Starting a Business in the Netherlands: Everything You Need to Know
The Netherlands is among the most entrepreneurial countries in the world. With a strategic location, excellent infrastructure, a highly educated population, and a favorable tax climate, it is a top destination for entrepreneurs. This guide takes you through every step.
Step 1: Choosing the Right Legal Form
Sole Proprietorship (ZZP)
- Setup costs: €75.09 (Chamber of Commerce)
- Liability: unlimited, including personal assets
- Taxation: income tax (progressive, max. 49.5%)
- Advantages: self-employed deduction, startup deduction, SME profit exemption
- Suitable for: freelancers, self-employed, small entrepreneurs
Partnership (VOF)
- Minimum 2 partners
- Liability: joint and several, unlimited
- Suitable for: collaborations, joint ventures
Private Limited Company (BV)
- Minimum capital: none (since 2012, previously €18,000)
- Liability: limited to invested capital
- Taxation: corporate tax (19% up to €200,000, 25.8% above)
- Suitable for: startups, growing businesses, companies with investors
Foundation
- No owners or shareholders
- Suitable for: social enterprises, non-profit organizations
Step 2: Registration at the Chamber of Commerce
The Chamber of Commerce (KVK) is the first stop for every entrepreneur:
- Make an appointment at the KVK office (or online for sole proprietorships)
- Bring a valid ID
- Fill out the registration form
- Pay the one-time registration fee (€75.09)
- You receive your KVK number immediately
For BVs:
- Have the deed of incorporation drawn up by a notary
- Execute the notarial deed
- Register with the KVK
- Register with the Tax Authority (automatic via KVK)
Step 3: Tax Authority and VAT
After KVK registration, you are automatically registered with the Tax Authority:
- VAT number is sent by post
- Sales tax (VAT): 21% standard, 9% reduced, 0% for exports
- Small business exemption (KOR): exemption for turnover up to €20,000/year
Taxes for Self-Employed:
- Income tax: progressive (36.93% up to ~€75,000, 49.5% above)
- Self-employed deduction: €3,750 (2026)
- Startup deduction: additional €2,123 (first 3 years)
- SME profit exemption: 12.7% of profit
Taxes for BVs:
- Corporate tax: 19% up to €200,000 profit, 25.8% above
- Dividend tax: 15% when distributed to shareholders
- Innovation box: 9% on innovation profits (instead of 25.8%)
Step 4: Insurance
- Health insurance: mandatory for everyone (~€130/month)
- Disability insurance (AOV): strongly recommended for self-employed
- Liability insurance: depending on industry
- Pension contributions: not mandatory for self-employed, but advisable
Step 5: The Business Plan
A good business plan is essential for financing and subsidies. Create one with the business plan generator from BoostPro IA — professional, complete, and aligned with Dutch bank and investor requirements.
Step 6: Financing
The Netherlands offers extensive options:
- Qredits: microloans up to €250,000
- WBSO: tax reduction for R&D
- Innovation loan: up to €5M for innovation projects
- BMKB: guarantee for bank loans
- Seed Capital: through recognized investment funds
Discover the schemes that suit you with the subsidy simulator from BoostPro IA.
Step 7: Administration and Accounting
- Record retention: keep all financial records for 7 years
- VAT return: monthly or quarterly
- Invoice requirements: legal requirements for invoice content
- Digital bookkeeping: increasingly the norm (Exact, Moneybird, e-Boekhouden)
Diagnose Your Project
Before you start, you can validate the feasibility of your project with the diagnostic questionnaire from BoostPro IA. In a few minutes, you get a complete analysis of the strengths and weaknesses of your idea.
Conclusion
Starting a business in the Netherlands is relatively easy and quick. Choosing the right legal form, taking advantage of tax benefits (self-employed deduction, Innovation box, WBSO), and applying for the appropriate subsidies are the keys to a successful start.