How much does it cost to open a company in Japan and get an identity?

Mondo Social Updated on 2024-02-27

How much does it cost to open a company in Japan, from 50,000 to 100,000, or even 200,000?

Let's say there's only one person in the company.

1.Office fees.

Generally, it takes about a month to set up a company. Among them, office rent is an important expense, which usually varies depending on the location and the size of the office. In big cities such as Tokyo, the rent for a 10-square-meter house can be between 5 and 80,000 yen a month, and there may be some additional costs such as a deposit, cleaning fee, etc., which should be around 780,000 yen a year in total.

2.Visa and approval fees.

If you are applying for a business manager visa to open a company, you will need to pay the relevant visa and approval fees. Visa approval usually takes six to eight months. The high-talent visa may be a little faster and more expensive at the same time. Priority approval, 2 to 4 months!

Some agencies will recommend a shared office, cheap is really cheap. The kind where many shell companies are registered at one address, if you only want to get a visa, it is not a big problem. However, if you want to grow in Japan in the long run, it is important to renew your visa, and only having a regular office will indeed increase the success rate of renewing and living in permanence!

3.Post-life Annuity: The Post-Life Pension is one of the biggest expenses for starting a company in Japan.

As an employee of a company (even if you are the only one), you are required to pay an afterlife pension according to Japanese law. The exact amount you pay depends on the level of salary you pay yourself. The minimum annual salary is at least 5 million yen.

At this rate, you will need to pay a post-mortem pension of 1.4 million yen.

Finally, add all the costs together and take the median value.

Office 780,000 yen, Pension 1,400,000 yen, Source Tax 70,000 yen, Corporate Tax 70,000 yen, Tax Accountant 300,000 yen, Resident Tax 230,000 yen.

A total of 2.85 million yen, or about 14 yuan20,000 yuan, which is a reasonable cost to open a company in Japan.

If the visa is renewed in the future, there will be additional expenses, which we will discuss in the next issue

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