Japan overhauled the Business Manager Visa (経営・管理) on October 16, 2025, raising the minimum paid-in capital from JPY 5 million to JPY 30 million, making a qualifying full-time employee mandatory, and adding a B2/N2 Japanese-language requirement along with a mandatory expert-certified business plan. Driven by Japan's Immigration Services Agency (出入国在留管理庁), the reform targets shell-company visa fraud and reshapes eligibility for both new applicants and renewing visa holders.
At a Glance - What Changed#
TL;DR: Japan's Immigration Services Agency (出入国在留管理庁) overhauled the Business Manager visa on 16 October 2025. The reform targets shell-company visa fraud by demanding real investment, real employees, real language capacity, and expert-verified business plans.
| Requirement | 🔵 Before Oct 2025 | 🔴 After Oct 2025 |
|---|---|---|
| Capital | ¥5M or 2 employees | ¥30M and employees |
| Full-time staff | Optional (if ¥5M+ capital) | Mandatory - min. 1 person |
| Japanese ability | Not required | B2 level (applicant or employee) |
| Applicant qualifications | Not specified | Master's/PhD or 3+ yrs mgmt |
| Business plan review | Self-prepared | Expert verification mandatory |
| Home office | Tolerated | Not permitted (in principle) |
📌 Official Source: ISA - Amendment to Landing Permission Criteria
1. Capital - ¥5M → ¥30M#
The minimum paid-in capital (払込済資本金) jumped sixfold.
What Counts Toward ¥30M?
| ✅ Included | ❌ Not Included |
|---|---|
| Office lease deposits & rent (1 yr) | Cash sitting idle in the account |
| Employee salaries (1 yr budget) | Personal savings unrelated to business |
| Equipment & inventory purchases | Loans not yet deployed |
| IT systems, vehicles, fixtures | Capital from unverifiable sources |
| Marketing & operational spend |
⚠️ Key Point: Immigration cross-references bank statements with your business plan. Capital must be deployed, not just deposited.
Founders structuring the company around more than one applicant should note that the ¥30M threshold attaches to the company, not to each individual seeking Business Manager status. See Can Two Foreign Co-Founders Each Hold a Management Visa for the Same Japan Company? (2026) for how two-founder structures are assessed against a single capital pool under the new rules.
2. Mandatory Full-Time Employee#
Every Business Manager visa holder must employ at least one qualifying full-time employee (常勤職員).
Definition of "Full-Time"
| Criterion | Threshold |
|---|---|
| Working days | 5+ days/week · 217+ days/year |
| Weekly hours | 30+ hours |
| Employment insurance | Enrolled · 30+ scheduled hrs/week |
| Paid leave | 10+ days after 6 months (80% attendance) |
Who Counts?
| 🟢 Eligible | 🔴 NOT Eligible |
|---|---|
| Japanese nationals | Engineer/Specialist visa holders (技人国) |
| Special permanent residents | Skilled Worker visa holders |
| Permanent residents | Intra-company Transferee visa holders |
| Spouse of Japanese national | Student visa holders |
| Spouse of permanent resident | Any Table 1 work visa holder |
| Long-term residents |
💡 This is the most commonly misunderstood rule - hiring a foreign engineer on a work visa does not satisfy this requirement.
3. Japanese Language - B2 Required#
Either the applicant or at least one full-time employee must demonstrate B2-level Japanese.
| Proof Method | Details |
|---|---|
| 🏆 JLPT N2 or higher | Japan Language Proficiency Test |
| 📊 BJT 400+ points | Business Japanese Proficiency Test |
| 🏠 20+ years in Japan | As mid-to-long-term resident |
| 🎓 Japanese university grad | Degree from a Japanese institution |
| 🏫 JP compulsory ed. + high school | Completed both in Japan |
💡 Since a qualifying JP/PR employee is already required, the language bar is often met through that hire. If neither you nor any employee has B2 proof, an additional qualifying person is needed.
4. Applicant Qualifications - New Requirement#
Must meet AT LEAST ONE path:
┌─────────────────────────────┐ ┌─────────────────────────────┐
│ 🎓 ACADEMIC ROUTE │ │ 💼 EXPERIENCE ROUTE │
│ │ │ │
│ Master's, Doctoral, or │ OR │ 3+ years of business │
│ Professional degree in: │ │ management experience │
│ • Business management │ │ (startup-prep period under │
│ • Related field │ │ Designated Activities │
│ (Foreign degrees OK) │ │ counts toward this) │
└─────────────────────────────┘ └─────────────────────────────┘
5. Expert-Verified Business Plan#
| Designated Expert | Japanese Title | Role |
|---|---|---|
| Certified SME Consultant | 中小企業診断士 | Evaluate feasibility |
| Certified Public Accountant | 公認会計士 | Verify financials |
| Certified Tax Accountant | 税理士 | Assess tax & financial viability |
Not every accountant or consultant qualifies as a designated expert under the reform. See Who Can Certify a Business Plan for Japan's Management Visa? (2026) for which credentials Immigration accepts and how to select a reviewer.
