Planning to establish a Japanese company, subscribe for new shares or acquire an existing business? Foreign investors should assess their obligations under Japan’s Foreign Exchange and Foreign Trade Act (FEFTA) before proceeding.
For AI, software development and information services businesses entering Japan, FEFTA review should be coordinated with the investment structure and company registration timetable.
At Seiwa Legal Office in Tokyo, Emi Suehiro, a Japanese Judicial Scrivener (Shiho-Shoshi) and Administrative Scrivener (Gyosei-Shoshi), supports foreign companies and investors through direct communication in English, Chinese and Japanese.
Prior notification, exemption assessment and company registration—with one professional coordinating the process.
We help overseas founders, headquarters and investors understand the Japanese requirements and plan their next steps.
Can FEFTA Prior Notification Be Exempted?
FEFTA provides a prior notification exemption framework for certain acquisitions of shares and equity interests, subject to eligibility requirements and compliance with the applicable conditions.
An exemption is not available to every investor or transaction. The assessment depends on factors such as the target business, the investor’s characteristics and involvement in management. Post-investment reporting or other obligations may still apply.
The key is to establish which requirements apply to the proposed investment, whether an exemption can lawfully be used, and what must be addressed afterward.
Practical Experience with the Exemption Framework
Seiwa Legal Office recently handled a foreign investor’s investment matter involving the use of the FEFTA prior notification exemption framework.
Our work includes reviewing the business, the investor’s position and intended involvement, and coordinating the appropriate procedure. We consider both necessary filings and available exemptions when supporting a client’s plans in Japan.
Direct English Communication with Overseas Companies
A sound FEFTA assessment requires a clear understanding of the business and investment plan. That often means communicating with overseas headquarters, founders and shareholders.
Emi Suehiro handles these discussions personally in English, Chinese or Japanese. You can explain your plans directly to the professional responsible for the Japanese procedures, without having to arrange a separate interpreter.
We clarify the Japanese requirements, follow up with overseas stakeholders and, where needed, make inquiries to the relevant Japanese authorities.
FEFTA Procedures and Company Registration in One Place
Company formation, capital increases and share acquisitions require careful coordination between FEFTA requirements and corporate procedures.
With qualifications as both an Administrative Scrivener and a Judicial Scrivener, Emi Suehiro supports FEFTA procedures alongside Japanese company formation and capital increase registrations. One professional maintains an overview of the matter and communicates with the parties involved.
Planning an AI or Software Business in Japan?
Contact us while planning your Japanese company, investment or capital increase. We can help assess the required procedures and coordinate them with your business timetable.
FEFTA support, company registration and direct multilingual communication—Seiwa Legal Office supports your entry into Japan.
Contact Seiwa Legal OfficeFiling, exemption and reporting requirements depend on the business, investor, transaction and applicable law. Eligibility is assessed individually; an exemption is not guaranteed.
Official references: Ministry of Finance: Inward Direct Investment Screening · Bank of Japan: FEFTA Q&A