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Starting a Business in Japan with a Startup Visa|A Practical Option Before the Business Manager Visa Revision

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Introduction

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In recent years, inquiries from foreign nationals wishing to start businesses or expand operations in Japan have been on the rise. Particularly with the revision of the Business Manager Visa scheduled for October 2025, immigration offices and administrative scrivener firms are now receiving a flood of so-called “last-minute applications” from those hoping to slip through under the old rules.

In practice, however, applying directly for a Business Manager Visa is extremely difficult for most applicants due to hurdles such as capital requirements, preparation timelines, and stricter review standards. For this reason, attention has increasingly shifted to the Startup Visa as a more realistic pathway to establishing a business in Japan.

This article explains why last-minute applications are increasing, the risks of attempting a direct Business Manager application, and how the Startup Visa works as a practical solution—along with the latest policy developments.


Why Last-Minute Applications Are Increasing

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Why is demand for the Business Manager Visa surging right now? The main reasons are:

  • Capital requirements are set to rise
    A revision proposal would raise the minimum capital from the current ¥5 million to ¥30 million.
  • Stricter review standards
    Immigration is shifting away from accepting “paper business plans” and requiring proof of actual business operations.
  • Hope of slipping through under the old rules
    Many applicants believe that if they act quickly, they can still be approved under the old criteria.

In reality, however, setting up a company, paying in capital, opening a bank account, and securing office space within a short timeframe is extremely challenging. For most cases, it is practically impossible.


Challenges of Direct Business Manager Applications

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With the upcoming revision, those who attempt to apply directly for a Business Manager Visa face the following challenges:

ItemCurrent StandardExpected RevisionPractical Issues
Capital¥5 million or more¥30 million or moreScreening already reflects stricter standards
Business experience / DegreeNone required3+ years of management experience or a master’s degreeA new barrier for many applicants
EmploymentNot requiredAt least 1 full-time employeeUnrealistic for newly established firms
Business planPrepared by applicantMust be verified by an SME consultant or equivalentExternal cost and time burden
Bank accountRequires local supportSame after revisionNearly impossible for foreigners alone

👉 In short, unless an applicant can simultaneously secure sufficient funding, staff, and time, direct applications are highly impractical.


How the Startup Visa Works and Its Advantages

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The Startup Visa is a residence status issued by local governments to support business preparation. It usually allows 6–12 months of stay, during which the applicant can establish a company, open a bank account, and rent office space.

Key Advantages

  • Issuance of a residence card
    Enables bank account opening and office leasing, which are otherwise difficult without legal residency.
  • Preparation period secured
    Eliminates the need for unrealistic “last-minute” filing, and allows sufficient time to build a real business foundation.
  • Compatible with post-revision standards
    By progressing through genuine preparation, applicants naturally meet the stricter review standards expected after the revision.

👉 For foreigners planning to start a business in Japan, the Startup Visa is by far the most practical and low-risk pathway.


Direct Application vs. Startup Visa

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AspectDirect Business Manager ApplicationVia Startup Visa
Capital¥5 million on paper, but stricter in practiceTime to arrange and adjust funding
TimingAlmost impossible to complete before revisionPreparation period secured through residency
ScreeningImmediate transition to strict post-revision standardsRequirements gradually met during preparation
Bank accountRequires local guarantor, nearly impossible aloneResidence card makes opening easier
RiskHighLow

Latest Developments (as of August 25, 2025)

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On August 25, 2025, during the “Special Committee on Foreign Human Resources” in the Japanese Diet, the Immigration Services Agency presented the following revision proposals:

  • Capital: Raised from ¥5 million to ¥30 million
  • Business experience: At least 3 years of management, or a master’s degree
  • Employment: At least 1 full-time employee required
  • Business plan: Must be verified by an SME consultant or equivalent

At this stage, the Ministry of Justice and the Immigration Services Agency have not yet issued an official ordinance or notice. Nevertheless, many experts expect the revision to be finalized within FY2025, and stricter standards are already being applied in practice.


Trends at the Osaka Immigration Bureau

Osaka Regional Immigration Services Bureau

While stricter screening is being implemented nationwide, the Osaka Immigration Bureau has also shown similar tendencies:

  • Capital requirements applied more strictly
    Although the legal threshold is still ¥5 million, officers increasingly expect business foundations closer to ¥30 million.
  • Verification of office arrangements
    Virtual offices or superficial leases carry high risks of refusal.
  • Business plan substance
    Plans must demonstrate actual contracts or hiring intentions, not just theoretical numbers.
  • Positive view of Startup Visa pathways
    Osaka City has adopted the Startup Visa, and applicants who first obtain this status and later switch to the Business Manager Visa are often processed more smoothly.

👉 Even in Osaka, rather than attempting last-minute applications, preparing via the Startup Visa remains the most realistic strategy.


Conclusion

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  • Although last-minute applications are on the rise, directly applying for the Business Manager Visa is highly impractical under current conditions.
  • By first obtaining a Startup Visa, applicants can prepare banking, office, and operational requirements while aligning with stricter post-revision standards.
  • With the revision imminent, both nationwide and in Osaka, choosing the Startup Visa route is the most practical and reliable pathway to long-term business success in Japan.

▶ Business Manager Visa Overview and Required Documents

✅ 🔗You can find detailed information about other types of residence status here.


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Starting a Business in Japan with a Startup Visa|A Practical Option Before the Business Manager Visa Revision

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