What a Strong Business Plan Covers
📌 Reference: ISA Reform Details (PDF)
6. Transitional Measures#
| Timeline | Treatment |
|---|---|
| Filed before 16 Oct 2025 | Assessed under old criteria |
| 16 Oct 2025 → Oct 2028 | Renewals assessed holistically - non-compliance tolerated if trajectory is positive |
| After Oct 2028 | Full compliance with all new criteria strictly required |
⚠️ The transition period is a runway, not a free pass. Immigration may still request expert-verified documents during this window.
Entrepreneurs currently on a Startup Visa preparing to convert to Business Manager status should map their timeline against these transitional rules before filing. See Does Japan's Startup Visa Guarantee You a Management Visa in 2026? for how the two programs interact under the new criteria.
7. Renewal Compliance - What Gets Checked#
| Area | Verification Items |
|---|---|
| 🏢 Office | Dedicated business premises (no home office) |
| ✈️ Presence | No unexplained prolonged absence from Japan |
| 👷 Labor Insurance | Employment insurance + workers' comp enrollment & payment |
| 🏥 Social Insurance | Health insurance + pension enrollment & payment |
| 🏛️ National Tax | Corporate tax · withholding tax · consumption tax - all paid |
| 🏛️ Local Tax | Corporate inhabitant tax + enterprise tax - all paid |
8. Impact on Permanent Residency#
Frequently Asked Questions#
Does the JPY 30 million capital requirement apply per company or per foreign manager if there are two founders?
The capital threshold is assessed at the company level, not multiplied per applicant. Two co-founders both seeking Business Manager status at the same company do not each need to raise a separate ¥30 million; the ¥30 million must be deployed once, in the business they jointly manage. Immigration still expects the business plan and staffing structure to show a genuine, ongoing management role for each named applicant, since the reform is designed to filter out passive or nominal manager arrangements.
What happens to my visa if I filed before October 16, 2025?
Applications filed before October 16, 2025 are assessed under the old criteria: ¥5 million capital or two employees, with no language or degree requirement. Existing visa holders fall into a transition window running from October 16, 2025 through October 2028, during which renewals are assessed holistically and full compliance with the new criteria is not immediately required if the business shows positive movement toward it. After October 2028, all renewals must meet the new criteria in full regardless of when the original visa was granted.
Can I use a foreign employee on a work visa to satisfy the mandatory employee requirement?
No. The mandatory full-time employee must hold Japanese nationality, permanent residency, special permanent residency, long-term resident status, or spousal status tied to a Japanese national or permanent resident. Employees on Engineer/Specialist (技人国), Skilled Worker, Intra-company Transferee, or Student visas do not qualify, regardless of how central their role is to the business. This is one of the most commonly misunderstood parts of the reform, so eligible-employee status should be confirmed before the business plan is finalized.
✅ Pre-Application Checklist#
- Secure ¥30M+ in verifiable, deployable capital
- Recruit at least 1 qualifying full-time employee (JP/PR)
- Confirm B2 Japanese proficiency with test certificate
- Prepare degree transcripts or 3+ year employment certificates
- Engage 税理士/公認会計士/中小企業診断士 for business plan review
- Secure dedicated office space (not residential)
- Set up social insurance + labor insurance from day one
- Begin all tax payments immediately - arrears block renewal
Aplash's Management Visa service supports founders through capital deployment planning, qualifying-employee sourcing, and expert business-plan certification against the October 2025 criteria.
Official References#
| Source | Link |
|---|---|
| ISA - Business Manager Visa | moj.go.jp/.../businessmanager.html |
| ISA - Reform Overview (PDF) | moj.go.jp/.../001448070.pdf |
| ISA - Q&A on Reform | moj.go.jp/.../10_00237.html |
| Companies Act (EN) | japaneselawtranslation.go.jp |
| Immigration Control Act (EN) | japaneselawtranslation.go.jp |
This article is informational only and does not constitute legal, tax, or regulatory advice. Consult a qualified immigration attorney (弁護士) or licensed administrative scrivener (行政書士) for your specific situation. Last updated: August 2026.