Why start an incorporation in the Netherlands?
Incorporation in the Netherlands means that you start a company in the Netherlands, while you are not situated in and familiar with the Netherlands. Incorporation in the Netherlands brings many advantages and can be a cheap and fast way to start a company. Staring a company in the Netherlands approximately takes eight weeks. If you want to start a Dutch limited liability company, you must do two things: register at the chamber of commerce and register with the social security authorities and the local tax authorities. While the registration at the chamber of commerce only takes a couple of hours and can be done online, to progress the registration for the local tax authorities can take a maximum of eight weeks. However, establishing a company abroad requires excellent preparation. It is very important to find information about the country and to get an overview of the market. But also, the business culture, the business climate and subsidies and financing schemes. It is also recommended if you want to do incorporation in the Netherlands to hire an external party.
What are the main advantages of incorporation in the Netherlands?
Although there are many advantages of incorporation in the Netherlands, we have listed the main advantages below
- Two shareholders
- No minimum capital
- Tax agreement with many countries
- Excellent workforce
First of all, to start an incorporation in the Netherlands you only need two shareholders. This is different than in other countries, where sometimes five shareholders are required. Second, there is no requirement concerning the starting capital. When starting an incorporation in the Netherlands you do not have to declare a minimum capital value. Third, a tax agreement with many countries. The Netherlands supports incorporation in the Netherlands by making sure people from outside the Netherlands do not have to pay double amount of tax. This makes the Netherlands a very attractive country to start incorporation. Fourth, excellent workforce. Netherlands is a well-developed country with many people who are skilled in all kind of sectors. It is not difficult to find someone who will meet all your demands. Moreover, a lot of people in the Netherlands can perfectly speak English. And last the privacy of the shareholders and directors. In the Netherlands there are good privacy laws for staring your own corporation.
Why are people scared to start incorporation in the Netherlands?
Although we see that more and more entrepreneurs are taking the step of doing business beyond border, still many do not dare to take this step. Fear of bad players, administrative hassle and cultural differences play a role in this. That is not surprising, because doing business internationally also entails more risks than if your business partners are from your own country. Most common fears are uncertainty. How do I know all the rules and regulations? And what do I do when everything goes wrong? But also, I do not speak the language and I do not understand the culture. However, despite of these fears there are sufficient benefits to start an incorporation in the Netherlands. It is highly recommended to ask a national company for help. This company can help you with all your fears, such as the regulations and the language.