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Nioh in general follows the Dark Souls formula of "when you die, you leave a marker with your Amrita (souls) and Guardian Spirit (you'll learn about these in the first level of the game)." You respawn at the last shrine you prayed at (similar to bonfires or lanterns), and if you fail to reach and touch your grave marker before dying again, you permanently lose the Amrita that was there.
In Yokai Realm with a Companion, however, when you die, you still form a grave, but you do not immediately respawn. If your companion reaches your grave and activates it, you are respawned. You can choose to respawn sooner, or after something like 5 seconds you will be respawned automatically, but it will take a bigger chunk of your shared life bar to do so. If the shared life bar reaches zero, the mission is failed.
Ochoko cups, the item you can use to summon Visitors when playing single player, are pretty common. When starting the game, of course, they can be somewhat hard to stockpile, but after a while you build a good pile on hand.
Unlike DS games you can use summoner's candle to bring back your 'guardian spirit' & 'lost amrita' without acually going back to the place where you fell. You can also use shrine to bring back guardian spirit but you will lose Amrita.
Yokai realm with a companion. Use these options- Friends = Set, Don't choose any missions yet. Now one of you will use option "Wait for a friend" & other will "search for a friend". Both friends must have unlocked the missions then only you can select missions once both of you have found each other.
May the good blood guide your way!
Also, you won't risk losing Amrita if you play in YRWAC mode, and you can level up from a shrine (as well as visit the blacksmith/shop/storehouse) in the YRWAC hub, so it might even be easier to progress this way.
Ochoko cups are kinda rare early on, but they drop from Revenants at a pretty steady rate. Revenants are basically zombies of players that died in that spot, and summoning them is a good way to get good armor/weapons early on (since the revenants will drop a bunch of the actual stuff that player had equipped when defeated), so farming them a bit at the start of the first real mission (the one that's in Japan) will get you a bunch of both co-op consumables and armor that could last you the first mission or so.