibility (*2)

incurred

Postage for return mail required for Immigration
Bureau (*3)

694 yen

Articles of incorporation or partnership agreement(photocopies acceptable)

Photocopying expenses

Certified copy of the corporate commercial register(*4)

600 yenBusiness plan (prepared in the home country)
Resume and job experience records (original to be
returned)

Immigration Bureau /Ministry of Justice

Certificate of graduation from a university, etc.
(original to be returned)
Certificate of employment (original to be returned)
Financial statements of the head office (photocopies
acceptable)

Actual expenses
incurred

Articles of incorporation of the head office(photocopies acceptable)
Certified copy of the corporate register of the head
office (photocopies acceptable)
Company brochure (photocopies acceptable)
Product pamphlet (photocopies acceptable)

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Professional service fees for application procedure (*5)

180,000 yen
181,294 yen

Total

Note: Documents to be submitted to the Immigration Bureau, if written in a foreign language, need to be accompaniedby translations. Since the documents required may vary in each case, it is recommended one seek professional
advice.
*1

The application form for the Certificate of Eligibility may be obtained from the Immigration Bureau’s website. If
a foreign non-resident engages in business in Japan as a representative of a branch, a stock company (Kabushiki
Kaisha) or a limited liability company or a partner of a limited liability partnership, he or she must have a
Certificate of Eligibility.

*2

If applying online, submit a photo as data.

*3

A return mail envelope with postage for a registered (express) letter shall be submitted to in order to receive theexamination results. Not required if you receive the Certificate of Eligibility by email.

*4

A certified copy of the corporate register costs 600yen (when issued at legal affairs bureau’s counter).

*5

Professional fees vary depending on the types of professional services required. The figures shown here are thestandard amounts required for an application for one person.

Attorneys or solicitors (Gyoseishoshi) who have notified the Director-General of the relevant
Regional Immigration Services Bureau may submit the application on behalf of the applicant.
Further, attorneys or solicitors who registered online application system may apply online.
If you apply online, you can receive the Certificate of Eligibility by email.

II. BUSINESS START UP- Opening a bank account(1) Company bank account and Personal bank account
A company, a branch, or an LLP is able to obtain a “certificate of company registry(Tokijikoshoumeisho)” as such entity requires registration at the Legal Affairs Bureau.
Therefore, these types of entities can open their own bank account under the name ofcompany, branch, or LLP by certifying their existence in Japan by the certificate aforesaid.
(There is a case that the bank account opening is rejected as a result of examination by thebank. Therefore, prior research and meeting with each bank are recommended. You may
consider applying to several banks.)
On the other hand, a representative office cannot open its bank account under the name of
the representative office as it cannot obtain any public certificate such as a “certificate ofcompany registry (Tokijikoshoumeisho)” certifying its existence in Japan. Only a personalbank account of a representative, etc. can be opened.
(2) Required documents for opening bank accountRequired documents for the opening of the bank account vary by each bank, however,generally the following documents are required to newly open a bank account. You will
be required to bring original documents for a verification purpose, however, submitting“copies” is sufficient enough for the most of the documents.
(i) Certified Copy of Company Registration (issued within the last 6 months)(ii) Corporate Seal Certificate (issued within the last 6 months)(iii) Identification documents of the person who carries out the procedure (e.g. Driver’s
License Card, My Number Card, Passport, etc.) In case, a person other thanrepresentative carries out the procedure, power of attorney is required.
(iv) Documents confirming Beneficial Owner* (e.g. (for Kabushiki Kaisha) List of
Shareholders with the corporate seal, List of Beneficial Owner issued by Commercial
Registry Office, such as Legal Affairs Bureau, etc.)

