Opening a hotel or ryokan
Plan immigration, premises, business funding, staffing and lodging permission together.
Planning to open, acquire or operate a hotel, traditional Japanese ryokan, guesthouse or small lodging property in Japan? Owning accommodation property, obtaining a lodging permit and receiving permission to live in Japan are three different matters. We help overseas entrepreneurs understand the revised Business Manager residence requirements, select the appropriate accommodation-permit route, and prepare immigration applications.
Plan immigration, premises, business funding, staffing and lodging permission together.
Assess the operating company and the permit before signing a purchase agreement.
Understand the difference between lodging-business permits and limited-day home sharing.
The residence status Business Manager (経営・管理) may be appropriate when a foreign national will genuinely operate or manage a business in Japan. Management may include decisions on investment, pricing, staffing, contracts, budgets, compliance and business operations. A company title alone is insufficient: immigration assesses what the applicant will actually do.
Set up and actively manage a Japanese hotel or guesthouse enterprise rather than passively invest in property.
Acquire an established accommodation business and take genuine responsibility for its management.
Review renewals, expansion, business performance, staff and the revised residence standards.
Japan revised the Business Manager eligibility standards with effect from October 16, 2025. A new hotel or guesthouse business must normally satisfy the requirements together. The former general explanation of “¥5 million or two employees” should not be used for a new application.
| Requirement | What we examine for accommodation businesses |
|---|---|
| Capital / qualifying business scale | For an incorporated business, generally at least ¥30 million in qualifying paid-in capital or contributions. Rules for a sole proprietorship differ. |
| Full-time employee | At least one eligible full-time employee, subject to the specific citizenship or Japanese residence-status categories allowed by the regulation. |
| Japanese-language ability | The applicant or an eligible full-time employee must demonstrate Japanese ability equivalent to CEFR B2 by an accepted method. |
| Education / management career | The applicant generally needs a relevant master’s-level or higher qualification, or at least three years of qualifying business-management experience. |
| Suitable premises and business activity | A genuine business establishment in Japan, lawful lodging operations and proof of actual management. |
| Credible business plan | A detailed financial and operating plan; independent verification by an eligible specialist is generally required for new businesses under the applicable rules. |
| Other compliance | Required permits, employment and social-insurance obligations, taxes and other applicable legal requirements. |
Special and transitional categories require individual examination. Read the Immigration Services Agency's revised Business Manager guidance.
The correct accommodation procedure depends on the property, operating model, permitted use and location. A “guesthouse” is a commercial description, not an independent category of visa or universally applicable license.
| Business model | Typical legal framework | Main point to check |
|---|---|---|
| Hotel or traditional ryokan | Hotel / Ryokan Business permit under the Inns and Hotels Act (旅館業法). | Facility structures, health-center standards, lawful building use, fire safety and local requirements. |
| Hostel, guesthouse or shared lodging | Often Simple Lodging Business (簡易宿所営業) under the Inns and Hotels Act. | Guest accommodation arrangement, common spaces, sanitary facilities, evacuation safety and premises standards. |
| Residential Airbnb-style hosting | Private Lodging Business notification under the Private Lodging Business Act (住宅宿泊事業法). | Qualifying residential property, notifications, management duties and generally a maximum of 180 days per year. |
| Special-zone accommodation | National Strategic Special Zone arrangements, but only in participating areas where certification is available. | Area designation, permitted length of stay and specific municipal conditions. |
Accommodation-related legal issues can make an otherwise attractive purchase unsuitable for your planned business. We recommend consulting the competent health center and relevant local authorities before major financial commitments.
Operating a registered private lodging business is not prohibited merely because the owner is foreign. However, a valid notification does not mean the operation meets Business Manager residence requirements. Immigration examines company capital, full-time staff, a real business establishment, management activity, qualifications and viability. A limited 180-day operation may raise additional practical questions about scale and continuity.
The national Private Lodging Business Act generally limits hosting to 180 days per year, with possible tighter local ordinances.
The property must satisfy the statutory residential facility and occupancy-related requirements, not merely resemble an apartment.
Where an owner is absent or other conditions apply, management may have to be entrusted to a registered private lodging administrator.
For primary information, see the Japan Tourism Agency's Private Lodging Business operator guidance.
The Business Manager status focuses on the operation and management of the enterprise. If your principal activities are front-desk reception, housekeeping, cooking or routine guest service, the correct immigration analysis may be different. Occasional involvement in daily operations is assessed in context, but assigning yourself the title of hotel director does not change what you actually do.
Oversees the business plan, financing, bookings strategy, contracts, personnel, regulatory compliance and operational decisions.
Hotel marketing, overseas sales or interpretation may fall under Engineer/Specialist in Humanities/International Services if applicable criteria are met.
Front-desk and hospitality duties may be assessed under Specified Skilled Worker (Accommodation) where both the worker and qualifying hotel meet the rules.
For immigration, a lodging permit alone is not a substitute for proof of real management, appropriate business capitalization and a credible financial plan.
| Plan element | What should be explained |
|---|---|
| Target guests | Domestic and overseas customer segments, tourism demand, seasonal variation and competing facilities. |
| Premises | Room count, legal occupancy, floor plans, accessibility, lease/purchase arrangements and required work. |
| Finance | Paid-in capital, funding source, acquisition and renovation costs, operating reserves and cash flow. |
| Revenue | Reasonable average room rate, occupancy assumptions, seasonality and booking platform costs. |
| Staffing | Full-time qualifying employee, supervisors, cleaners, reception staff and outsourcing contracts. |
| Legal compliance | Lodging permit/notification, fire and building checks, guest registers, food permits where required. |
| Manager's duties | Real decisions about pricing, finances, personnel, operations and business direction. |
Passport, current status if relevant, management CV, qualifying degrees or career records, role and compensation documents.
