Our Profile
Overview of Aoyama Zaisan Networks
Growth trajectory

Our business model and 100-year property consulting
will continue to grow sustainably to become Japan's No. 1
comprehensive property consulting firm, supported by clients who know, "When it comes to property, it's Aoyama
Zaisan Networks."

Aoyama Zaisan Networks (AZN) is a property consulting
group serving both individual asset owners and businessowners. After commencing business in 1991 as a groupcompany of Funai Consulting Incorporated, the firm focused initially on the real estate business. With the globalfinancial crisis of 2008 as a turning point, we expanded
our business from a short-term profit taking structure centered on resale of real estate to a long-term, total optimization standpoint on property consulting for our clients as
our main focus. Our revenue classifies broadly from property consulting to real estate transactions, with property
consulting revenue being our main source of profits.
Through comprehensive property consulting for theperpetuation of families and businesses, Aoyama Zaisan
Networks contributes to the happiness of its clients. We

36.6%

Gross profit

63.4%(4,330 million yen)

3,500
3,000
2,500
2,000

1,000
4,000500

00
First Medium-Term Management Plan
2006

2007

Period of growth in property
consulting services for individual
asset owners

2008

2009

2010

2011

2012

Expansion of the field of businesssuccession consulting for corporate
owners as a result of mergers

Identifying
issuesoperations, management, and businesssuccession● Consulting products and services

ActionInvestigation& review

Mid- to long-term plan

2013

2014

2015

2016

2017

2018

Period of growth as a comprehensive
property consulting firm

Second Medium-Term
Management Plan
2019

2020-5002021 (year)

On to the new stage by
expanding collaborations andgetting fortified with technologies

The Aoyama Zaisan Networks business model involves
building relationships of trust by contributing to the happiness of its clients and earning ongoing property consulting
revenue from these long-term relationships.
Our consulting process is firmly based on interviews
with our clients and collection of documentation. We provide long-term support to our clients by repeating thiscycle: analysis of the current situation, identification ofissues, planning and proposals, implementation, verification, and review by our own analysis tools and experts. Byutilizing AZN Group's proprietary ART system, we provide high-quality consulting services ranging from analysis
of current situations to planning and proposals.
In the fields of property and business consulting, AZN
is committed to 100-year property consulting to lookafter property not only for the current generation, but also
for the next generation and the third generation. Working
from a total optimization standpoint, we are always striving to solve issues related to the succession, operations,and management of property as well as business succession by building long-term relationships with our clientsand proposing methods to smoothly facilitate succession
and operations. By doing this, we maintain and expand
the size of our clients' assets and perpetuate their families and their businesses, providing the foundation for AZNGroup to earn stable revenue.
● 100-year property consulting
A business model in which long-term relationships are built with clients, which
generates long-term revenues through consulting from the current generation tothe next generation and beyond.

Scale of Asset
Value Business

1,500
8,000

2005

Analysis ofCurrent
Situation● Consulting on property succession,

Short-term plan

Full year ending December 31, 2021

*From 2019 onward, revenue from subleases isincluded in revenue from real estate transactions andother revenue is included in revenue from property
consulting.

2004

Action & review

Property consulting
2,745 million yen■ Revenue from property consulting■ Revenue from real estate transactions■ Revenue from resale of real estate■ Revenue from subleasing and other income● Ordinary profit

12,000Planning & Proposals

ProposalsInterview anddocument
collection(Ordinary profit: million yen)

16,000Comprehensive property consulting
Property succession/operations/management and business succession

Analyzing issues, presenting options for countermeasures, and accumulating data through the ART system

Real estatetransactions
1,584 million yen(Sales: million yen)

20,000100-year property consulting offering long-term support for the current generation, next generations, and third generation

Consulting & Analysis of Current Situation● Overall composition of profits● Transitions in business portfolio and net sales
24,000● Business model

Third-generation manager
Third-generation owner
Next-generation manager
Next-generation ownerCurrent manager
Current owner

Property succession/operations/management and business succession

TimeThe market environment & our strengths
Business line
Comprehensive property consulting, which lies at thecore of our business, is a consulting service designed toachieve the optimal property structure to perpetuate ourclients' families and businesses. We offer a one-stop consulting service for the succession, operation, and management of property and business succession for individual asset holders (landowners and financial asset holders)and corporate owners.
Our group supports total optimization planning andimplementation for our clients through expert perspectives, with more than 150 holders national certifications
employed by AZN, and through our unique analyticalmethods built up over many years.
4

Aoyama Zaisan Networks ｜ Integrated Report 2022

● Business and service overview
BusinesslineClients

Comprehensive property consulting(property succession/operations/management and business succession)
Individual asset owners(average assets: 1 billion yen)

● Inheritance strategy● Business succession

estate● Utilization of large
expanses of land
● Buying and selling of realestate, and more

● Mergers and acquisitions● Effective utilization of real

List ofServices

Company owners(supporting successors)● Support for business

transitions and closures● Financial improvement,

growth strategies, and more

● Advantage Club, regional development projects,

overseas operations, IFA

In January 2015, Japan’s Inheritance Tax Act wasamended, reducing the basic inheritance tax exemption
and raising the maximum tax rate to 55%. This has resulted
in a sharp increase in the number of persons now subject
to taxation, as well as a significant increase in the percentage subject to taxation. As a result, we have received anincreasing number of inquiries from individual asset owners,
and some of whom have become our clients.
In terms of business succession, Japan’s declining
birthrate and aging population have caused a chronic
shortage of suitable successors for businesses. By 2020,
the average age of company presidents in Japan was inexcess of 60 years, and the percentage of companies
without designated successors hovered around 65%.
We anticipate that our clients' needs for the succession,

operation and management of their property as well as
succession of business will continue to expand. By leveraging AZN’s strengths as a group and consistently working to resolve these issues, we will continue to accompany
our clients into the future.
● Strengths of Aoyama Zaisan Networks

1

Expert insights and application of technology

2

Ability to propose and implement total optimization
based on 5 standpoints

3

Comprehensive property consulting services for assets
and business

4

Reliability that comes from being listed on the stock
exchange, and neutrality that comes from being independent

Aoyama Zaisan Networks ｜ Integrated Report 20225