A yūgen gaisha (有限会社, "limited company"), abbreviated in English as "Y.K." or "Co., Ltd.", was a form of business organization in Japan.[1]
Yūgen gaisha were based on the GermanGesellschaft mit beschränkter Haftung and were implemented in Japan in the Limited Company Act (有限会社法, Yūgen gaisha hō) of 1940. The Companies Act of Japan, implemented on May 1, 2006, replaced the yūgen gaisha with a new form of company called gōdō gaisha, based upon the American limited liability company. Following the implementation, no new YKs were allowed in Japan, but pre-existing YKs were allowed to continue their operations as kabushiki gaisha under special rules.[2]
Whether the term is pronounced as yūgen gaisha or yūgen kaisha is up to the local dialect or the company's preference when it is part of the company's name. While it is pronounced yūgen gaisha in standard Japanese, the alphabetic abbreviation is always Y.K. by standard.
Structureedit
As of 2005, a Y.K. can have up to 50 investors, called members (社員, shain). The members were required to provide at least ¥3 million in capital contributions, with each investment unit (持分, mochibun) valued at no less than ¥50,000. The minimum capital amount was much more permissive than the ¥10 million minimum for a kabushiki gaisha. A Y.K. was also not required to issue certificates for investment units, whereas stock certificates were required for a K.K.
Unlike a K.K., a Y.K. does not need to have a board of directors or statutory auditors: the minimum requirement is one director (取締役, torishimariyaku).
Because of its simplified structure and relatively lax incorporation requirements, the Y.K. form is associated with small businesses. However, some larger companies have used the form: ExxonMobil's principal Japanese subsidiary, for instance, is a Y.K. with paid-in capital of ¥50 billion (US$420 million).[3] In addition to simplified corporate governance, a Y.K. receives some tax benefits under foreign laws such as the U.S. Internal Revenue Code.
Referencesedit
^Yahoo! JAPAN. "Yahoo! JAPAN dictionary entry for "Co., Ltd."". Dic.yahoo.co.jp. Retrieved 2012-08-01.
^Japan: SPCs under company law - Abolishment of YK Law
^ (in Japanese). Archived from the original on March 30, 2007.
May 02, 2024
yūgen, gaisha, yūgen, gaisha, 有限会社, limited, company, abbreviated, english, form, business, organization, japan, were, based, german, gesellschaft, beschränkter, haftung, were, implemented, japan, limited, company, 有限会社法, 1940, companies, japan, implemented, 2. A yugen gaisha 有限会社 limited company abbreviated in English as Y K or Co Ltd was a form of business organization in Japan 1 Yugen gaisha were based on the German Gesellschaft mit beschrankter Haftung and were implemented in Japan in the Limited Company Act 有限会社法 Yugen gaisha hō of 1940 The Companies Act of Japan implemented on May 1 2006 replaced the yugen gaisha with a new form of company called gōdō gaisha based upon the American limited liability company Following the implementation no new YKs were allowed in Japan but pre existing YKs were allowed to continue their operations as kabushiki gaisha under special rules 2 Whether the term is pronounced as yugen gaisha or yugen kaisha is up to the local dialect or the company s preference when it is part of the company s name While it is pronounced yugen gaisha in standard Japanese the alphabetic abbreviation is always Y K by standard Structure editAs of 2005 a Y K can have up to 50 investors called members 社員 shain The members were required to provide at least 3 million in capital contributions with each investment unit 持分 mochibun valued at no less than 50 000 The minimum capital amount was much more permissive than the 10 million minimum for a kabushiki gaisha A Y K was also not required to issue certificates for investment units whereas stock certificates were required for a K K Unlike a K K a Y K does not need to have a board of directors or statutory auditors the minimum requirement is one director 取締役 torishimariyaku Because of its simplified structure and relatively lax incorporation requirements the Y K form is associated with small businesses However some larger companies have used the form ExxonMobil s principal Japanese subsidiary for instance is a Y K with paid in capital of 50 billion US 420 million 3 In addition to simplified corporate governance a Y K receives some tax benefits under foreign laws such as the U S Internal Revenue Code References edit Yahoo JAPAN Yahoo JAPAN dictionary entry for Co Ltd Dic yahoo co jp Retrieved 2012 08 01 Japan SPCs under company law Abolishment of YK Law 起業家支援事務所のブログ in Japanese Archived from the original on March 30 2007 Retrieved from https en wikipedia org w index php title Yugen gaisha amp oldid 1198221305, wikipedia, wiki, book, books, library,
