Representative Director in Japan

Why is a local Representative Director in Japan needed?

According to Japanese Law corporations in Japan such as Kabushiki Kaisha used to need at least one representative director who is a resident of Japan. Branches of foreign companies in Japan still need a representative of the branch who is a Japanese resident.
This person does not need to be a Japanese National.

Although having a resident representative director is not needed any more, it is advisable in order to operate smoothly in the Japan market for example for opening a bank account.

What are the advantages of outsourcing the Representative Director in Japan function?

There are 2 main advantages:

Corporate Governance and Risk Management:

If the company names an employee of the company as representative, it may difficult to negotiate a resignation of this person in case of disagreement. This is due to the fact that representative in Japan has a lot of power. Another point is that given his power the representative may commit the Japanese subsidiaries in contracts which are not approved by headquarters. These types of issues happen because it is sometimes difficult for a new company just arriving to Japan to make a good choice of representative from day one.


Representative Director is more heavily taxed than regular employee. For example:
– Bonus are not tax deductible unless strict conditions are met
– Housing is not fully tax deductible

Why choose Eric Perraudin as Representative?

Eric, an ex-Director of PwC, has been representing companies in Japan for more than 7 years and is now representing about 10 entities in Japan. See Eric LinkedIn profile (Some representations are not mentioned for confidentiality reasons)

Eric is supported by JMC which means that even if he is temporarily unavailable, bilingual staff of JMC will be able to help you.

Finally outsourcing services of JMC allow our clients to have a “one stop” place for all the services they need in Japan, including provision of registered address.

Do not hesitate to contact us if you have any question.