Business Support in Tokyo

Starting a Business in Japan

Japan offers excellent opportunities for foreign entrepreneurs. Oak Admin provides comprehensive support to help you establish and grow your business in Tokyo and throughout Japan.

Our Business Support Services

• Company Registration: Complete incorporation services for KK, GK, and other entity types
• Business Manager Visa: Visa applications for entrepreneurs and business owners
• Office Setup: Assistance finding office space and virtual office solutions
• Bank Account Opening: Support with corporate bank account applications
• Business Licenses: Application for required permits and licenses
• Ongoing Compliance: Annual filings and regulatory requirements

Why Tokyo?

• World's largest metropolitan economy
• Access to Japanese and Asian markets
• Strong infrastructure and technology
• Skilled workforce
• Government support for foreign investment

Business Entity Types

Common business structures for foreign entrepreneurs in Japan:

• Kabushiki Kaisha (KK): Stock company, most recognized structure
• Godo Kaisha (GK): Limited liability company, simpler setup
• Branch Office: Extension of foreign parent company
• Representative Office: For market research (no business activities) - see our market entry guide

The Setup Process

• Step 1: Business planning and entity type selection
• Step 2: Prepare articles of incorporation
• Step 3: Notarization and registration
• Step 4: Open corporate bank account
• Step 5: Apply for Business Manager Visa
• Step 6: Obtain necessary licenses and permits

Learn more about company incorporation →

View business license requirements →

Common Mistakes to Avoid When Starting a Business in Japan

Many foreign entrepreneurs run into preventable problems during the setup process. Here are five of the most common mistakes we see, and how to avoid them.

1. Not Planning Visa and Business Setup Together

Your immigration status and your company registration are closely connected. The Business Manager Visa (Keiei Kanri visa) has specific requirements around capital, office space, and business viability. If you incorporate your company without considering the visa criteria, you may end up with a structure that does not qualify. Always plan your company incorporation and Business Manager Visa application as a single coordinated process.

2. Underestimating Startup Costs

Registration fees are only the beginning. Beyond the government costs for incorporating a Kabushiki Kaisha (KK) or Godo Kaisha (GK), Business Manager Visa applicants must demonstrate a total investment of at least 30 million yen (approximately USD 200,000) covering capital, office costs, equipment, salaries, and operating expenses. Entrepreneurs who arrive without adequate funding often find themselves unable to proceed with the visa application. Check our fees page for a transparent breakdown of professional costs.

3. Skipping License Requirements

Japan requires specific licenses and permits (kyoka and todokede) for a wide range of business activities, from food service to second-hand goods sales. Operating without the proper permits can result in fines, forced closure, or complications with your visa renewal. Before you begin operations, confirm exactly which business licenses and permits your industry requires. If you plan to sell alcohol, review the alcohol beverage seller license process early.

4. Not Setting Up Proper Accounting from the Start

Japanese tax law requires companies to maintain detailed bookkeeping records (chobo) from the date of incorporation. Waiting months to organize your finances makes tax filings difficult and can raise red flags during audits or visa renewals. Set up a proper accounting system from day one, track every expense with receipts, and consider engaging a tax accountant (zeirishi) early in the process.

5. Trying to Use a Personal Bank Account for Business

Using a personal bank account for business transactions is a common shortcut that creates serious problems. Japanese banks, the tax office (zeimusho), and immigration authorities expect a clear separation between personal and corporate finances. Mixing funds can complicate your tax filings, undermine your visa application, and make it nearly impossible to demonstrate genuine business activity. Open a corporate bank account (hojin koza) as soon as your company is registered.

Frequently Asked Questions About Starting a Business in Japan

What are the first steps to starting a business in Japan as a foreigner?

The first steps are to decide on your business structure (Kabushiki Kaisha or Godo Kaisha are the most common), develop a solid business plan, and determine your visa pathway. Most foreign entrepreneurs will need a Business Manager Visa (Keiei Kanri visa), which requires a registered office, a total investment of at least 30 million yen, at least one full-time employee, a professionally assessed business plan, and management experience or an advanced degree. Working with an administrative scrivener (gyosei-shoshi) from the start ensures your company setup and visa application are aligned.

