Setup a Dutch NV company
Usually it takes about three days to setup a Dutch NV company. There is even an option for remote incorporation. You can also take advantage of the expedited procedure for incorporation of a Dutch private limited liability company (naamloze vennootschap or NV) in one day. You need several documents for the company formation procedure. All papers are handled in English and Dutch.
The Dutch public company with limited liability or NV (naamloze venootschap) is recommended for large investments and corporations. The share capital required for its incorporation is 45 000 Euros. The routine operation of the NV is managed by a Directors Board. Shareholders meet once a year. They have the authority to demand management changes and to appoint directors.
The rate of corporate tax depends on the yearly profit of the company: 20% for annual profits less than or equal to 200 000 Euros and 25% for profits above this amount. This rates will even be lowered in the coming years.
In Holland, the Value Added Tax (VAT) is 21% for services and goods supplied in the country. Within the EU delivery of services and goods can be performed with no VAT charge. Companies registered for VAT can claim the tax back.
Many foreign companies find the Netherlands excellent for the optimization of their tax rates. The main reason lies in the beneficial regulatory provisions and tax incentives for international investors.
Investors based outside the EU can apply for residency and start a company in Holland through business immigration.
Why The Netherlands?
- 20% corporate tax rate
- 0% VAT for transactions between members of the EU
- The country is planning to end dividend taxation
- High technology infrastructure and companies
- Core EU member
- Leading banks (Rabobank, ING, ABN Amro)
- Qualified employees
- 93% of the population speaks English
- Excellent climate for international business
- The country is a logistics hub and European gateway
- Possible business immigration
- Option for remote company incorporation
Types of Dutch companies – the BV
The Dutch private limited company or BV is most commonly chosen by international investors. By virtue of the national Corporate Law it can be incorporated with 1 Euro share capital. The BV is legally considered tax resident.
The necessary papers include proof of a permanent address and an apostilled and legalized copy of a valid ID document. Remote incorporation requires a notarized PoA (power of attorney). Shareholders can give us an authorization to prepare and submit the necessary documents.
The procedure does not require the presence of the shareholders and can be finalized from abroad, including the submission of bank account data, even though the director has to open the account personally.
The Netherlands limited company can have directors and corporate shareholders. For the purpose of registration the shareholders need to be confirmed. They are authorized to endorse the incorporation deed. Also, the shareholders/directors need to obtain an extract with the details of their entity from the Commercial Registry. In case of remote incorporation, a PoA for endorsement on the side of the director or shareholder must be provided.
If the shareholders represent a corporate entity, the company in the Netherlands will be considered a subsidiary. You can also register a branch. Branch offices have less substance compared to subsidiaries and can receive different treatment from the national tax authorities. Substance can come from the appointment of a local director.
The foundation, as an entity, offers excellent opportunities for planning of taxes. In the Netherlands, you can use a foundation as a holding or commercial entity, or for tax-exempt family funds. The entity can hold real estate and shares or work for profit. Tax exemption is possible under particular conditions. Even reporting or accounting requirements can be waived. If the foundation is established under a notarized agreement, it will carry limited liability.
Economic opportunities in the Netherlands
The country is a stable EU member with a central location on the continent and guarantees easy travel in the area of Schengen. It offers plenty of opportunities, allowing the establishment of investments and trade routes beyond its borders.
Large markets are easily accessible from the Netherlands. The Europoort area and Rotterdam’s ports connect international traders with mainland Europe. In Dutch, “Europoort” means “European gateway”.
The Netherlands is ranked 20th among the largest economies worldwide and maintains its position through its developed transportation infrastructure and traditional trade mentality. The workforce in the country is well-educated, virtually 100% bilingual and stable. It is not difficult to find suitable employees, even when you are conducting business with different cultures.
Company incorporation procedure
Our team will prepare you for incorporation, once you fulfill the information requirements listed below. If you want to set up a private limited liability company – the most widely used type of entity in the country – you need to provide the following papers and details:
- Information regarding the identity of the shareholders and directors of the company;
- Copies of the passports of all shareholders, directors and any other ultimate beneficiaries;
- Filled out incorporation form provided by us;
- Company name (it must be checked in advance whether the preferred name is available).
After we prepare the initial papers, all shareholders need to go to a notary public in order to sign the documents for incorporation. We can also prepare these documents for signature in your country of residence and then you can send them to the address of our company in Rotterdam. In this case you need to legalize the original signed documents at a notary public in your country. If you have opted for remote incorporation, you do not have to travel to Holland.
Our company will take care of the incorporation procedure and register the company at the Dutch Commercial Registry. We can also help you to open an account in a local bank through developed solutions for remote opening of bank accounts.
Our organization with headquarters at Rotterdam’s World Trade Center provides company formation, legal and accounting services. We are specializing in the field of international business. We offer comprehensive packages that include remote incorporation, opening of a bank account, accountancy, procedures for visa issue and immigration, representation and secretarial services.