Part 5: Frequently Asked Questions and Expert Answers from an Administrative Scrivener
office-babaakiraSeries Theme: Administrative Scrivener’s Guide for Foreign Entrepreneurs on Selecting a Company Name in Japan
Introduction
Choosing a company name is a crucial step for foreign entrepreneurs starting a business in Japan. However, this process often raises various questions and concerns. In this article, we address frequently asked questions (FAQs) about selecting a company name, providing practical advice and legal insights from an administrative scrivener’s perspective.
Q1: Can I use a foreign language in my company name?
A:
Yes, you can use foreign words and Roman letters in your company name. Japan's Companies Act allows the use of non-Japanese characters. However, consider the following:
- Pronunciation and Meaning: Ensure the name is easy for Japanese speakers to pronounce and doesn’t carry unintended negative meanings.
- Legal Risks: Conduct a thorough search to ensure there are no conflicts with existing companies or trademarks.
Q2: Are there any words or expressions I can’t use in a company name?
A:
Yes, there are restrictions. You cannot use:
- Offensive or inappropriate words: Names that violate public order and morals are prohibited.
- Misleading terms: Names that imply affiliation with government entities (e.g., "Police LLC" or "Government Co., Ltd.") are not allowed.
- Identical or similar names in the same location: You cannot register a name that might cause confusion with existing businesses in the same area.
Q3: What should I do if my company name is similar to another company’s name?
A:
If your company name is too similar to an existing one, the Legal Affairs Bureau may reject your registration. Consider the following steps:
- Conduct a Preliminary Search: Check existing trade names through the Legal Affairs Bureau or online registration services.
- Consider Alternatives: Adjust your company name to differentiate it from competitors.
- Consult an Administrative Scrivener: They can assist in conducting name searches and offer advice on avoiding legal conflicts.
Q4: What is the process for changing a company name after registration?
A:
If you need to change your company name, follow these steps:
- Amend the Articles of Incorporation: Pass a resolution at a shareholders’ meeting to approve the new name.
- File a Registration Application: Submit the change to the Legal Affairs Bureau.
- Notify Relevant Authorities and Partners: Inform the tax office, business partners, and banks of the name change.
Q5: How can I choose a culturally appropriate company name for the Japanese market?
A:
To select a name that resonates with Japanese customers:
- Keep it Simple and Memorable: Short, easy-to-pronounce names are more effective.
- Use Positive Imagery: Words like "Sakura" (cherry blossom) or "Genki" (energetic) evoke positive associations.
- Understand Cultural Contexts: Familiarize yourself with Japanese cultural values to avoid names that might be misunderstood.
Q6: Is trademark registration necessary, or is company registration sufficient?
A:
Company registration and trademark registration are separate processes. If you want exclusive rights to your company name as a brand, trademark registration is essential.
- Benefits of Trademark Registration:
- Protects your brand from being used by others.
- Provides legal rights to use the name exclusively.
- Advice: Consult an administrative scrivener or patent attorney to navigate the trademark registration process.
Q7: Is it mandatory to include “Kabushiki Kaisha” or “Godo Kaisha” in the company name?
A:
Yes. According to Japanese law, you must include the legal entity type in your company name. For example:
- "Kabushiki Kaisha" (Co., Ltd.) for a joint-stock company.
- "Godo Kaisha" (LLC) for a limited liability company.
Examples: - ABC株式会社 (ABC Co., Ltd.)
- 〇〇合同会社 (XX LLC)
Summary
Selecting the right company name involves more than creativity—it requires careful consideration of legal requirements, cultural contexts, and business strategy. By understanding the key points and addressing common concerns, you can choose a name that strengthens your brand and ensures legal compliance. Consulting with an administrative scrivener can further simplify the process and provide peace of mind.
In the next and final installment, we’ll cover “Next Steps After Finalizing Your Company Name.”
Next Topic:
“Part 6: Next Steps After Finalizing Your Company Name”
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