Do I need a visa before starting a business?

You do not need a visa to incorporate a company in Japan. Foreigners can register a Kabushiki Kaisha (KK) or Godo Kaisha (GK) without being a resident. However, you will need a Business Manager Visa (Keiei Kanri visa) to live in Japan and manage day-to-day operations. Many entrepreneurs incorporate the company first and then apply for the visa, since having a registered business strengthens the application. Learn more about the company incorporation process.

How much does it cost to set up a company in Japan?

Government fees for incorporating a Godo Kaisha (GK) start at around 60,000 yen, while a Kabushiki Kaisha (KK) costs approximately 200,000 to 250,000 yen in registration tax and notary fees. Beyond registration, Business Manager Visa applicants must demonstrate a total investment of at least 30 million yen (approximately USD 200,000) covering capital, office costs, equipment, salaries, and operating expenses. Total startup costs depend on your business type and location. See our fees page for professional service pricing.

Can I run a business remotely from outside Japan?

You can own a Japanese company while living abroad, but you will need a resident representative (daihyo) in Japan to handle official duties. Without a Business Manager Visa, you cannot manage the company from within Japan. Some entrepreneurs appoint a trusted co-founder or representative director who holds a valid residence status. Keep in mind that tax obligations and compliance filings still apply regardless of where you are located.

What ongoing compliance requirements do Japanese companies have?

Japanese companies must file annual corporate tax returns (hojin zei shinkoku), consumption tax returns if applicable, and withholding tax reports. Companies with employees must also handle social insurance (shakai hoken) enrollment, labor insurance, and year-end tax adjustments (nenmatsu chosei). Additionally, any changes to directors, address, or articles of incorporation must be registered with the Legal Affairs Bureau. Maintaining proper bookkeeping from day one is essential for staying compliant.

Do I need to hire employees to get a Business Manager Visa?

Yes, hiring at least one full-time employee is now mandatory for the Business Manager Visa (Keiei Kanri visa). The employee must be a Japanese national, permanent resident, or long-term resident of Japan. This requirement is in addition to the 30 million yen total investment. The employee demonstrates that the business has genuine operational substance and contributes to the local economy.

What licenses or permits might my business need?

The licenses you need depend on your industry. Restaurants require a food sanitation license (shokuhin eisei kyoka), bars and liquor shops need an alcohol beverage sales license (shurui hanbai gyou menkyo), real estate agencies require a broker license, and businesses handling used goods need an antique dealer permit (kobutsu sho kyoka). Some activities require notification to the local ward office or a specific ministry. Review our full guide to business licenses and permits for more details.

How long does the entire process take from planning to operating?

The timeline varies, but a typical process takes three to six months. Company incorporation itself can be completed in one to two weeks. Opening a corporate bank account takes two to four weeks. A Business Manager Visa application is processed in one to three months. If your business requires additional licenses or permits, add two to eight weeks depending on the type. Planning ahead and having all documents ready can significantly shorten the overall timeline.

Related Services

Oak Admin provides end-to-end support for foreign entrepreneurs in Japan. Explore our related services to find the help you need at every stage of your business journey.

• Company Incorporation in Tokyo — Full registration support for Kabushiki Kaisha (KK) and Godo Kaisha (GK), from articles of incorporation to Legal Affairs Bureau filing.
• Business Manager Visa — Visa application and renewal assistance for entrepreneurs who need the Keiei Kanri residence status to operate a business in Japan.
• Business Licenses and Permits — Guidance and application support for industry-specific licenses, including food service, construction, and used goods dealing.
• Alcohol Beverage Seller License — Specialized support for obtaining a liquor sales license (shurui hanbai gyou menkyo) for retail, wholesale, or online alcohol sales in Japan.
• Highly Skilled Professional Visa — If you qualify under Japan's points-based immigration system, this visa offers faster permanent residence and other benefits for business owners and professionals.

View our full fee schedule →