Starting mid-October 2025, the business scale requirements for the business manager visa will significantly increase, requiring capital or total investment of at least ¥30 million as a general rule.

Table of Contents

Business Manager Visa: No ¥30 Million Capital? Clear Requirements with J-KISS Stock Options

[October 2025 Amendment] New Capital Requirements for the Business Manager Visa

What is J-KISS-type Investment?

Can J-KISS-type Payments Be Counted as “Total Capital Contribution”?

Two Essential Requirements Specified by the Immigration Bureau

Required Documents for Application

Capital Contribution Methods to Decide When Engaging Immigration lawyers

Conclusion

For foreign entrepreneurs aiming to start a business in Japan, obtaining the business manager visa residence status is the first major hurdle. This increase in the capital requirement will significantly impact startup funding strategies.

This brings attention to J-KISS-type stock acquisition rights, a funding method increasingly heard among startups. Is it possible to have the payments made through this J-KISS recognized by the Immigration Bureau as fulfilling the new “¥30 million” capital requirement?

This article explains the clear path forward as an expert, based on the Immigration Bureau’s official stance (their administrative documents).

[October 2025 Amendment] New Capital Requirements for the Business Manager Visa

First, let’s confirm the fundamental business scale requirements for the business manager Visa.

The revised draft ministerial ordinance for landing standards stipulates that the business scale must be “the capital amount or total investment of 30 million yen or more.”

Meeting this requirement is the key to obtaining the visa.

What is J-KISS-type Investment?

J-KISS is an investment contract mechanism enabling rapid fundraising. It allows deferring the valuation of the company’s equity, making it widely used especially by seed-stage startups.

Funds received from investors in a debt-like manner (debt financing) are typically treated as “liabilities” in accounting (or as stock acquisition rights under equity), and do not immediately become registered “capital stock.” This point has been a subject of debate regarding whether it can satisfy the capital stock requirement for the business manager visa under immigration laws.

Can J-KISS-type Payments Be Counted as “Total Capital Contribution”?

While interpretations have varied in the past, administrative documents released by the Immigration Bureau have clarified the requirements for counting J-KISS payments toward the capital requirement for the Management and Administration Visa.

In conclusion, J-KISS payments will be recognized as part of the “total capital contribution” if they meet the following two conditions:

Two Essential Requirements Specified by the Immigration Bureau

1. The payment must be non-repayable

• The primary prerequisite is that the payment is made as consideration for issued stock acquisition rights, with no repayment obligation on the company’s part. J-KISS agreements typically satisfy this requirement.

2. A firm commitment to record the funds as capital in the future

• This is the most critical point. The company must commit in writing that “regardless of whether the stock acquisition rights are exercised or expire unused, the full amount of the paid-in funds will be recorded as capital.”

In other words, the key concept is that if the funds received from investors are promised to ultimately become part of the company’s capital (registered capital or capital reserve) regardless of future outcomes, they will be considered “capital or investment” for compliance with the provisions of the Landing Standards Ordinance during examination.

The key point is that “depending on the contractual form of the paid stock option, options other than J-KISS may also be recognized.” J-KISS is merely an example; the crucial factor is that stock options with characteristics like call options become capital stock regardless of whether the rights are exercised. Alternatively, if the contract stipulates that the funds become “profits” even if the rights are not exercised, and there is certainty that they will subsequently become capital stock, recognition is highly possible.

Reference: Immigration Services Agency of Japan “Clarification of Residence Status Criteria for Foreign Business Operators”

Translation: Tanishima Legal Corporation

https://www.moj.go.jp/isa/applications/resources/nyukan_nyukan43.html

Required Documents for Application

To prove the above requirements, the following documents must be submitted at the time of application.

• ① Investment Agreement (e.g., J-KISS-type Stock Option Agreement)
• Proof that a formal agreement has been concluded with the investor.
• ② Documentation proving payment has been made (e.g., copy of the company’s bank passbook)
• Objective evidence that at least 30 million yen has been deposited into the company’s account based on the agreement.
• ③ Written pledge to record the funds as capital stock in the future
• A document where the representative pledges that the amount applied for as visa capital stock will be recorded as capital stock in the future, regardless of whether the stock acquisition rights are exercised. This is a critically important document that can determine the success or failure of the application.

Capital Contribution Methods to Decide When Engaging Immigration lawyers

Immigration lawyers specializing in the business manager visa for many years can propose various options when capital is insufficient. From the perspective of residency screening, this allows for the submission of easily verifiable documentation, facilitating a smoother process. For example, various methods can be considered, such as:

1. Issue paid stock options such as J-KISS
2. Obtain financing for foreign investors
3. Make in-kind contributions for real estate-related businesses
4. Establish other lawful financing schemes in compliance
5. Establish other lawful schemes in partnership with Japanese individuals or corporations

Conclusion

While the capital requirement for the Business manager visa will increase to 30 million yen due to immigration law revisions, the Immigration Bureau’s interpretation has clarified the path for utilizing funds raised through J-KISS-type stock acquisition rights.

• Payments made via J-KISS can be recognized as meeting the visa capital requirement if specific conditions are met.
• The key is demonstrating through a written pledge that the funds will definitely be recorded as capital in the future.
• The application must include a three-part set: the investment agreement, proof of payment, and this written pledge.

While the requirements are now clear, several aspects, particularly drafting the “written pledge,” demand specialized knowledge. Our firm possesses extensive experience in visa applications for startups. Entrepreneurs considering visa applications utilizing J-KISS under the new system are encouraged to consult with us promptly.