What are a Zeirishi, a subsidy consultant, and a certified support organization?
A Zeirishi is a licensed professional in Japan's tax-accounting field, who must hold a practicing certificate from the Japan Federation of Certified Public Tax Accountants' Associations, with annual membership dues of roughly JPY 300,000 to JPY 500,000. Their core function is to handle a company's tax filings, bookkeeping audits, and tax planning as an agent. Although Zeirishi cover a broad range, subsidy applications are often not their main business.
A subsidy consultant refers to a freelancer or small-to-medium business that specializes in applying for subsidies and grants (incentive-type funding). They have mastered the application guidelines, review tendencies, and document-preparation logic for various subsidies, but usually lack a legal background or tax qualifications and do not handle tax filings as agents. The barrier to entry in the subsidy-consulting industry is relatively low, and quality varies widely.
A certified support organization is a professional advisory body certified by the government, including Societies of Commerce and Industry, Chambers of Commerce and Industry, financial institutions, and SME Management Consultant firms. The government grants them official status, and the "certified support organization certificate" they issue is a hard requirement for many large subsidies (such as the Business Recovery Subsidy and the Business Structure Transformation Subsidy). Certified support organizations usually provide initial consultation for free or at low cost.
Option 1: A Zeirishi handling the subsidy application
Core parameters and fee structure
When a Zeirishi acts as an agent for a subsidy application, they usually charge based on the number of applications or a percentage of the subsidy amount. According to the guidance standards of the Japan Federation of Certified Public Tax Accountants' Associations, fees for subsidy-related services are generally:
- Application-stage service fee: JPY 500,000 to JPY 1.5 million (depending on the subsidy type and application difficulty)
- Success fee after the subsidy is approved: 5–15% of the subsidy amount (some Zeirishi may charge less when working with specialized subsidy firms)
- Ongoing management fee: JPY 20,000 to JPY 50,000 per year (preparation of mandatory reports, management of undertaking documents, etc.)
For example, if you apply for a subsidy with a subsidy amount of JPY 10 million, the success fee might be between JPY 500,000 and JPY 1.5 million. Zeirishi fees are relatively transparent, because they are bound by the standards of the Tax Accountants' Association, and improper charging would result in disciplinary action.
Suitable scenarios
A Zeirishi is best suited to the following business owners:
- Companies with a long-standing tax relationship: Your company already has a regular Zeirishi, and the subsidy application is closely related to your existing accounting work (such as involving multiple subsidiaries or a complex financial structure)
- Those who need tax and subsidy coordination: The subsidy involves the purchase of fixed assets or the registration of R&D expenditures, requiring coordinated tax treatment (for example, the accompanying tax treatment for purchased equipment)
- Medium-to-large companies with complex finances: More than 50 employees, annual turnover over JPY 50 million, multiple business divisions
- Those with high requirements for professional credentials: You have explicit requirements for the consultant's compliance background and ability to bear risk
Advantages
- Clear legal responsibility: Zeirishi are licensed practitioners, subject to dual supervision by the Tax Accountants' Association and the tax office, with a traceability mechanism if something goes wrong
- Integrated tax and finance: They not only help you apply for the subsidy but also plan the tax treatment simultaneously, avoiding tax traps after the subsidy funds arrive (for example, the treatment of subsidy income tax and consumption tax)
- Long-term service relationship: If they are already your Zeirishi, they know your company's finances inside out, and the financial data in the application materials carries high credibility
- Comprehensive compliance review: A Zeirishi will proactively check whether the company has any tax risks or non-compliant items—problems that, if discovered by the subsidy authority, would lead to outright rejection
Disadvantages and thresholds
- Insufficient subsidy expertise: Many Zeirishi have limited experience with subsidy applications, especially the newest subsidy varieties (such as the digital-transformation subsidy newly established in 2024). Some Zeirishi even outsource to specialized subsidy firms, so you end up paying two sets of fees
- High cost threshold: The starting price is usually JPY 500,000, which is burdensome for micro-enterprises with an annual turnover below JPY 30 million
