New Customer Trade Guide

Starting Long-term Wholesale Cooperation with Nakajima

NAKAJIMA SYOUJI CO., LTD provides Japanese product sourcing and export services to overseas wholesalers, distributors, trading companies, physical retailers, online stores, and established social-media or live-commerce sellers with stable sales capabilities.

Our transactions adopt a long-term B2B cooperation model combining advance purchase funds with procurement quotas. New customers can start purchasing spot or reserved goods based on the quotation after completing the application review and initial prepayment; as transaction records accumulate, Nakajima may recognize them as mature clients and grant access to the SFE system login and quote-free procedures.

In this guide, “business days” means business days in Japan, excluding weekends and Japanese public holidays. All quotations, invoices, payments, freight charges, and refunds are settled in Japanese yen (JPY).

Trading Process

1. Submit the initial advance payment application

Please provide the following information when submitting an application:

• Registered company name and registered address
• Name, contact phone number, and email of the person in charge
• Estimated number of shipments and purchase amount for the first year
• Expected initial advance payment amount
• Shipping method and trade terms planned to be used
• Delivery address

Nakajima seeks long-term partners and recommends annual purchases of at least 1,000,000 JPY and at least 3 shipments per year. This is a recommended standard for long-term cooperation, not a hard website-form submission gate; applicants who expect not to meet it should not submit an initial prepayment application.

Nakajima will conduct a basic review of the application documents, sales capabilities, import experience, and suitability for long-term cooperation. Additional documentation such as company registration certificates, sales pages, import verification documents, or country-specific permits may be requested. The review process could take up to 10 business days. Review results are categorized as: approved, additional information required, or rejected.

Upon approval, Nakajima will manually send bank account details and instructions for the first advance payment. Submitting an application does not signify a trading relationship has been established, nor guarantee any product inventory or pricing.

2. Paying the First Advance Purchase Payment

The minimum initial prepaid purchasing amount is 200,000 JPY. Customers may pay a higher amount. Payment is made by bank transfer, and each party bears the fees charged by its own bank.

Please accurately state the applying company, contact person, registered email address, and remittance amount in the payment information. The applicant company and the remitting account holder must be the same cooperating legal entity. The initial prepayment and all later payments must be remitted from an account in that cooperating company’s name; payments from personal, other-company, or third-party accounts are not accepted. Nakajima credits the actual JPY amount received by its bank to the customer’s prepaid purchasing balance and sends receipt and balance confirmation within 3 business days after receiving the funds.

Advance Purchase Payment:

• Can be used for goods payments and international shipping fees
• No expiration date
• Does not accrue interest
• Belongs solely to the applying company, cannot be transferred to another company or individual
• Can be replenished as needed based on subsequent purchases
• Does not represent Nakajima's guarantee of product inventory, pricing, or delivery time

3. Obtaining a Purchasing and Reservation Limit

After completing the minimum initial prepayment, new customers can obtain a purchasing and reservation credit limit based on their prepaid balance. This is the upper limit of the combined credit available for spot purchases and reserved goods.

Calculation Method:

Purchasing and Reservation Limit = Remaining Prepaid Balance × 400% + Cumulative Historical Goods Payments × 10%

For example, a new customer that prepays 200,000 JPY and has no transaction history initially receives a combined purchasing and reservation limit of up to 800,000 JPY.

If 800,000 JPY of purchased and reserved goods all arrive, the 200,000 JPY prepayment is applied and the customer pays the remaining 600,000 JPY. After settlement, the prepaid balance is zero and cumulative historical goods payments are 800,000 JPY, creating a new limit of 80,000 JPY. The customer may also add more prepaid funds to increase the available limit.

When an order is confirmed, its estimated value first occupies the purchasing and reservation limit. Once the goods reach Nakajima’s warehouse, settlement is based on the actual quantity received and the applicable price. If the available limit is insufficient, the customer must add prepaid funds before procurement begins.

4. Quotation and Order Placement

Nakajima can source products from more than 700 trading companies and suppliers, covering more than 500,000 JAN items. Most manufacturer websites provide product price information. For some manufacturers, Nakajima can also provide stock, lead-time, production-plan and preorder, product-adjustment, price-adjustment, discount, and clearance information. Most information is made available through the designated shared cloud storage and SFE. New customers do not receive access to everything immediately and may ask by registered email what information is currently available.

New customers should provide:

• JAN
• Product name
• Quantity ordered

Nakajima’s quotations typically list the unit price, quotation validity period, and estimated delivery time. The validity period is uniformly 7 days. Estimated delivery times indicate approximate timelines but are not guaranteed delivery dates.

Customers can confirm quotations via registered email or designated shared cloud storage. Upon confirmation, Nakajima will start procurement; confirmed orders that have already started cannot be canceled.

