Overview

Japanese Business Entity Types

Japanese business entity types include four forms under the Companies Act: stock companies (Kabushiki Kaisha), limited liability companies (Godo Kaisha), limited partnerships (Goshi Kaisha), and general partnerships (Gomei Kaisha), plus Limited Liability Partnerships (LLP) under the LLP Act. Each form has distinct characteristics regarding establishment requirements, liability scope, fundraising methods, and tax treatment, chosen according to business scale and objectives. Stock companies are most common with high credibility, while LLCs offer lower establishment costs and flexible management.

Companies Act business entity stock company LLC LLP corporation startup
code slug name description canGoPublic establishmentCost legalBasis legalPersonality liabilityType minMembers
KK kabushiki-kaisha Stock Company (Kabushiki Kaisha) The most common business entity in Japan that can raise funds by issuing stocks. true Approx. 170,000-250,000 JPY Companies Act true Limited Liability 1
GK godo-kaisha Limited Liability Company (Godo Kaisha / LLC) A flexible business entity established in the 2006 Companies Act reform where investors are also managers. false Approx. 60,000-100,000 JPY Companies Act true Limited Liability 1
LLP llp Limited Liability Partnership (LLP) A partnership form without legal personality but with pass-through taxation. false Approx. 60,000 JPY Limited Liability Partnership Act false Limited Liability 2
GK-KS goshi-kaisha Limited Partnership (Goshi Kaisha) A mixed liability business entity composed of unlimited and limited liability members. false Approx. 60,000 JPY Companies Act true Mixed Liability (Unlimited + Limited) 2
GM-KS gomei-kaisha General Partnership (Gomei Kaisha) The oldest business entity in Japan where all members have unlimited liability. false Approx. 60,000 JPY Companies Act true Unlimited Liability 2

Business entity types available in Japan including stock companies, LLCs, limited partnerships, general partnerships, and LLPs.