(1) Start up your own business in Japan!
If you want to stay and start a business in Japan after graduation from a Japanese university, or want to come back to Japan and start a business after you finished your study in Japan and returned to your home country, the “Startup Visa” can be your choice to realize the dream.
The “Startup Visa” is Japanese government’s program to support foreign entrepreneurs who want to start their own business in Japan. If you apply for this program and get passed the required criteria, the conditions imposed by Immigration Services Agency of Japan (ISA) to enter/stay in Japan for preparation of setting up your business basis are exceptionally eased for a certain period.
(2) There are two types of “Startup Visa” programs.
However, you may be confused when you research about this visa on internet and find two similar but seems-to-be different programs. One is “Foreign Entrepreneur Startup Promotion Program”, and another is “National Strategic Special Zone Foreign Entrepreneur Startup Promotion Program”.
Below, I will explain differences of them.
By the way, there are so many websites regarding “Startup Visa” systems. To my impression, the website of JETRO (Japan External Trade Organization) is the most recommendable to start with among others.
(3) “Foreign Entrepreneur Startup Promotion Program” by METI
This is the program created by Ministry of Economy, Trade and Industry of Japan (METI). Firstly, local governments (and other certified entities) have to make plans to support foreign entrepreneurs who wish to start business in the regions governed by these local governments, and METI certifies these plans. To one of such certified local governments, you submit your own business preparation plan.
Then, upon approval of your business preparation plan by that local government, you can receive a one-year residence permit for business preparation, along with the support for your entrepreneurial activities from the respective local government.
Let’s call this program hereinafter as “METI’s Startup Visa”.
(4) “National Strategic Special Zone Foreign Entrepreneur Startup Promotion Program” by Cabinet Office
National Strategic Special Zone (NSSZ) is the system created by Cabinet Office (Prime Minister’s Office). Specific regions (such as prefectures or large cities) were designated by Cabinet Office as the areas where economic development should be prioritized. These regions are called NSSZ. Within these zones, the system supports entrepreneurial activities by foreign nationals.
Steps are quite similar to those of “METI’s Startup Visa” program. A foreign individual who wants to start a business in the zone submits his/her business plan to the local government of the zone. Once the local government approves his/her plan, the foreign entrepreneur can obtain a six-month residence permit for business preparation. Additionally, during this period, they can receive special support for their entrepreneurial activities from that local government.
Let’s call this program as “NSSZ Startup Visa”.
(5) Grace period to fulfill conditions of Status of Residence “Business Manager”
Establishing one’s own business means that the foreign national becomes a company management. Therefore, that foreign person needs to obtain a status of residence under the category of “business manager”.
To obtain this status, normally you must meet either of these below requirements when you apply for the status of residence. This is very tough unless you have strong partners in Japan.
(a) having a proper office (physically independent and separated from other spaces with a proper long term rent contract)
(b) employing at least two full-time employees or making an investment of over 5 million Yen
However, both “METI’s Startup Visa” and “NSSZ Startup Visa” can offer approved foreign entrepreneurs a grace period of one year or six months, and it is all right if you can fulfill these requirements by the end of the grace period. This means that you can do all these preparations by yourself even if you don’t have strong partners in Japan.
◎ In the next 2 posts, I will explain the comparison between the two “Startup Visa” programs and the necessary documents for application, etc.