Manufacturer stock, prices, minimum order quantities, and lead times may change. Nakajima does not independently or arbitrarily change prices; manufacturers may change prices unilaterally because of JPY exchange-rate movements or manufacturer policy and usually publish the change on their websites. Customers should closely monitor manufacturer price-adjustment notices. The designated shared cloud storage and SFE usually provide advance notice, but Nakajima cannot guarantee 100% synchronization with every customer. A manufacturer price change after order confirmation does not require a new quotation or reconfirmation; actual procurement and arrival conditions govern the final amount.

There is no separate minimum amount for later orders, but quantities must follow the manufacturer’s published minimum order quantity or shipping unit. The quantity received may therefore exceed the quantity entered by the customer, and charges are based on the actual quantity received.

5. Mature Customer Process

Customers who can independently estimate order amounts based on publicly available retail prices and fixed discounts without needing individual quotations are recognized as mature customers by Nakajima.

SFE is a self-service order information management system developed, maintained, and continuously updated by Nakajima for established customers. Customers can currently view arrival status, invoices, and invoice history in SFE, but cannot submit orders through SFE. All orders must be submitted through the designated shared cloud storage.

Nakajima is responsible for the system content it publishes, maintains, and updates in SFE.

Mature Customers:

• Submit orders via designated shared cloud storage
• Submission constitutes formal confirmation; Nakajima can commence procurement without further quotation.
• Estimate order amounts but final settlement is based on actual amounts
• Obtain SFE system login permissions
• Can view arrival and billing information in SFE, including historical bills

The SFE account is limited to the applying company and designated contacts; it cannot be transferred or shared with third parties. When SFE is temporarily unavailable, no alternative channels are provided for its query functions.

6. Arrival, Billing, and Payment

Nakajima warehouse arrival confirmation checks only JAN and quantity, not product quality, function, or completeness. As long as the JAN matches, goods will still be delivered even if the manufacturer changes packaging, color, specifications, or accessories.

Nakajima prepares invoices based on actual delivery and in line with customer requirements, without a fixed cycle for batch or consolidated invoicing. The timing of invoice preparation is ultimately decided by Nakajima. Goods are settled according to the actual quantity received and applicable prices. Customers must complete payment within 3 business days after receiving notification of the amount due. If payment cannot be made on time, customers must promptly confirm with Nakajima manually and explain the situation.

International remittances are considered timely based on the date and time when the bank generates the remittance voucher, not when funds later arrive in Nakajima’s bank account. Customers must submit the remittance voucher through designated channels within the specified period.

If a customer repeatedly delays payments without just cause, Nakajima may terminate the cooperation unilaterally. Confirmed and scheduled orders must be fully completed and settled before any remaining prepayment purchase balance can be refunded.

7. Supply Changes and Reservation Orders

• A manufacturer delay generally does not allow the customer to cancel a confirmed order.
• New products or popular items resold cannot be canceled even if they are already circulating in other market channels; once an order is confirmed, it is deemed that the customer understands and accepts potential delivery time differences due to manufacturer's production sequence, supply quantity, regional variations, etc., and should reasonably plan procurement and sales accordingly. Exceptions apply for cases where the manufacturer stops production or cancels supply according to existing automatic cancellation rules.
• If a manufacturer discontinues a product or cancels supply, the undelivered portion is automatically canceled and the related amount is restored to the customer’s prepaid purchasing balance.
• If actual arrival quantities fall short of confirmed quantities, undelivered portions typically remain as reservation orders.
• When original products are unavailable, Nakajima generally does not offer alternative product suggestions.
• Customers can contact Nakajima before procurement begins to negotiate order modifications; once procurement starts, cancellations are not allowed.

Waiting for consolidated shipments is not subject to a unified storage period as long as it remains within the customer’s advance purchase balance and procurement quota.

8. Packaging and International Shipping

When goods are ready or customers decide to ship, Nakajima packages them and informs of final international shipping fees. International shipping fees can be deducted from the advance purchase balance; if insufficient, customers must replenish funds before shipment.

Ocean freight usually uses FOB (Free On Board), and the delivery location is the Japanese port listed in the quotation or shipping arrangement. International express usually uses EXW (Ex Works), and the delivery location is usually the Nakajima Japan warehouse; the specific delivery location is subject to the quotation or shipping arrangement. Other trade terms can be communicated according to actual requirements.

Common air freight methods are DHL and FedEx. Nakajima provides a public shipping cost table, or customers can use their own DHL or FedEx transport accounts. Other air freight or transportation methods can be arranged according to actual needs. Marine transportation uses large international shipping companies with global networks; specific carriers, routes, ports, transit times, and costs are based on actual arrangements. The final mode of transportation and carrier are decided by the customer, who bears the transportation costs.

Standard shipping documents include order forms, commercial invoices, and packing lists. A certificate of origin may be arranged according to actual circumstances and costs an additional 1,650 JPY per certificate. Cargo insurance is arranged only upon customer request, and the customer bears the cost.

