A general partnership, known in Japanese as a Godo kaisha, is similar to the limited liability company in the U.S. or the GmbH in Germany. The general partnership in Japan is a legal entity which is able to effectuate all normal business activities and has a more flexible structure than the joint stock company. Our company formation consultants in Japan can help you open such a company in Japan.
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Incorporation procedure for starting a general partnership in Japan
In order to open a general partnership in Japan, the following incorporation procedure has to be effectuated:
- • Preparing the articles of incorporation: in case the member represents a foreign entity, the articles of incorporation have to be signed by the representative of the foreign entity. The qualification of the representative also has to be prepared;
- • Paying the capital subscription by the members;
- • Determining the executive members and the representative ones: their address can be outside of Japan;
- • Applying for the establishment of a company with the Legal Affair Bureau;
- • Acquiring a certified copy of the Commercial Register, etc: Our experts in company formation in Japan can offer further information on this matter;
- • Reporting the establishment of the entity to the appropriate ministers through the Bank of Japan;
- • Setting up a corporate account with a commercial bank;
- • Reporting the establishment of the entity to the Tax Authorities and the appropriate local government.
Characteristics of a general partnership in Japan
Mainly, the investor or investors of a general partnership in Japan have to individually do business and represent the corporation.
This implies that the owner or owners of such a business entity have to manage the business. It is possible, though, to effectuate activities and choose a representative from the executive investors. Our Japan company formation advisors can offer more information on this subject.
Even if it is named a general partnership, such company can be established by a sole owner. The general partnership in Japan is a combination of limited liability of investors and a flexible company structure.
In a general partnership, the liability of the partners is a key aspect. However, for foreign nationals who wish to enter into such a business venture, the aspect of obtaining and maintaining Japanese residency is also a key component. Our team can give you more details about the types of visas and residence permits available to foreign nationals and will provide guidance on application according to your nationality.
If you need to know more about setting up a general partnership in Japan, we invite you to speak to one of our company formation representatives in Japan.