Trend of sales by purchasers

(Mill)

1Franchise Chains

Silver Life operates three chains of food distribution franchises to which we provide business management and sell food for bento meals and other items.
The food products we sell to the franchises are primarily main and side dishes produced in our factories or source from supplier factories. We also sell rice to the franchise stores and consumables used when preparing food items.
Customers place their meal orders to a franchise and designate what time they want the food delivered. The franchise purchases food items from us to fill the orders they have received and anticipate receiving. The franchise combines the cooked rice prepared on the premises with purchased food items to create the bento meals to be delivered at the time designated by the customer. During the preparation process, the franchisees also accommodate customer needs with individualized preparation service, such as cutting items into small pieces for easy consumption.

Franchise contracts are basically franchise membership plans under which the franchisee pays Silver Life for food items and royalties. We also help franchises establish their businesses by offering a plan with an initial period of reduced costs and no royalty payments.

Trend of opening stores

(Stores)

2Facilities for the Elderly

We sell the food items produced in our own factories or sourced from supplier factories to various types of senior care facilities, including homes for the elderly and day-use nursing care facilities. Our factories deliver food items to franchisees located near the senior care facilities where the orders originated. The food items we provide are delivered as is to the facilities or are further prepared by the franchisees for individual customers. In some cases, we deliver directly from the factories to senior care facilities.
The senior care facilities pay Silver Life for the purchased food items, and we pay the franchisees a commission for delivering the food.

3Direct Sales / Others

We use our factories to provide original equipment manufacturing and wholesale of frozen bento meals for other food preparation companies. We also sell our own brand of frozen bento meals via our website.
In addition, warehousing operations were launched using the premises of the Kazo Center.

Food Supply System

1Our Factory

We have its own factories in Gunma and Tochigi prefectures.
The Gunma Factory was acquired in February 2013 and started operation in August 2013, and the Tochigi Factory started operation in March 2021.
The Gunma Factory, which specializes in frozen meals, sells “Magokoro Care Shoku” and “Kodawari Chef” to general customers and elderly care facilities nationwide, as well as to OEM contractors.
The Tochigi Factory, which specializes in chilled meals, sells “Magokoro Bento”, “Haishoku no Fureai” and “Takushoku Life” regular meals to franchisees and elderly care facilities.
In the production process of regular meals, we use the vacuum cooking method, in which food ingredients, soup stock, seasonings, etc. are packed in vacuum packs, sealed, and the packs are automatically heated.
Compared to conventional cooking, the vacuum cooking method reduces costs by extending the shelf life and reducing the number of personnel expenses.

2Supplier Factories

We contract with our main supplier AI Service and other supplier factories to produce food items for regular, calorie- and protein-adjusted, and puréed meals. Prepared food items produced and prepared by the supplier factories are delivered directly to franchisees and senior care facilities.