What happens when the transitional measures for 在留資格「経営・管理」 come to an end?

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）

What is this enquiry about?

This is for managers who have held 在留資格「経営・管理」 since before the amendment, and who want to know what the transitional measures cover and what happens once they end.

What are the 3-year transitional measures?

They mean that, for an 在留期間更新許可申請 filed by 16 October 2028 (2028年10月16日), you are not denied outright even where you do not fully meet the new criteria.

The following rules apply if, before 16 October 2025 (2025年10月16日), the date the amendment came into force, you had already obtained 「経営・管理」 or your application had been accepted.

• How long　Until 16 October 2028 (2028年10月16日)
• What happens to extensions　If your 在留期間更新許可申請 is filed by that date, you will not be denied outright even where you do not fully meet the amended criteria (30 million yen (3,000万円), employing 1 full-time employee, and so on)
• What screening looks at　Whether the business is currently in good shape, whether you have met your tax obligations, and whether there is a prospect of meeting the new criteria in future, are judged as a whole

During screening you may be asked to submit a document that has been assessed by an expert in business management.

What is looked at when you apply for an extension during the transitional period?

Concrete plans that show the prospect — a funding plan, a recruitment plan and a route to Japanese language ability — are what screening looks at.

It is risky to assume that things can stay as they are until 2028 (2028年). For an 在留期間更新許可申請 filed during the transitional period, cases are increasing in which a roadmap for coming into line with the new criteria, or an assessment by an expert (a registered management consultant (chusho kigyo shindanshi), a certified tax accountant or the like), is asked for.

What is looked at is not simply a promise to do your best, but concrete plans of the following kind.

1. A funding plan
   How you will build up profits, and at what point you will increase capital.
2. A recruitment plan
   When, and in what kind of role, you will employ a full-time employee who is a Japanese national or a holder of 在留資格「永住者」 (Permanent Resident) or similar.
3. Japanese language ability
   By when you yourself, as the manager, will meet the Japanese ability requirement (equivalent to B2).

What changes from 17 October 2028 (2028年10月17日)?

As a rule the new criteria apply to an 在留期間更新許可申請 without exception, and if you do not meet them the risk of denial is extremely high.

For an 在留期間更新許可申請 filed on or after that date, as a rule the new criteria apply without exception. If you are in any of the following states at the time of the extension, the risk of the extension being denied — meaning that you can no longer continue running a business in Japan — can be said to be extremely high.

1. Your capital or total contribution has not reached 30 million yen (3,000万円)
2. You do not employ at least 1 full-time employee who is a Japanese national or a holder of 「永住者」 or similar
3. There is no one who meets the Japanese ability requirement (either the manager or an employee)

The 「常勤職員」 (full-time employees) referred to here are limited to Japanese nationals, Special Permanent Residents, and foreign nationals residing under a status of residence in Appended Table II of the Act (「永住者」, 在留資格「日本人の配偶者等」 (Spouse or Child of Japanese National), 在留資格「永住者の配偶者等」 (Spouse or Child of Permanent Resident) and 在留資格「定住者」 (Long-Term Resident)). Foreign nationals residing under a status of residence in Appended Table I of the Act are not included.

What should you start preparing now?

Start now on the following 3 points: preparing to increase capital, a budget that includes the cost of hiring, and working with experts.

2028 (2028年) may feel a long way off, but raising capital to 30 million yen (3,000万円) and securing the right people take time. Please go through the following checklist straight away.

1. Prepare to increase capital
   Plan either to retain profits and put them towards the increase, or to prepare further funds of your own.
2. Work out the cost of hiring
   Employing 1 full-time employee costs not only salary but also social insurance contributions (the employer's share) and the like. Build a budget that includes them.
3. Work with experts
   Under the new criteria, confirmation by an expert is required for the business plan. Find a certified administrative procedures legal specialist (gyoseishoshi), certified tax accountant or registered management consultant (chusho kigyo shindanshi) you can trust while you still have time.

Of the items screened, securing business premises, capital, the number of full-time employees, background (education and career), Japanese ability and the payment of taxes and public dues can be assessed objectively. The growth potential of the business, on the other hand, is difficult to judge, and so confirmation of the business plan by a registered management consultant (chusho kigyo shindanshi), certified public accountant or certified tax accountant, as persons with specialist knowledge of business management, has been made compulsory.

Frequently Asked Questions

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• What procedures are needed when you give up 在留資格「経営・管理」 and return home?
• What happens if the 経営・管理 visa is not granted before your period of stay expires?
• My 3rd application for the 「経営・管理」 (Business Manager) visa is dragging on. What can I do?
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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.