Japan Kabushiki Kaisha (Joint Stock Corporation)

Because it can either be closed or public, the Kabushiki Kaisha is popular with both startups and large organisations. Healy Consultants assists with all aspects of Kabushiki Kaisha setup, and the following information will help you determine whether this entity is the optimum corporate structure to meet your business objectives.
Advantages of a Kabushiki Kaisha
1.	A Kabushiki Kaisha is an excellent way for entrepreneurs to legally conduct business in Japan, including signing contracts in Japan, retailing goods in the country, importing raw materials and exporting finished products. A Kabushiki Kaisha has a minimum share capital requirement of 1 Yen. However, it is required to increase its capital to Yen10 million (US$109,600) five years after incorporation.
2.	A minimum of one director and one shareholder is required for a Kabushiki Kaisha. Although a resident director or shareholder is not required, a resident company representative is also required. Healy Consultants will provide nominee resident representatives for our clients. Corporate shareholders and directors are permitted and 100% foreign ownership is permitted.
3.	There are few restrictions on the activities of a Kabushiki Kaisha. For example, a Kaibushiki Kaisha can hire staff of any nationality. Corporate shareholders and directors are permitted.
Disadvantages of a Kabushiki Kaisha
1.	A Kabushiki Kaisha is required to submit an annual tax return to the Japanese government.
2.	A Kabushiki Kaisha is liable to a business profits tax of between 29 and 41% on all income. Capital gains are taxed at 30%.
3.	A Kabushiki Kaisha is required to rent office space in Japan, and submit a tenancy agreement prior to incorporation.
4.	Legally incorporating a Kabushiki Kaisha takes up to two months, the longest of any Japanese corporate entity.
5.	A Kabushiki Kaisha is required to appoint an internal auditor.
6.	Following the incorporation of a Kabushiki Kaisha, it can take up to three months to obtain a work permit approval for foreign staff.
Healy Consultants fees for a Kabushiki Kaisha
International entrepreneurs should budget for Kabushiki Kaisha set up fees of approximately US$37,670, depending on corporate structure and range of professional services required.
Contact Us
For more information on a Kabushiki Kaisha, please email email@healyconsultants.com or telephone us in Tokyo at +81 345 801 776.
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