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Why has the 経営・管理 visa been tightened, and whom does it affect?

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

There are 3 things behind the tightening: measures against abuse of the system, comparison with international standards, and the increase in the number of foreign residents. The capital threshold has been raised from at least 5 million yen (500万円) to at least 30 million yen (3,000万円), and the employment of at least 1 full-time employee has been added, among other requirements. For people already living in Japan under 「経営・管理」, transitional measures are in place for applications for extension made up to 16 October 2028 (令和10年10月16日).

What is this enquiry about?

Since the news of the tightening, we have had many messages from people anxious about how it will affect their business and their life.

What has changed, and how?

The capital threshold has been raised to at least 30 million yen (3,000万円), and requirements on employing a full-time employee and on management experience or a degree have been added.

The ministerial ordinance on the criteria for landing permission for 「経営・管理」 has been amended, and it came into force on 16 October 2025 (令和7年10月16日). The main changes are as follows.

Before that, from 17 July 2025 (2025年7月17日), it also became compulsory to submit, when applying for an extension, a "statement of the content of the business and of the management or administrative activities during the most recent period of stay". This calls for a concrete written account of the record of the business as a real and continuing concern; in effect, a document that is part activity report and part small business plan.

Why was the tightening pursued?

There are 3 main reasons behind it: measures against abuse of the system, comparison with international standards, and the increase in the number of foreign residents.

Measures against abuse and misuse of the system

Because the former requirements were comparatively lenient, cases were reported in which loopholes in the system were exploited: the setting up of "paper companies" with no real business, capital put together only temporarily, and use of the system for the purpose of moving to Japan on the pretext of running a 民泊 (minpaku, private lodging) business. The Immigration Services Agency of Japan is aiming to make the status of residence more trustworthy and more transparent.

Comparison with international standards

Japan's requirement of capital of 5 million yen (500万円) has been described as "cheap" compared with other countries — about 30 million yen to 45 million yen (約3,000万〜4,500万円) in the United States, and about 30 million yen (約3,000万円) in South Korea — and it had been left unchanged for about 25 years. There is also an intention to bring it into line with international standards.

The increase in the number of foreign residents

Statistics show a sharp increase in particular in the number of Chinese nationals holding 「経営・管理」, and behind this lies an increase in the number of people who wish to move to Japan: with the change in economic conditions, the slang term 「潤(ルン)」, meaning emigration overseas, has spread.

Whom does it affect, and how?

For new applicants the hurdle is higher; people who already hold the visa must explain that their business is real; and companies need to take care over their staffing plans.

  1. The effect on new applicants: the requirement of capital of 30 million yen (3,000万円) is a considerable hurdle, especially for young entrepreneurs. It is expected that from now on it will be difficult to obtain unless you are a businessperson who already runs a business of a certain size in your own country, or a company aiming at large-scale business development in the Japanese market. There is also a concern that it will become a system open only to people of means.
  2. The effect on people who already hold the visa: because the reality of the business is examined strictly, still more is asked of you in terms of consistency between the business plan and your actual management activities, and in terms of organised, concrete figures for day-to-day sales and staff. Note that transitional measures are in place for people already living in Japan, as set out in the next section.
  3. The effect on companies that employ foreign nationals: you need to be careful about the possibility that you can no longer make an offer of employment on the assumption of taking someone on under 「経営・管理」, and about the effect of longer screening on your staffing plans. You are expected to keep abreast at all times of the status of residence of your foreign employees and of the latest information on the requirements.

What transitional measures apply if I am already living in Japan?

Transitional measures are in place for applications for extension made up to the day on which 3 years have passed from the date the amendment came into force.

Where a person already living in Japan under 「経営・管理」 files an 在留期間更新許可申請 (Application for Extension of Period of Stay) up to the day on which 3 years have passed from the date the amendment came into force (16 October 2028, 令和10年10月16日), the decision whether to grant permission is made in the light of the state of the business and the prospect of coming into line with the amended criteria, even where the amended criteria for permission are not met.

In the screening, you may be asked to submit a document that has been assessed by a specialist in business management.

An 在留期間更新許可申請 made after 3 years have passed from the date the amendment came into force must meet the amended criteria for permission.

What is needed for a successful application or extension?

Draw up a business plan with a high probability of succeeding, and prove it with objective material that backs it up.

To put an application for 「経営・管理」 in a single sentence, it is an application in which you devise, draw up and present to the Regional Immigration Services Bureau a business plan with a high probability of succeeding, and prove it. You might say that it is close to a presentation at a business plan contest, made on paper alone.

It is a plan, but you will actually be launching the business, so what matters most is to show that this is not a mere presentation: basic contracts with prospective business partners, lists, quotations and letters of agreement from ongoing negotiations, the securing of transport routes for goods and materials and estimates of their cost, and material proving the progress of negotiations with each supplier.

How concrete and stable the business plan is

When you apply, the business plan explaining the stability and the continuity of the business in detail matters most. You need to make clear where the company's capital came from, and to back this up with supporting documents of various kinds.

Securing business premises

A short-term contract for a rented office, or premises that double as your home where the living space and the business space are not clearly separated, tend to be examined more strictly. As far as possible, we recommend keeping the office and your home separate.

A good record of residence

If you are judged to have behaved badly, for example by working beyond the scope of your 資格外活動許可 (Permission to Engage in Activity Other Than That Permitted), or by having made a false application in the past, permission may be denied. Where you are changing from 在留資格「留学」 (Student), your academic results and attendance rate may also be examined.

Consulting and preparing early

If you come up against something you do not understand, or a complicated case, consulting a specialist such as a registered certified administrative procedures legal specialist you can trust early on will greatly reduce the risk later.

How should I choose a certified administrative procedures legal specialist?

Check 5 points: expertise and track record, clarity of the fee structure, clarity of explanation, the policy on what happens if permission is denied, and meeting them in person.

For foreign entrepreneurs who are serious about developing a business in Japan, this change to the system can also be expected to bring the benefit of a more trustworthy system. At the same time, it is a fact that the hurdle has become higher.

Frequently Asked Questions

What has the capital threshold changed to?

It has been raised from at least 5 million yen (500万円) to at least 30 million yen (3,000万円). Along with that, the employment of at least 1 full-time employee, and at least 3 years of experience in business management or a degree equivalent to a master's degree or above in the same field, are also required.

I already live in Japan under 「経営・管理」. Do I need to increase the capital straight away?

For an 在留期間更新許可申請 filed up to 16 October 2028 (令和10年10月16日), the decision whether to grant permission is made in the light of the state of your business and the prospect of coming into line, even where the amended criteria are not met. For applications after that, the amended criteria must be met.

Are there any documents that have newly become necessary for an application for extension?

From 17 July 2025 (2025年7月17日), it became compulsory to submit a "statement of the content of the business and of the management or administrative activities during the most recent period of stay". It gives a concrete written account of the record of the business as a real and continuing concern.

Can I apply with premises that double as my home?

Premises that double as your home where the living space and the business space are not clearly separated tend to be examined more strictly. As far as possible, we recommend keeping the office and your home separate.

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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.