- Possible misreading of review standards: The logic of a subsidy review is not entirely the same as that of a tax review. Zeirishi are accustomed to conservative compliance, but subsidy reviews place more weight on factors such as innovation and growth potential, and this difference in thinking may leave the application materials less "eye-catching"
- Success cannot be guaranteed: Even with a Zeirishi acting as your agent, whether the subsidy is ultimately approved depends on the review committee's evaluation. A Zeirishi can only say they can improve compliance; they cannot promise you will receive it—this is subject to the reviewing authority's decision
Option 2: A professional subsidy consultant acting as your agent
Core parameters and fee structure
Subsidy consultants have a more flexible—but also more chaotic—fee model. Common models in the market include:
- Full success-fee model: You pay nothing in application fees, and the consultant takes 15–25% of the approved subsidy amount as their fee. If the subsidy fails, the consultant takes nothing
- Fixed application-stage fee + success fee, mixed model: An upfront application fee of JPY 300,000 to JPY 800,000 + an 8–15% success fee on the subsidy amount
- Pure fixed-fee model: Charging JPY 300,000 to JPY 1 million per project, unrelated to success (such consultants usually have years of experience and a rich case record)
Among subsidy consultants, the full success-fee model is the most common and the easiest for SMEs to accept. According to statistics from Japan's Small and Medium Enterprise Agency, in 2023 about 40%–50% of subsidy applicants chose to work with a subsidy consultant, with an average success-fee rate of 18%.
Suitable scenarios
A subsidy consultant is best suited to the following business owners:
- First-time applicants unfamiliar with the ropes: You have never applied for a subsidy and are completely unfamiliar with application guidelines and review standards
- Tight funds and heavy cash-flow pressure: Your company has limited available funds and prefers a success-fee model over a fixed fee
- A subsidy is a one-off need: A subsidy application is not routine work, and there is no need to build a long-term relationship with a Zeirishi
- You need "attention-grabbing" material packaging: The consultant is experienced and knows how to package your project's highlights into a narrative angle the review committee likes
- Micro-enterprises with fast financing needs: The subsidy disbursement cycle is usually 6–12 months, but you may need faster financial support; subsidy consultants often also provide subsidy-related financing consulting services
Advantages
- Flexible cost arrangement: Especially the success-fee model, with zero upfront investment, suited to cash-strapped startups and micro-enterprises
- Deep subsidy expertise: Consultants apply for dozens to hundreds of subsidy projects each year and know the review tendencies, common rejection reasons, and material logic of various subsidies inside out
- Fast start: No need to wait for you to set up your books, no need to wait for the Zeirishi to schedule time—the consultant can launch the application within 1–2 weeks of you providing preliminary information
- Continuously updated industry information: Subsidy varieties change every year, with new subsidies launched and old ones discontinued. As industry practitioners, consultants obtain information far faster than Zeirishi
- Strong emergency response: Many subsidies have very short application windows (only 30–60 days), and a Zeirishi may not react in time; subsidy consultants, however, often prepare application frameworks in advance for different subsidy types and can launch quickly
Disadvantages and thresholds
- No guarantee of professional credentials: The subsidy-consulting industry has no unified practicing qualification certification, and anyone can call themselves a "subsidy consultant." The industry includes both seasoned veteran consultants and newcomers with few cases—"wild consultants"
- Unclear risk responsibility: Unlike Zeirishi, subsidy consultants have no professional insurance or industry-association constraints. If the consultant's improper handling leads to a subsidy clawback, you may have nowhere to seek compensation
- Tax and finance treatment is a blind spot: Subsidy consultants usually only handle "application success" and not the tax treatment after the subsidy arrives. Subsidy funds involve complex issues of income tax, consumption tax, and fixed-asset tax, and the consultant may advise you to "find a Zeirishi to handle it"—in the end, you still pay two sets of fees
