Starting a Business in Japan After the October 2025 Business Manager Visa Changes

1. What Changed in October 2025?

The revised Business Manager requirements took effect on October 16, 2025. Key changes include:

These criteria are assessed together. For companies, the financial threshold generally relates to paid-in capital or contributions, depending on the legal form. For sole proprietorships, different rules apply to eligible business expenditures. Not every foreign resident qualifies as the required full-time employee.

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2. Is JPY 30 Million Enough to Obtain a Business Manager Visa?

No. JPY 30 million is a minimum financial threshold, not a guarantee of approval. Even an entrepreneur with JPY 50 million or more may be ineligible if other requirements are not met.

• No qualifying full-time employee
• No suitable business premises
• Insufficient qualifying education or management experience
• No eligible person meeting the Japanese language requirement
• An insufficiently substantiated business plan or missing professional confirmation

Immigration also assesses whether the business is genuine and whether the applicant will actually manage it in Japan.

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3. Do You Need to Hire an Employee Before Applying?

Under the revised rules, a business generally must employ at least one qualifying full-time employee. For this requirement, eligible individuals include Japanese nationals, Special Permanent Residents, and holders of specified residence statuses without employment restrictions, such as Permanent Resident, Spouse or Child of Japanese National, Spouse or Child of Permanent Resident, and Long-Term Resident.

A person holding an ordinary employment-based status does not necessarily count toward this specific employment requirement.

The Japanese-language criterion is separate. The range of employees who may satisfy that criterion is not identical to the range who may satisfy the mandatory employment criterion. This distinction matters for businesses operating mainly in English.

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4. Do You Need to Speak Japanese?

Not necessarily. The applicant or an eligible full-time employee must demonstrate Japanese proficiency approximately equivalent to B2 under the Japanese Language Education Reference Framework.

For non-Japanese individuals, JLPT N2 or above is one recognized way of demonstrating proficiency. Certain educational backgrounds or other qualifying circumstances may also be relevant.

An entrepreneur who does not speak Japanese may therefore be able to meet this requirement through an eligible employee. The employee's status and employment arrangement require careful review.

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5. Can You Establish a Company While Living Overseas?

Foreign nationals can generally participate in establishing and owning Japanese companies while living overseas. However, company incorporation and immigration permission are separate legal processes. Incorporation alone does not authorize residence or management activities in Japan.

Common practical challenges include:

• Preparing and executing incorporation documents
• Arranging payment of capital
• Securing a suitable business address
• Opening a corporate bank account
• Signing commercial leases
• Appointing company representatives
• Preparing immigration documentation

These tasks may be difficult when every founder and representative is overseas. The appropriate approach depends on corporate structure, banking arrangements and the facts of the case.

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6. Do You Need a Collaborator in Japan?

Some overseas entrepreneurs engage a trusted person in Japan to assist with initial establishment. Depending on the structure, that person may temporarily serve as a co-representative or help with banking, leases and administration.

Legal authority and responsibilities must be properly established. Appointment as a company representative does not automatically confer eligibility to act as an immigration application agent. Immigration filing authority must be assessed separately.

Where appropriate, the temporary representative may resign or the company structure may change after the entrepreneur arrives. Any arrangement must reflect genuine responsibilities rather than a nominal appointment.

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7. What Kind of Office Is Required?

Business Manager status generally requires appropriate business premises in Japan, suitable for the proposed operation. Under the revised approach, using residential premises as both a home and business office is generally not accepted.

• Does the lease permit the intended business use?
• Are the occupancy and contractual arrangements appropriate?
• Do the premises support genuine business operations?
• Are industry-specific permits or approvals required?

Restaurants, hospitality businesses and real-estate-related operations may have requirements beyond those of an ordinary consulting office. Signing a lease before reviewing immigration and business requirements can create substantial financial exposure.

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8. What Must Be Included in the Business Plan?

A business plan should show that the proposed operation is realistic and sustainable. Relevant content may include:

• Business activities and revenue model
• Market and customer analysis
• Initial capital and financing
• Revenue and operating-expense forecasts
• Staffing and recruitment plans
• Business premises
• The applicant's management responsibilities
• Required licenses and approvals

Under the revised rules, a new business plan generally requires confirmation by an appropriately qualified professional, subject to applicable exceptions. Official guidance identifies professionals such as Certified Public Accountants, Tax Accountants and Small and Medium Enterprise Management Consultants.

A business plan prepared for bank financing is not necessarily sufficient for immigration: the purposes and supporting evidence may differ.

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9. Business Manager Visa vs. Startup Visa: What Is the Difference?

Japan's Business Manager status and Startup Visa framework are not interchangeable. The Startup Visa framework allows eligible entrepreneurs to undertake specified business-preparation activities under an approved scheme, while Business Manager status is intended for qualifying business management or administration activities.

Eligibility, permitted activities and procedures differ. Applicants should check the relevant scheme and implementing organization.

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10. Practical Checklist Before You Apply

1. Does the business meet the JPY 30 million financial requirement?
2. Can it employ at least one qualifying full-time employee?
3. Can the applicant or eligible employee meet the Japanese language requirement?
4. Does the applicant have the required degree or management experience?
5. Is there a realistic, properly supported business plan?
6. Can suitable commercial premises be secured?
7. Are industry-specific licenses required?
8. If overseas, who will handle establishment procedures in Japan?
9. Is Business Manager status the appropriate immigration route?
10. Can the company demonstrate genuine operations and the applicant's management role?

Evaluate immigration feasibility before making major commitments to incorporation, hiring, leasing and other expenditures.

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Frequently Asked Questions

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Official Sources and Further Reading

• Immigration Services Agency of Japan — Business Manager requirement revisions
• IMS — Important Update: Stricter Business Manager Visa Requirements

Last reviewed: November 2026. General information only; requirements and their application depend on individual circumstances. Company incorporation, financing and immigration approval are separate matters. Approval cannot be guaranteed.

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