Jurisdictional Prerequisites & Company Formation – Netherlands

Netherlands Company FormationThe Netherlands is a picturesque and bustling modern city in Western Europe with a robust economy and high trade surplus. Both Forbes and the Global Business Complexity Index rank the Netherlands as one of the best countries to do business. Also known as Holland, the country’s gross domestic product (GDP) for 2021 was USD1 trillion. Businesspeople keen on exploring this attractive country have a great shot at success beginning with Netherlands company formation.

The Kingdom of Netherlands is a constituent country consisting of four states, i.e., the Netherlands and three Caribbean territories. The ‘Land of Windmills’ plays a strategic role as a gateway into the European Union. Along with having a modern transport infrastructure, it also has Europe’s largest port. 3E Accounting United Kingdom is ready to assist entrepreneurs in penetrating the Netherlands’ exciting and competitive business landscape.

 

Types of Business Entities – Netherlands

If you’re looking to begin a business in the Netherlands, start by deciding on a company structure. Dutch business entities can be incorporated or unincorporated – only incorporated companies have a separate corporate legal personality. However, all business structures need registration, including freelance or self-employment gigs.

The following are incorporated business vehicles:

  • Public or Private Limited Company (NV or BV): needs a minimum of one director or shareholder
  • Cooperative: requires one or more members and can include Business or Entrepreneurs Cooperatives.
  • Association: promotes social objectives and needs at least two members.
  • Foundation: is a non-profit that requires a board to run it.

Unincorporated business entities do not have separate legal personalities, and liability remains with the owners. These types of businesses include the following:

  • Sole Trader: similar to a sole proprietorship.
  • General or Limited Partnership (VOF or CV): requires a minimum of two partners, and there is no capital requirement.
  • Professional or Public Partnership: ideal for self-employed professionals to work with other experts under a shared name.

Foreign business structures operating in the Netherlands do not need incorporation but must register with the Dutch Business Register. Netherlands company formation also includes BV or NV in oprichting (BV io or NV io) as an alternative. This facilitates a private or public limited company to commence trading before setting up as a BV or NV. 3E Accounting United Kingdom can assist with this and all other registration forms.

 

Starting the Entrepreneurial Journey – Netherlands

Once you’ve chosen the most viable company structure, you’ll need to head to the Netherlands Chamber of Commerce for registration. Before this, engage a civil-law notary to draft the notarial deed for incorporation and registration. The notary will also handle tax and customs administration registration.

Some business structures will also need to register an Ultimate Beneficial Owner or UBO with the Chamber of Commerce. This identifies the person in charge or the owner of the company.

3E Accounting United Kingdom is well-versed with Netherlands company formation, and we offer hassle-free enterprise solutions packages. Our professionals work hard to deliver comprehensive, customizable, and modern business solutions for fast mobilization. Contact us today to work with experts in the industry who give you exactly what you need and want.

 

Netherlands Company Formation