A subcommittee under the Industrial Structure Council, an advisory body to the minister of international trade and industry, urged the government Tuesday to create two laws to better facilitate the creation of new businesses.
In its package of "urgent proposals," the subcommittee also called for stronger, quicker and more expansive protection of intellectual property rights. The package recommends that the government submit the necessary bills to the Diet during the next regular in January.
In its proposals, the subcommittee says the government should create a law to allow the formation of limited partnerships -- organizations of investors with limited liability -- to boost capital flow into new businesses. Current law, which attaches unlimited liability to partners in an investment union, is perceived as one of the discouraging factors in investing in potentially lucrative but risky new businesses.
Another law proposed in the package would promote technology transfer from national institutions to the private sector as a way to better utilize available seeds for new technologies and encourage public researchers to come up with new ideas that can be readily used for businesses.