Procedures for setting up a company in the Netherlands

The Netherlands is a favorable business environment and an attractive destination for international businesses. Setting up a company here can offer many benefits, from access to the vast European market to taking advantage of the government’s pro-business policies. However, this process requires thorough preparation and a clear understanding of legal regulations. In this article, Viet An Law will guide you through the procedures to establish a company in the Netherlands through the article below.

Preparation of company formation information in Netherlands

Determine the type of business

• Partnership (VOF): Suitable for two or more people doing business together under a common name.
• Limited Liability Company (BV): This is a common type of company in the Netherlands

Choosing a business name

• Do not cause confusion: The name of the business must not be confusing about the type of business, business line or origin of the business.
• No ethical violations: The business name must not contain words that violate ethics, fine customs or have a negative connotation.
• Language: The business name can be written in Dutch or English, but must follow spelling and grammar rules.

Once you have a name, you can check the business name on the website of the KVK Chamber of Commerce (Kamer van Koophandel) by following these steps and register the name first:

• Visit the KVK website: You can visit the official website of KVK at www.kvk.nl address.
• On the KVK website, you can search for a business name by entering the name you want to check into the search engine.
• Search results will show registered businesses with a similar or similar name to the name you want to use.

Procedures for setting up a company in Netherlands online

Visit KVK’s website

• Website address: You need to visit the official website of KVK at www.kvk.nl address. This website is available in both Dutch and English, you can choose the right language.
• Search for registration information: On KVK’s website, you need to search for information about new business registration, which is a separate section on “Start a business” or “Register your business”, you can search in this section.

Fill out the online registration form

• Find the application form: After finding the business registration section, you need to find an online application form for new businesses with an electronic form, you need to fill in the information boxes directly.
• Fill in the information:
  • Information about the business: Name of the business, type of business (e.g. Eenmanszaak, VOF, BV), business address in the Netherlands, business line (industry code according to Dutch classification).
  • Information about the owner or company members: Full name, date of birth, address, identification number (passport or ID card).
  • Other information: Charter capital, contact information (phone number, email).

Procedures for applying for a tax identification number when setting up a company in the Netherlands

Obtain a tax identification number

• Information from KVK: After you register your business with KVK, your information will be automatically transferred to the Dutch Tax Authority (Belastingdienst). The process is automatic, you don’t need to do any additional procedures.
• Get a tax identification number: The Tax Authority will process the information and send your tax identification number by mail or registered email.
• BSN number: For private businesses (Eenmanszaak) or individual owners, the tax identification number is usually the Burgerservicenummer number (BSN). This is your personal identification number in the Netherlands.
• RSIN number: For other types of businesses (e.g., limited liability company – BV, partnership – VOF), you will receive a separate tax identification number, commonly known as an RSIN (Rechtspersonen en Samenwerkingsverbanden Identificatienummer).

VAT Registration

• Turnover threshold: If your turnover exceeds a certain threshold (currently 20,000 euros per year), you must also register for VAT, even if you do not provide goods or services subject to VAT.
• Register online: You can register for VAT online through the Tax Authority’s (www.belastingdienst.nl) website. You need to search for “VAT registration” or “Aanmelden voor de btw” on the website.
• Application form: You need to fill in complete and accurate information in the online VAT registration form.
• Information to provide: You need to provide information about the business (name, address, type), owners or company members (full name, date of birth, BSN or RSIN number), business activities (detailed description, industry code), and expected revenue.