Navigating Japan’s Secondhand dealer licenses

September 26, 2023

Have you ever dabbled in selling your pre-loved items like clothes or appliances at auctions in Japan? With the surge in online transactions, the secondhand goods market is booming and projected to grow even more in the Land of the Rising Sun. But here’s the catch – for safe and legal transactions, some cases demand a secondhand dealer license. Let’s delve into the ins and outs of acquiring this license to kickstart your secondhand goods venture in Japan.

To initiate an antique business in Japan, securing an antique dealer’s license is essential. While the process involves gathering necessary documents and applying at the local police station, certain prerequisites should be on your radar.

What exactly constitutes antique dealings in Japan? In essence, it encompasses three transaction types:

1. Antique Dealers: Engaged in buying, selling, or exchanging secondhand articles either independently or on behalf of others.
2. Antique Marketers: Operate markets facilitating the sale, purchase, or exchange of antiques among dealers.
3. Antique Auction Mediation: Mediating between buyers and sellers through auctions, specifically defined by Cabinet Orders, including electronic data processing system auctions.

Now, let’s pinpoint what qualifies as “secondhand articles” under Japan’s Secondhand Articles Dealer Act, broadly categorized into:

1. Once-Used Items
2. Goods Intended for Use, Though Not Used Yet
3. Items Requiring Care Despite Being Used

The Enforcement Regulations of the Secondhand Articles Dealer Law in Japan further classify these articles into 13 distinct categories:

1. Art works (paintings, calligraphies, sculptures, handicrafts, etc.)
2. Clothing (kimonos, Western-style clothing, and other apparel)
3. Watches and jewelry (watches, glasses, jewelry, ornaments, precious metals, etc.)
4. Motor vehicles (including parts thereof)
5. Motorcycles and motorized bicycles (including parts thereof)
6. Bicycles (including parts thereof)
7. Photographic equipment (photographic equipment, optical equipment, etc.)
8. Office equipment (cash registers, typewriters, calculators, mimeograph machines, word processors, facsimile machines, office computers, etc.)
9. Machinery and tools (electrical machinery, machine tools, civil engineering machinery, chemical machinery, tools, etc.)
10. Tools (furniture, household goods, sports equipment, musical instruments, magnetic recording media, phonograph records, objects recording sounds, images or programs by magnetic or optical means, etc.)
11. Leather and rubber products (bags, shoes, etc.)
12. Books
13. Money certificates (meaning gift certificates, train tickets, postage stamps, and vouchers and other objects prescribed in the items of Article 1 of the Order for Enforcement of the Secondhand Articles Dealer Act (Cabinet Order No. 326 of 1995))

Ensuring that your intended business in Japan aligns with these categories and confirming that your directors or managers meet the license eligibility criteria is paramount. Once validated, gather the necessary documents and apply at the local police station in Japan, typically supervised by a designated secondhand articles team. Pro tip: Booking an appointment in advance expedites the process.

Post-application acceptance in Japan, the permit issuance timeline averages 40 to 60 days, varying by prefecture. Upon successful issuance, the police station notifies you, culminating in the completion of the procedure. This encapsulates a broad overview of antique articles and the licensing process in Japan. Stay tuned for our upcoming article, diving deeper into permit prerequisites and crucial considerations when starting a secondhand goods business in Japan.