Doing Business in Japan
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Knowledge base on doing business in Japan. Topics: visas and immigration (including the Business Manager visa 経営・管理 and the October 2025 reform), company registration (株式会社/合同会社/個人事業主), taxes, legal issues and cases, documents and procedures (banking, offices, accounting, hiring), useful links and contacts, and other business-relevant topics (culture and mentality, networking, marketing, real estate, lending, insurance).
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Office leasing administration, guarantors, and niche uses
An office lease almost always needs a guarantee company (GTN is the common option); short-term (1-2 month) housing rental for founders is an underserved niche, while Airbnb/Minpaku has been tightly…
For an address-proof document to support a visa application, a freeform letter in Japanese from the property owner works (sample wording: "I have no objection to [applicant's name] establishing a company at my premises"). Setting up utilities (electricity/gas/water) at an office typically only requires the lease itself to be in the company's name, not the utility contracts themselves (not strictly confirmed). With a virtual/shared office, mail delivery and insurance registration can run into problems if the address doesn't correctly include the room/unit number in addition to the building number (a real case). gmo-office.com is recommended as a reliable virtual office provider — mail is received and forwarded properly, notices arrive reliably, banks (despite common fears) generally accept registration at such an address, and it's inexpensive. If mail is returned because there's no intercom, options include arranging redelivery online (not always available for registered/important mail) or picking it up in person at the post office using the QR code on the notice slip, along with an ID document (a business card or similar) proving identity and company affiliation. A guarantee company for office leasing is nearly mandatory for foreigners; GTN is mentioned as the main or only option for foreigners without Japanese friends or permanent residency. The screening process can take a week or more and includes calls to the employer/relatives (sometimes in Japanese, sometimes with foreign-language support); relatives may not be called for an office if a prior housing lease was already approved. The guarantor fee is not a one-off — it runs a few thousand yen monthly (example: roughly 5% of office rent, about 6,000 yen on a 122,000-yen rent), plus an extra month's payment on first approval, plus an annual renewal fee for the office guarantee. Showing personal savings (a statement from a Japanese bank) instead of relying solely on official salary helps get a guarantor approved for an office; realtors may offer a corporate lease as an alternative for "risky" profiles (a young foreign director with a low official salary). An informal "1/3" rule — rent shouldn't exceed a third of monthly income — is used by guarantors/realtors, with some leeway. Being a "young director of a foreign firm with a low salary" is a serious red flag in guarantors'/realtors' eyes when searching for housing or an office, worse than for a regular employee with the same salary. Renting an apartment or office through the company (company lease): an apartment can be rented under the company, with the company itself acting as guarantor — this simplifies approval, especially with a low official director salary; the company can reimburse part of the rent to the employee/director (tax savings), or the director can pay the full rent to the firm with no personal reimbursement, with the firm simply acting as guarantor. A company with solid capital on its books (example: 9.5M capital, 15M balance) inspires more confidence with the guarantor, the management company, and the landlord than the director's personal salary. It is possible to rent housing under the corporation and later convert it to office use with the landlord's agreement. Property bought under a company cannot simply be "re-registered" to an individual without a formal sale and its full tax consequences. Notifying of a change in a company director's address is filed at the Legal Affairs Bureau (Homukyoku, about 10,000 yen in fees), with the tax office notified separately — otherwise there can be problems filing the tax return. Short-term housing rental (1-2 months) for foreigners launching a business is seen by several chat members as a still-underserved market niche in Japan, since the market is geared either to tourists staying a few days or to long-term local rentals; monthly-rental sites like good-monthly.com exist but are overpriced. Airbnb/Minpaku (民泊) in Japan has been heavily regulated since 2018 (a law that cut 90% of listings in a single day), requires numerous licenses and permits (including a fire-safety course), and is almost impossible to run without owning the property (subletting is usually banned by lease contracts); there are many local municipal restrictions (e.g., Shibuya limits tourist housing). For food delivery, a dark kitchen is an option — one example of a kitchen-rental service is kitchenbase.jp. Source: https://www.gmo-office.com/ — Virtual office provider gmo-office.com. Source: https://www.freee.co.jp/kb/kb-launch/ceo_address_change/ — freee guide to the procedure for changing a company director's address. Source: https://www.rethinktokyo.com/2018/06/13/how-legally-host-airbnb-japan-guide — Guide to legal Airbnb hosting in Japan after the 2018 reform. Source: https://kitchenbase.jp/ — Kitchen-rental (dark kitchen) service for food delivery.