Introduction

Osaka City is actively encouraging foreign entrepreneurs to start businesses in Japan, aiming to foster innovation and economic growth. To streamline the process and make business establishment easier, Osaka City now offers a Startup Visa, which serves as a preparatory visa before applying for a Business Manager Visa. This article provides a comprehensive guide to the startup visa program in Osaka, including eligibility, the application procedure and requirements, monthly interviews after approval, the transition to the business manager visa, and additional available support.

Overview

The Startup Visa is a program offered by the Ministry of Economy, Trade, and Industry (METI) to assist foreign entrepreneurs in launching startups in Japan. This initiative presents a unique opportunity to establish a business in Japanese cities, supported by local governments. A key benefit of the program is that approved entrepreneurs can receive residency status for up to one year. Overall, the Startup Visa system simplifies the process for foreign entrepreneurs looking to start new businesses in Japan.

Here is the region where the Startup Visa program is offered.

Osaka City started the startup visa program in 2019 with the approval of METI. Foreign entrepreneurs are provided up to 1 year to prepare for setting up a business, such as looking for potential employees, researching the market, and making connections with local partners.

The city also offers extensive support throughout the entire process, from applying for the Startup Visa to extending the visa duration and transitioning to the business management visa at the Startup Visa Support Desk.

Eligibility

Applicants must have a plan to start a business in Osaka City within a year and must engage in one of the following business fields:

• Growth manufacturing
• IoT and innovative technology businesses
• Green energy
• Healthcare and Life Sciences
• Tourism, sports, culture, and town development

Note: Foreigners already residing in Japan under other statuses of residence may also apply.

Requirements & Application Procedure

All applicants have to go through the following steps for the approval of the visa.

1. Contact the Startup Visa Support Desk

The Startup Visa Support Desk offers a great range of assistance in preparing for and renewing the visa.

The Startup Visa Support Desk is at Osaka Innovation Hub (OIH):

• Address: 3-1 Ofukacho, Kita-ku, Osaka City, Grand Front Osaka Knowledge Capital Tower C, 7th Floor
• Email: startupvisa@sansokan.jp
• Office Hours (JST): 10:00 AM to 6:00 PM
• URL (English): https://www.innovation-osaka.jp/startupvisa

To get support for the application, please send an email with the subject line “Startup visa application” to the address provided above.

2. Preparation

The following documents must be submitted in Japanese. If non-Japanese documents are included, please attach a Japanese translation.

1. Application for confirmation of business activities
2. Business plan sheets
3. Supplementary materials for the business plan sheets
4. Applicant resume
5. Pledge regarding the prevention of antisocial forces
6. Copy of applicant’s passport
7. A document showing the applicant’s residence for one year after arrival or change of residency status (e.g., a copy of the lease agreement).
8. A document showing the applicant’s living expenses for one year after arrival or change of residency status (e.g., a copy of the applicant’s bank statements).
9. Documents verifying that the applicant falls under any of Article 5-6 (1) (v) i, ro, ha, or ni of the notification for the Foreign Entrepreneurship Promotion Project (e.g., certificate of student status, certificate of employment), only if applicable.

* Applicants may be required to provide additional documents if necessary.

Templates for the documents are available on the Osaka City official website.

3. Submission of the documents

The documents need to be handed out to the Startup Visa Support Desk in person.

Either of the following can submit:

• The applicants themselves.
• A lawyer, or administrative scrivener who has reported to the immigration bureau director in charge of their location through their respective bar association, or administrative scrivener association (provided that if the applicant is overseas, this must be someone entrusted by the applicant with the establishment of a business in Japan; if this is an organization, it must be an employee of that organization).

In the latter case, a document is required to prove the submitter’s relationship with the applicant and the submitter’s position.

4. Interview 

A face-to-face interview will be conducted with the city office after all the documents have been reviewed by the city and business experts, ensuring there are no deficiencies and confirming that the business plan is likely to qualify for the business manager visa within a year.

The interview will be in Japanese. If applicants do not speak Japanese, please prepare an interpreter.

5. Issue of certification

A confirmation certificate will be issued to applicants who successfully pass both the document screening and interview process. Applicants will be informed via the contact address provided in the application form and required to pick up the certification paper at the office.

6. Application for the “Designated Activities” status of residence

The certification is valid for three months. During this period, applicants need to visit the Immigration Services Agency to apply for the ‘Designated Activities’ residence status. Please contact the Immigration Services Agency for further information regarding the application process.

