THE FUNDAMENTALS

Financing

The reason many places close down is not due to a lack of motivation or work ethic, it's due to a lack of understanding about the finances of the business.

We cannot emphasize this enough, "YOU HAVE TO KNOW YOUR NUMBERS"

Starting out, it can prove extremely difficult to know the numbers without prior experience in the field. This is not where you want to play "trial and error." You need to know what to spend money on and what not to spend money on. You need to understand the cost and value of every aspect of your business.

We wrote a popular short blog piece about the importance of knowing your numbers at this link; https://www.japanhospitalityconsultants.com/post/costsofopeningaplaceinjapan

In our first consultation we will go over YOUR numbers in great detail to avoid becoming just another statistic. We will also walk you through the process of applying for a business loan with the paper work translated into English.

Visa

It goes without saying that you will have to obtain the appropriate visa to open your own establishment.

Every application is different and is treated accordingly. So, what might have worked for someone else might not necessarily work for you. There are different types of visa that can apply to set up their own company: Permanent Residence, Spousal Visa and Long Term Resident Visas holders can register a company.

If none of the above applies to you then you may be able to obtain a Business Investor Visa.

Company Establishment

There are three different ways you can establish your company: Kojin Jigyo (Sole Proprietorship), Godo Kaisha (Limited Liability Company) or Kabushiki-Kaisha (Incorporated Public Company).
It's essential to familiarize yourself with each category and understand the subtle differences between them.

The structure of your company will depend on what size you envision your company growing to. You must also take into consideration how your company will be received by potential food and beverage suppliers. Choosing the appropriate structure of your company is a vital decision, and there are many aspects to consider.
However, it has never been easier or more affordable than right now to establish a company in Japan.

Contact us for further details and assistance with establishing your company.

Location

There are two types of rental spaces that you can possibly use: Inuki Bukken or Skeleton Bukken. Inuki Bukken is a location that has previously been used as a food and beverage establishment. There are plenty of these available in Japan. They will usually come with bathrooms, air conditioners, sinks, bar counters and other equipment already fitted. However, you may get asked to pay a fee to the previous owner for this equipment.

Skeleton Bukken is exactly what it sounds like; an empty space for you to completely design your own creation. Skyscrapers will usually leave the bottom floors available to rent for the purpose of hospitality businesses.

However, the competition for these spaces can be fierce as you have floors of office workers right on your doorstep, which will also be reflected in the rental cost.

Skeleton Bukken will also cost you more to set up compared to an Inuki Bukken, as you are starting from scratch.

Whichever type of property you choose to rent, we recommend having a general idea of the size of space you can afford, and which area of the city will reflect your business model.

Contact us to save time and narrow down your search for the perfect location.

Licenses

There are at least 3 different types of licenses you will require in order to operate a food & beverage establishment: a Business License, a Food Hygiene License, and a Fire Prevention Safety License.

A Business license is inexpensive and easy to obtain. This license is issued to the business.

The Fire Prevention Safety License and the Food Hygiene License are issued to individuals. Obtaining these licenses will require taking a 1-2 day course in Japanese, however, any staff member can take the course and obtain the license. This can prove helpful if you are worried about your Japanese language skills.

Advanced Consultation

If you have already completed the five steps above, well done! Contact us if you need assistance with the following:

Writing up a business plan

Introduction to food & beverage suppliers, interior designers, accountants, immigration lawyers etc.

Marketing

Managing your overheads and day to day running costs

Translation

Send us a email and we will get back to you within 48 hours.

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