Since Japan tightened Business Manager Visa eligibility in October 2025 — raising the capital requirement from ¥5 million to ¥30 million (approximately USD 190,000) and introducing stricter criteria across employment, language, office, and experience — new applications have fallen by around 96%, from about 1,700 per month to about 70, according to Immigration Services Agency (ISA) data.
ISA immigration chief Kimi Onoda confirmed the figures at a press conference and described the outcome as the intended result. The changes, he stated, were designed to close a pathway being used primarily as a residency shortcut rather than a genuine business route.
For foreign entrepreneurs, this means the Business Manager Visa has shifted from one of the most accessible founder visas in the region to a high-barrier, high-scrutiny pathway — with capital as only one of several demanding new conditions.
Five Requirements That Now Apply to Every Business Manager Visa Application
The October 2025 amendments to Japan’s Immigration Control Act introduced five simultaneous changes:
1. Capital requirement
The minimum capital threshold increased from ¥5 million to ¥30 million, with strict scrutiny applied to the source of those funds.
2. Full-time local employee
Applicants must now employ at least one full-time worker holding Japanese nationality or equivalent status.
3. Japanese language ability
The management team must demonstrate N2-level Japanese language proficiency.
4. Independent office
Home offices and virtual offices no longer qualify. A standalone physical office is required.
5. Education and experience
Applicants must hold a master’s or doctorate in a relevant field, or have at least three years of C-level business management experience. A business plan confirmed by a qualified specialist is also required.
Current Holders: Why the October 2028 Renewal Deadline Matters Now
The October 2025 reforms are not limited to new applicants. Existing Business Manager Visa holders whose businesses fall below the ¥30 million capital threshold will not be able to renew their status after the three-year transition period ends — approximately October 2028. Holders who have not yet assessed their capital position against the new threshold should do so before that window closes.
The Startup Visa: What Is and Is Not Confirmed as an Alternative Route
With the standard Business Manager Visa route now substantially more demanding, some entrepreneurs are looking at Japan’s regional Startup Visa as a potential entry point.
The exact conditions of this pathway — including how it interacts with the ¥30 million capital requirement at the point of conversion to Business Manager status — are not confirmed in the sources reviewed for this article. Entrepreneurs should confirm current conversion rules directly with the relevant municipality or a licensed immigration specialist before treating this as a planned route.
What Each Requirement Means in Practice
| Requirement | Current Status | What to Do |
|---|---|---|
| ¥30M capital (with source documentation) | Confirmed — Oct 2025 | Secure proof of funds |
| Full-time local employee | Confirmed — Oct 2025 | Plan for local hiring |
| Independent physical office | Confirmed — Oct 2025 | Secure office space |
| N2 Japanese language (management team) | Confirmed — Oct 2025 | Assess team qualifications |
| Education or C-level experience | Confirmed — Oct 2025 | Prepare credentials |
| Business plan (specialist-confirmed) | Confirmed — Oct 2025 | Engage qualified specialist |
| Renewals — transition deadline | ~October 2028 | Assess capital position now |
| Startup Visa conversion conditions | Unconfirmed | Verify with municipality |
| Application volume | Down 96% (new applications) | Prepare for high-scrutiny process |
Two Positions Entrepreneurs and Advisers Are Working From
The current rules create two distinct starting points:
Direct Route — High Capital
For applicants who can immediately demonstrate access to ¥30 million from verified sources, and who meet the employment, office, language, and experience requirements, this remains the clearest path under current rules.
Regional Startup Track — Provisional
A potential entry point for early-stage founders, though the conditions for converting to long-term Business Manager status are not yet confirmed in the reviewed sources. Entrepreneurs should not assume the regional track bypasses the standard capital or eligibility requirements.
Zagdim Analysis
The October 2025 reforms reflect a deliberate shift in Japan’s approach to foreign business presence. The government’s stated goal was not to reduce foreign entrepreneurship broadly, but to close a specific misuse: the Business Manager Visa being used as a residency pathway rather than a genuine business vehicle.
Three things follow from this:
- The 96% collapse in new applications is, by the government’s own account, an intended outcome — not an unintended consequence of overly restrictive policy.
- For founders with genuine capital and an operational business case, the pathway still exists. The bar is higher, but it is not closed.
- For early-stage founders relying on low capital entry, Japan’s Business Manager Visa is no longer a viable first step. Any Japan market entry strategy now requires a credible answer to the ¥30 million question before other planning begins.
Japan’s October 2025 Business Manager Visa reforms mark a clear turning point for foreign entrepreneurs considering Japan as a base. The new rules are specific,
the thresholds are high, and the government has confirmed this outcome was deliberate. Whether you are assessing this pathway for the first time or reviewing
an existing visa status, understanding the full picture before making any commitment is the right place to start.
Still have questions? Tell us your situation and we’ll help you work through it.
This article is based on officially verified sources current as of May 2026. Requirements change frequently. Always confirm your specific situation with a licensed immigration attorney or the Immigration Services Agency (ISA) directly.
