Question

I am currently managing ‘Company A’ on a Business Manager visa; is it possible to manage company A and, in parallel, establish a second ‘Company B’ and a third ‘Company C’ and manage them? If so, what are the proper procedures under the Immigration Act?

Answer

As the main activity of the Business Manager Visa is management activities, there is no problem, for example, for a person who is managing one company to set up and manage a second company.

Incidentally, please note that the necessary procedures for the ‘Highly Skilled Professionals (i)(c)’ visa, which is an upgraded version of the Business Manager visa, are different.

Whether or not it is possible to manage more than one company with a Business Manager visa

To begin with, the Business Manager visa is a residence status that is not designed for the management of multiple companies. Therefore, there are no provisions for managing multiple companies.

Let’s take a look at the Immigration Control and Refugee Recognition Act’s description of the Business Manager visa.

Business Manager

Activities to operate business of international trade or other businesses, or to engage in the management of those businesses, in Japan (except for activities to engage in the operation or management of business which is legally prohibited to conduct without the qualifications listed in the right-hand column of the “Legal/Accounting Services” section in this table).

It is easier to understand by comparison, but let’s also take a look at the provisions of Highly Skilled Professional (i) (c).

Highly Skilled Professional

(i) Activities that fall under any of the following items (a) through (c) to be carried out by a person meeting the requirements provided by Ministry of Justice Order as a professional with highly-skilled capabilities, and are expected to contribute to the development of academic research or economy of Japan:

(partially omitted)

(c) activities to operate international trade or some other business, or to engage in the management of such business at a public or private organization in Japan designated by the Minister of Justice, or in conjunction with these activities, activities to personally manage the business related to such activities.

The phrase ‘business at a public or private organization in Japan designated by the Minister of Justice,’ is not found in the Business Manager visa. This means that a company is designated.

For this reason, under the Highly Skilled Professional visa, only company A (the first company) that has been granted permission can operate.

On the other hand, the Business Manager visa does not have this provision, so it is possible to start or manage more than one company as it is not prohibited; it does not matter if the business content of company A is completely different, and there is no particular need to relate it to the business content of the first company.

However, in order for a foreigner to stay in Japan properly and carry out business activities, it is necessary to carry out the appropriate procedures with the Immigration Bureau. It is important to take firm steps with a view to the future  renewal application procedure for a business manager visa (Application for extension of period of stay) and the application procedure for a permanent residence permit.

Here you may be wondering.

Do I need to notify the Immigration Bureau of the additional start-up (company B)? And is there anything I should be aware of when renewing my Business Manager visa?

Let’s look at them one by one.

Is notification required or not?

Article 19-16 of the Immigration Act contains provisions for notification regarding the organisation to which you belong, etc. It states that a foreigner with various types of visas, commonly known as work visas, must make a notification if he/she changes companies, changes jobs, resigns, joins another company, or if there is a change in the company he/she belongs to.

(Notification Relating to the Organization of Affiliation)

Article 19-16If any ground provided for in the following items occurs in accordance with the category of the status of residence set forth therein, a mid- to long resident who is residing in Japan with a status of residence set forth in the respective items must notify the Commissioner of the Immigration Services Agency to that effect and of the particulars provided for in the Ministry of Justice Order, in accordance with the procedures provided for in Ministry of Justice Order, within 14 days of the date of the occurrence of the ground:

(i)“Professor”, “Highly Skilled Professional” (limited to those pertaining to item (i), sub-item (c) or item (ii) (limited to those engaging in the activities set forth in sub-item (c) of the same item) in the right-hand column under “Highly Skilled Professional” of the Appended Table I (2)), “Business Manager,” “Legal/Accounting Services,” “Medical Services,” “Instructor,” Intra-company Transferee” “Technical Intern Training,” “Student,” or “Trainee”:change in the name or location, or extinction of the public or private organization in Japan at which the activities set forth respectively in the right-hand column of the Appended Table I with regard to the status of residence are being carried out, or if leaving or being transferred from the organization;
(Omitted)

You can find that the Business Manager visas are also covered. It says: ‘change in the name or location, or extinction of the public or private organization’, and the Immigration Bureau’s website also lists such cases.

It can be seen that a notification is required if the management of Company A ceases and the management of Company B begins.

However, starting the management of a second company, Company B, while Company A continues to exist, does not fall into any of the above categories and is therefore not considered to be subject to notification. However, this does not mean that it cannot be notified, and in practice, the Immigration Bureau will guide you to submit a notification if you wish to do so, so that it is clear that it is a ‘second company’.

In the immigration forms, there are no form documents for additional companies to be managed in the Business Manager visa. Therefore, when making the notification, the notification form for the transfer can be diverted and the notification can be made stating that it is an ‘addition’ (second company), not a ‘transfer’. However, this will be optional and does not necessarily need to be complied with.

How can I apply for a renewal permit in the future?

When you renew your Business Manager visa (Application for extension of period of stay), possibly after a year, you will need to apply in the form of an additional application for the required documents for the additional legal entities you have started and managed. For the newly started company B (second company), prepare as many documents as for company A.

Specifically, these include the pages for the organisation to which the company belongs, etc. on the Application for extension of period of stay, a copy of the total lists of withholding statement,etc. for the previous year., a financial report, a certificate of registered matters, a company brochure, an office lease agreement and photographs of the interior and exterior of the office, and a business plan.

At that time, it is advisable to have an explanation that Company B is the second company.