Better Place Raises 50 Million Yen from Kyoshin Social Capital

Better Place Co., Ltd. (Headquarters: Shinjuku-ku, Tokyo; Representative Director and CEO: Shinji Morimoto; https://bpcom.jp/; hereinafter, Better Place), which supports the introduction and design of corporate pension and retirement allowance systems, primarily through the "Hagukumi Corporate Pension Fund" (hereinafter, "Hagukumi Corporate Pension"), announced that it has raised 50 million yen from Kyoshin Social Capital Co., Ltd. (Headquarters: Shimogyo-ku, Kyoto; Representative Director: Takehiro Kunimoto; hereinafter, Kyoshin Social Capital).

This funding is not merely about securing capital but is positioned as a strategic partnership aimed at contributing to local communities through the collaboration of both companies.

■ Background and Purpose of This Funding Round

Better Place is working to solve issues such as employees' future financial anxieties and management's labor shortages by promoting the spread of "Hagukumi Corporate Pension." In particular, we have been working to correct economic disparities by supporting the introduction of corporate pension and retirement allowance systems for SMEs, where the development of such systems lags compared to large corporations.

The number of participants in "Hagukumi Corporate Pension" has exceeded 110,000 by the end of December 2025, and the number of adopting corporations has surpassed 5,000, indicating rapid growth. To further accelerate this growth, Kyoshin Social Capital, which supports the growth of SMEs with a community-based approach, evaluated Better Place's business model and social significance, leading to this investment.

Moving forward, we will continue to strengthen our collaboration with financial institutions and redouble our efforts to realize a society where everyone can "work without financial worries" and "work in their own way."

■ Strengthening Collaboration with Kyoshin Social Capital

Kyoshin Social Capital, as an investment subsidiary of the Community Bank Kyoshin (Kyoto Shinkin Bank)* Group, supports companies working to solve local social issues. This investment was realized due to their empathy with Better Place's vision of "reducing the 'hope gap' for the future and realizing a society where everyone can work with peace of mind."

By deepening collaboration with this group, which is a partner to SMEs supporting the regional economy, we aim to promote the introduction of "financial welfare" to regional companies, including those in the Kyoto area, and advance financial inclusion in local communities.

*"Community Bank Kyoshin" is the brand name of Kyoto Shinkin Bank.

■ Use of Funds Raised

The funds raised will be primarily invested in the following areas:

• Expansion of service infrastructure and improvement of customer experience: We will make focused investments in strengthening our system infrastructure and network infrastructure to provide services more securely and stably. At the same time, we will strive to maximize the value provided to existing customers by strengthening customer engagement through unique events and campaign measures, thereby further improving service quality.

• Strengthening recruitment: As our business expands, we will actively recruit colleagues who resonate with our corporate philosophy and will work with us to build a better future.

■ Comment from Takehiro Kunimoto, Representative Director of Kyoshin Social Capital Co., Ltd.

For Community Bank Kyoshin (Kyoto Shinkin Bank), our parent company, expanding welfare benefits for client SMEs and supporting asset building for their employees have been key challenges. We believe that the "Hagukumi Corporate Pension Fund" is an excellent employee-first service designed from the perspective of SMEs.

We intend to accompany Better Place Co., Ltd. as an investor and strive to deliver this service to as many companies and individuals as possible.

■ Comment from Hajime Nozaki, Director and CFO of Better Place Co., Ltd.

We are very proud to have formed a partnership, both capital and operational, with Community Bank Kyoshin, which values local communities, and Kyoshin Social Capital. For many SMEs, establishing a retirement allowance system is currently a high hurdle, but by partnering with a trusted regional bank, we can lower that hurdle and directly deliver "peace of mind" to working individuals. We aim to make this partnership a model case and brighten Japan's future from the regions.

■ About "Hagukumi Corporate Pension"

Currently, Japan is experiencing a chronic labor shortage due to a declining population and super-aging society, leading to a decrease in the working population. Furthermore, economic reasons are the most common cause for young workers to leave companies*¹, and "money" is the number one concern for the working generation regarding their old age*².

Economic disparities arising from company size and residential area significantly impact future asset building and retirement funds. To support mainly SMEs and their employees, we promote the introduction of "Hagukumi Corporate Pension," a corporate pension system that benefits both companies and employees.

