If you are a foreign resident in Japan — on a student visa, a work visa, or a family status — and you have been thinking seriously about starting your own company here, the legal landscape changed significantly in October 2025.

The reforms are substantial. But for residents who understand the new requirements and plan accordingly, the path to a Business Manager visa remains viable. This article explains exactly what changed, what it means for you, and how to navigate the transition.

What Changed in October 2025

Japan’s Business Manager visa (経営・管理ビザ) has historically been one of the more accessible entrepreneurial visas among developed countries. The October 2025 reforms raised the bar across four dimensions:

1. Minimum capital requirement: ¥5 million → ¥30 million The previous threshold of ¥5 million (approximately $33,000 USD) has been raised to ¥30 million — a sixfold increase. This capital must be verifiably invested in the Japanese business, not simply parked in a personal account.

2. Local employment requirement The business must now employ at least one full-time local staff member. “Local” in this context means a Japanese national, Permanent Resident, spouse of a Japanese national, or holder of another status that permits full-time employment. This requirement signals that the business has genuine operational substance in Japan.

3. Japanese language proficiency Either the visa applicant or the local full-time staff member must demonstrate minimal Japanese proficiency equivalent to JLPT N2 (CEFR B2). This is a meaningful threshold — it requires effective business-level communication, not just conversational ability.

4. Certified business plan The business plan submitted with the application must be reviewed and formally certified by a recognized Japanese management professional: a Certified SME Consultant (中小企業診断士), a Certified Public Accountant (公認会計士), or a licensed Tax Accountant (税理士 / Zeirishi).

Who This Affects — And How

Current residents planning to start a new company: You are subject to the full new requirements from day one. The ¥30 million threshold, the local employment requirement, the language certification, and the certified business plan are all mandatory.

Existing Business Manager visa holders: If you were already holding a Business Manager visa before October 2025, transitional measures apply. Immigration will assess your situation under a flexible framework until October 16, 2028, giving existing holders time to bring their operations into compliance with the new standards.

This is a meaningful window. If you are an existing holder who does not yet meet the new ¥30 million or employment requirements, you have time to restructure — but that restructuring should begin now, not in 2028.

Practical Pathways Under the New Framework

For residents with sufficient capital: The most straightforward path remains: incorporate a Japanese company (KK or GK), capitalize it at ¥30 million or above, hire one qualifying full-time employee, and prepare a certified business plan. The application is then filed from within Japan as a Change of Status.

For residents approaching — but not yet at — ¥30 million: Some applicants explore structuring options: co-investors, phased capitalization, or business partnerships with existing Japanese entities. Each of these has immigration implications and must be reviewed carefully. Immigration assesses the substance of the investment, not just the paper structure.

For residents where the language requirement is the challenge: If you yourself do not meet JLPT N2 / CEFR B2, the requirement can be satisfied by your qualifying full-time employee. Recruiting the right person — and documenting their language ability correctly — becomes a key part of your application strategy.

On the certified business plan: This is not a formality. Immigration reviewers are expected to give weight to the professional’s assessment. A weak business plan certified by a Zeirishi who barely reviewed it provides less protection than a well-constructed plan certified after genuine scrutiny. Choose your certifier carefully, and ensure your plan reflects a realistic and legally sound business model.

Common Mistakes That Lead to Rejection

• Treating the ¥30 million as a formality and not documenting the investment source clearly
• Hiring a local employee on a part-time or contractor basis (does not satisfy the full-time requirement)
• Relying on a language certificate for the applicant when the employee would be the simpler qualification path
• Submitting a business plan that describes a future intention rather than a present operational reality
• Applying before the company is genuinely operational

How We Support Business Manager Applicants

The reformed Business Manager visa requires coordinating multiple requirements — corporate structure, employment, language documentation, and a certified business plan — simultaneously. Each element affects the others.

We advise on corporate structure and capitalization strategy, coordinate with Zeirishi and SME Consultants for business plan certification, review employment arrangements for compliance with the local staff requirement, and prepare a complete, well-documented application.

For existing holders navigating the transitional period, we conduct a compliance gap analysis and develop a restructuring roadmap before the 2028 deadline.

Thinking about starting a business in Japan? The earlier you plan, the more options you have. Book a free consultation to assess your situation against the new requirements.