Why Set Up a Company to Incorporate in the Netherlands?

f you are looking to run a small business today, then you understand that today’s environment is more competitive than it ever was in the past. In a hyper-competitive global environment, you need to make sure that you place your company in the best position possible to be successful. Because today’s environment is more Global than ever before, it is possible for you to incorporate your company in the Netherlands. There are several advantages of making this move that you should keep in mind.

Favorable Corporate Income Tax Rates

If you have worked hard to set up your company, then you want to make sure that as much of your revenue stays with the company as possible. This means looking for areas that have favorable corporate income tax rates. The Netherlands has one of the lowest corporate income tax rates in the world. For example, the Netherlands has a double taxation treaty with the United States. This means that foreigners will never have to pay double taxes on the same income. With such a favorable tax arrangement, your company gets to keep more of its revenue, which it can put back into the business.

Save Money To Import Into the European Union

If you have inventory or orders that you would like to import into the European Union, there are numerous regulations that you will have to go through. On the other hand, this process is streamlined if you decide to incorporate in the Netherlands. You will be able to apply for a VAT number that will allow you to import into the European Union. With this streamlined option, you will be able to reduce your overhead expenses significantly. Your VAT number in the Netherlands will be “NL,” followed by nine numbers, the letter “B,” and two random numbers. This will act as your tax number and allow you to import into the EU. Because the Netherlands has one of the best shipping ports in the world, you are going to have access to a major hub of commerce and trade. This may help your company grow more quickly.

No Minimum Authorized Capital

Finally, if you decide to start a company in the Netherlands, you also will not have to have any minimum authorized capital. You will not have to immediately declare that your company has anything of value, which may help you reduce your tax burden during the early stages.

Consider Setting Up Your Company in the Netherlands

These are just a few of the biggest benefits of incorporating your company in the Netherlands. The Netherlands has decided to make things as easy as possible for corporations to come to their jurisdictions. Consider taking advantage of everything this country has to offer.


Alex is a small business blogger with a focus on entrepreneurship and growth. With over 5 years of experience covering the startup and small business landscape, Alex has a reputation for being a knowledgeable, approachable and entrepreneurial-minded blogger. He has a keen understanding of the challenges and opportunities facing small business owners, and is able to provide actionable advice and strategies for success. Alex has interviewed successful entrepreneurs, and covered major small business events such as the Small Business Expo and the Inc. 500|5000 conference. He is also a successful entrepreneur himself, having started and grown several small businesses in different industries.