- A gray area around success-rate promises: Some non-compliant consultants vaguely claim a "90% pass rate" or "all our clients received it," but without detailed explanation of the subsidy varieties applied for, differences in company conditions, and so on. You cannot see through the true success rate—this is subject to the reviewing authority's decision
- The fee percentage eats up most of the benefit: If the subsidy is JPY 10 million and the consultant takes 15–25%, you only receive JPY 7.5 million to JPY 8.5 million, and the actual increase in funds is relatively diminished
Option 3: A government-certified support organization
Core parameters and fee structure
Certified support organizations include Societies of Commerce and Industry, Chambers of Commerce and Industry, and SME Management Consultant firms—government-certified bodies. Their service-fee structure is completely different from the two types above:
- Initial consultation: Completely free, with 1–2 in-person consultations to help diagnose your company's situation and recommend suitable subsidy varieties
- Subsidy application coaching: Free or a nominal fee (JPY 1,000 to JPY 5,000)
- Post-approval management diagnosis report: Some support organizations provide value-added services (JPY 50,000 to JPY 100,000 per year), but this is not mandatory
- Government-side ongoing management: Completely free (if your subsidy application is certified by a support organization, the government-side guidance on mandatory reports and so on is also assisted by the support organization, at no extra charge)
This is the lowest-cost option of the three. In applications for many large subsidies (with a subsidy cap over JPY 10 million), the government explicitly requires the submission of a "management diagnosis report by a certified support organization" (認定支援機関による経営診断報告書). If you choose coaching from a certified support organization, you obtain this report "along the way."
Suitable scenarios
A certified support organization is best suited to the following business owners:
- Startups with extremely tight budgets: Your company has been established for less than 2 years, has limited cash reserves, and cannot afford consulting fees over JPY 500,000
- Applying for subsidies that "require a certified support organization": Large subsidies such as the Business Recovery Subsidy, the Business Structure Transformation Subsidy, and the Green Growth Strategy Subsidy all require applicants to work with a certified support organization. Choosing a Society of Commerce and Industry is the "optimal solution by necessity"
- Those who need long-term management coaching, with the subsidy as a side benefit: Beyond subsidy applications, a Society of Commerce and Industry can also provide comprehensive services such as marketing, human resources, and financial consulting. If you want to access professional guidance through the subsidy application, a Society of Commerce and Industry is an all-around choice
- Industries where you genuinely cannot find a specialized Zeirishi or consultant: In certain regions and certain industries (such as agriculture, aquaculture, and traditional crafts), professionals are scarce, and a Society of Commerce and Industry is the fallback option
Advantages
- The lowest cost, even zero cost: Initial consultation is completely free, and application coaching is basically free—unless you choose value-added services, you spend nothing
- Government backing, minimal risk: Certified support organizations are certified by the government and are themselves subject to government supervision. If something goes wrong, the government will step in, and your rights are protected
- The most comprehensive subsidy coverage: Societies of Commerce and Industry and Chambers of Commerce and Industry work closely with local governments and the Ministry of Economy, Trade and Industry system, so information on the latest subsidies, local subsidies, and specialty subsidies reaches you fastest and most fully
- The "certified support organization" report carries built-in bonus points: Review committees tend to look favorably on applications diagnosed by a certified support organization, because there is a government body backing it, giving the material's logic more credibility
- Ongoing management assistance: After the subsidy is approved, the government usually requires various reports (progress reports, completion reports, etc.). A certified support organization assists throughout for free, until the subsidy is closed out. Zeirishi and subsidy consultants often charge extra for this (JPY 30,000 to JPY 50,000 per year)
Disadvantages and thresholds
- Not necessarily the strongest expertise: The quality of certified support organization staff varies. Society of Commerce and Industry staff often come from an administrative background, and their subsidy expertise is not as strong as that of a dedicated consultant. Some Societies of Commerce and Industry are even short-staffed and cannot give you thorough material guidance
