Since the start of the new Japanese era "Reiwa" in 2019, 682,325 new businesses have been established in Japan over the past five years. This is according to data compiled by Tokyo Shoko Research, and the most commonly used company names during this period were "Assist" with 235 companies and "Link" with 231 companies.

By industry, the service sector accounted for the largest share with 286,874 companies (42.0% of the total). In terms of specific industries, the academic and research, professional and technical service industries, which provide specialized services based on the skills and know-how of managers, had the largest number of companies with 98,828. This indicates that the industry is dominated by industries with low barriers to entry, suggesting a shift in the business ecosystem from a manufacturing-centric to a service-centric model.

By region, Tokyo had the largest number of companies with 206,591 (30.2%), followed by Osaka Prefecture (67,249) and Kanagawa Prefecture (44,061), with over 10,000 companies established in 14 prefectures in major metropolitan areas. On the other hand, Tottori Prefecture had only 1,551 companies, indicating significant regional disparities.

Meanwhile, 1,316 companies went bankrupt during this period, accounting for 0.19% of all "Reiwa" companies. In particular, 691 companies went bankrupt in 2022, the highest number ever recorded, accounting for 7.6% of all bankruptcies that year. The reasons for bankruptcy are attributed to failures in financial management in industries sensitive to economic fluctuations, such as the service sector, as well as failures in initial strategies for newly established businesses.

Through March 2023, the service sector had the highest number of bankruptcies at 626 (47.6%), likely due to low entry barriers leading to poor management. Overall, it appears that a significant number of companies have faced difficulties from the start of their business operations, impacted by the economic recession caused by the COVID-19 pandemic.