Applying for a Secondhand Dealer License in Japan: A Guide for Foreigners
Are you a foreign national looking to start a business in Japan that involves buying and selling secondhand goods? If so, obtaining a Secondhand Dealer License (古物商許可 – Kobutsu-sho Kyoka) is a mandatory step. This license is crucial for ensuring legal compliance and preventing the trade of stolen items.
What can you do when you obtain a secondhand dealer’s license in Japan?
When you obtain a secondhand dealer’s license in Japan, you gain permission to engage in various business activities related to secondhand goods. Here are three specific examples for each category:
１．Buying and Selling Secondhand Goods:
・You can operate a thrift store or consignment shop, buying and selling used clothing, accessories, furniture, and household items.
・Online platforms for secondhand goods, such as auction websites or resale apps, fall under this category.
・If you’re passionate about vintage items, you could specialize in selling antique jewelry, watches, or collectibles.
２．Exchanging Secondhand Items:
・You can organize swap events or create a platform where people can exchange their used goods directly.
・Consider setting up a community exchange program where participants can trade items like books, toys, or electronics.
・Collaborate with other businesses to create a network for swapping goods, promoting sustainability.
３．Consigning Secondhand Goods:
・Open a consignment store where individuals bring their items for sale, and you handle the selling process on their behalf.
・Focus on high-end fashion or designer items, offering a curated selection to attract discerning customers.
・Explore niche markets, such as vintage vinyl records or retro video games, and build a loyal customer base.
How to apply for secondhand dealer license in Japan
When applying for a secondhand dealer’s license, you need to select the specific items you intend to handle. There are 13 categories to choose from, so pick the ones that align with your business.
The Community Safety Division or the Criminal and Community Safety Division of the police station that oversees the location of your primary business address serves as the point of contact for the application.
Based on the necessary documents, create the application form. Be sure to provide accurate information, including personal details and business specifics.
Submit the completed application form to the local police station and pay the application fee.
Your application will undergo review, and you’ll be notified whether your secondhand dealer’s license is approved or denied.
Essential Documents for Individual Applicants
When applying for a secondhand dealer license as an individual in Japan, you’ll need to prepare several key documents. Accuracy and completeness are vital for a smooth application process.
Here’s a breakdown of the required documents:
- Application Form (古物営業法施行規則別記様式第1号): This is the primary form for your application. You’ll need to accurately fill in details about your business, personal information, and the intended location of your main business establishment.
- Curriculum Vitae (略歴書 – Ryakureki-sho): Prepare a CV that includes relevant information about yourself and the manager of the business establishment. This helps the authorities understand your background and qualifications.
- Resident Certificate (住民票の写し – Jūminhyō no Utsushi): A copy of your Resident Certificate (limited to those that include your registered domicile, or for foreign nationals, your nationality and status of residence, etc.)
- Affidavit (誓約書 – Seiyaku-sho): Both you and the business establishment manager must sign an affidavit. This document declares your commitment to comply with all legal requirements related to secondhand dealing.
- Identification (身分証明書 – Mibun Shōmei-sho): Include a valid identification document for both yourself and the business establishment manager. Acceptable forms of identification typically include passports, driver’s licenses, or other government-issued IDs.
- Proof of URL Ownership (URLの使用権限があることを疎明する資料): If your business involves online operations (e.g., e-commerce platforms), you must provide evidence that you have the right to use the relevant URLs. This document is only required if your business model includes online sales.
Important Note: These documents are critical. Always follow the specific guidelines provided by the local police department or public safety commission. We advise confirming this beforehand.
Application Fees and Non-Refundable Nature
Obtaining a secondhand dealer license requires a fee, and it’s essential to understand the payment process and policies.
- Application Fee: The application fee for a secondhand dealer license is 19,000 yen.
- Where and When to Pay: You will typically pay this fee when you submit your application documents at the counter in charge of secondhand dealer licenses at the police station. In some regions, a stamp (印紙 – inshi) equivalent to the fee may be accepted instead of cash.
- Payment Method: Fees are generally paid in cash directly at the police station counter.
- No Refunds: It is crucial to understand that the application fee is non-refundable, even if your application is not approved. This fee covers the cost of the police examination process. If your application is rejected, you will need to pay the fee again when reapplying.
Therefore, ensure all your documentation is accurate and complete to maximize your chances of a successful application on the first attempt.
