"If You Have a Business Plan, 2-Year Stay OK"…Japan Drastically Eases Overseas Entrepreneur Visa Restrictions

Japan Facing Low Birthrate and Aging Population Issues
Plans to Actively Attract Startups

The Japanese government, which faced low birthrate and aging population issues earlier than Korea, plans to significantly ease visa acquisition requirements for foreign entrepreneurs. The new policy allows a two-year stay in Japan based solely on a business plan without any capital investment.

On the 30th (local time), Japan's Nihon Keizai Shimbun (Nikkei) reported that the Japanese government is set to make it much easier for foreign startup founders to obtain visas.

Currently, foreigners who want to run a business in Japan must obtain a "Business Manager" residence status. To qualify, they need a business office, at least two full-time employees, or a capital investment of 5 million yen (approximately 45 million KRW). However, critics have argued that these requirements are too high a hurdle for startups with minimal sales and investment to enter Japan.

Foreigners entering Narita Airport, Japan
[Image source=AFP Yonhap News]

However, the Japanese Immigration Services Agency plans to drastically revise these qualification requirements within next year. The key point is that even without conditions such as an office or capital investment, if the business plan is approved, applicants can stay anywhere in Japan for two years.

By lowering the barriers for foreign entrepreneurs, Japan is expected to more easily attract overseas startups with innovative technologies or business models.

Meanwhile, according to Japanese government data, as of June this year, about 35,000 foreigners reside in Japan under the Business Manager status. This number has nearly doubled in eight years compared to 2015.

However, considering the size of Japan's economy, this is still a very small figure. Previously, the Organisation for Economic Co-operation and Development (OECD) surveyed 30 factors including the number of multinational companies and tax systems to rank countries based on their attractiveness to entrepreneurs. Japan ranked 21st out of 24 countries surveyed.

This content was produced with the assistance of AI translation services.