How Can a Foreigner Set Up a Company Alone in Japan?

Common Points to Watch When One Foreigner Sets Up a Company

There are several points that are commonly misunderstood when a foreign national sets up a company in Japan alone. Below is a summary of the questions and misconceptions that frequently arise in cases where one foreigner establishes a company.

Can a company not be established without a Japanese co-founder?

The answer is no—it is possible to establish a company without a Japanese co-founder.

Under Japan’s Companies Act, a company may be established as long as there is at least one incorporator, and there are no restrictions on the incorporator’s nationality or place of residence.

Therefore, there is no legal problem with one foreign national establishing a company alone.

Can you register a company without a visa?

This is another point that is often misunderstood, but whether you have a visa has nothing to do with corporate registration.

Founders and representative directors are not required to have a status of residence in Japan or a Japanese address. Therefore, even a foreign national who does not reside in Japan can complete corporate registration.

Are there any special restrictions on the amount of capital?

There is no legal minimum capital requirement for establishing a company.

A joint-stock company (Kabushiki Kaisha) or a limited liability company (Godo Kaisha) can be established with as little as 1 yen in capital. This applies equally to both Japanese nationals and foreign nationals.

Company Formation Is Possible, but Be Careful of the “Visa Barrier”

As explained above, it is legally possible for one foreign national to establish a company in Japan, and there are no nationality or visa restrictions on registration itself.

However, if you intend to actually manage and operate the business in Japan after establishment, there is another hurdle: the visa. Overlooking this can create the risk of severe restrictions on your activities even after successfully setting up the company.

Without a visa, you cannot stay long-term in Japan or run the business

For a foreign national to manage a company in Japan, a Business Manager status of residence (commonly called a Business Manager visa) is required.

A Business Manager visa is a type of work visa obtained by foreign nationals who stay in Japan mainly to manage a company or business in Japan.

If, for example, you only purchase real estate in Japan as an investment or merely invest in a Japanese company from abroad without staying in Japan, you cannot obtain a Business Manager visa.

In other words, the basic requirement is that you have the intention and structure to actually stay in Japan and operate the business there.

Requirements for a Business Manager Visa

To obtain a Business Manager visa, you must meet the following requirements.

1. Existence of a Business Office

It is necessary to have a business office located in Japan for operating the business.

Even if the business has not yet started, a facility to be used as the business office must already be secured.

You will be required to submit materials such as a real estate registry certificate or lease agreement.

In addition, to be recognized as a business office, it generally needs to meet the following conditions.

The lease contract must be for business use

The contract must be in the name of the corporation or the individual conducting the business, and the purpose of use in the contract must clearly state “office” or “business use.”

An independent space must be secured.

The space must objectively function as a separate room.

A rental office divided only by partitions or a virtual office that merely provides an address without real substance will not be recognized as a business office.

The office must have the facilities and space necessary for the business

At a minimum, permanent equipment necessary for business operations—such as a computer, desk, and communication tools—must be installed. In addition, following the October 2025 revision to the Business Manager visa requirements, hiring a full-time employee has become mandatory, so space must also be secured for that employee to work.

 

2. Business Scale, Employment Obligation, and Japanese Language Ability

You must satisfy all of the following conditions.

In addition, with regard to the capital or total investment amount, the process by which the funds were formed will be examined. The capital must have been secured through lawful means such as savings, not improper methods.

3. Management or Administrative Experience

You must have either at least three years of management/administrative experience or hold a master’s degree or higher related to business management or the field of the business to be operated.

Even if You Can Establish the Company, Your Activities Will Be Restricted Without a Visa

As noted above, company registration itself is possible even without a visa. However, without a visa, you cannot stay in Japan on a mid- to long-term basis while carrying out management activities.

In addition, the following practical restrictions may arise.

In other words, it is important to understand that “registration = ready to start operating” is not the case, and you need a strategy that anticipates everything from company formation to visa acquisition from the outset.

Specific Requirements and Necessary Documents for a Company Established by One Foreigner

It is possible for a foreign national to establish a company alone in Japan, but there are several clear requirements for doing so.

