Why is the 経営・管理 visa denied, and how do I apply again?
Foreigners Employment Support Organization (FESO) / Published / Last updated
This article is a translation of the Japanese original. Where the two differ, the Japanese version prevails.
Read the Japanese original(日本語版を読む)
Answer
The reasons for denial fall broadly into 6 groups: a business plan that is not realistic, insufficient ability to manage and administer, defects in the business premises, a lack of transparency about where the funds came from, past breaches of the law, and defects or inconsistencies in the documents. When you apply again, it is essential first to pin down exactly why permission was denied, and then to carry out concrete improvements that clear that reason.
What is this enquiry about?
This is for people who prepared carefully and yet were denied the 経営・管理 visa, and do not know what to do next.
Subject: status of residence (visa)
Application type: application for the 経営・管理 visa (a fresh application after a denial)
Situation: the enquirer applied for the 経営・管理 visa in order to start a business in Japan, but permission was denied.
Question: what exactly was the problem, and is there another chance?
For what reasons is permission denied?
The reasons for denial are concentrated in 6 fields: the business plan, the ability to manage and administer, the business premises, the funds, breaches of the law, and the documents.
1. A business plan that is not realistic or sustainable
No clear basis for the sales and profit forecasts: where there is no concrete basis for the sales or profit forecasts, for example because the market research is thin or the analysis of competitors is weak
Whether the initial investment is reasonable: where the initial investment is judged to be too small or too large for the scale of business planned
A weak funding plan: where the plan for raising funds, including borrowing and outside investment as well as your own money, is not realistic
An unclear long-term business model: where no business model is shown for keeping the business going and growing it over the long term
2. Insufficient ability to manage and administer
Insufficient management experience or knowledge: where the applicant's own experience of management, or related knowledge, is judged not to be enough to run the business planned
Defects in the management structure: where the organisational structure, the deployment of staff and the division of work are not clearly shown
Insufficient Japanese ability: where the Japanese ability needed for business activity in Japan is judged to be lacking (in particular for communication with customers and business partners)
3. Defects in the business premises
The premises are not securely in place: where no specific contract for the premises has been concluded, or where the place is not accepted as suitable for business activity (for example a property for residential use only)
Premises that do not match the scale of the business: where the space or the facilities are judged to be insufficient for the scale of business planned
4. A lack of transparency about where the funds came from
The source of the investment funds is unclear: where you cannot clearly prove where investment funds of at least 30 million yen (3,000万円) came from
The route by which the money moved is opaque: where the route is complicated and there is insufficient proof that the money is legitimate
5. Past breaches of the 入管法 (Immigration Control and Refugee Recognition Act) or of other laws
Overstaying and illegal work: if you have overstayed or worked illegally in Japan in the past, the application is examined strictly
Other breaches of the law: a criminal record in Japan or abroad, or unpaid taxes, can also be a reason for denial
6. Defects and inconsistencies in the documents
Missing documents: where not all of the required documents have been assembled
Errors and inconsistencies in what is written: where there are errors or inconsistencies in what is written in the application form or the attached documents
What should I do first when I receive a notice of denial?
Check the document that states the reason for the denial, and if the reason is unclear, ask the Regional Immigration Services Bureau directly.
When you receive a notice of denial, first check the document that states the reason for it. Sometimes the reason is set out concretely, and sometimes it is put in abstract terms, such as "as a result of an overall judgement".
If the reason is unclear, consider asking the Regional Immigration Services Bureau directly. An appointment may be needed, so please check in advance. Consulting a certified administrative procedures legal specialist (gyoseishoshi) who knows applications for the 経営・管理 visa well is also a first step towards understanding exactly why permission was denied and finding the right way forward for a fresh application.
How do I put things right for a fresh application?
Pin down why permission was denied last time, and improve from 4 directions: the business plan, your ability to manage, the explanation of the funds, and the documents.
Pinning down the reason for the denial and improving thoroughly: on the basis of what the Regional Immigration Services Bureau has pointed out and the advice of a specialist, pin down the concrete reason why permission was denied. Then carry out concrete improvements, such as revising the business plan, investing more, proving your ability to manage, and securing suitable business premises.
Rebuilding a persuasive business plan: identify the weak points in the previous business plan, and include detailed market research data, financial analysis and a concrete business strategy, so as to show more concretely that the business is realistic, stable and able to continue.
Objective proof of your ability to manage and administer: submit further material backing up your management experience and knowledge, such as a career history, qualifications and a record of training. If Japanese ability was a concern, submitting a certificate of passing the Japanese-Language Proficiency Test is also effective.
Explaining the flow of funds transparently: use objective documents to explain where the investment funds came from, the route by which they moved, and how they were paid into the business account.
Thorough preparation of documents and removal of inconsistencies: check the required documents carefully once more for anything missing and for inconsistencies in what is written. Attach further explanations or evidence as necessary.
Working with a specialist: from the preparation stage onwards, we recommend working with a specialist such as a certified administrative procedures legal specialist with wide experience of applications for the 経営・管理 visa, and taking their advice and support.
A fresh application can take time and effort, but by drawing on your past experience and firmly putting right what was lacking, the way can open up.
Frequently Asked Questions
The reason for the denial only says "as a result of an overall judgement". What should I do?
Consider asking the Regional Immigration Services Bureau directly. An appointment may be needed, so check in advance before you go.
In what cases do the business premises cause a denial?
Where no specific contract for the premises has been concluded, or where the place is not accepted as suitable for business activity, such as a property for residential use only. It also applies where the space or the facilities are insufficient for the scale of the business.
If I am told that my Japanese ability is insufficient, what can I submit?
Submitting a certificate of passing the Japanese-Language Proficiency Test is effective. Alongside that, back up your ability to manage and administer objectively with a career history, qualifications and a record of training.
What do I need to prove about the investment funds?
Show, with objective documents, where the funds came from, the route by which they moved, and how they were paid into the business account. Where the route is complicated, proof that the money is legitimate is particularly important.
This article provides general information. Immigration rules change, and outcomes depend on individual circumstances. Please check the Immigration Services Agency website or consult a qualified specialist.
This page is a translation of the Japanese original. Where the two differ, the Japanese version prevails.