A Comprehensive Guide to Obtaining a Simple Lodging Business License in Osaka City
With the Osaka-Kansai Expo 2025 on the horizon, Osaka stands as an international city drawing travelers from around the world. For those looking to launch a full-scale accommodation business (minpaku) that can operate 365 days a year in this city, the ultimate business license is the **”Simple Lodging Business” (Kan-i Shukusho Eigyo) license under the Hotel Business Act**.
However, the path to obtaining this license is a highly specialized and intricate process, involving multiple government agencies and overlapping laws. So where should you even begin?
Let’s start with the conclusion of this article.
The key to smoothly and reliably obtaining a Simple Lodging Business license in Osaka City is to visit three government offices—(1) the Public Health Center, (2) the Fire Department, and (3) the City Planning Department—for “preliminary consultations” at the very earliest stage, before signing a property contract or beginning any construction. This allows you to accurately grasp the overall scope of the project and the hurdles ahead.
In this article, we’ll comprehensively walk you through the specific “flow” toward obtaining your license in 8 clear steps, so you can navigate this challenging path with confidence.
Why Should You Aim for “Simple Lodging” Status in Osaka?
Osaka City has established strict “supplementary ordinances” on top of the Minpaku Business Act (the New Minpaku Law), such as restrictions on weekday operations near schools. As a result, operators often can’t even fully utilize the standard 180-day annual limit, making profitability as an investment extremely difficult.
To capture the ever-growing accommodation demand heading into the Expo and maximize revenue year-round, obtaining a “Simple Lodging” license—which allows for 365-day operation—has effectively become a must-have requirement.
[Complete Roadmap] 8 Steps to Obtaining a Simple Lodging License
STEP 1: [Strategy] Business Planning and Property Selection
- What to do: Solidify your business concept—who your target guests are and what kind of guest experience you want to offer. Then, search for a property that can bring this concept to life. The most critical point at this stage is identifying “properties that are likely to qualify for a Simple Lodging license.” Specifically, you need to narrow your search to areas that meet the “zoning” conditions discussed below.
STEP 2: [Most Important] “Preliminary Consultations” with Three Government Offices
This is the single most important step, one that will determine the success and timeline of your entire project. Before signing a property contract or starting design work, be sure to bring the property’s floor plans and elevation drawings and visit the following three offices:
- (1) Public Health Center (Public Health and Sanitation Inspection Office): Consult on whether the facility’s structural specifications (guest room size, front desk, number of toilets, etc.) meet the standards required under the Hotel Business Act.
- (2) Fire Department (Fire Prevention Division): Receive guidance on what additional fire safety equipment (automatic fire alarms, emergency exit signs, etc.) will be required to operate a Simple Lodging facility at that property, based on the Fire Service Act.
- (3) City Planning Department (Planning Coordination Bureau, etc.): Get final confirmation on whether hotel/lodging business is permitted in the property’s “zoning district” under the Building Standards Act and City Planning Act, including whether road access requirements are met.
STEP 3: Assembling Your Expert Team and Financial Planning
- What to do: To resolve the challenges identified during your preliminary consultations, assemble a trusted team of experts experienced in Simple Lodging license applications.
- Administrative Scrivener (Gyoseishoshi): A professional in navigating complex application procedures.
- Architect: An expert in creating legally compliant design drawings and handling building confirmation applications.
- Fire Equipment Specialist / Construction Company: Experts in installing fire safety equipment and carrying out renovation work. Together with your expert team, itemize all necessary construction and application costs, and create a detailed financial plan including any financing.
STEP 4: [Design] Creating Legally Compliant Construction Plans
- What to do: With the architect taking the lead, create the final “construction drawings” that incorporate all the guidance received from the three government offices. All legal requirements—guest room size, evacuation routes, placement of fire safety equipment, and more—must be reflected in these drawings.
STEP 5: [Construction] Fire Safety Equipment Installation and Renovation
- What to do: Based on the completed construction drawings, the construction company carries out interior renovations and installs fire safety equipment. Throughout this process, the architect and design team rigorously check (supervise) that all work is being done according to the drawings and in compliance with legal standards.
STEP 6: [Application] Formal Application to the Public Health Center and Fire Department
- What to do: As construction nears completion, the administrative scrivener takes the lead in preparing an extensive and highly technical set of application documents, which are submitted to both the Public Health Center and the Fire Department. For the Fire Department, this means applying for a “Certificate of Fire Code Compliance”; for the Public Health Center, it means submitting a “Hotel Business License Application.”
STEP 7: [Inspection] On-Site Government Inspection
- What to do: Once construction is fully complete and the application documents have been accepted, representatives from the Public Health Center and the Fire Department will each visit the facility on separate days to conduct on-site inspections. They will rigorously check—using measuring tools and other equipment—whether the facility has been built exactly as described in the submitted documents and drawings, and whether it satisfies all legal standards.
STEP 8: [License] License Issuance and Launch of Operations
- What to do: If no issues arise during the on-site inspections, the Fire Department will first issue a “Certificate of Fire Code Compliance.” This certificate is then submitted to the Public Health Center, and after a final review, the “Hotel Business License” is finally issued. Once this license is displayed in a visible location at the facility, you can officially and legally begin operations.
Estimated Timeline and Costs for Obtaining a License
- Timeline: From the initial preliminary consultations to the issuance of your license, you should plan for a minimum of 3 months even if things go smoothly—though 6 months to 1 year is more typical, depending on the property’s condition and the scale of construction required.
- Costs: In addition to property acquisition and renovation costs, you should budget at least ¥500,000–¥1,000,000 or more for application-related expenses (administrative scrivener and architect fees, fire equipment costs, etc.) as part of your overall business plan.
Conclusion: Planning and Expertise Are Everything for a Simple Lodging License
Obtaining a Simple Lodging license in Osaka City is not something that can be accomplished through passion or spontaneity alone. It is an extremely logical, planning-intensive business development process that requires interpreting multiple laws, persistently negotiating with various government agencies, and leading a team of experts to see the project through to completion.
But once you clear this high hurdle, the door opens to a genuine business opportunity capable of generating stable, long-term revenue in the massive Osaka market.
Let Us, the Osaka Experts, Navigate That “Challenging Path” With You
“I understand the 8 steps now—but there’s no way I can pull this off on my own…”
“How am I even supposed to find a trustworthy administrative scrivener or architect?”
“I’d like an objective opinion on whether my plan is even worth the investment required for this complex process.”
If these concerns sound familiar, please come talk to us.
We are Stay Buddy Inc., and in Osaka City—one of the most competitive minpaku markets in Japan—we are true **”Osaka professionals”** who have guided numerous clients to successfully obtain Simple Lodging Business licenses through a one-stop process starting from the property search stage itself.
We carefully assess your business plan and the potential of your property, then work together with our experienced partner administrative scriveners and architects to map out the fastest route to obtaining your license.
- Handling the most time-consuming and labor-intensive part—preliminary negotiations with all three government offices—on your behalf
- Everything from preparing and submitting the extensive application documents to attending the on-site government inspections
- Operational support after obtaining your license, aimed at maximizing your revenue
We’ll walk with you as a team through every single step of the process, right up until you open your doors as an owner.
Won’t you let us help make the most difficult and most important part of your business—the beginning—a sure thing?
Because we know the Osaka market inside and out, we can offer value that only local experts can provide. We look forward to hearing from you.
