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Points and Precautions When Applying for “Business Manager” Status of Residence with Foreign Co-representatives

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The “Business Manager” status of residence allows foreigners to establish or manage companies in Japan. Recently, applications by more than one foreign co-representative have increased; however, these cases involve special requirements and pitfalls. This article explains practical points and risks based on official sources.

The official name is “Business Manager” (在留資格「経営・管理」). The applicant must establish or manage a company in Japan, or join in the management of an existing business. The visa has no requirements for academic background or residence history, but business stability and continuity are evaluated strictly.

When applying as co-representatives (two or more foreigners), you must:

  • Ensure that each representative is substantively involved in management and key decisions.
  • Note that simply becoming a director or lending your name will not be recognized as business management.
  • Clearly demonstrate a “reasonable need” for multiple managers, considering business scale, workload, and revenue.
  • Show individual roles, duties, and appropriate remuneration.

Typical refusal cases include:

  • Directors having no real involvement in operations or decision-making.
  • Using a residence as an office without clear separation or proper business equipment/indications.
  • Lease documents not referring to business use, or not in the company’s name.
  • Ambiguous duty descriptions or remuneration.

For a successful application:

  • Clearly describe the activities and duties of each co-representative in the business plan.
  • Document the ratio of investment and decision-making authority.
  • Prepare evidence of proper office arrangement (in company’s name, with signs and equipment).
  • Ensure remuneration is appropriate for business managers.
  • Prepare evidence of relevant experience (three years or more preferred) for each applicant.
  • Prove tax and social insurance compliance.

Example 1: Import business, two foreigners (A, B) each invest JPY five million, split duties in operations and management, each paid according to investment. Office secured in company’s name with proper signage. Successfully obtained residency.

Example 2: Transportation business, C and D divide work by region with clear responsibility and reporting. Both take part in decision-making and management, satisfying individual review.

Applying for a Business Manager visa as co-representatives carries a high risk of refusal unless there is clear evidence of roles, duties, contribution, remuneration, and office arrangement for each applicant. Consulting with specialists and submitting thorough, contextualized documents is crucial for a successful outcome.

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