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(v) Certificate of real estate registration or rental agreement of the office(vi) License certificate (if license is required for business)
In addition to the above listed documents (not limited to those documents) the following
documents might be requested as needed:- Notification of Incorporation (copy)- Application for Approval of Filing a Blue-form Tax Return (copy)- Articles of Incorporation (copy)- Business plan
- Resident card when representative of the company or beneficial owner is a foreign
national
While the law allows to put corporate bank account opening procedures online, most of
the major and local banks ask several visits to their branches when opening a corporatebank account. It takes time for opening a bank account; therefore, it is advised that you
should check required documents by the bank where you wish to open an account inadvance and prepare them ahead of time.
* Beneficial Owner (BO) means a natural person, etc. who is deemed to directly or indirectly hold morethan one-fourth of the total number of voting rights of a corporation.

(3) Foreign bank vs. Japanese bankForeign companies generally prefer to open a bank account at a Japanese branch of foreignbank that deals with their headquarters. However, it is advisable to have at least one bankaccount at a Japanese bank, since using foreign banks is usually inconvenient for dailytransactions, etc. because foreign banks do not have many local branches in Japan (even inTokyo) and are not registered as a national revenue agency which may handle payment ofvarious taxes and social insurance premiums.
(4) Checking account vs. Ordinary accountIn the US, checking accounts are commonly used for general cash disbursements, as checks
are the primary means of payment there. In Japan, however, we make most payments via
cash remittance through ordinary bank accounts rather than checks. Therefore, it isadvisable to open an ordinary account at a Japanese bank.
(5) “Hanko” (Seal)
It is not common to register the signature of the authorized company representative at abank for the purpose of verifying identification like in foreign countries. Instead, we
register a personal seal in the case of a representative office, and register a company’s seal
in the case of a corporation or branch, at the bank. We can withdraw up to a certain amountusing a cash card and ATM, however, if the amount required exceeds certain limits, it may
be withdrawn only with the registered Hanko and a passbook at the bank in person(excluding branchless types such as online banks). The Hanko and the passbook should
be stored separately to avoid unauthorized withdrawals.
(6) Internet Banking
The Internet banking service is available at most financial institutions, however, the service
varies by financial institution (whether it is accessible from overseas, whether there ismultilingual support, etc.). So, please consider and evaluate each service that meets theneeds of your company.
(7) Automatic transfer arrangement
In Japan many companies set up automatic bank transfer arrangements for periodic
payments such as rent, utilities (electricity, gas and water) and telecommunications. When
implemented, an advance notice of the automatic withdrawal is sent to the company forverification purposes together with a receipt for the prior month’s charge.

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- How to find an office location(1) Bilingual real estate agencies
Generally speaking, it is not easy to find an office location without experienced assistance,
as it is quite difficult to understand the terms and conditions of lease agreements. And insome cases, office owners are still reluctant to lease their offices to foreign companies.
(2) Leasehold deposit and key money
A leasehold deposit, and, occasionally, payment of key money are required by a landlord
for renting an office. Key money, a charge that is very common, especially in WesternJapan, is nonrefundable. If a lease agreement states that some or all of the leasehold deposit
is also nonrefundable, the non-refundable portion of the leasehold deposit, as well as the
key money, can be treated as a deferred charge and can be amortized in accordance withJapanese tax law.
(3) Sub-le0ase and social insurance registration
Newly established companies often lease offices from other tenants under subleaseagreements. In such cases, a social insurance office usually requests that you should
register both the main leasing contract and the sub-lease agreement for social insurance
purposes.
- Recruiting(1) Regular employees
There are several ways to recruit a new staff, including: An Employment Service for university graduates, training schools, etc.
 Public employment security office Private employment agency
 Advertisement in the internet job site
 Direct recruiting through personal contact
If you seek a candidate with business experience, professional expertise, or English
language ability, private agencies and the internet job site specializing in foreign-affiliatedcompanies, are effective means.
(2) Temporary staff
It has become popular in Japan to use private agencies to hire temporary or part-time staff.
Some agencies specialize in recruiting staff from specific professions, e.g. secretarial,
clerical, accounting and engineering. One particular benefit of using the staffing service
provided by such agencies is that an employer who uses temporary staff does not have tohandle social insurance and withholding income tax matters, which are taken care of by
the agencies. Therefore, hiring temporary staff from these agencies can be extremely
beneficial in the start-up stage of a company when its payroll function has not been
established.

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