#Japan #Tokyo #Nowhere Group #INVESTEL #M&A Support

Nowhere Group Becomes a Registered M&A Support Institution

Nowhere Group, based in Nakano, Tokyo, has announced the successful registration of its M&A platform, INVESTEL, as an accredited M&A support institution under the Small and Medium Enterprises Agency's new registration system. This registration allows Nowhere Group to offer credible, transparent, and secure M&A support aimed at small and medium-sized enterprises (SMEs) in Japan’s hospitality sector.

Background and Purpose

The need for business succession and mergers and acquisitions (M&A) in the hotel and tourism industry has grown significantly due to factors such as declining birth rates, an aging population, and rising real estate prices. Hotels, inns, and guesthouses are critical social infrastructures that support local employment, tourism, and culture. However, many valuable establishments are faced with closures or liquidation due to a lack of successors, labor shortages, and increasing operational burdens.

INVESTEL has been developed on the foundation of over 25 locations across Japan where Nowhere Group has honed its expertise in managing and producing hotel operations and profitable real estate. The platform seeks to redefine the M&A support that is truly necessary for the hospitality sector, going beyond mere transactional mediation. It aims to provide comprehensive support that encompasses the backstories, values, and regional characteristics of businesses. This approach intends to transform business succession in the hospitality sector into a more accessible and reassuring option.

Visit the INVESTEL service site for more information.

What is an M&A Support Institution?

An M&A support institution acts as a recognized public gateway for businesses, hotels, and other ventures contemplating whether to cease operations or pass them on. The registration system overseen by the Small and Medium Enterprises Agency ensures that only those businesses that meet stringent criteria for transparency, explanation, and avoidance of conflicts of interest are accredited. As a result, individuals and organizations that:

• - Wish to consult about the future of their family-run business
• - Seek guidance on where to begin with business succession or M&A
• - Aim to continue their hotels, inns, or guesthouses for future generations

can confidently turn to Nowhere Group for assistance. Moreover, when applying for subsidies like the Business Succession Subsidy, it is often necessary to utilize a support institution’s services.

Expert Support Team

At INVESTEL, a robust support system has been established, collaborating with professionals from various fields, primarily focused on the accommodation industry. The team includes:

• - Experienced practitioners in hotel M&A and business succession
• - Experts in real estate and finance
• - Legal specialists, tax accountants, and certified public accountants
• - Networks from local financial institutions and investors

Key team members include:

• - Masayuki Kodama: A business revitalization and finance advisor with a successful track record in inbound travel and tourism.
• - Makoto Hayasaka: An asset manager and real estate appraiser managing comprehensive evaluations and investments in the hotel sector.
• - Ryuki Takemoto: An M&A advisor responsible for supporting M&As primarily within the accommodation industry.

Comments from the COO

Masahiro Nakamura, COO of Nowhere Group, stated, "Hotels are the 'face of the region' and serve as assets that connect people and culture, not just real estate. Through this registration, we aim to create a more secure environment for hotel and guesthouse owners nationwide to engage in business succession and sales. We’re pushing forward with 'circular hospitality' in the hotel industry through INVESTEL."

Future Outlook

Going forward, INVESTEL aims to be a platform where both hotel owners and investors can engage more confidently by continuing to enhance its support infrastructure. Using hospitality-focused expertise, we will reinforce support tailored to the needs of sellers and buyers, facilitating smoother and more agreeable M&A transactions. We will also strengthen partnerships with professionals like lawyers, tax accountants, and financial institutions to develop support structures that ensure safe transactions from both institutional and practical perspectives.

Moreover, by accumulating and publicly sharing M&A case studies and transaction data on INVESTEL, we aim to enhance the transparency of the hospitality M&A market, providing critical insights for business succession and investment decisions. Our regional hotel, inn, and guesthouse revitalization projects will continue to promote the sustainable development of local economies and the tourism industry.

Company Overview

• - Company Name: Nowhere Group, Inc.
• - Location: 2-25-10 Yayoi-cho, Nakano-ku, Tokyo
• - CEO: Tsuyoshi Takeuchi
• - Established: June 2019
• - Business Activities: Production and development of small-scale accommodation facilities, operation of guesthouses, management contracts, sales and M&A support for accommodation real estate, cleaning services.
• - Service: Accommodation real estate and M&A platform "INVESTEL"
• - Website: INVESTEL