- Response time can be slow: A Society of Commerce and Industry is a body subordinate to a government department, with relatively standardized but also relatively rigid procedures. If your application involves complex approvals, internal coordination within the Society of Commerce and Industry may take several weeks
- Limited customized proposals: Societies of Commerce and Industry tend to use templated application frameworks and are not inclined to tailor a "blockbuster" narrative for you. If your project has special highlights that need creative packaging, a Society of Commerce and Industry may not be able to meet the need
- No guarantee of success: Although there is government backing, a Society of Commerce and Industry cannot guarantee you will receive the subsidy. The review authority lies with the government department, and the Society of Commerce and Industry is merely an auxiliary body—this is subject to the reviewing authority's decision
- Choosing the wrong Society of Commerce and Industry is like choosing the wrong fate: There are more than 400 Societies of Commerce and Industry across Japan, and the professional capabilities of each local one vary greatly. You need to investigate the local Society of Commerce and Industry's subsidy-application success rate, staff experience, and so on yourself; otherwise, you may draw a "weak" one and waste your effort
Quick Comparison Table of the Three Types of Organizations
| Dimension | Zeirishi | Subsidy consultant | Certified support organization | |------|--------|----------|-----------| | Application fee | JPY 500,000–1.5 million | JPY 0–800,000 (depending on the model) | JPY 0–5,000 | | Success fee | 5–15% of the subsidy | 8–25% of the subsidy | None | | Expected total cost | Highest | Medium | Lowest | | Practicing credentials | Legally mandated certification | No unified standard | Government-certified | | Subsidy expertise | Medium | High | Medium | | Tax and finance treatment | Handled in-house | Need to find a Zeirishi separately | Need to find a Zeirishi separately | | Suitable company size | Medium-to-large (50+ people) | Micro-enterprises | Startups, micro-enterprises | | Suitable subsidy type | General (especially complex finances) | SME-oriented, innovation-oriented | Large government subsidies | | Risk responsibility | Clear and traceable | Vague | Government-backed | | Ongoing management assistance | Extra fee required | Extra fee required | Free |
Frequently Asked Questions (FAQ)
Q1: I run a wholly Chinese-owned business with 10 employees and an annual turnover of JPY 20 million. Who should I choose?
A: We strongly recommend a hybrid of a certified support organization (Society of Commerce and Industry) + a subsidy consultant. Here is the reasoning: First, consult your local Society of Commerce and Industry to confirm which subsidy varieties your company qualifies for and whether a "certified support organization certificate" is needed. If the subsidy application has a "must go through a certified support organization" requirement (most JPY 10-million-class subsidies do), register with the Society of Commerce and Industry. At the same time, hire a subsidy consultant to be dedicated to material packaging and application strategy (a consultant fee of JPY 300,000–500,000 or a 15% success fee). This way you save the certified-support-organization fee, borrow the Society of Commerce and Industry's government backing and ongoing management, and use the consultant's expertise to ensure material quality. The total cost is about JPY 300,000–500,000 + 10–15% of the subsidy, but the success rate is higher than choosing either party alone.
Q2: We are a Japanese corporation, but our finances are very complex (multiple subsidiaries, cross-border operations, extensive equipment purchases). Who should we choose?
A: In this case, a Zeirishi is a must and cannot be bypassed. Here is why: With a complex financial structure, the subsidy funds involve transfers among multiple subsidiaries, cross-border income-tax treatment, and depreciation and tax-reduction arrangements for equipment purchases—none of which fall within the expertise of subsidy consultants and Societies of Commerce and Industry. A Zeirishi needs to devise a combined plan for the subsidy application and tax treatment from the standpoint of the entire group's tax planning. On cost, given the high financial complexity, the Zeirishi fee may reach JPY 1 million–1.5 million, but the tax risk and subsidy-clawback risk avoided down the line could amount to several million yen. We recommend first engaging a Zeirishi (a fee of JPY 500,000–800,000) for an initial diagnosis, then having the Zeirishi recommend a partner subsidy consultant or certified support organization.
Q3: What is the approximate success rate for a subsidy application? A subsidy consultant says their clients have a 90% success rate—is that true?
