Hello everyone,
I have a few questions regarding a plan in the very early stages of potentially moving to Japan and starting a business. I understand some of this research is best done elsewhere but several people pointed me to this subreddit so I thought I would ask in case anyone has experience with it. This is a bit of a long one but I hope to avoid having to respond to a ton of questions. The questions are at the bottom if you want to skip full story, I'm told I can talk people's ear off.
I run a business in Canada, which I am considering either selling off or selling of a significant portion of and becoming a silent partner in, and "retiring". I use quotes because I am 41. I am considering spending more time in Japan over the next couple of years to determine if the culture is a good fit and I can find a suitable location to open a business and then come as a start-up/business manager sometime in 2027 or 2028. (I have never been in a non-tourist capacity and I understand there is more than just a language barrier when attempting to be resident and local business).
My plan is roughly as follows. Over the next year or two I plan to take intensive lessons and practise my language skills to get to a point where I can be conversational and do business without needing a translator for anything that isn't a legal document (I intend to always have a native speaker do legal paperwork for me), and also engage in several more trips becoming less and less "touristy" each time. I have in-laws in Tokyo, and I intend to visit with them as my guide several times over this year and next, with the aim being in 2026/7 to take several extended holidays (14-30 days each) and effectively live as a local without a job, to see if I can handle things like shopping, navigation, day to day life etc. without needing assistance with language or other things. Assuming that all goes well. There would also be a lot of research done in this time into local business laws, tax laws, and regulations to make sure my business would line up well with everything and have the potential to be a successful venture, or at least a huge money pit. I would look to move over on a start-up or business manager visa.
So here are the questions
1) In regards to the start-up visa – I cannot seem to find a lot of information on it, but I understand this is meant to be an on-ramp to the business manager visa, where you can use the time to find staffing and office space to rent etc. Is it region specific? I do understand that it is now available nationwide, but if I apply for it in Shibuya, and later decide Kyoto is a better place to open the business, is that something can be done or would I be tied to the region I applied in?
2) For the Business Manager Visa (BMV after this) – Does the business need to be profitable in order to get an extension past the first year, or can it operate at a loss for some time? If for example the business was running at a loss, but I think it could become profitable a couple years down the road, or I simply wish to invest more to be able to keep living there and running it, is this possible or is there a strict deadline by when it must be in the black before I would get the boot?
3) With the BMV does the Paid-up capital have to be in a corporate entity within Japan or can it be for an existing business from another country opening a Japanese branch. To elaborate, if I already own a 100% stake in a business with lets say 1,000,000 CAD (approx. 107,000,000 JPY) could I open a Japan branch using that as the Paid-up capital requirement, or would I have to create a new corporate entity or subsidiary in Japan with a separate investment to qualify for the paid-up capital requirement?
4) With the BMV is there a minimum residency requirement? I expect it won't be a problem if I want to travel home to visit family, but if I continue operations in Canada and they require my attention I may need to be out of Japan for weeks or months at a time. Is there a limit to how long I can be away assuming the business remains open in Japan and I continue to employ my staff during that time?
5) I understand it varies on location, but looking to hire someone full time for moderate duty secretarial work (answering phones, booking appointments and scheduling etc.) and some light cleanup/janitorial work seems to be in the range of 2-4 million JPY/year for a no experience required, full time employee, is this generally in the correct range?
6) If my wife comes as a dependant, my understanding is that she will need to apply for a special permit to work part time. She has a master's in English and would like to teach english part time, but my understanding is that coming over on an english teaching visa leaves you at the mercy of your employer and generally comes with terrible pay/hours, so if she wishes to teach part time coming as a dependant and getting permission to work part time seems a much better option, have I been informed correctly on this?
I'll add a few answers to questions that were asked of me when I was speaking to others about this.
I am aware of the upcoming increase in Paid-up capital for the BMV and the requirement to hire at least 1 local staff full time. These are not barriers for me and although I do not like throwing money away, I could do so at a total loss for a very long time with no issue.
I am aware of the recent rise of anti-immigrant sentiment in Japanese politics and starting a business as a foreigner may be a little more challenging than in years past, however I am hoping that having a local face at the front of office and being fluent by the time I start the business will be enough to offset that. It's a risk I am willing to take.
I am aware this is a long term plan and many things may change between now and 2028, however I can only plan using the information I have available at this time.
Thank you very much in advance for your time. I understand some of these questions are best answered by experts, however I am in the very early stages of considering this and would love to hear anyone's experiences before I start investing significant amounts of time and money on research. I hope you're having a great day.
by EisForElbowsmash