Japanese Business Glossary

法人成り (hojin nari) refers to the process of incorporating a business in Japan, transforming it from a sole proprietorship or partnership into a corporation (法人, Hojin). This process involves creating a legal entity that is separate from its owners, providing certain legal and financial benefits.

When a business incorporates, it becomes a separate legal entity from its owners. This means the corporation can own property, enter contracts, and be sued independently of its owners, which limits the personal liability of the owners for the business's debts and obligations. Incorporation can also make it easier for a business to raise capital through the sale of shares or by attracting investors, as corporations are often seen as more stable and credible than unincorporated businesses.

Corporations may have access to different tax structures and potential tax benefits compared to unincorporated businesses. For instance, corporate tax rates might be lower than personal income tax rates, and there are more opportunities for tax deductions. Additionally, a corporation has perpetual existence, meaning it continues to exist even if the ownership or management changes, providing more stability and continuity for the business.

However, incorporating a business involves adhering to more stringent regulatory requirements, such as maintaining detailed records, holding regular board meetings, and filing annual reports. While this adds administrative work, it also enhances transparency and accountability.

In summary, hojin nari is the process of incorporating a business in Japan, creating a separate legal entity that provides benefits like limited liability, easier access to funding, potential tax advantages, and greater continuity, along with increased regulatory compliance requirements.

仲値 (naka-ne) refers to the "middle rate" or "median rate" in the context of foreign exchange (forex) trading in Japan. It is the exchange rate set by financial institutions, such as banks, for currency transactions. The naka-ne rate is typically determined based on the average of the bid (buy) and ask (sell) prices of a currency pair.

This rate is important because it provides a standardized rate for currency exchange, ensuring consistency and fairness in the market. It serves as a benchmark rate for setting other exchange rates throughout the trading day. Financial institutions and businesses refer to the 仲値 rate when conducting international trade, setting prices, or converting currencies.

The naka-ne rate is usually set once daily, often in the morning, by major banks based on market conditions at that time. It reflects the general state of the forex market and is adjusted to account for fluctuations in currency values. For importers and exporters, the naka-ne rate provides a reliable reference for pricing goods and services in foreign currencies. It helps in budgeting and financial planning by providing a stable rate for currency conversions.

債務者 (saimusha) refers to a debtor in Japan. This term describes an individual or entity that owes money or has an obligation to repay a debt to another party, known as the creditor (債権者, Saikensha). The debtor is legally bound to fulfill the terms of the debt agreement, which may include repaying the principal amount borrowed along with any interest or fees.

In various contexts, a saimusha can be involved in different types of debt, such as loans, credit card debt, mortgages, or other financial obligations. The relationship between the debtor and the creditor is governed by the terms of the contract or agreement that specifies the repayment schedule, interest rates, and any penalties for late or missed payments.

If a debtor fails to meet their repayment obligations, the creditor has the right to take legal action to recover the owed amount. This might include filing a lawsuit, garnishing wages, or seizing assets, depending on the severity of the default and the applicable laws.

以降 (iko) is a Japanese term that means "from [a certain point] onward" or "after [a certain point]." It is used to indicate a time or position in a sequence after a specific reference point. The term is often used in various contexts to describe events, actions, or conditions that occur or continue after a particular time or event.

For example, it can be used to refer to times, such as "after 10 o'clock" (10時以降, Ju-ji iko), dates, such as "from April 1st onward" (4月1日以降, Shigatsu Tsuitachi iko), or levels, such as "from level 3 onward" (レベル3以降, Reberu San iko).

陳述書 (chinjutsusho) refers to a written statement or affidavit in Japan. This document is used to present facts, statements, or evidence in a formal and organized manner, often within a legal or administrative context. The person making the statement, known as the declarant, signs the document to affirm that the information provided is true to the best of their knowledge.

Chinjutsusho can be used in various situations, including legal proceedings, administrative matters, and business transactions. In legal proceedings, it may be submitted as evidence or testimony, allowing the declarant to provide their account of events. In administrative processes, such as immigration or regulatory compliance, it can provide necessary information or clarify details. In business, it may document agreements, transactions, or statements of fact between parties.

The content of an chinjutsusho typically includes a clear and detailed account of the relevant facts, the purpose of the statement, and any supporting evidence or documentation. The declarant must sign and date the document, and in some cases, it may need to be notarized or witnessed to be considered legally binding.

続面 (zokumen) refers to a continuation sheet or additional page in Japan. This term is commonly used in the context of documents, forms, or reports where additional space is needed to provide more information than can fit on the original page.

In practice, zokumen is used when the content extends beyond the space available on the main document. For example, if a form or report has limited space for answers, explanations, or data, a zokumen allows the writer to continue their input on a separate sheet, ensuring all necessary information is included without overcrowding the original page.

The continuation sheet is usually labeled to indicate its connection to the original document, ensuring that readers understand that it is a direct extension of the initial content. This helps maintain the organization and readability of the document.

In summary, zokumen is a continuation sheet or additional page used in documents, forms, or reports in Japan to provide extra space for information that exceeds the capacity of the original page, ensuring all necessary details are included and maintaining the document's organization.