Checklist: starting your own business in the Netherlands
Are you thinking about starting your own business in the Netherlands? Well, it is not a very complicated matter to start a business here. However, several matters need to be arranged and you need to make certain choices in order to start. In this article, you will find everything you need to get off to a flying start as an entrepreneur in the Netherlands!
Do you fulfill the conditions to stay in the Netherlands?
First things first: check whether you fulfill the conditions to stay in the Netherlands. If you are not an EU citizen, you need to apply for a temporary (MVV) and permanent residence permit. Or, when you are an innovative startup, you may apply for a startup visa. In addition, you need to apply for a business bank account (IBAN) if you want to do business in the Netherlands. Did you arrange these very first steps? Then, you can start to set up your business! Continue to the following steps.
Choose the legal form
How will you conquer the market? One of the first questions you should ask yourself when you start as an entrepreneur. This also includes choosing a legal form. Are you going for a sole proprietorship or VOF? Then you are personally liable for debts. Do you choose a bv or nv? Then you are not.
The most obvious legal form as a starting entrepreneur is a sole proprietorship or bv. Of course, more factors influence this choice; check them here.
Register with the Chamber of Commerce
After you have decided under which legal form you will trade, you are ready for the official start of your company. Now it is time to register with the Chamber of Commerce (KVK).
The Chamber of Commerce passes your details to the tax authorities (Belastingdienst), so you do not have to arrange this yourself. Do they see you as an entrepreneur for VAT purposes? Then, they will send you your VAT number and VAT identification number (VAT ID).
Entrepreneur for income tax?
You quickly become an entrepreneur for turnover tax (VAT). But to be seen as an entrepreneur for income tax, you have to meet more conditions. View the conditions on our entrepreneur page. If you are seen as an entrepreneur for income tax purposes, you are entitled to various deductible items. This results in a lower taxable profit, so less tax!
Keep your administration up to date
As an entrepreneur, you are obliged to keep your administration up to date. But besides it being mandatory, it helps you make the right decisions regarding your business. You file your tax returns based on your administration. When the tax authorities are in doubt, they will delve into your administration. Therefore, make sure that you keep your administration for at least 7 years!
We are happy to help!
Are you thinking about starting your own business in the Netherlands, and do you need help with your taxes? We are happy to help you with your VAT return, income tax return, corporate tax, and/or other tax-related questions! Contact us using the details below.