Japan’s Business Manager Visa Markets
Evolution of Japan’s Business Manager Visa: From Open Door to Enhanced Scrutiny
In recent years, the number of foreign entrepreneurs conducting business in Japan has steadily increased.
While there are no comprehensive public statistics that capture every foreign national acting as a company director,
the growth is clearly reflected in immigration data for the status of residence known as “Business Manager” (in this article, the Business Manager Visa).
In addition to holders of the Business Manager Visa, there are many foreign entrepreneurs who manage businesses in Japan
under other statuses of residence, such as Permanent Resident or Spouse or Child of Japanese National.
Taken together, foreign-owned and foreign-managed businesses have become an important part of Japan’s economic landscape.
From Flexible Entry to Increased Scrutiny
Historically, Japan’s Immigration Control and Refugee Recognition Act granted the Business Manager Visa
to individuals engaged in genuine management or administration of a business in Japan.
In keeping with a “good-faith” approach, there were no strict academic or professional background requirements
for entrepreneurs. The system essentially trusted that an applicant who established a company and invested capital
would in fact act as a business manager.
However, over time, cases emerged in which the Business Manager Visa was used primarily as a tool for immigration,
rather than as a framework to operate a real business. Some applicants set up nominal companies
with little or no actual commercial activity, and used the status as a de facto vehicle to enable parents,
siblings, or other relatives to reside in Japan. In extreme cases, the “manager” did not participate in daily operations at all,
but simply held a title on paper in order to qualify for the visa.
Certain clusters of such cases, reportedly concentrated in specific regions such as Osaka and involving
nationals of certain countries, drew media attention. As coverage increased, these practices became a political issue
and ultimately triggered calls for reform among policymakers.
2025 Reform of the Business Manager Visa Criteria
In response to these concerns, the Ministry of Justice amended the ministerial ordinance that sets forth
the specific criteria for the Business Manager Visa in 2025.
The core objective of the reform is to ensure that the status is reserved for individuals
who are genuinely engaged in managing a viable business in Japan, rather than using the visa as a convenient
immigration shortcut.
Key Changes Introduced in 2025
- Mandatory employment of at least one full-time employee
The business must employ at least one full-time employee who is a Japanese national,
Permanent Resident, Long-Term Resident, or spouse of a Japanese national or Permanent Resident.
This requirement is intended to ensure that the enterprise has real substance and contributes to the local labor market. - Review of the applicant’s academic and/or professional background
Immigration authorities now place greater emphasis on the applicant’s educational history or work experience
to determine whether the individual is reasonably capable of managing the proposed business.
An applicant who lacks relevant background may face greater scrutiny or be required to provide
more detailed supporting evidence. - Third-party evaluation of the business plan
A system has been introduced in which qualified external professionals assess the feasibility of the business plan.
This independent review is designed to filter out plans that are purely nominal and to verify that
the proposed business has realistic prospects of operation and growth in Japan.
Collectively, these changes mark a shift from a relatively flexible framework to a more structured,
evidence-based examination of both the applicant and the underlying business model.
Practical Impact on Foreign Entrepreneurs
For foreign nationals who genuinely intend to launch and manage a business in Japan under the Business Manager Visa,
the 2025 reform does not close the door—but it does raise the bar.
The process has become more complex and preparation-intensive in several important ways:
- Applicants must plan ahead for hiring and payroll to meet the full-time employee requirement.
- Business plans must be detailed, realistic, and internally consistent, with financial projections that can withstand professional scrutiny.
- Founders need to demonstrate that their education or work history is aligned with the business they propose to manage.
- Documentation and compliance must be carefully coordinated to satisfy both immigration requirements and
regulations under the Foreign Exchange and Foreign Trade Act (FEFTA) and other relevant laws.
In short, the Business Manager Visa remains a powerful pathway for establishing a presence in Japan,
but success now depends more than ever on thorough planning, credible documentation, and sophisticated legal guidance.
Strategic Guidance from a Trusted Advisor
At Continental Immigration Administrative Scrivener Corporation,
we act as a trusted advisor to foreign entrepreneurs, investors, and corporate groups
seeking to establish or expand operations in Japan. Our role extends beyond simply preparing visa forms.
Drawing on practical experience with the Immigration Control and Refugee Recognition Act,
the Foreign Exchange and Foreign Trade Act, and related regulations, we assist clients in:
- Designing business structures that are both commercially viable and immigration-compliant,
- Preparing robust, evidence-based business plans that can be supported by third-party professional evaluations,
- Coordinating employment, office leasing, and capital arrangements in line with the new Business Manager Visa criteria, and
- Building a long-term immigration strategy that anticipates future growth, status changes, and possible permanent residence options.
If you are considering launching a business in Japan under the Business Manager Visa
or restructuring an existing operation in light of the 2025 reforms,
professional advice at an early stage can materially improve your chances of success.
Masakazu Murai, Gyoseishoshi (Administrative Lawyer)
Professional
Masakazu Murai Immigration consultant, financial advisor 18 years’ experience in Investment Banking at Mitsubishi UFJ Morgan Stanley. He had provided financial advisory more than 500 entrepreneurs and senior management.
Gyoseishoshi Immigration Lawyer
– Co head of the Tokyo Gyoseishoshi Association, Minato branch
CMA(Japanese financial analyst license)
CFP (Certified Financial Planner)
MBA in Entrepreneurship
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