In a decisive policy shift that has sent ripples through Asia’s startup and investment circles, Japan is officially rewriting the rules of its Business Manager Visa, signaling a tougher stance on foreign entrepreneurship. The reform, taking effect October 16, 2025, represents Tokyo’s sharpest recalibration of immigration policy in years—one that balances national economic security with its long-term goal of attracting serious global investors.
The End of Easy Entry to Japan for Business Managers!
For decades, the Business Manager Visa served as a relatively accessible route for foreign founders to establish companies in Japan, requiring an investment of just ¥5 million (around US $34,000) or two local hires. That era is now over. The revised policy raises the capital requirement to ¥30 million (approximately US $200,000)—a sixfold increase—and enforces stricter proof of business legitimacy.
Applicants must now demonstrate:
- A minimum investment of ¥30 million.
- Employment of at least one full-time staff member in Japan.
- A verifiable business office and sustainable operations plan.
- Either prior management experience or a relevant advanced degree.
Why Tokyo Is Raising the Stakes?
Behind this policy tightening lies a growing concern: the proliferation of shell companies exploiting the old system to gain residency rather than to contribute economically. Over the past few years, immigration audits uncovered hundreds of “paper startups” that existed only in name—many operating from shared offices or using falsified documents to secure business permits.
By tightening the rules, Japan’s Immigration Services Agency (ISA) aims to filter out opportunistic applications and draw in genuine business operators capable of creating jobs and adding real value to the domestic economy.
Implications for Global Entrepreneurs
While the reform has stirred anxiety among small-scale entrepreneurs, it is equally being viewed as a signal of quality and credibility. For high-net-worth founders, venture-backed startups, and established business owners, Japan is sending a clear invitation: bring capital, bring innovation, and stay for the long run.
The message is unmistakable—Japan’s doors are still open, but only to those ready to invest deeply and operate transparently.
The Broader Strategy
This move fits within Prime Minister Fumio Kishida’s broader vision of “new capitalism,” where foreign investment plays a strategic role in Japan’s technological revival. It also coincides with the government’s plan to attract skilled global talent under its Start-Up Visa and Specified Skilled Worker programs, suggesting a dual-track immigration model—one for investors with capital, another for workers with skills.
What Happens Next?
Existing Business Manager Visa holders may receive a transitional grace period before renewal under the new framework, but future applicants will face immediate compliance with the revised rules. Legal experts predict a sharp drop in visa approvals initially, followed by a rebound as legitimate investors adapt to Japan’s stricter regulatory expectations.
The Takeaway
Japan’s latest reform is not about shutting the door—it’s about raising the threshold. In the words of one Tokyo-based business analyst, “Japan no longer wants spectators in its economy. It wants players.”
Entrepreneurs who can meet the new standards may find that Japan, despite its new barriers, remains one of Asia’s most stable, lucrative, and innovation-friendly destinations for long-term business growth.