A net worth of 50 million yen isn't enough! 6 key points to check when registering a new moneylending business.

If you repeatedly and continuously engage in lending money or mediating the lending and borrowing of money as a business, you are required to register under the Money Lending Business Act.

It's not just typical consumer finance companies that require registration.

Business loans, lending to entities outside the group, and mediating loan agreements may also fall under the category of moneylending, depending on the nature of the business.

Furthermore, even if no interest or fees are charged, repeatedly and continuously providing loans may still constitute moneylending.

Obtaining a moneylending license is not something you can do simply by establishing a company and preparing 5,000 million yen in net assets.

In addition, several other registration requirements must be met before applying, including personnel requirements, branch offices, loan business managers, and internal regulations.

This time, we'll introduce six key points you should definitely check when registering for a new moneylending business.

1. The application destination varies depending on the area where the business office is located.

If you intend to operate a moneylending business and establish your business office or branch within only one prefecture, you must register with the governor of that prefecture.

If you establish offices in two or more prefectures, you must apply for registration with the Director of the Regional Finance Bureau that has jurisdiction over your principal office.

For example, if you have offices only in Tokyo, you will register with the Governor of Tokyo; if you have offices in both Tokyo and Kanagawa prefectures, you will register with the Director of the Kanto Local Finance Bureau.

If you establish a branch office in another prefecture after initial registration, you may need to "transfer your registration" from the governor's registration to the Director of the Finance Bureau's registration.

Therefore, it is important to consider the registration category not only at the time of application but also with future expansion of bases in mind.

2. Net assets must be at least 5,000 million yen.

In order to register as a moneylender,Your net worth must be 5,000 million yen or more.

For corporations, the net asset value is determined based on the balance sheet.

Newly established corporations that have not yet completed their first fiscal year after establishment must submit the balance sheet and other documents prepared at the time of establishment.

　　　　　　　　　　　　　　　　　　　　　　　　　　　　　　For individuals, in addition to a statement of assets including deposits, real estate, and liabilities such as loans, documents such as balance certificates and fixed asset valuation certificates are required.

Furthermore, the requirement of having net assets of 5,000 million yen or more is not something that only needs to be met at the time of registration. It must also be met while operating a lending business.This level needs to be maintained.

3. You will need to secure personnel with experience in lending operations.

When applying for a moneylending business registration as a corporation,Among the executive officers engaged in managing duties, those with more than three years of experience in lending operations.At least one person is required.

　　　　　　　　　　　　　　　　　　　　　　　　　　　　　　　　　　　　　Furthermore, each branch office must have at least one full-time officer or employee with more than one year of experience in lending operations.

If a managing director with more than three years of experience is stationed at a sales office full-time and also meets the requirement of more than one year of experience, they can fulfill both requirements.

If changes in officers or supervisors are planned, you should check in advance the necessary documents for filing a change notification for your moneylending business, along with the registration and internal resolution schedules.

4. A loan officer is required.

Each branch office or branch must have a registered loan officer on staff.

The required number of people are those engaged in the lending business.One or more people for every 50 employeesTherefore, the supervisor is required to be permanently stationed at the relevant branch office.

It's not enough to simply pass the qualification exam; you must also be registered as a loan business manager.

If a supervisor resigns or is transferred to another branch office, the requirements for having a supervisor may no longer be met. It is important to have a system in place not only when applying for registration, but also for personnel management after registration.

5. A registered address alone is not sufficient to be recognized as a business office.

At the sales office,Lease agreement, sublease agreement, owner's or landlord's consent form for useThe applicant must prove that the property can be used as a business office for a moneylending business.

We also require photographs of the exterior, entrance, and interior of the office, as well as a floor plan showing the layout of desks, bookshelves, reception area, etc.

Furthermore, you will need to provide a landline telephone number that can identify the location of your business office. Applications cannot be submitted using only a mobile phone number or other number that cannot identify the business office location.

Therefore, before signing a contract for a branch office, it is necessary to confirm whether it is permitted for use in the moneylending business, whether a separate workspace can be secured, and whether a landline telephone can be installed.

6. The establishment of internal rules and operational systems will also be subject to review.

Lenders are required to establish internal regulations to protect the interests of borrowers and others, and to ensure the proper operation of their lending business.

The registration application requires the submission of internal regulations and organizational charts that correspond to the actual business activities, including application acceptance, credit checks, contract signing, delivery of documents to customers, repayment management, debt collection, complaint handling, personal information management, and dealing with anti-social forces.

It's not enough to simply prepare a template; it's crucial that the content of the application—including the work performed, organization, staffing, and systems used—matches the company's internal regulations.

◆Leave your moneylending business change notification to Support Administrative Scrivener Corporation.

References: Articles 2, 3, and 6 of the Money Lending Business Act; Tokyo Metropolitan Government Bureau of Industrial and Labor Affairs "Outline of Procedures for Registration Application (New and Renewal) of Money Lending Businesses"; Tokyo Metropolitan Government Bureau of Industrial and Labor Affairs "Procedures Based on the 'Money Lending Business Act'"; Osaka Prefecture "Registration Procedures: Flow of Registration Application"; Kanagawa Prefecture "Procedures for New Registration of Money Lending Businesses"; Aichi Prefecture "For Those Who Want to Start a New Money Lending Business"; Aichi Prefecture "Guide to Money Lending Business Registration Application, etc."

　　　　　　　Person in charge: Keiko Watanabe