"Hagukumi Corporate Pension" is a defined benefit corporate pension (DB) that can be joined by employees (including non-regular employees) and executives who are covered by Employees' Pension Insurance. Employers can establish a corporate pension and retirement allowance system while keeping costs down. Furthermore, a research study conducted in 2025 statistically demonstrated that the introduction of this system has a high potential to improve employee engagement and prevent turnover*³. This research result supports the high praise received for this "financial welfare" as a means for employees to work with peace of mind, especially in SMEs and the welfare industry where labor shortages are severe.

Benefits for employees include not requiring difficult investment knowledge and having the principal guaranteed*⁴. Also, compared to corporate DC (defined contribution corporate pension) and iDeCo (individual defined contribution pension), which generally cannot be received until age 60 or older, the basic purpose is the same: saving for asset building in old age. However, it is highly supported by employees who anticipate childcare or nursing care in the future, as they can choose to receive it not as a pension but at the time of retirement, leave of absence, or childcare/nursing care leave.

Currently, approximately 95% of adopting corporations are small and medium-sized enterprises with 300 or fewer employees*⁵, and about one-third of corporations are related to welfare, medical care, and education*⁶.

*⁴ If a shortfall occurs due to investment performance, the employer will cover the deficit.

Service introduction site URL: https://bpcom.jp/hagukumikikin/

　

(Source)

*¹ Ministry of Health, Labour and Welfare, Overview of the 2023 Survey on Employment Conditions of Young People

https://www.mhlw.go.jp/toukei/list/dl/4-21c-jyakunenkoyou-r05_gaikyou.pdf

*² Financial Services Agency, Financial System Council Market Working Group Report "Asset Building and Management in an Aging Society" June 2019

https://www.fsa.go.jp/singi/singi_kinyu/tosin/20190603.html

*³ From "Survey on Factors for Joining 'Hagukumi Corporate Pension' and Its Managerial Effects" (October 2025)

(Joint survey by Better Place Co., Ltd. and Koji Nishikubo, Emeritus Professor at Yamanashi University and Welfare Strategy Research Institute. Number of responses: 2,744)

Press Release: https://prtimes.jp/main/html/rd/p/000000145.000074850.html

*⁵ Calculated from the number of insured persons at the time of contract for corporations introduced between April 2018 and September 2025 (excluding withdrawals) recorded in our system.

*⁶ Calculated from the industry types of corporations introduced between April 2018 and September 2025 (excluding withdrawals) recorded in our system.

*Number of businesses and participants: As of end of December 2025

*Average employee contribution: As of end of September 2025
*Basis for calculating average participation rate

This is a simple average of the participation rates at the month of introduction for each introduced business.

Period: Most recent year (October 2024 - September 2025) for introduced businesses (2,001 corporations, 2,044 businesses)

Participation rate: Number of actual participants / Number of Employees' Pension Insurance insured persons (excluding those who cannot join the fund by system)

Average participation rate by corporate size: 30 or fewer Employees' Pension Insurance insured persons at contract: 77.2%, 31-300 persons: 66.6%, 301 or more persons: 50.5%

■ Better Place Co., Ltd.

We uphold the corporate philosophy of "creating a society where child-rearing generations and children can have hope through business," aiming for a society where ordinary people, not just the wealthy, can "work without financial worries" and "work in their own way."

Many employees of SMEs and essential workers, despite doing important work that supports society, do not have high income levels compared to those working for large corporations. Furthermore, their workplaces often do not have corporate pension or retirement allowance systems, so they do not fully enjoy the benefits.

Having future financial worries leads to a decline in QOL (Quality of Life) and a psychological state where one cannot confidently have and raise children even if desired.

The "hope gap" for the future – Better Place conducts its business activities to solve this issue.

＜Main Services＞

Provision of corporate pension DX system "HaguONE"

Introduction design and support for "Hagukumi Corporate Pension Fund" corporate pension and retirement allowance system

Introduction design and support for defined contribution corporate pension

＜Company Overview＞

Company Name: Better Place Co., Ltd.

Location: Sumitomo Ichigaya Building 15F, 1-1 Ichigayahonmuracho, Shinjuku-ku, Tokyo

Representative: Shinji Morimoto, Representative Director and CEO

Established: October 17, 2011

URL: https://bpcom.jp/

【Recruitment Information】

Better Place is looking for colleagues who want to build a better future with us.

If you are interested, please feel free to contact us.

Recruitment information here: https://bpcom.jp/recruit/