Two companies, each with its own task
You use the free-zone company for the Gulf: local clients, banking in the region and your UAE residency. You use the Dutch BV for Europe: EU contracts, VAT and staff. A Dutch holding company can receive the profits of its shareholdings at 0%. See the combination explained. The two companies sign a services or licence agreement at arm’s length, at market prices. With this agreement, both tax files are in order. For product companies, compare Dubai vs the Netherlands for SaaS.
Adding a European base to your Gulf business? See how Gulf owners set up a Dutch holding, with the treaty rates and the bank file.
Where decisions are taken
Each company takes its decisions at its own base. Hold the board meetings of the Dutch company in the Netherlands and those of the free-zone company in the UAE. At the start of the year, plan the number of days you spend in each country, and keep a record. See the substance guide.
Family life in two cities
Many families spend the winter in the Gulf and the summer in the Netherlands. Most families keep the children in school in one city and use the other city for holidays. Either city can be the school base. See relocating your family from the UAE and a European second base for UAE residents.
Setting it up
Most founders already have the free-zone company. You can set up the Dutch side remotely within weeks (the procedure) and open a bank account with a prepared file (the guide). From there it grows from a contracting entity into a full EU head office: the launch plan.
Ready for the bank? See how to open a Dutch business bank account from abroad and what the bank checks.