Have you been thinking about starting a business in The Netherlands? And maybe you have made a definite decision about it, which is that you will indeed set up your own company in the small country that is the Netherlands. As The Netherlands is a member of the European Union, this can bring some good benefits to you and your company, this is also a reason why The Netherlands is such a good choice to start up a business in. However, the next step is choosing whether you will have a company that is a BV company or a company that has another structure. In the whole process of starting your business, some help may be very useful. This is also what Intercompany Solutions offers; aid in setting up your business through helping in administrative work and more.
A BV company is also short for a private liability company. First of all, these types of companies are obligated to register in Dutch Trade Register so that it is possible to perform activities such as commercial activities. Since the BV company type is a private Dutch company, it is considered as a legal entity that is separate from the company’s shareholders and that it is a company with its own identity from the point of view of the laws for litigation and taxation purposes. Additionally, the stock of a BV company will not be available for the public purchase on the stock exchange.
Aside from a BV company, there is also among others another structure. This company structure is a public liability company or NV company. Here, in contrast to a BV company, the stocks of the company will, in fact, be available for the public purchase on the stock exchange. It can thus be the case some time that random members of the public can buy out your company, so it is necessary that you be diligent with how many stocks are available on the international stock exchange, for anyone can buy these stocks. Some other characteristics of a public liability company are listed below.
- While a BV company does not need a minimum share capital, it is necessary to deposit a minimum share capital of 45,000 euros before the NV company can be publicly listed.
- The shares can be traded internationally.
- The company is lead by a board of directors, but it is possible to have a committee of commissars to supervise this board of directors.
- Similar to the BV company structure, A public liability company, or NV company, has to be formed through notary deed.
- The shareholders of the stocks of the company will not be listed in the Dutch company register.
- There are specific accounting requirements in the case of a public liability company that apply to publicly traded companies.
- Once all of the NV company’s formation responsibilities are actually completed and found fulfilled, the company will be limited in its liability.
Two of the company structures to choose from are thus a BV company and an NV company. The two have some big differences you may want to consider thinking about. You do not have to do this all on your own, as Intercompany Solutions is just in reach to help you with this!