Checking the Secondhand Goods Business Act in English
For those who wish to understand the legal framework governing secondhand dealing in Japan, the Ministry of Justice provides an invaluable resource: the Japanese Law Translation Database System.
On this website, you can find an English version of the core legislation:
- Secondhand Goods Business Act (古物営業法 – Kobutsu Eigyō Hō): https://www.japaneselawtranslation.go.jp/en/laws/view/4227
The purpose of this Act, as stated in Article 1, is: “The purpose of this Act is to prevent theft and other crimes and contribute to the prompt recovery of losses, by imposing necessary regulations etc. on operations relating to the secondhand goods business, in order to prevent the sale and purchase of stolen property etc. and to ensure that it is found promptly.”
While the main Act is available in English, please note that related regulations like the “Secondhand Goods Business Law Enforcement Regulations” and notifications regarding revisions may not always have official English translations available on this database.
Important Usage Precautions for Translations: Please be aware of the following crucial points when using the Japanese Law Translation Database System:
- Reference Material Only: The translations are not the original legal texts and may not always be the final revised versions. It is the Japanese laws themselves that have legal effect. Translations are provided solely as reference materials to aid understanding.
- No Responsibility for Problems: The Ministry of Justice cannot be held responsible for any problems that may arise from the use of the translated content. For legal issues, always refer to the Japanese laws and regulations published in the Official Gazette.
- “Tentative Version” Warning: Translations marked with “(tentative)” in their title have not been fully checked and revised by native speakers or legal translation experts and may be subject to future revisions.
Conclusion
Navigating the application process for a secondhand dealer license in Japan can be complex, especially for foreign nationals. Understanding the required documents, fees, and the legal framework is essential for a successful outcome.
For more detailed information or personalized assistance with your application, we highly recommend consulting with an administrative procedures legal specialist (Gyoseishoshi / 行政書士). We can help you ensure all documentation is correctly prepared and submitted, streamlining your application process.
Contact Us: Gyoseishoshi Wada Office in Kyoto City Administrative Procedures Legal Specialist Please contact us via our contact form.
Regarding our fees for the Secondhand Dealer License application, our firm’s fee is 77,000JPY. For foreign nationals, we have set this price due to the larger number of necessary documents required.
※Of this amount, an initial retainer fee of 22,000 JPY is required as an upfront payment. Please note that this retainer fee is non-refundable, even if your application is not approved.
※Please note that this retainer fee is non-refundable, even if your application is not approved.
※Our firm’s fee is separate from the 19,000 JPY application fee paid to the police station.
Our firm will handle the application submission to the police station in Kyoto City on your behalf. However, for foreign nationals, the process can sometimes be smoother if the applicant is present. Therefore, please be aware in advance that we may ask you to accompany us to the police station.
I’d like to explain about the Public Safety Commission, which is the authority that oversees these licenses.
You Need a Public Safety Commission License for Secondhand Dealers
To buy and sell used goods as a secondhand dealer in Japan, you need permission from the Public Safety Commission. This commission is established in each prefecture to ensure the democratic operation and neutrality of the police.
For example, if you’re starting a secondhand business in Kyoto, you’ll need permission from the Kyoto Prefectural Public Safety Commission.
Role of the Kyoto Prefectural Public Safety Commission
The Kyoto Prefectural Public Safety Commission is the organization that manages the Kyoto Prefectural Police. Besides secondhand dealer licenses, it also handles various administrative matters such as:
- Permissions and cancellations for secondhand goods businesses and pawnshops
- Certifications and cancellations for security companies
- Permissions and cancellations for entertainment businesses
- Permissions to possess firearms and swords
- Traffic regulations, driver’s licenses, etc.
As you can see, they make decisions on various permits and regulations that affect your daily life.
Members and Activities of the Kyoto Prefectural Public Safety Commission
The Kyoto Prefectural Public Safety Commission consists of five members with specialized knowledge and social experience. The current members include professionals from diverse fields, such as a company executive, a former Kyoto City Superintendent of Education, a flower arranger, a doctor, and a lawyer. Their term of office is three years, and they can be reappointed.
They hold regular meetings, check the activities of the Kyoto Prefectural Police, and cooperate with public safety commissions in other regions to fulfill their role in maintaining public order.
To apply for a secondhand dealer license, you must submit your application through the police station that has jurisdiction over the location where you intend to establish your business office. This application is then submitted to the Public Safety Commission of that prefecture.