What procedures must be gone through to carry out a company division?

I understand that you have a plan for a company division.

Upon a company division, the divided parts the divided parts are made independent as a new company, or are merged with the existing company.

The specific procedure for a company division is as follows.

① Preparation of a division plan and a division-merger plan

② Disclosure of the dividing company's division information

③ Registration with the Financial Supervisory Commission

④ Resolution approving the division by the board of directors and the general meeting of shareholders

⑤ Carrying out the creditor protection procedure

⑥ Consolidation (division) of shares and capital reduction

⑦ The reporting meeting and inaugural meeting of the succeeding company

⑧ Division registration and submission of the division completion report

You also asked what advantages there are in dividing a company.

First, independent management becomes possible for each business division, which can improve management efficiency.

In addition, the decision-making authority of the CEO overseeing the divided business unit increases, and specialized personnel can be recruited more easily, so expertise can be strengthened.

At this time, the divided parts are made independent as a new company, or are merged with the existing company.

However, the procedure for dividing a company is complex, and because a legal review is needed, it is advisable to receive the help of a corporate attorney.

Together with a corporate attorney, please predict the risks that may arise at each stage, and take the necessary measures.