companies

The choice between a representative office or branch office is important to understand before making the decision to establish a base of operations in Japan. Establishing a Representative Office is perhaps the simplest way to establish your company’s presence in Japan. A Representative Office allows a foreign company to conduct market surveys, collect information, purchase goods and conduct PR campaigns. However, Representative Offices are not allowed to engage in sales activities. Forming a Representative Office does not require registration but many aspects of business, such as opening a bank account or renting office space, must be conducted by the head […]

There are several choices for foreign companies wishing to establish a subsidiary in Japan: 1. Establishment of a Subsidiary Company 2. Establishment of a Branch Office 3. Registration of a Representative Office. If you are planning on conducting business in Japan, the best choice is often the Joint-Stock Corporation (Kabushiki Kaisha). Kabushiki Kaisha are publicly traded companies and hence, the representative need not be a member of the Kabushiki Kaisha. The liability of members is limited to their contributions in capital, and transfers of shares may be made freely, notwithstanding restrictions in the Articles of Incorporation.

All workers who work in Japan are covered by compensation for accidents sustained at work or accidents sustained while commuting to or from work.  This protection applies equally to Japanese and foreign workers working in Japan.  In cases where an employee is injured while at work, the employee is entitled to receive compensation during his or her absence from work in addition to having his or her medical expenses covered.  This benefit can vary depending on the situation but it should amount to about 80% of the injured employee’s normal salary.  This benefit will start to accrue starting after the […]

In addition to the subsidies, tax breaks and other incentive programs offered by the national Japanese government, the local Osaka prefectural government also offers programs to encourage foreign businesses to establish a presence in the prefecture.  For example, foreign businesses expanding into Osaka can get subsidies of up to 5% off purchases of land for a headquarters building or up to 1/3 off of their rent when renting.  Renovating an old factory or R&D facility can also results in a subsidy.