A: It depends on the subsidy variety. According to 2023 statistics from Japan's Small and Medium Enterprise Agency, the average success rates for different subsidies are as follows: the Small Business Sustainability Subsidy (小規模企業持続化補助金) is about 50%, the Monozukuri Subsidy (ものづくり補助金) is about 30–40%, and the Business Recovery Subsidy (事業復興補助金) is about 60–70%. A subsidy consultant claiming a "90% success rate" warrants caution, because they may achieve a high success rate in one of two ways: (1) accepting only "easy projects" that the review committee will pass at a glance, and turning away high-risk applications; (2) screening for low-difficulty subsidy varieties (such as the Small Business Sustainability Subsidy) rather than high-difficulty innovation subsidies. When you ask a consultant, ask for the details: "What subsidy varieties does your 90% success rate refer to? What is the range of applicant company sizes and industries?" If the consultant cannot answer, the figure is watered down—whether it ultimately succeeds is decided by the review committee, and no consultant can guarantee it.
Q4: If my subsidy application is rejected, can I ask for a refund?
A: It depends on the contract terms with the consultant/organization. Under the success-fee model, the consultant charges nothing if the subsidy fails—that is its advantage. But if you chose a fixed-fee model (for example, paying a JPY 500,000 application fee), most consultant contracts stipulate that "the application fee is non-refundable" after a rejection—because the consultant has already spent time and effort preparing the materials. We recommend that, before signing a contract, you always confirm: (1) what the fee-refund conditions are; (2) whether the consultant will assist for free in revising the materials and reapplying if rejected; (3) whether the contract includes a "good-faith effort clause" (i.e., the consultant guarantees they have made every effort to apply but does not guarantee success). Zeirishi and Societies of Commerce and Industry generally do not refund fees either, but their initial fees are low or zero to begin with, so the refund issue is relatively minor.
Q5: After receiving the subsidy, how do I handle it? What will the Zeirishi, the consultant, and the Society of Commerce and Industry each help with?
A: Subsidy success is only the beginning; before and after the subsidy arrives, a series of compliance obligations arise, with a total cycle usually of 12–24 months. These include: (1) Subsidy fund management—opening a dedicated account, using the funds strictly according to the subsidy conditions, and keeping all invoices and expenditure evidence (retention period 7 years); (2) Interim progress report—usually a project progress report is required 3–6 months after the subsidy arrives; (3) Consumption tax treatment—in some cases, subsidy income must be included in the consumption tax filing; (4) Fixed-asset tax—if equipment is purchased with the subsidy, it must be registered with the local tax office, which may affect fixed-asset tax; (5) Completion report—a completion report, including an expenditure breakdown and proof of deliverables, must be submitted within 30 days after the project ends. The Zeirishi handles the tax-filing-related parts throughout (consumption tax, income tax), at a fee of about JPY 20,000–50,000 per year. The Society of Commerce and Industry assists for free with the preparation and submission of the completion report (a government-mandated service). If the subsidy consultant is only responsible for the "application," they may be unable to help much with ongoing management, and you will need to pay extra or hand it over to the Zeirishi. We recommend informing the Zeirishi and the original application organization immediately after receiving the subsidy, to ensure the three parties coordinate and that ongoing management does not become an "orphan."
Q6: If I engage a Zeirishi, a subsidy consultant, and a Society of Commerce and Industry all at once, will there be a conflict?
A: Three-party collaboration is a common practice, but it requires prior communication and clear roles. The recommended division of labor is: (1) Society of Commerce and Industry—responsible for the initial diagnosis, recommending subsidy varieties, providing the certified support organization certificate (if needed), and assisting with later reports; (2) Subsidy consultant—responsible for material packaging, application strategy, and interaction with the review committee (some subsidies allow supplementary explanations); (3) Zeirishi—responsible for reviewing financial data, checking tax compliance, and handling the tax-and-finance treatment after the subsidy arrives. The most common point of conflict among the three parties is who reconciles the financial data. The solution: clearly define that "the Zeirishi is responsible for financial accuracy, the consultant is responsible for the material narrative logic, and the Society of Commerce and Industry is responsible for the government process," and have the three parties hold a joint meeting before applying to reach a consensus. On cost, the Society of Commerce and Industry is essentially cost-free (JPY 0–5,000), the Zeirishi charges by the hour or by project (JPY 300,000–800,000), and the subsidy consultant charges a success fee (8–15% of the subsidy). The three-party total cost will not be higher than choosing a Zeirishi alone, and the success rate is better assured. Note: Do not engage two or more subsidy consultants at the same time, or they will work at cross-purposes, leading to duplicated effort and wasted fees.