7. Report on the acquisition of residence status

After obtaining the visa from the Immigration Services Agency, please inform the Startup Visa Support Desk as soon as possible by submitting the following documents.

– The report for obtaining the residence status “Designated Activities.”

– Copy of residence card  *If a residence card has not yet been issued, a copy of your passport showing the landing permit stamp can be submitted instead.

Monthly Interview

After receiving a startup visa, a monthly interview will be required at the Startup Visa Support Desk. If a visa holder fails to participate in business activities or misses the interview, the visa may be invalidated.

Renewing the visa (after six months)

A visa holder has to renew the startup visa before the six-month period expires. During the renewal process, the officials verify  whether the visa holder is able to meet the requirement to get the business manager visa.

– Required Documets

Prepare the following documents and submit them to the Startup Visa Support Desk in person.

1. Application for Confirmation of Business Activities
2. Business plan sheets
3. Supplementary materials for the business plan sheets
4. Copy of applicant’s passport
5. A document that shows the applicant’s place of residence for the next six months after renewing the visa (e.g., a copy of the lease agreement).
6. A document that clarifies the cost of the applicant’s accommodation for the next six months after renewing the visa (e.g., a copy of the applicant’s bank statements).

* Applicants may be required to provide additional documents if necessary.

Templates for the documents are available on the Osaka City official website.

Support from Osaka City

The startup visa support desk offers help to foreign entrepreneurs for setting up business in Osaka. The provided support includes:

– Consultation for the business plan before applying.

– Assistance of the application for the startup visa, the expansion of the visa duration, and the updating to the business manage visa.

– Advice for setting up business through the monthly interview (with a business consultant or tax accountant as well if needed).

– Offering business opportunities in Osaka through seminars, business matching, and information exchange events.

Conclusion

Osaka, with over 8 million people, is a major city in western Japan, featuring office buildings and commercial centers in the downtown area, along with a well-developed transportation system. At the same time, it has a rich history with ancient landmarks like tumuli, shrines, and temples. The city is also famous for its unique culture, including its cuisine, traditional crafts like knife-making, and performing arts such as Bunraku, kabuki, noh, and Japanese comedy.

In addition, Osaka has the potential to drive global innovation. In 2025, World Expo will take place in Osaka and the Kansai region, addressing global challenges with a wealth of new ideas.

Foreign entrepreneurs can take advantage of the convenient infrastructure and draw inspiration from the unique culture in Osaka City. The city also provides financial resources and a talented workforce with less competition compared to Tokyo.

About EXPACT

EXPACT provides a variety of operational support to domestic and international startups.

EXPACT offers market entry strategy advisory for international businesses looking to establish a presence in Japan. Our services are as follows:

– Advice for visas and programs: Providing guidance on suitable visas and government programs for foreign entrepreneurs (e.g., Startup visa).

– Market research assistance: Evaluating the potential market size and demand for the product or service

– Geographical evaluation based on the company’s target: Carrying out a location analysis to determine the most suitable region, prefecture, and city according to the startup’s specific needs.

– Support for applying financial aid programs: Sourcing and supporting the application process for applicable government grants and subsidies.

– Assistance for forming partnerships: Serving as a liaison to help the startup establish connections with local partners, investors, and government institutions.

– Advice for a business plan: Offering a business plan review with insights from a Japanese perspective.

– Translation services: Providing translation services for in-person meetings, virtual discussions and document preparation.

Additionally, the company also offers One-Stop support from Startup advisory to Finance, PR, Recruitment and EXIT.

1. Finance and Fundraising: Advisory on financial health of startup and proposing an optimal fundraising plan, by applying for government grants and facilitating investor introductions. Activities include drafting a pitch deck, forming a business plan and/or cap table.
2. Promotion: Publishing press releases, building media relations, branding.
3. Startup Advisory: Business ideation, researching, conducting interviews, MVP analysis, investment access.
4. Human Resources: Personnel strategy, hiring support, institution building.
5. EXIT: IPO support, M&A support, exit system design.

For assistance or additional information, please contact us at info@EXPACT.jp.

Inquiries on market entry strategies can be directed to pramod@EXPACT.jp

Written by: Pramod Sharma & Yukari Kondo

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References:

https://www.city.osaka.lg.jp/keizaisenryaku/page/0000623602.html

https://www.innovation-osaka.jp/startupvisa/

https://www.innovation-osaka.jp/news55/

https://www-pref-osaka-lg-jp-e.athp.transer.com/o070050/koho/foreign/about.html

https://prtimes.jp/story/detail/zrPM57fpnyb

https://www.pexels.com/ja-jp/search/osaka/

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