Registration and capital evidence, corporate plan, funding documents, business office records and qualifying full-time employee information.
Property plans, permit/notification status, relevant leases, fire/health-center correspondence, bookings model and cost forecasts.
Tell us the planned hotel or guesthouse location, current country or status, business structure and approximate funding.
Identify a hotel/ryokan permit, simple-lodging permit, private-lodging notification or any specific local regime.
Check capital, qualifying full-time staff, Japanese language, management career and premises.
Coordinate health-center and building/fire checks with the relevant authorities and professionals.
Organize the business plan, records, permit evidence and separate specialist assessment where required.
Prepare an appropriate COE or status application; complete further residence and lodging steps as permitted.
Before signing a binding agreement, ask us about the immigration requirements, the lodging-permit route and documents that may affect the transaction.
Request an English ConsultationForeign hotel and ryokan managers who already held Business Manager status before the reform may be covered by transitional renewal guidance. For eligible residents applying during the three-year period following October 16, 2025, falling short of a new standard is not automatically the sole basis for refusal. The business's actual performance, legal compliance and prospects of meeting the revised standards still matter.
After the transitional period, the revised criteria generally apply, but the Immigration Services Agency explains that some applications may still be assessed comprehensively where the business is performing well, obligations are fulfilled and a credible improvement plan exists. The outcome cannot be guaranteed.
| Service | Professional fee (tax included) | Scope |
|---|---|---|
| Business Manager Certificate of Eligibility (COE) | From ¥165,000 | Immigration application preparation and authorized filing support. |
| Change of status to Business Manager | From ¥165,000 | Immigration application for a person already in Japan. |
| Standard Business Manager renewal | From ¥66,000 | Ordinary extension without major changes; individual review. |
| Hotel / Ryokan or Simple Lodging permit | Individual quote | Location, building, license category and permissible support scope. |
| Private Lodging Business notification | Individual quote | Residential eligibility, locality, documentation and notification scope. |
These services are quoted separately; lodging permit assistance is not included in the Business Manager immigration fee. Hotel and private-lodging filings require an individual check of location and whether our office can handle the work. Government charges, translations, certificates, travel, fire-safety/building assessments, company registration, tax/accounting services and independent business-plan review may result in additional costs.
Foreign investment or ownership is possible subject to applicable rules. However, residing in Japan to manage the business requires an appropriate immigration status unless you already hold one that permits those activities. Lodging businesses also require the applicable permit or notification.
No. Property or share ownership does not grant residence rights. Immigration assesses the actual management activity, company, capital, staff, qualifications, office and other requirements.
The revised Business Manager rules generally require qualifying business capital or scale of at least ¥30 million for new applications. Being a small guesthouse does not by itself exempt the business. How the figure is established depends on the business structure.
Not automatically. A corporation's paid-in capital or qualifying contributions are treated differently from property purchase expenditure. The source and accounting treatment of funds and the legal business structure need individual assessment.
Only if the person falls within a legally eligible category and satisfies the full-time criteria. A lawful hotel employee on a working visa is not automatically counted for the Business Manager staffing standard.
The Japanese-language requirement can generally be met by the applicant or an appropriately qualifying full-time employee using an officially accepted method. The applicant need not necessarily hold JLPT N2 personally.
Some guesthouse and hostel models can qualify for Simple Lodging Business permission. The classification depends on the actual accommodation arrangements and the competent authority's standards, not just the name of the facility.
The ordinary Private Lodging Business notification framework is generally limited to 180 days per year, and local ordinances may impose additional restrictions. Year-round activity may require a different lawful accommodation regime if the premises and location qualify.
The national private-lodging framework generally requires registered management where the operator is absent while guests stay or the statutory room-count rule applies, subject to specific exceptions. Check the arrangement before filing.
Short-term visitor permission does not generally authorize ongoing remunerated business-management activities. Business preparation and allowed activities must be distinguished; do not assume visitor status covers actual hotel operations.
Review whether the same legal operator continues, whether permit succession or a new filing is required, and whether renovations or change of use create additional obligations. The immigration application is separately assessed.
Where the qualifying Japanese business and required evidence are in place, the COE route may be available. Consular visa and entry procedures follow separately when applicable. Online English enquiries are welcome.
No. A lodging permit addresses the facility's legal operation, while immigration determines whether your residence and management activity meet the immigration criteria. Neither permission guarantees the other.
We can discuss Business Manager immigration applications from across Japan and overseas. Lodging-permit work depends on the location, technical complexity and our ability to handle the specific local procedure; we confirm the scope and price individually.
Kawagoe Masanobu Administrative Scrivener Office is based in Sagae City, Yamagata Prefecture. We support foreign entrepreneurs with Business Manager residence-status documentation, COE and changes or extensions, within the authorized scope of an immigration application intermediary. For accommodation licensing, we discuss individual projects and confirm local procedures before accepting the assignment.
Licensed Administrative Scrivener / Immigration Application Intermediary
Kawagoe Masanobu Administrative Scrivener Office
Sagae, Yamagata, Japan
English enquiries welcome. Property registration, engineering design, fire-equipment work and tax or accounting services may need separate qualified professionals.
Use the competent immigration office, health center and local government as the official authorities for determining permission, premises compliance and relevant application procedures. We check the rules applicable to your project before advising on filing.
Before committing funds to a hotel, ryokan, guesthouse or vacation rental, tell us your planned location, property type, available company capital, staff arrangements and your current country or residence status. We will explain the immigration issues, possible lodging-permit procedures and our professional fees. Approval cannot be guaranteed.
Telephone 9:00–18:00 Japan time · Business Manager COE/change from ¥165,000 (tax included) · Lodging permits separately quoted