BUSINESS IN YOKOHAMA


Kohoku New Town

Chinatown

Yokohama station area

Incentive Programmes for foreign companies

The City of Yokohama has put in place several incentive programmes in order to attract foreign businesses to Yokohama. Please find below a list of these incentive programmes. For detailed information please contact us directly.


Business Location Incentives for Specially Designated Areas

(Construction/Acquisition of offices, etc.)

The City of Yokohama provides subsidies and reduction of city taxes (fixed property tax & city planning tax) to companies moving into specially designated areas and carrying out a business plan which meets certain requirements

Eligibility

Companies that move into specially designated areas and carry out a business plan (establishment of offices, R&D centres and factories) to which is invested more than 1 billion yen (100 million yen in the case of small/medium sized companies)

Incentives

1. City tax reduction
Fixed Property Tax and City Planning Tax: 50% reduction (5 years)

2. Subsidy
If the capital invested to acquire fixed property is more than 5 billion yen (500 million yen for small/medium companies), 8% (10% for R&D center) of the invested capital is subsidised.

Subsidy limit: 1 billion yen (another 1 billion yen for the acquisition of land)



Business Location Incentives for Specially Designated Areas

(Renting of offices – establishment of new headquarters)

The City of Yokohama provides subsidies to companies that lease office space and establish a HQ-equivalent office (including R&D centre) in specially designated areas¹.

Eligibility

This subsidy is open to all industries.

Conditions:

1. To lease office space and establish HQ-equivalent office (including R&D center)

2. To employ 100 employees or more in the new office when setting up the HQ-equivalent office for the first time in Yokohama. Other conditions apply in the case of transfer of headquarters to Yokohama.

3. To have a certain amount of pretax profits for the 3 fiscal years or amount of pretax profit for the fiscal year prior to the application filing date are considered. (The subsidy amount is calculated based on the subsidy standard chart)

Specially Designated Areas

Incentives

An amount equivalent to one half of the corporate inhabitant tax to be paid to the City is subsidized for 3 consecutive years. (Max. 100 million yen per year)



Targeted Industry Programme

This program is open to companies in priority industries designated by the City of Yokohama that are establishing operations anywhere in Yokohama City. It offers such companies financial assistance to partially cover the expenses they incur in establishing their Yokohama operations.

Eligibility

Non-Yokohama companies (Joint-stock company, limited partnership, general partnership, limited private company, joint enterprise or branch office in Japan of a foreign company that does not have its headquarters, branch, sales office, research institute or similar establishment in Yokohama) that meet the following conditions:

1. Companies engaged in an industry related to IT, biotechnologies, images, convention, environment, medical and welfare, high-tech and design. (Please contact us to see whether your company is eligible)

2. A new Yokohama operation must employ one or more people in addition to a representative from headquarters.

3. Companies establishing operations in Yokohama for the first time. These new Yokohama operations must employ at least 5 people or cover a floor area of at least 100 square metres that. Companies must not have headquarters, branch office, sales office or any other operations in Yokohama.

The following types of operations are ineligible to receive this subsidy: factories, warehouses, storage facilities, etc.; and shops, restaurants, bars, etc., the purpose of which is the sale of goods or the provision of services; and representative offices.

Incentives

Six months' rent (Max. 3 million yen)

Please note that if the total value of subsidies applied for exceeds the budget for this program, subsidies to individual companies will be reduced by an amount necessary to keep the program within its budget.
The combined application of this subsidy and other incentive programs by the City of Yokohama is not allowed.



Head-Office Function Transfer Special Subsidy

This program is open to companies that are already operating in Yokohama (but do not have head-office functions in Yokohama) that decide to move their head-office functions into Yokohama.

Eligibility

Companies (joint-stock company, limited partnership, general partnership, limited private company, joint enterprise or branch office in Japan of a foreign company) that already have operations in Yokohama (branches, offices, sales offices, laboratories, etc.) and meet the following 2 conditions:

1. Companies must be engaged in an industry related to IT, biotechnology, images, convention, environment, medical and welfare, high-tech or design.

2. Companies must be transferring head-office functions with a floor area of at least 100 square metres to Yokohama from outside the city.

Please note that the following types of operation are ineligible to receive this subsidy: factories, warehouses, storage facilities, etc.; and stores, restaurants, bars, etc., the purpose of which is the sale of goods or the provision of services. In addition, the total floor area of all the company's Yokohama premises after the transfer of head-office functions must exceed the total floor area of all its Yokohama premises before the transfer.

The "Business Plan Summary" must be submitted to the City of Yokohama before signing a contract to rent premises. Please be sure to contact the Business Development Division before signing the rental contract.

Incentives

Six months' rent (Max. 3 million yen)

Please note that if the total value of subsidies applied for exceeds the budget for this program, subsidies to individual companies will be reduced by an amount necessary to keep the program within its budget.
The combined application of this subsidy and other incentive programs by Yokohama City is not allowed.



General Remarks



Other Incentives

Incentives are also available for artists, creators, businesses, NPOs, etc.

Please contact us for further details.