Company Registry Spotlight: Japan

Company registries play a crucial role in promoting transparency and compliance across financial institutions. In Japan, the Touki System, operated by Japan’s Ministry of Justice (https://www1.touki.or.jp/service/articles_onetime.html), offers valuable information on registered companies. This article delves into the features of the Japan registry, the available company data, the number of registered companies, and the significance of company registries in business KYC (Know Your Customer).

The Ministry of Justice (Touki System) registry serves as a comprehensive platform for accessing accurate and up-to-date information on registered companies in Japan. Its primary objective is to provide stakeholders, including government entities, businesses, investors, and consumers, with easy access to essential company data.

The Ministry of Justice (Touki System) registry is open to the public and does not require any login details. Users can look up the activities of companies by the corporate number or corporate name. The registry offers valuable incorporation documents and corporate data for various entity types. Key entity types listed in the registry include:

• Joint stock company
• Limited Liability Company
• Limited Liability Partnership
• General partnership
• Business Name
• Foreign Company
• Other Corporation

Documents such as the Registry Extract (called Commercial/corporate registration) is available from the registry.

Currently, the Ministry of Justice (Touki System) registry provides comprehensive information on a vast number of registered companies in Japan. As of the latest available data, the registry houses an impressive total of 5,444,285 registered companies (source). This substantial figure reflects the vibrant and diverse business landscape in Japan.

Moreover, in 2020 alone, Japan witnessed the incorporation of 33,411 new companies (source). This marked a notable increase of 8.7% compared to the previous year, highlighting the country’s thriving entrepreneurial spirit and dynamic business environment. These new company registrations accounted for approximately 0.7% of the total number of new companies registered in Japan annually, demonstrating a consistent influx of fresh ventures into the market.

Company registries play a pivotal role in facilitating business KYC compliance for financial institutions and regulated companies globally. Official company registries provide reliable information that enables the verification of clients, suppliers, investors, and partners, ensuring compliance with regulations and mitigating risks associated with illicit activities.

Compliance officers often face the challenge of manually accessing and navigating multiple company registries, which can be time-consuming. To streamline compliance processes, many organizations turn to automated business KYC solutions. These solutions provide real-time access to company registries, including the Japan registry.

Automated  business KYC solutions, such as Know Your Customer, leverage advanced technologies like AI and machine learning to swiftly analyze extensive real-time company registry data. This automation saves time and ensures accurate and efficient data verification, enabling compliance teams to fulfil their regulatory obligations effectively.

The Ministry of Justice (Touki System) registry serves as a valuable resource for accessing company information in Japan. With millions of registered companies and comprehensive data on various entity types, business activities, and pertinent details, the registry plays a crucial role in promoting transparency and supporting compliance efforts. By adopting automated business KYC solutions, businesses can streamline their compliance processes, gain real-time access to reliable information from authoritative sources, and effectively meet regulatory requirements while mitigating risks.