How to Establish a Startup Business in the Netherlands

What is a Startup?

A startup is not just any new business. In short, a startup is a company that transforms an innovative idea into a scalable and generic product or service, utilizing new technology. “Scalable and generic” means the product or service is developed once and can be sold repeatedly without customization for each new client, making it more cost-effective and easier to manage.

Steps to Set Up a Startup in the Netherlands

Step 1: Apply for a Dutch Residence Permit for Foreign Startups Non-EU entrepreneurs need a one-year Dutch residence permit to launch a startup in the Netherlands. Check your eligibility for this permit and apply. After the initial year, you can continue your business under the self-employment scheme. Additionally, you will need a business bank account (IBAN). Use the Dutch Banking Association’s Quick Scan to determine your eligibility.

Step 2: Find Startup Funding Securing funding is crucial for starting and growing your business. There are various government funding options available for startups. Explore the Startup Box to find the best option for you. You can also seek loans from banks or investments from venture capitalists, business angels, or crowdfunding platforms. Prepare a solid business and financial plan to attract investors.

Step 3: Find a Startup Facilitator A requirement for the Dutch residence permit for foreign startups is collaborating with a business mentor or facilitator. This mentor must have experience guiding innovative startups and will provide a tailored support package. For the self-employment scheme, a facilitator is not necessary, but you must submit a comprehensive business plan, proof of income, and education.

Step 4: Choose a Business Location Selecting a location is a critical decision. The Netherlands offers various workspaces, incubators, and accelerators for startups. Check zoning regulations with local authorities to ensure your business type is permitted in your chosen area.

Step 5: Register with Your Local Council Register at your local council’s Municipal Personal Records Database (Basisregistratie Personen, BRP) to obtain a citizen service number (burgerservicenummer, BSN). For non-residents, register in the Non-Residents Records Database (registratie niet-ingezetenen, RNI). Registration is free, but you need an appointment. Expat centers can assist with the registration process, though some may charge a fee.

Step 6: Register Your Startup Company Make an appointment with the Netherlands Chamber of Commerce (Kamer van Koophandel, KVK) or a notary to register your company, depending on your chosen legal business structure. KVK will forward your details to the Netherlands Tax Administration (Belastingdienst) for VAT number issuance.

Step 7: Open Business and Personal Bank Accounts To handle financial transactions, open a Dutch business bank account. Leading banks include ABN AMRO, ING, and Rabobank. Use the NVB Quick Scan if you are already in the registration process and receiving assistance from the NFIA or another facilitator. Non-EU residents will also need a personal bank account, requiring a citizen service number (BSN), business registration extract, and residence permit.

Step 8: Arrange Personal and Family Matters Address personal and family needs such as housing, residence permits for family members, childcare, international schools, healthcare, and insurance. Utilize the Dutch startup ecosystem for additional support, including local and regional mentoring and coaching organizations, or consider co-founding with an existing company.

Additional Resources for Highly Skilled Individuals The Netherlands offers various visas besides the residence permit for foreign startups. Graduates and researchers may apply for a residence permit for an orientation year or use the highly skilled migrant scheme if working as an employee. Recruiting personnel can benefit from becoming a recognized sponsor.

For more information and support, explore resources like the Netherlands Point of Entry, TechLeap.nl, and other local organizations dedicated to assisting international startups and scale-ups.