Can foreign business owners in Japan apply for and receive public subsidies?
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Dear Foreign Entrepreneurs: You Can Apply for Japanese Government Subsidies Regardless of Nationality!
Are you managing a business in Japan and wondering if you can apply for subsidies or grants just like Japanese entrepreneurs?
The answer is yes — Japan does not impose restrictions based on nationality.
However, there are certain requirements you need to meet. This article explains the key points in detail.
No Restriction Based on Nationality
Japan’s small and medium enterprise (SME) support programs — managed by organizations such as the Ministry of Economy, Trade and Industry and local governments — focus on the location of the business, actual operations, and visa status rather than the nationality of the business owner.
In most subsidy guidelines, you will find statements such as:
Eligible applicants: SMEs (corporations or sole proprietors) with their head office or main business location in Japan.
This means that foreign entrepreneurs can apply as long as their company is legally registered and operating in Japan.
What Actually Matters: Key Eligibility Points
| Checklist Item | Details |
|---|---|
| Registered as a Japanese corporation | The head office must be registered in Japan. Some programs may exclude overseas branch offices. |
| Actual business operations in Japan | The company must have a physical presence such as an office, store, or employees within Japan. |
| Valid visa status for business management | A “Business Manager” visa (経営・管理) or equivalent status is required. Student or short-term visas are not eligible. |
| Compliance with tax and social insurance obligations | Applicants are often required to submit proof of tax payment and social insurance enrollment. |
| Business plan alignment with subsidy goals | Your project must match the policy objectives, such as productivity improvement, regional revitalization, or digital transformation. |
Exceptional Cases Where Nationality Might Matter
Although nationality generally has no effect, certain specialized programs may impose restrictions due to security or local policies.
| Type of Program | Possible Restrictions |
|---|---|
| Defense or national security-related programs | Certain industries related to national defense may have restrictions on foreign capital ownership. |
| Programs involving sensitive technology or intellectual property | To prevent technology leakage, foreign-invested companies may be excluded from some grants. |
| Local government subsidies | Some local subsidies may require residency or a registered address within the municipality, which could limit eligibility depending on visa type. |
Summary: Foreign Entrepreneurs Can Apply for Japanese Subsidies
| Item | Treatment of Foreign Entrepreneurs |
|---|---|
| Nationality | No restriction (same as Japanese nationals) |
| Visa status | A valid “Business Manager” visa or equivalent required |
| Corporate registration | Must be registered and operating in Japan |
| Tax compliance | Must have paid taxes and fulfilled social insurance obligations |
| Review & Selection | Evaluated based on business content and plan, not nationality |
Next Step: Identify the Right Program
Foreign business owners can fully benefit from Japan’s public subsidy programs.
However, as each program has its own requirements, it’s important to identify the specific subsidy name and target region (prefecture or city) before applying.
If you are considering applying for programs such as the Small Business Sustainability Subsidy or the Business Restructuring Subsidy, we can provide tailored guidance based on the latest official requirements.
Feel free to contact us for consultation.
無料相談はこちら / Free Consultation Here / 如需免费咨询
補助金の申請をお考えの方は、まずはお気軽にご相談ください！
If you are interested in obtaining a subsidy, please feel free to contact us!
如果您对获得中小企业政府补助金感兴趣，请随时与我们联系！
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