Japanese Business Glossary

債務超過 (saimu choka) refers to a state of negative net worth or insolvency. This occurs when a company's liabilities exceed its assets, indicating that the company is unable to cover its debts with its available resources.

In practical terms, this situation can lead to significant financial difficulties for the business, including challenges in obtaining credit, potential legal actions from creditors, and possibly even bankruptcy. Managing and resolving this situation typically requires financial restructuring, asset sales, or other strategic measures to restore financial health.

振り替え (furikae) in a business context in Japan generally refers to the transfer of funds or the reallocation of accounts. It is commonly used in accounting and banking.

In banking, furikae can mean transferring money from one account to another within the same bank. In accounting, it refers to the reallocation or adjustment of entries between accounts to reflect accurate financial records. Companies may use furikae to transfer payroll funds or adjust salary payments between different accounts or departments.

収賄 (shuwai), bribery, refers to the act of bribery in Japanese. It involves giving, receiving, or soliciting something of value as a means of influencing the actions of an official or other person in a position of authority. Bribery is illegal and considered a serious crime in Japan, as it undermines the integrity and fairness of public and private institutions.

請求 (seikyuu) is a Japanese term that means "invoice" or "billing." It refers to the act of requesting payment for goods or services provided. In a business context, a 請求書 (seikyuusho) is an invoice document that details the amount owed, the items or services provided, and the payment terms.

In Japan, issuing a seikyuusho is an essential part of the business transaction process, ensuring that all parties are clear on the payment amounts and deadlines.

郵便番号 (yubin bango) refers to the postal code in Japan. It is a numerical code used to identify specific geographic areas for the purpose of sorting and delivering mail. The format of a Japanese postal code is usually a seven-digit number, written as "XXX-XXXX."

For example, 100-0001 is the postal code for Chiyoda, Tokyo, and 160-0022 is the postal code for Shinjuku, Tokyo. The first three digits typically indicate the larger region or city, while the last four digits specify a more precise location within that area.

貸借対照表 (taishaku taishou hyou) refers to a balance sheet in English. It is a financial statement that provides a snapshot of a company’s financial condition at a specific point in time. The balance sheet is divided into three main sections: Assets (資産, shisan), Liabilities (負債, fusai), and Equity (資本, shihon).

Assets list everything the company owns that has value, such as cash, inventory, property, and equipment. Liabilities detail the company’s debts and obligations, such as loans, accounts payable, and mortgages. Equity, also known as shareholder's equity, represents the owner's claims after all liabilities have been settled. It includes items like retained earnings and common stock.

The balance sheet follows the fundamental accounting equation: Assets = Liabilities + Equity. This ensures that the balance sheet remains balanced, reflecting the financial position of the company accurately.