Business Setup in Japan

Start Your Business in Japan with Safari Star

Expert Guidance for Seamless Company Formation

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Start Your Business in Japan with Safari Star Expert Guidance for Seamless Company Formation

Japan is the world’s third-largest economy and one of the most technologically advanced nations globally. With its highly skilled workforce, robust infrastructure, and stable legal system, Japan offers a strategic gateway into the Asia-Pacific region. Whether you’re entering the market for trade, innovation, or expansion, Safari Star provides complete support for foreign investors looking to establish and operate a business in Japan.

Why Choose Japan for Your Business?

Advanced, Innovation-Driven Economy

Japan excels in automotive, robotics, electronics, renewable energy, biotech, and digital services. It is a hub for high-tech industries and global R&D.

Gateway to Asia-Pacific Markets

With strong trade agreements and strategic location, Japan connects businesses to China, Korea, ASEAN nations, and the United States.

Strong Legal and Regulatory Framework

Transparent legal systems, intellectual property protections, and low corruption make Japan a secure place for long-term investment.

Government Support for Foreign Businesses

Incentives include:

Subsidies for office space and employment

Visa and immigration support for investors

Startup support programs in key cities like Tokyo, Osaka, and Fukuoka

Steps to Start a Business in Japan

1

Choose the Right Business Structure

The most common business entities for foreign investors are:

  • Kabushiki Kaisha (K.K.) – Similar to a joint-stock company or corporation; widely trusted and used by both Japanese and international companies

    Minimum capital: ¥1 (recommended: ¥5,000,000 or more for visa sponsorship)

  • Godo Kaisha (G.K.) – Similar to an LLC; suitable for small businesses and startups

    More flexible and cost-effective

  • Branch Office – Extension of a foreign company; must register with the Legal Affairs Bureau

  • Representative Office – For market research or liaison; cannot conduct sales or sign contracts

2

Register
Your Business

Safari Star manages the full incorporation process, including:

  • Business name verification

  • Drafting and notarizing Articles of Incorporation

  • Deposit of share capital into a Japanese bank

  • Company registration with the Legal Affairs Bureau

  • Tax registration with the National Tax Agency (NTA)

  • Notification to local Labor Standards Office and Pension Office if hiring staff

  • Application for business permits (if required)

3

Open a Corporate Bank Account

To open a corporate account in Japan, you typically need:

  • Certified company registration documents

  • Representative’s resident card or visa

  • Company seal (registered hanko)

  • Business plan and capital source documentation

  • Safari Star works with major Japanese banks and fintech alternatives to assist with account setup. Initial capital must be deposited in a personal account before company formation, then moved to the company account.

4

Obtain Business Licenses & Sectoral Permits

Certain industries in Japan require additional licenses or regulatory approvals:

  • Import/Export License – Required for trading goods internationally

  • Food Sanitation Permit – For restaurants, food production, or retail

  • Financial Services Licenses – Required for fintech, crypto, and financial advisory businesses

  • Construction or Real Estate Licenses – For businesses in regulated sectors

5

Hire Employees & Comply with Labor Laws

Japan has strict employment regulations, requiring:

  • Register for employment insurance, health insurance, and pension (Shakai Hoken)

  • File with the Labor Standards Inspection Office 

  • Prepare compliant Japanese employment contracts

  • Set up monthly payroll, social contributions, and year-end tax adjustments

6

Understand Taxation & Financial Compliance

Japan’s tax system includes the following obligations:

  • Corporate Income Tax: Effective rate of approximately 30% (includes local enterprise taxes)

  • Consumption Tax (VAT equivalent): Standard rate of 10%, reduced to 8% for food and newspapers

  • Dividend Withholding Tax: 20.42% (can be reduced via tax treaties)

  • Annual Financial Statements: Must be filed with the Tax Office and Legal Affairs Bureau

  • Accounting and Audit: Required for large companies; voluntary for smaller entities

Why Safari Star?

Safari Star offers professional accounting services and compliance support to keep your business on track year-round.

Japan Market Experts

Our multilingual consultants have extensive knowledge of Japanese business, legal, and immigration processes.

Full Business Setup

From company formation to tax filing and HR compliance—we handle it all, locally and remotely.

Visa & Residency Support

We assist with Business Manager Visa applications for foreign owners and investors.

Trusted by Global Clients

Safari Star has helped businesses from over 50 countries enter and thrive in the Japanese market

Professional consultant

Key Industries for Investment in Japan

Technology & Innovation

Robotics, AI, IoT, semiconductors

Fintech & Digital Banking

Supported by open banking reforms

Healthcare & Aging Services

High demand driven by Japan’s aging population

Food & Beverage

Strong interest in international cuisine and premium imports

Renewable Energy & Green Tech

Focus on carbon neutrality and sustainable development

Education & Training

ESL, vocational training, and digital learning platforms are in high demand

Client Testimonials: Hear From
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FAQ's

What’s the best business structure for foreigners in Japan?

The Kabushiki Kaisha (K.K.) is widely recognized and suitable for most foreign-owned businesses.

Do I need to be in Japan to set up a business?

You can incorporate a business remotely through a local representative or with Power of Attorney. However, for visa applications, presence may be required.

Can I sponsor my own visa?

Yes. If you invest at least ¥5 million and establish a legal office, you can apply for a Business Manager Visa.

What are the taxes I must pay in Japan?

You’ll need to pay corporate tax, consumption tax (VAT), local taxes, and handle employee social insurance contributions if hiring.

How long does it take to register a company in Japan?

Typically 3–5 weeks, depending on the business structure, documentation, and banking.

How can Safari Star support my setup process?

We manage every aspect—registration, licenses, visa processing, HR, accounting, and more—so you can focus on running your business.

Schedule a Free Consultation Today

Take the first step toward building your business in Japan.


Let Safari Star handle the legal, administrative, and compliance aspects—so you can focus on strategy and growth.