During these travels he met Dr. Chujiro Hayashi, a retired Naval Officer. Dr. Hayashi accompanied Dr. Usui in his travels and learned much. At age 47, Dr. Hayashi received Reiki Master training from Dr. Usui. Dr. Usui spent the rest of his life sharing Reiki and trained 16-18 Reiki Masters. After his death in 1930, he was buried in a Kyoto temple.

Dr. Chujiro Hayashi continued to practice and teach Reiki. Mrs. Takata credits him as being asked to be Dr. Usui's successor as the Grand Master of Reiki, though research in Japan indicates otherwise.

Dr. Hayashi began operating a clinic in Tokyo. They had a number of beds in a large room, one patient per bed. The practitioners all worked here doing healings. They would also go to the homes of sick people for house calls. It is believed that Dr. Hayashi began the tradition of charging money for Reiki treatment.

For about 10 years he ran a Reiki clinic. During those 10 years he developed formal hand positions and divided Reiki training into 3 levels or degrees. He trained 13-16 Masters, including his wife and Mrs. Hawayo Takata. Three years before his death, he announced Hawayo Takata as his successor. He chose his transition on May 10, 1941 at age 62.