Why a BV?
The establishment of a BV has many advantages for foreign entrepreneurs. Dutch entrepreneurs prefer to do business with the “trusted” Dutch BV than with an “unknown” legal entity. As a result, Dutch companies and suppliers are more accessible and thus easier to approach. Also, the recruitment of Dutch personnel is often a major challenge for foreign entrepreneurs . This is a lot easier in the case of a BV. Another advantage is the spread of risk liability. A BV has separate assets which Dutch creditors can lay claim to. Finally, a BV is also advantageous when it comes to taxation on profits.
On the other hand, a BV also has some disadvantages. A BV requires additional administration, additional set-up costs and annual costs for the preparation of the annual financial statements and tax returns. Whether a BV is advantageous for foreign entrepreneurs can be determined on a case-by-case basis. If the foreign entrepreneur's is involved in small-scale activities in the Netherlands, it is debatable whether establishing a BV is absolutely essential.