Full Newspaper Article: Tightening Entrepreneur Residence Status – Capital Requirement Increased Sixfold to 30 Million Yen

On August 4, 2025, the Asahi Newspaper reported that the capital requirements for the "Business Manager Visa" (residence status: Business Manager) are expected to be tightened within the year. This revision will have a significant impact on foreign nationals who wish to establish a business in Japan and reside in the country. We are providing this urgent update based on media reports, not an official announcement from government authorities. Please note that this is still at the reporting stage.

Regarding the residence status "Business Manager" granted to foreign nationals who start businesses in Japan, the Immigration Services Agency is in the final stages of adjusting the requirements to raise the minimum capital to at least 30 million yen—approximately six times the current amount. After seeking the opinion of an expert panel later this month, the government aims to revise and enforce the ministerial ordinance within the year.

The "Business Manager" status is intended to attract entrepreneurs and strengthen international competitiveness. However, compared to other countries, the requirements have been considered lenient, leading to criticism of abuse, which has prompted the decision to tighten the criteria. Multiple government officials have disclosed this information.

The status allows a stay of 3 months to 5 years (renewable) and permits family accompaniment. Currently, the requirements include securing a business office and meeting either "capital of at least 5 million yen" or "at least two full-time employees."

Going forward, the requirements will be increased to capital of at least 30 million yen and, simultaneously, the employment of at least one full-time employee. Exceptions will be established to ensure that the acceptance of highly skilled personnel is not hindered.

Among the "Designated Activities" residence statuses, those holding a startup visa—where the business plan has been certified by the Minister of Economy, Trade and Industry—or the "Future-Creation Human Resources" status for graduates of world-class universities will continue to be allowed to transition to "Business Manager" under the current criteria.

The government is also studying similar systems overseas. In South Korea, the requirement is 300 million won (about 32 million yen), while in the United States, it is reportedly USD 100,000 to 200,000 (about 15 million to 30 million yen) or more.

The Immigration Services Agency has sought to expand acceptance of highly skilled personnel since renaming the status from its predecessor in 2015 and making operations more flexible. The number of foreign residents under this status has grown from about 18,100 (end of 2015) to about 41,600 (end of 2024), an increase of 2.3 times over ten years.

However, a series of abuse cases involving paper companies has come to light. In this year’s regular Diet session, there was heightened attention to foreign policy, with ruling and opposition lawmakers calling for a review, stating that "a 5 million yen entry cost is too low." Justice Minister Keishu Suzuki responded that he would "take action as promptly as possible."

During Diet questioning, it was also pointed out that many Chinese nationals have exploited the lenient requirements for "Business Manager" to establish corporations for operating short-term rental businesses and move to Japan. However, the proportion of Chinese nationals among all holders of this status has remained relatively unchanged at 48–53% over the past decade.