Is your business located outside of the Netherlands?
And are you thinking of setting up a branch office or subsidiary...
...in the Netherlands?
There are several steps you need to take in both cases.
Let me guide you through the process step-by-step.
And step 1: prepare
Write the new entity into your business plan.
Do you have a business plan that outlines your ambitions and goals?
Use it to set out what you want to do with this new branch of your business.
Do you want to start selling new products? Or set up a marketing department?
Will the Dutch office be independent?
If you have a clear picture of where you want to go with your company...
...the answer to our next point will be easy.
Decide whether a branch office or subsidiary is best for you.
A branch office will make distributing your products and services...
...easier, and establish a foothold for your company in the Dutch market.
But it's not a fully functioning business.
If you want to establish a strong presence in the Netherlands...
...a subsidiary is a better choice, where you can diversify your activities...
...and be more competitive in the Dutch market.
Then proceed to step 2: register.
Register with KVK.
Whether you're going to set up a branch office or a subsidiary...
...you must register with KVK in the Dutch Business Register.
The difference is that a branch office automatically gets...
...the same legal structure as your main office.
For a subsidiary you choose a legal structure.
Another important difference is the duty to file...
...reports and accounts: for a branch office...
...you file the parent company's financial statements.
For a subsidiary, you file its own financial statements.
Register your domain name and patents in the Netherlands.
Do you have a distinctive brand name, or do you sell innovative products?
Make sure the intellectual property registrations you have...
are also valid in the Netherlands...
...if you want to start doing business here under that name or with those products.
There are several ways to protect your rights...
...including EU or worldwide coverage.
Also, don't forget to register your domain name with the Dutch register SIDN.
Now, let’s go to the next step: consider rules & regulations.
Arrange tax matters with the Netherlands Tax Administration.
When you register with KVK...
...your details will be shared with the Netherlands Tax Administration.
If you have sales activities or provide services in the Netherlands...
...you must pay VAT and income tax or corporate income tax.
A branch office may only have a supporting role.
For example, a marketing department.
In that case, it does not have to pay VAT or income tax...
...and you can reclaim any VAT suppliers charge your branch office.
Keep business records.
In the Netherlands, businesses must be able to show their records to the Tax Administration...
...for at least 7 years after they have made a sale or purchase.
In some sectors, the mandatory retaining period...
...is even 10 years, so make sure you keep good records.
You can use online or software accounting programmes...
...or hire an accountant.
We move on to step 4: get started.
Find a suitable business location.
The Netherlands is a small country...
...but even so, there are areas that are more suited to tech businesses...
...innovative startups or transport companies.
And starting a sales outlet for your clothing brand in a rural area...
...well it may not be the best idea.
Research your market:
How many competitors do you have in the region you have selected?
How many potential customers?
KVK offers tools to help you find the most suitable location.
Think about staff.
Who will work in your branch office or subsidiary.
Will you recruit local staff?
If so, contact the Employment Insurance Agency to set up a recruitment campaign.
They can help you find local personnel.
Make sure you know what hiring staff involves:
The Netherlands has many rules and regulations to protect employees’ rights...
...no matter what type of contracts they have.
Now, let's go to the last step: good to know
How good is your Dutch?
If you want to do business in the Netherlands, or open a branch office with local staff...
...you need to understand Dutch well enough to conduct interviews and agree contracts.
Or hire people who do.
It's also important you get to know the Dutch business climate and culture.
Have we covered everything?
Well, it's a good start.
These are the most important general steps, that will steer you...
...through the process of starting your branch office or subsidiary.
Go to Business.gov.nl...
...for more detailed and specific information for your situation.