Application for Japan's Business Manager Visa: Thresholds to Rise Significantly!

In the summer of 2025, the Japanese government proposed a major tightening of the rules for the “Business and Management” residence status (commonly known as the Business Manager Visa). The core of this reform is a substantial increase in the application threshold and stricter scrutiny of “substantive business operations.” Specifically, the minimum capital requirement will rise from the previous 5 million yen to 30 million yen. In addition, the draft emphasizes that applicants must employ at least one full-time staff member in Japan and provide more concrete evidence of actual operations, such as proof of office space, business records, or formal employment contracts. These new measures are designed to prevent “paper companies” and close loopholes that allow people to obtain Japanese residency too easily through intermediaries. This reform has already entered the stage of public consultation and administrative procedures, and it is expected to officially take effect around mid-October 2025. Relevant announcements and legal amendments are being issued gradually by the Ministry of Justice and the Immigration Services Agency.

Impact of the New Measures

For individuals and small to medium-sized enterprises (SMEs) planning to start businesses in Japan, the raised threshold will have a tangible impact. On the one hand, the required amount of capital will increase significantly, meaning the previous model—using only a small amount of funds or employing two workers to qualify—will no longer be viable. On the other hand, applicants will have to devote more time and resources to preparing proof of actual operations and employment arrangements. For current Business Manager Visa holders, while it appears they will not immediately be required to comply with the new standards, visa renewal applications may be subject to stricter review in the future. Therefore, it is important to plan ahead, adjust capital structures, and secure employment arrangements in order to reduce the risk of rejection.

Rising Costs of Investing in Japan

In light of these policy changes, investors seeking to apply for the Business Manager Visa in Japan should pay attention to several key points. First, sufficient startup capital is essential. Beyond the 30 million yen required by the visa, investors must also account for office rental expenses, personnel costs, and other operational expenditures. Notably, when applying for the visa, virtual offices cannot be used as a registered address. Offices must have an independent entrance, meaning investors cannot cut costs by relying on virtual office addresses. As a result, the amount of working capital required will increase significantly.

In addition, personnel costs will become a major consideration. Although not yet finalized, the new rules are expected to mandate that companies employ at least one Japanese worker, which will substantially raise monthly salary expenses. According to data from the Ministry of Health, Labour and Welfare, minimum hourly wages across Japan will rise again from October 2025. For example, in Tokyo, the minimum hourly wage will increase to 1,226 yen (approximately NT$ 245 or US$ 8.37). Furthermore, employers must cover social insurance, health insurance, and other statutory contributions, along with employee benefits such as commuting allowances and meal subsidies. In practice, according to common Japanese recruitment websites, the monthly salary for entry-level employees typically ranges from 250,000 to 400,000 yen. Personnel expenses will therefore become an unavoidable operational cost.

Conclusion

In summary, the new Business Manager Visa rules proposed by the Japanese government in 2025 focus on raising the capital threshold and strengthening requirements for tangible employment and business operations. These changes will make starting a business in Japan more demanding and visa application procedures more complex. For prospective investors, seeking professional advice and planning ahead—particularly in terms of capital preparation and staffing arrangements—will be key to reducing risks and successfully adapting to the new system.