On 10 October 2025, the Ministry of Justice of Japan promulgated an amended ministerial ordinance that tightens the requirements and criteria for the “Business Manager” visa in Japan. Under the new rules, the minimum capital requirement will be raised to 30 million yen (six times the previous amount). Additional requirements include Japanese language proficiency, management experience, and the employment of full-time staff.
The new eligibility requirements will take effect on 16 October.1
The amendments to the “Business Manager” visa represent a significant tightening of requirements and criteria for foreign entrepreneurs and managers operating in Japan. The reforms introduce important, stricter requirements:
These changes will directly impact on both new applicants and current Business Manager visa as well as the Highly Skilled Professional (i)(c) and (ii) visa holders for renewal procedures. In other words, the new rules are applicable to the new applicant (to enter Japan) and to those already living in Japan under Business Manager, Highly Skilled Professional (i)(c) and Highly Skilled Professional (ii) visas for extension of period of stay and status change.
The table on the next page offers a comparison of the situation before and after the amendments, highlighting the key changes, improvements, and implications brought about by the revised provisions.2,3,4,5
Category | Before | After (effective October 16) | Implication |
Capital requirements | Minimum: JPY 5 million | Minimum: JPY 30 million (six-fold increase) | Aims to foster substantive business operations and prevent nominal company establishments. |
Employment requirements | No obligation | Mandatory employment of at least one full-time employee who is a Japanese national, a permanent resident, spouse of Japanese national, spouse/child of permanent resident or long-term resident. | Highlights the necessity of substantive business activities. |
Japanese language requirement | No requirement | Either the applicant or one of the full-time employees must possess a sufficient level of Japanese language; CEFR B2 level or higher. · JLPT (Japanese Language Proficiency Test) N2 or higher. · BJT Business Japanese Proficiency Test 400 points or higher. · 20+ years of residence in Japan as a mid-to-long-term resident. · Graduation from a Japanese university or other higher education institution. · Completion of Japanese compulsory education and graduation from high school. | Fosters adaptability to Japanese society and business environment. |
Career and academic background requirement | No requirement | Master’s degree or higher in business or related field, or at least three years of management experience. | Importance placed on the qualities required for business management personnel. |
Review of business plans by certificated professionals | No requirement | Business plans must be validated by certified professionals (small and medium enterprise management consultant, certified public accountant, or tax accountant). | Business plans must be specific, reasonable, and feasible. |
Compliance with tax and social insurance obligations (for renewals) | Basic verification | Verification of details including the status of labor insurance coverage, the status of social insurance coverage, and the payment status of national and local taxes to be paid by the business establishment. | Establishes legal obligations and social responsibilities as a member of Japanese society. |
Source: KPMG in Japan | |||
Business Activities – Actual business operations will be strictly reviewed.
Business Premises – Applicants are required to have physical business premises suitable for the scale of their operations. Virtual offices or nominal addresses will not be accepted.
Overseas Travel During Stay – An extended absence from Japan during the period of stay without a valid reason will be considered as a lack of actual activities in Japan, and permission for extension of stay will not be granted.
Acquisition of the Permits and Licenses Required for Business Operations – Obligated to submit documents certifying the necessary permits and licenses related to the business.
Impact on Current Business Manager Visa and Highly Skilled Professional (i)(c) Visa Holders
For applications to extend the period of stay submitted after three years have passed since the effective date, it is necessary to meet the amended permit criteria.
If assignees planning to enter Japan to work or those who are current holders of visa types as noted above and/or their program managers who are responsible for their mobile employees’ travel and immigration affairs have any questions or concerns about the new requirements, their potential impacts, and appropriate next steps, they should consult with their qualified immigration adviser or a member of the immigration team with KPMG in Japan (see the Contacts section).
1 Published by the Ministry of Justice (in Japanese): https://www.moj.go.jp/isa/content/001448236.pdf.
2 Published by the Ministry of Justice (in Japanese): https://www.moj.go.jp/isa/content/001448237.pdf.
3 Published by the Immigration Services Agency (in Japanese): https://www.moj.go.jp/isa/applications/resources/10_00237.htm.
4 Published by the Immigration Services Agency (in Japanese): https://www.moj.go.jp/isa/content/001448231.pdf.
5 Published by the Immigration Services Agency (in Japanese): https://www.moj.go.jp/isa/content/001448070.pdf.
6 Ibid.
7 Ibid.
* Please note the KPMG International member firm in the United States does not provide immigration or labour law services. However, KPMG Law LLP in Canada can assist clients with U.S. immigration matters.
The information contained in this newsletter was submitted by the KPMG International member firm in Japan.
GMS Flash Alert is a Global Mobility Services publication of the KPMG LLP Washington National Tax practice. The KPMG name and logo are trademarks used under license by the independent member firms of the KPMG global organization. KPMG International Limited is a private English company limited by guarantee and does not provide services to clients. No member firm has any authority to obligate or bind KPMG International or any other member firm vis-à-vis third parties, nor does KPMG International have any such authority to obligate or bind any member firm. The information contained herein is of a general nature and is not intended to address the circumstances of any particular individual or entity. Although we endeavor to provide accurate and timely information, there can be no guarantee that such information is accurate as of the date it is received or that it will continue to be accurate in the future. No one should act on such information without appropriate professional advice after a thorough examination of the particular situation.
© 2025 KPMG Tax Corporation, a tax corporation incorporated under the Japanese CPTA Law and a member firm of the KPMG global organization of independent member firms affiliated with KPMG International Limited, a private English company limited by guarantee. All rights reserved.
