Opening a Corporate Bank Account in Japan as a Foreigner is Challenging

I specialize in supporting foreign nationals who obtain a Business Manager visa to launch startups in Japan. One of the most frequent and troublesome issues is opening a corporate bank account. It is extremely difficult for newly established companies by foreign nationals to open a corporate account in Japan. I’ve seen many entrepreneurs become disheartened after being rejected by every bank they applied to.

Without a corporate bank account, you can’t send or receive payments from suppliers or receive funds from customers. In some cases, foreign representatives may have to use their personal bank accounts temporarily, but even that poses challenges—such as when increasing capital—because without a bank designated for capital payment, capital injection procedures cannot proceed.

In my experience, major banks (megabanks) have the strictest screening criteria. In practice, unless it is a Japanese subsidiary of a well-known foreign firm, foreign startups often resort to regional banks, credit unions, or online banks. Most banks take about 2–3 weeks to process the application. If additional documents are required, the process may take another 2 weeks or more.

 How Foreigners Can Open a Corporate Bank Account

The screening criteria for corporate account openings are generally based on the bank’s comprehensive evaluation and are not clearly disclosed.

Since the company is newly established, there is no track record. Therefore, banks evaluate various factors, such as the background of the company’s formation, the nature of its business, size (capital, projected annual revenue), actual operations (office, number of employees), and the status of its representative or directors. Many banks require the representative to be a resident of Japan and to hold a valid status of residence, such as Business Manager or Permanent Resident. If the representative is a non-resident, many banks automatically disqualify the application based on formality.

Although each bank has its own criteria, they essentially examine whether the business has a legitimate presence and can be deemed reliable for transactions. Therefore, it’s highly recommended to prepare documents not typically listed on bank websites, such as a business plan and supporting documentation. These documents and the evidence banks look for differ by company. Also note that most banks only accept applications at branches near the company’s registered office.

While the criteria may vary slightly between banks, the fundamental principle is the same: each bank must assess whether it is appropriate to conduct transactions with a company based on confirmation of the company’s actual business operations. Therefore, it is advisable to prepare optional documents, such as a business plan or relevant supporting documents, which are not usually listed on bank websites but help demonstrate your business substance. The specific documents each bank wishes to verify will differ depending on the company. Please also be aware that in principle, most banks require you to open the account at the branch nearest to your registered head office (business address).

What If the Bank Rejects Your Corporate Account Application?

If your corporate bank account application is rejected, you will usually be told it was due to a “comprehensive assessment,” with no further explanation. This often leaves entrepreneurs confused and unsure about what went wrong or how to proceed with another application. Thus, your basic strategy should be to apply across a broad range of banks — megabanks, regional banks, credit unions, and internet banks.

That said, Japan has a limited number of financial institutions open to new accounts, and some banks are comparatively more open to offering accounts to foreign-owned corporations. To avoid complete rejection, it may be wise to consult with a tax advisor or financial consultant after receiving several rejections, and formulate a revised strategy based on professional advice.

It’s also quite common for applicants to overlook their company’s ineligibility under basic criteria and proceed with applications that are obviously doomed to be rejected. Additionally, if your submitted documents or attachments are incomplete or inaccurate, the bank may conclude that your company lacks proper management systems — which could result in an outright rejection with no follow-up.

About the Author

Masakazu Murai
Startup advisor specializing in foreign entrepreneurs.
– Supporting startups from visa acquisition to capital fundraising –
Minimizing risks of visa denial or prolonged screening for business founders.

Former investment banker at Mitsubishi UFJ Morgan Stanley Securities (a joint venture between Mitsubishi UFJ Financial Group and Morgan Stanley), where he advised corporate clients on fundraising and M&A transactions. During his tenure, he also served as a union executive promoting diversity, inclusion of foreign staff, and labor environment reforms. His specialties include visa application consulting and financial advisory for foreign nationals.

Certified Immigration Lawyer
Certified Financial Planner (CFP)
Certified Member of the Securities Analysts Association of Japan

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