Packaging, standard packaging materials, and special reinforcement are not charged separately. When goods cannot be shipped together, customers can choose to wait for consolidated shipments or ship in separate batches; additional international shipping fees from separate shipments are borne by the customer.

Import duties, import VAT, clearance fees, and local delivery charges are the responsibility of the customer and not deducted from the advance purchase balance.

9. Shipping Risks and Claims

Risk of loss or damage transfers to the customer once goods are delivered to an international carrier; specific issues can be resolved through mutual agreement. Nakajima continuously monitors logistics progress until arrival, communicating with customers upon discovering potential losses.

Customers must file claims directly with carriers or insurers; Nakajima will provide necessary assistance throughout the process. Claim evidence is determined on a case-by-case basis according to carrier or insurer requirements.

For goods that have been delivered, transport damage, an incorrect JAN, or a quantity discrepancy must be reported within 2 Japanese business days after receipt. If an entire shipment has not arrived, there is no fixed deadline based on a receipt date; the parties communicate according to the actual tracking situation.

If the customer has not purchased insurance, or if the compensation provided by the carrier or insurer is insufficient, Nakajima will not be responsible for any shortfall in compensation; however, both parties may still negotiate a resolution. Any compensation paid by the carrier or insurer will be fully credited to the customer's advance purchase balance. During continued cooperation, this refund shall not be processed through a bank.

10. Manufacturing Defects, Returns, and After-sales

Manufacturing defects are not subject to a 2 working day reporting period after delivery. Customers should contact Nakajima upon discovering issues for resolution based on product, defect, and manufacturer’s handling methods.

Before returning goods, customers must obtain written consent from Nakajima. Packaging, labels, and attachments retention requirements, as well as refund amounts, methods, and timing post-defect confirmation, are determined case-by-case. Original shipping fees, import taxes, and return shipping costs are also negotiated between both parties.

Nakajima does not accept returns or exchanges because the customer changed its mind, ordered incorrectly, or caused the issue for another customer-related reason.

11. Import Compliance and Customs

The legality of importing, selling, and using goods in the destination country, as well as compliance or certification responsibilities, are confirmed on a case-by-case basis according to specific product requirements and local regulations. Nakajima does not guarantee the provision of required test reports, compliance certificates, or other special documents.

Nakajima explicitly refuses under-declaration of value, false declarations of goods names, quantities, origins, or other customs information.

When goods are detained, returned, confiscated, or destroyed due to destination country regulations or customer lack of permits or certifications, Nakajima is not responsible for related costs. If errors in commercial invoices, packing lists, or declaration documents by Nakajima cause customs issues, both parties will negotiate a resolution.

12. Terminating Cooperation and Balance Refunds

Termination must be requested in writing by the registered contact from the registered email address. Undelivered goods covered by the existing automatic-cancellation rules, including manufacturer discontinuation or cancelled supply, are resolved under those rules. Every other confirmed or reserved order must first arrive, and every amount due must be settled.

After final settlement, Nakajima processes the remaining prepaid purchasing balance refund within 7 business days. Refunds are made in JPY and, in principle, only to a bank account in the applying company’s name. The customer bears the refund and intermediary-bank fees.

During continued cooperation, factory stockouts, canceled supplies, shipping compensation, or other refunded amounts are credited to the advance purchase balance without bank remittances.

13. Notifications, Responsibilities, and Dispute Resolution

Information sent via registered email, designated shared cloud storage, or SFE system is considered formal notifications; customers must confirm them promptly. Changes in company name, contact person, email, or refund bank account require written notice and Nakajima’s approval to take effect.

Providing false information, long-term non-payment, illegal requests, violations of export or import regulations, or severe disruption of the relationship may lead to unilateral termination by Nakajima.

Nakajima is not responsible for delays or failures due to natural disasters, wars, pandemics, strikes, factory shutdowns, shipping disruptions, customs measures, or other factors beyond its control. Nakajima also does not cover customers’ lost resale profits, reputation damage, or indirect losses; if such losses occur, Nakajima will share relevant information.

In case of disputes, both parties should first attempt to resolve them through negotiation. If negotiations fail, jurisdiction lies with the courts in Tokyo, Japan.

Ready to Start Cooperation?

Please first submit the initial advance payment application and complete the company information, estimated number of shipments for the first year, expected purchase amount for the first year, expected initial advance payment amount, planned shipping method and trade terms, and delivery address. Upon approval, Nakajima will send instructions on the initial advance payment and bank remittance.

First Advance Purchase Payment: Minimum 200,000 JPY

Recommended cooperation standard: annual purchases of at least 1,000,000 JPY and at least 3 shipments per year

Submitting an application does not guarantee approval. Nakajima may request additional materials or explanations during the review process. Approved customers will receive an invoice requesting the initial prepayment by email.