Own a Restaurant in Japan? How the ¥30 Million Visa Rule Hits Small Food Businesses

Information current as of March 2026. Sources: CIJToday, ACROSEED, KPMG, Baker McKenzie. For full details on all the new requirements, see our complete Business Manager Visa 2025 reform guide.

Why restaurant owners are hit hardest

According to industry estimates cited by CIJToday, an estimated 4,000+ Nepali- and Indian-owned curry restaurants operate across Japan. Most were started with ¥3–5 million in capital: enough for a security deposit, kitchen equipment, and a few months of working capital. That was enough for a Business Manager visa under the old rules.

It is no longer enough. Since October 16, 2025, the Business Manager visa requires ¥30 million in capital, at least one full-time Japanese/PR employee, JLPT N2 Japanese proficiency (you or your employee), 3 years of management experience, and a business plan certified by a CPA or tax accountant.

The gap between a typical small restaurant's finances and the new requirements is enormous:

*Based on typical figures for small-scale restaurants in Japan. Individual financials vary widely by location, cuisine, and business model.

A restaurant netting ¥2 million per year would need 12+ years of saving every yen of profit — no living expenses, no emergencies, no reinvestment — to reach ¥30 million. The 3-year transition period is not enough for most owners to close this gap through earnings alone.

Scale of the problem

Of the approximately 41,600 foreign nationals holding Business Manager visas, the vast majority were approved under the old ¥5 million standard. Restaurants, with their high operating costs and thin margins, are among the most vulnerable. These owners are not running shell companies — they serve real customers, pay taxes, and contribute to their communities. But the reform targets paper companies, and small legitimate businesses are caught in the same net.

Specific challenges for restaurant owners

• Capital gap: Raising ¥25 million on a 5–10% net margin is nearly impossible through retained earnings alone within 3 years.
• Employee requirement: Many curry shops are family operations. Hiring a full-time Japanese/PR employee adds ¥3–4 million/year in salary and insurance — a major burden when you net ¥2–3 million.
• Business plan certification: A CPA or tax accountant (税理士) certification costs ¥100,000–300,000 and requires detailed projections many small operators have never prepared.
• Office requirement: If you run the business side from home, you now need a separate registered office.

Realistic options for restaurant owners

1. Capital increase through retained earnings

Begin increasing registered capital now through a formal 増資 (zoushi) process. Even if you cannot reach ¥30 million by 2028, immigration will evaluate your genuine progress during the transition period. Going from ¥5M to ¥15M with a clear plan is better than doing nothing. Work with your tax accountant — it involves shareholder resolutions and registry filings.

2. Find investors or business partners

Bring in a partner who can contribute capital — a Japanese business partner, a fellow restaurant owner pooling resources, or an outside investor. Immigration will scrutinize whether you retain genuine management control, so structure it carefully.

3. Startup Visa as a bridge

The Startup Visa (特定活動) allows up to 2 years without the ¥30 million requirement. Time under the Startup Visa now counts toward the 3-year management experience requirement. Available through designated local governments including Tokyo, Osaka, and Fukuoka.

4. Reverting to a Skilled Worker (技能) visa

Many Nepali and Indian restaurant owners originally entered Japan on a Skilled Worker (技能 / ginou) visa as cooks before switching to Business Manager. Switching back — from 経営・管理 to 技能 — may be possible if you have 10+ years of cooking experience and your restaurant employs you as a chef rather than a manager. This is not guaranteed, and immigration will scrutinize whether the change is genuine, but it's an option worth discussing with an immigration specialist (行政書士 / gyouseishoshi). You would continue working at your restaurant, but as an employee rather than the registered manager.

5. Other status changes

If you qualify for another visa — Spouse of Japanese National, Permanent Residency, or Long-Term Resident — you can continue running your restaurant without Business Manager requirements. Consult an immigration lawyer about your specific situation.

Transition period strategy (now through October 2028)

1. Now: Consult a tax accountant. Understand your capital position and what 増資 involves.
2. 2026: Begin capital increase. Hire a qualifying employee. Start preparing a certified business plan.
3. 2027: Get your business plan certified. Document social insurance and labor insurance compliance.
4. Before Oct 2028: All requirements must be met before your first post-deadline renewal.

Useful Japanese phrases

Free resources

Get help in your language

Navigating capital increases and certified business plans in Japanese is overwhelming — especially when your livelihood is at stake. LO-PAL connects you with local Japanese people who can help you find the right tax accountant, explain documents, or accompany you to the Legal Affairs Bureau. Our guide articles are available in Nepali (नेपाली) and 11 other languages, and you can post questions in any language. Post questions for free — you only pay if you request a task and a helper completes it.

You built a real business that feeds real people. The new rules are serious, but with the right plan and help, there are paths forward.

Related

• Business Manager Visa 2025 Reform: Complete Guide to ¥30M Capital, N2 Japanese & New Rules (pillar article)
• Should You Apply for Japan PR Now or Wait in 2026?