How to Choose? Match Your Situation
Situation 1: A startup Chinese-owned business, tight on funds, applying for a subsidy for the first time
Recommended plan: A certified support organization (Society of Commerce and Industry) as the mainstay + a subsidy consultant as support
Reasoning: Your company may have been established for only 6–12 months, with cash flow not yet stable. The Society of Commerce and Industry's initial consultation is completely free and can quickly help you screen for qualifying subsidy varieties; many startup subsidies (such as the Startup Subsidy and the Small Business Sustainability Subsidy) accept a Society of Commerce and Industry recommendation and have a relatively high pass rate. At the same time, hire a subsidy consultant to handle the materials and application details, keeping cost pressure manageable. Expected cost: Society of Commerce and Industry JPY 0–3,000 + subsidy consultant success fee 15% (assuming a JPY 5 million subsidy application, the consultant fee is about JPY 750,000). Expected time: about 2–3 months from consultation to application submission, and about 3–4 months for the subsidy review result, for a total cycle of 5–7 months. Expected success rate: The Society of Commerce and Industry + consultant combination usually raises the success rate for small subsidies from 40% to 55–60%; for large subsidies, because competition is fierce, the success rate is still 30–40%, but at least the material compliance is highest.
Situation 2: An established mid-sized company with relatively compliant finances, needing simultaneous tax planning
Recommended plan: A Zeirishi at the core + a Society of Commerce and Industry as support
Reasoning: Your company has operated for more than 3 years, with an annual turnover of JPY 30 million–100 million, a regular Zeirishi, and complete books. The subsidy application is organically linked to the company's existing financial structure, equipment purchases, R&D spending, and so on, requiring the Zeirishi to coordinate the overall picture. Here, the value of a subsidy consultant actually declines, because your finances are already compliant enough and the main issue is strategy. The Zeirishi is familiar with your company, so the success rate will be high. At the same time, keep Society of Commerce and Industry consultation as a "government information source" and "ongoing management helper," at no extra charge. Expected cost: Zeirishi application fee JPY 500,000–800,000 + a success fee of 5–8% of the subsidy after approval (since the risk has been lowered by compliant finances, the Zeirishi can accept a lower fee). Society of Commerce and Industry JPY 0. Expected time: 1 month of consultation + 2–3 months of application preparation + 3–4 months for the review result, for a total cycle of 6–8 months. Expected success rate: 60–70% (because the finances are compliant, the material logic is clear, and the reviewer trusts it more).
Situation 3: A micro-enterprise with strong business innovation, needing "blockbuster" application materials
Recommended plan: A subsidy consultant as the mainstay + a Society of Commerce and Industry as support
Reasoning: Although your company is small (10–30 employees, annual turnover of JPY 10 million–30 million), your business model is novel (such as live-stream e-commerce, AI applications, or green energy), aligning with the innovation direction the government encourages. The biggest weakness of such companies is that their financial compliance may be mediocre; their biggest strength is a compelling story and high growth potential. A subsidy consultant excels at "telling the story well" and can package your innovation advantages into the kind of expression the review committee likes. The Society of Commerce and Industry can provide the "certified support organization certificate" to add credibility. Expected cost: subsidy consultant success fee 15–20%. Society of Commerce and Industry JPY 3,000–5,000. Total cost is lower than the Zeirishi option. Expected time: 2 weeks of initial consultation + 2–4 months of material packaging + 3–5 months for the review result, for a total cycle of 5–