Overview of the Draft Ministerial Ordinance for Partial Amendment of the Ministerial Ordinance Establishing Standards under Article 7, Paragraph 1, Item 2 of the Immigration Control and Refugee Recognition Act August 2025
Sep 17, 2025UP!
Key Points and Differences from Current System
Relief Measures Moving Toward “Principled Exclusion”
Current vs. New System
Previously:
Even companies with debt or small workforce could be “rescued” through business viability assessment
Discretionary evaluation allowed for exceptions based on business potential
Under New Rules:
If applicants do not meet the baseline criteria (30 million yen capital + 1 full-time employee), they will likely not even reach the examination stage
The assessment becomes much more rigid and formulaic
Same Restrictions Apply to Renewals
Critical Change for Existing Visa Holders:
Renewal regulations (Annexed Table 3-7) also mandate submission of both requirements (employee documentation + capital documentation)
= If requirements are not met at renewal time, applications will be principally denied
Practical Implications
Higher Barrier to Entry: The 6x increase in capital requirement (5M → 30M yen) significantly limits eligible applicants
No More Safety Net: Elimination of the “equivalent scale” provision removes discretionary relief for borderline cases
Ongoing Compliance Pressure: Existing visa holders must now maintain both employee and capital requirements throughout their stay, not just at initial application
Limited Appeal Options: The shift from “any one requirement” to “both requirements” reduces flexibility in demonstrating business viability
You can see the rough translation below:
Immigration Services Agency
1. Purpose of the Amendment
Under the “Comprehensive Measures for Accepting and Integrating Foreign Human Resources” (revised in fiscal year 2025), it is stated that for work-eligible residence statuses, consideration should be given to reviewing landing permission standards and examination methods as necessary, taking into account the impact on Japan’s industries and national life, in order to realize more appropriate acceptance of foreign human resources (Policy No. 196). This amendment implements necessary measures to review landing permission standards for the “Business Manager” residence status, taking into account similar systems in other countries.
2. Overview of the Amendment
(1) Ministerial Ordinance Establishing Standards under Article 7, Paragraph 1, Item 2 of the Immigration Control and Refugee Recognition Act
The standards for cases where applicants for landing wish to engage in activities under the “Business Manager” residence status in the Ministerial Ordinance Establishing Standards under Article 7, Paragraph 1, Item 2 of the Immigration Control and Refugee Recognition Act (Ministry of Justice Ordinance No. 16 of 1990) shall be amended as follows:
① Regarding the scale of the business subject to application:
Previously required compliance with any of the following:
a) Operations conducted with two or more full-time employees residing in Japan other than those engaged in management
b) Capital or total investment amount of 5 million yen or more
c) Recognized as having a scale equivalent to (a) or (b)
New requirements: The number of full-time employees shall be changed to one or more, the capital or total investment amount shall be raised from 5 million yen or more to 30 million yen or more, item (c) shall be deleted, and compliance with both (a) and (b) shall be required.
② Applicants must satisfy one of the following requirements:
a) Hold a doctoral degree, master’s degree, or professional degree in the field of business management or in fields related to the technology or knowledge necessary for the business operations subject to application
b) Have three or more years of experience in business management or administration (including periods of residence in Japan under the “Designated Activities” residence status for activities designated as including preparatory activities such as securing business premises necessary to commence trade or other business operations in Japan), even when the applicant intends to engage in business management
(2) Annexed Table 3 of the Immigration Control and Refugee Recognition Act Enforcement Regulations
The submission requirements for applications for certificate of eligibility, change of status, and acquisition of status for the “Business Manager” residence status shall be amended as follows:
① Business plans must be submitted after evaluation by persons with specialized knowledge in management.
② Regarding submission materials related to business scale:
Previously required submission of any of the following:
a) Documents clarifying the total number of full-time employees excluding the foreign national, and if the number is two or more, wage payment documents and copies of resident certificates, residence cards, or special permanent resident certificates for those two employees
b) Documents clarifying capital or total investment amount
c) Other documents clarifying business scale
New requirements: In item (a), “and if the number is two or more, for those two” shall be changed to “and for those,” item (c) shall be deleted, and submission of both (a) and (b) shall be required.
③ For those intending to engage in business management, while previously requiring submission of documents proving work history and certificates of periods spent studying management or administration in graduate school, both management and administration cases shall now require submission of documents proving possession of academic degrees or documents proving work history and other career experience.
④ Other necessary amendments shall be made.
(3) Annexed Table 3-7 of the Immigration Control and Refugee Recognition Act Enforcement Regulations
Submission requirements for renewal applications for the “Business Manager” residence status shall be amended as follows:
Regarding submission materials related to business scale, the same changes as described in section (2)② above shall apply: item (a) language shall be modified, item (c) shall be deleted, and submission of both (a) and (b) shall be required.
3. Future Schedule
Publication Date: Early October 2025
Effective Date: Mid-October 2025
https://public-comment.e-gov.go.jp/pcm/detail?CLASSNAME=PCMMSTDETAIL&Mode=0&id=315000115&utm_source=chatgpt.com
You are welcome to contact us via the Contact Form to discuss and for more information.
