Establishing a company in the Netherlands
Why are entrepreneurs willing to set up companies in the Netherlands? To earn more, develop and live on their own terms! Do you want to establish the company in the Netherlands? We explain how to do it.
Who can establish a company in the Netherlands?
A company can be set up by anyone who has to offer a product or service that is assessed as competitive and attractive to customers. Formally, KvK (Dutch Chamber of Commerce) expects the future entrepreneur of KvK to meet just two conditions:
- You must be registered at a permanent address,
- Have a BSN number (equivalent to a citizen number)
How to prepare to start a company in the Netherlands?
Opening a business is a big step and you need to prepare for it, so it is worth taking a moment to develop a strategy that will bring your business closer to success. If you think carefully about the points below, you will easily go through the formalities that you encounter when registering a company at the Chamber of Commerce.
Business plan
A business plan is a slogan that often scares, especially for new entrepreneurs. And a good business plan is really useful and doesn’t have to be complicated at all. In the beginning, it is enough to write down the basic assumptions about your business:
- range of services
- potential customers
- pricing policy
- financial plan
- investment plan
- marketing plan
A good business plan is actually an action plan, and an action plan brings you closer to the expected results!
Start date of business
You can start your business any day of the year, but take into account the rules for granting tax relief related to the hourly criterion and quarterly BTW tax settlements – starting a business together with the start of a new quarter will certainly make your accountant’s work easier.
Company name
Above all, it should be unique and catchy. Got an idea for a name? Check the KvK register to see if the name hasn’t been taken yet. Remember that the name is an important element of your company’s image.
Legal form
The legal form you choose depends on the method of taxing your business, access to tax reliefs, but also above all, liability. Take into account that in the case of sole proprietorship, you are also responsible for events related to the company with private property.
When making this decision, you need to carefully calculate your risk and possibly think about specific insurance that will protect you and your business in the event of unwanted events.
Insurance and retirement
Do you have your own company? You are the captain of the ship! Remember that you not only have a sense of independence, but you also have to take care of yourself and your future. Therefore, as an entrepreneur, ensure that you have an appropriate insurance package and a good retirement plan. Blog link to polisa.nl
Administration
Theoretically, you can do your own accounting, but a good accountant is like a guardian angel. Choose an accountant and a good invoicing program to simplify your corporate administration.
Have you thought about and worked out all of the above issues? Then you’re ready to complete the official formalities!
Company registration in KvK
In order for your company in the Netherlands to formally start operating, you must register it with KvK. This registration takes place in three steps:
- Fill in the online form. Available HERE
The data that you enter there is not final – during your meeting with the clerk, you will have a chance to complete or correct. - Make an appointment with the clerk.
This option will appear immediately after completing the form – select the KvK office closest to you and a convenient date and time. - Come to the meeting at KvK.
Take your ID card or passport (photo document needed to confirm your identity) with you to the meeting. If you are renting an office, also take the lease agreement with you.
At the meeting with the clerk, you will verify and possibly complete your previously filled in form. If you have prepared yourself to start a business according to our tips from the previous paragraph, no question on the registration form will surprise you. Remember that the clerk is there to support you and answer any questions or concerns that you may have.
KvK will notify the Tax Office (Dutch Belastingdiest) about the establishment of your company. Within two weeks, you will receive two official letters – one with your tax identification number and the other with an individual BTW identification number.
You want to establish a company in the Netherlands? Firt check the costs!
If you decided to start a sole proprietorship (Dutch: eenmanszaak), you will pay €51.30, once. By the way, it’s worth buying an excerpt from the KvK excerpt-register for €16.95. It happened that some institutions (e.g banks) require this from entrepreneurs.
Please note that all payments in KvK are made via card, it is not possible to pay in cash.
These will be your first official business costs! From now on, all business expenses documented by you will be deducted from the income tax amount. Read how to do it smart and efficiently HERE.
Full responsibility for every decision, irregular working hours, taxes, accounting, investments – all of this will become part of your reality the day you become an entrepreneur. At the same time, you can be sure that nothing will give you such satisfaction as the growing numbers of your company’s turnover. Just started? Check how to make your workflow better HERE
Remember that administrative obligations don’t have to be a burden for you when you use smart tools like a good invoicing software. We are keeping our fingers crossed for you!
