Starting a business in the Netherlands as a foreigner
The residence routes, the choice between a sole proprietorship and a BV with the 2026 and 2027 figures, the registration at the Chamber of Commerce, the costs, the taxes and the expat ruling. Written for founders who relocate here and for founders who stay where they live.
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A foreigner can start a business in the Netherlands in two ways: live here with the right residence status and register at the Chamber of Commerce (KVK), or stay abroad and own a Dutch company that is formed for you by a notary. EU, EEA and Swiss citizens register straight away; United States citizens use the Dutch American Friendship Treaty (DAFT); others use the start-up visa or the permit for self-employed entrepreneurs.
The legal form decides your tax. A sole proprietorship is taxed in box 1 with the SME profit exemption; a BV pays 19% corporate tax up to €200,000 profit and protects your private assets. The 2027 Tax Plan trims the deductions for sole traders again, which brings the BV into view at a lower profit than before.
Three ways to start, depending on where you live
You are an EU, EEA or Swiss citizen. You can live and work in the Netherlands and register your business at KVK after you have a citizen service number (BSN) from your municipality. Health insurance is mandatory from the day you live here.
You are from another country and want to live here. You need a residence permit that allows self-employment. The table below lists the routes. Your business plan, your funds and, for some routes, a recognised facilitator decide the outcome. The Immigration and Naturalisation Service (IND) takes the decision; the Netherlands Enterprise Agency (RVO) advises on the business plan for the self-employed permit.
You stay where you live. A Dutch BV can be owned and managed by a person who lives abroad. The notary forms the company by power of attorney, and you keep your current passport and residence. This is the route for e-commerce sellers, consultants, holding owners and founders who want an EU company first and a move later, if ever. See setting up a BV in the Netherlands.
Residence routes for entrepreneurs from outside the EU
| Route | For whom | Main conditions | Duration |
|---|---|---|---|
| DAFT (Dutch American Friendship Treaty) | United States citizens | A business in the Netherlands with at least €4,500 of capital on its balance sheet; a sole proprietorship or a BV both qualify. | 2 years, renewable; after 5 years permanent residence is possible. |
| Start-up visa | Founders of an innovative product or service | A recognised facilitator, a step-by-step plan, registration at KVK and sufficient means. | 1 year, then the self-employed permit. |
| Self-employed entrepreneur | All other nationalities | A points system on experience, business plan and added value for the Dutch economy, assessed by RVO. | 2 years, renewable. |
| Highly skilled migrant | Employees of a recognised sponsor | A salary above the threshold; this is an employment route and rarely the right one for a founder who owns the company. | Up to 5 years. |
Our guides compare the routes in detail: DAFT requirements in 2026, start-up visas compared and bringing staff to the Netherlands. For citizens of the United Kingdom after Brexit, starting from the United Kingdom sets out the options.
Sole proprietorship or BV: the figures for 2026 and 2027
| Item | Sole proprietorship (eenmanszaak) | BV (private limited company) |
|---|---|---|
| Set-up | Registration at KVK, €85.15 in 2026; a BSN and a Dutch business address are required. | Notary deed; formation from €2,950 excl. VAT all-inclusive; capital from €0.01. |
| Liability | You are liable with your private assets. | The company is liable; you as director only in case of mismanagement or a personal guarantee. |
| Tax on profit 2026 | Box 1: 35,75% up to €38.883, 37,56% up to €78.426, 49,5% above, after the SME profit exemption of 12,7% and the self-employed deduction of €1.200 (starters: plus €2.123). | Corporate tax 19% up to €200,000, 25.8% above. Your salary is taxed in box 1; dividends in box 2 at 24.5% up to €68,843 and 31% above. |
| Tax on profit 2027 (proposal) | Box 1: 36,23% up to €39.247, 38,16% up to €78.426, 49,5% above; self-employed deduction €900; starters’ deduction €10 and gone in 2028. | Corporate tax unchanged. Box 2: 24.5% up to €69,607; the cabinet announced 29.2% as top rate for 2027 to 2030. |
| Salary rules | You take the profit as your income. | A director-shareholder takes a salary that follows the customary salary rules; the 2026 reference is €58,000, and a lower salary is possible with a valid reason, for example in the start-up years. |
| Disability cover | A compulsory public disability insurance for self-employed persons is before parliament (bill of 24 March 2026); the start date is open. | A director-shareholder is excluded from that compulsory scheme and arranges cover privately. |
| Bookkeeping and filings | VAT returns, income tax return with the business figures. | VAT returns, payroll for the director, annual accounts filed at KVK, corporate tax return. |
| Who chooses it | Starters with a modest profit, one owner, limited risk. | Founders with a growing profit, partners or investors, liability risks, international customers, or a plan to sell the business. |
The turning point depends on your profit, your salary and your plans. Our Dutch corporate and dividend tax calculator shows both routes side by side for your figures. The background is on sole trader or BV in the Netherlands and DAFT: sole proprietorship or BV.
The steps, from idea to first invoice
- Decide where you will liveLiving here means a residence route, a BSN, health insurance and a municipal registration. Staying abroad means a BV formed by power of attorney and a tax check in your home country.
- Choose the legal formSole proprietorship, BV, or a BV with a holding above it when you expect to build value or want to keep profit apart from the risks of daily business. See the Dutch holding structure.
- Register at the Chamber of CommerceA sole proprietorship: an appointment at KVK with your ID, BSN and business address. A BV: the notary registers the company and files the owners in the UBO register.
- Receive your tax numbersThe VAT number follows the KVK registration after the tax office review; a BV also receives its corporate tax number. Staff need a payroll tax number; imports need an EORI number.
- Open a business bank accountDutch banks ask for your KVK extract, your ID and, for a BV, the ownership details. Payment institutions are the alternative when a bank takes long. See opening a business bank account.
- Arrange bookkeeping and insuranceQuarterly VAT returns from the first quarter; professional liability and, as a sole trader, disability cover.
- Learn the first yearEvery client of our formation service gets Your first year with a Dutch company for free: ten short lessons on bookkeeping, VAT, corporate tax, the annual accounts and every deadline.
What starting a business costs
A sole proprietorship costs the KVK fee of €85.15 in 2026; the 2027 fee is set at the end of 2026. A BV needs a notary; our all-inclusive formation starts at €2,950 excl. VAT, and a holding with an operating company at €4,950 excl. VAT, including the notary, KVK, the UBO filing, the tax and VAT numbers and personal support. Running costs follow your activity: bookkeeping and VAT returns, payroll when you hire, and for a BV the annual accounts and the corporate tax return, each quoted on the basis of your situation.
Taxes, social security and the expat ruling
Where you live decides which tax office sees you as a resident. A founder who lives in the Netherlands pays Dutch income tax on his worldwide income and Dutch social security contributions; a founder who stays abroad pays Dutch tax only on the Dutch company and keeps his home-country position. The tax treaty between the two countries settles overlaps.
Founders who relocate here with a BV can use the expat ruling when they qualify: 30% of the salary tax-free in 2026, 27% for new arrivals from 1 January 2027, for a maximum of five years, above the salary threshold. The ruling also lets you opt out of box 3 on foreign assets during the first years. Read the expat ruling in 2026 and when your ruling ends.
The full set of changes for 2027, including the box 2 rate, the step-down of the limit for borrowing from your own BV and the wage transparency rules for employers from 1 January 2027, is on tax changes in the Netherlands in 2027.
Questions founders ask
Start from your country
Tell us where you are
Where do you live, what will the business do, and do you plan to relocate? You get a written answer with the route, the legal form and the proposal for the formation.
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