SETTING UP BUSINESS IN THE NETHERLANDS
Introduction to company registration Netherlands
The Netherlands has long been a favourite home for foreign investors considering Dutch company formation. It has a stable and successful economy and a trade and investment policy that’s one of the most open in the world. That’s why thousands of international companies have set up business in the Netherlands. For further information on company formation Netherlands please contact us, to find out how you can join them.
What does Dutch company formation mean in practice?
The Netherlands has a liberal tax regime including generous participation exemption – dividends received and capital gains realised are exempt from Dutch corporate income tax. There’s also an extensive network of double-taxation treaties. There are many other aspects of Dutch tax law, but as always, you will need specialist advice. We can put you in touch with one of our local specialists in tax planning .
Dutch Company Formation
What are the main types of Dutch incorporation?
There are four major kinds of Dutch company formation as follows:
public limited company (NV)
private limited company (BV)
partnerships
branches
What are the main features of an NV company?
the minimum share capital for an NV company is €45,000
at least 20% of the authorised share capital must be issued
suitable for companies wishing to raise capital publicly
no nationality requirement for shareholders
audited accounts must be filed with Chamber of Commerce
What are the main features of a BV company?
the minimum share capital for a BV company is €18,000
shareholders’ liability is restricted to capital contribution
the most common form of business enterprise in The Netherlands
no nationality requirement for shareholders
audited accounts must be filed with Chamber of Commerce
What are the main features of a partnership?
available as a general, professional or limited partnership
general partnerships have unlimited liability
in professional partnership, each partner is liable for own debts
limited partnerships have limited liability
What are the main features of a branch?
popular format for foreign companies opening up in The Netherlands
foreign parent responsible for all liabilities of Dutch branch
branch required to register with Chamber of Commerce
minimum of one director; no formal accounting requirements
Dutch Incorporation
How easy is it to recruit staff in the Netherlands?
The unemployment rate in the Netherlands, although rising, is low by the standards of other EU member states. This makes recruitment rather more of a challenge than elsewhere in the EU but we will be happy to refer you to one of our carefully chosen local recruitment specialists. The Dutch are famously multi-lingual and their education and workplace skills are high. Please contact us for further information.
What is the regulatory environment like for Dutch incorporation?
Reasonably easygoing with regard to foreign investment and taxation, but certainly not when it comes to labour laws. The Dutch labour market is heavily regulated and generally favours the employee. Companies employing more than 35 workers are legally required to establish a works council which must be consulted on a wide range of issues. If you need to dismiss an employee, count on the intervention of a civil court or government body. You should take legal advice before entering into any kind of employment contract – contact us for details of our network of Dutch legal and recruitment specialists.
Are there financial incentives available for company formation Netherlands?
The Dutch government and local authorities offer incentives to foreign investors considering company formation Netherlands, based on a number of factors, most particularly the region where the new company is to be based. EU funds are also available. Key agencies here are the government-run regional development corporations which can help start up new businesses and act as risk-bearing partners.
Company Registration Netherlands
And what about banking facilities?
Amsterdam is one of the world’s top financial centres and most international banks have offices there. The Netherlands has several specialist agencies that provide business funding. The National Investment Bank focuses on medium and long term lending, equity investment and capital market activities and the Industrial Fund provides risk-bearing capital to the larger high-tech companies. If you are considering company registration Netherlands, you will need to open a local bank account and we can advise you on this.
How can I get more information on company formation Netherlands?
Our specialist Dutch company formation service makes it easy for you to consider Dutch incorporation, so please contact us and we will be happy to help you.
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