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General Information on Business in Japan

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I heard that there are some rules for payment in Japan. What are they?

Basically you need to make payment in the month following a month when you purchased something. However, the timing varies depending on the business partner. For example, some large companies make payment in the month after next. Needless to say, this kind of thing should be determined on consultation at the conclusion of a contract, and you are not obliged to follow your business partner’s specified method. A period of about one month from invoicing to payment can be considered normal. In rare cases, small businesses present a period of 2-3 months from invoicing to payment. In this case, you should be careful as such businesses are often struggling in funding difficulties.


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