What is the different between Kabushiki Joto Seigen Kaisha (JSKK) and Kokai Kabushiki Kaisha (KKK)?
The JSKK is also called a Closed KK in English and seems to be the most flexible vehicle for smaller start-ups. Like any other KK, the founders can raise capital from outside investors, offering different classes of shares, yet they can also keep the reporting and compliance work to a minimum. JSKK has the option but are not obliged to have more than one investor, or more than one director. It goes without saying, if there is no board, and then the need for directors meetings and the subsequent reporting is reduced. Further, no statutory auditor is required either, because instead the company can hire an outside CTA (Certified Tax Accountant) to attest to the reliability of books. You also do not need to have an outside audit firm. The KKK also called an “Open” KK in English. This is the company vehicle that most closely resembles the previous standard Kabushiki Kaisha format, and thus carries the weight of tradition as well as corporate governance. It is designed for a strong level of