Identity Verification Documents Such as a Passport (Translation May Be Required)

When carrying out company establishment procedures, you must submit identity verification documents for the foreign national who will act as the incorporator.

In addition, if the official documents you submit are prepared in a language other than Japanese, a Japanese translation must be attached. It is recommended that the translation include the translator’s signature or a statement of translation responsibility.

A Japanese Address and Office Are Required (Be Careful with Virtual Offices)

To complete corporate registration in Japan, it is essential to secure an address in Japan as the company’s registered head office.

This address will not only be recorded in the company registry at the Legal Affairs Bureau, but will also serve as the contact point for the tax office, pension office, banks, and the Immigration Services Agency going forward.

A “virtual office,” where only an address can be rented, may technically be usable for registration at the Legal Affairs Bureau.

However, if it is determined that no actual business is being conducted there and that the office lacks real substance, there is a high likelihood of denial in the Business Manager visa review and in later processes such as opening a corporate bank account, so caution is required.

Seal Registration Certificate or Signature Certificate from Your Home Country

These can be obtained in countries without a seal registration system (such as Canada, the United States, and European countries).

These certificates are used for company registration and articles of incorporation notarization when establishing a company. Since they are required as part of the documents submitted to the notary, advance preparation is important.

Capital Payment and How to Prove It

When establishing a company, it is common to first deposit the capital into the representative’s personal bank account in Japan, and then transfer it to an account in the corporation’s name afterward.

If you are applying for a Business Manager visa, you will prove the capital payment through bank transfer statements confirming the deposit, documents showing the source of the funds (such as salary statements, tax certificates, and bankbooks from your home country), as well as explanatory statements and translated materials showing that the funds are your own.

Practical Points to Watch When One Foreigner Establishes a Company

Although there are few legal restrictions on a foreign national establishing a company alone, there are many practical hurdles. These mainly relate to language, identity verification, and the operation of official procedures.

Language Barrier (Articles of Incorporation and Registration Documents)

All documents required for company formation—such as the articles of incorporation, documents submitted to the notary office, and registration application forms—must be prepared and submitted in Japanese.

Opening a Bank Account (Strict Identity Verification)

In recent years, due to anti-money laundering measures and similar regulations, screening for opening a corporate bank account has become extremely strict. In particular, companies whose officers are only foreign nationals face even stricter review, and there are many cases where opening an account is difficult.

The documents required to open a corporate bank account are as follows.

Post-Establishment Filings Such as Tax, Pension, and Labor Insurance Are Also Important

After the company is established, a series of filings must be made to the tax office, prefectural tax office, municipality, pension office, Labor Standards Inspection Office, and Hello Work, among others.

These are all handled through Japanese-language documents and must be submitted within specified deadlines.

How Can a Foreigner Obtain a Business Manager Visa Through a Company They Established?

After establishing the company and completing the required filings, you then submit an application for a Business Manager visa to the Immigration Services Agency.

The screening period varies depending on the case and timing, but it generally takes about two to three months.

Since preparing visa application documents such as the business plan and profit and loss projections also takes time, these should be prepared in parallel with company formation and required filings.

Establishment Alone Is Not Enough: The Business Must Have “Substance”

As introduced in the section on the “visa barrier,” to obtain a Business Manager visa, you must meet the three requirements. In addition, you must explain the stability and continuity of the business in detail, so the actual substance of the business is absolutely essential.

Information on Free Consultation and Support Services

This page has explained the requirements for a foreign national to establish a company alone in Japan and the Business Manager visa.

The Business Manager visa is one of the more difficult visas to obtain because it involves a wide range of requirements and supporting documents.

Therefore, if you have concerns about applying for a Business Manager visa, we recommend first consulting an administrative scrivener with strong expertise in Business Manager visa applications.

 

At TOUCH Law Firm, we offer free consultations to understand each client’s individual circumstances and select the most suitable approach for obtaining a Business Manager visa.

You can book a free consultation with our office through ① phone application or ② contact form. We are here to support your concerns and questions regarding the Business Manager visa, so please feel free to contact us first.