Oranjestad, September 19, 2011 – Soon, a deed of incorporation will no longer be required to establish a BV, Dutch Limited Liability Company. That will give the entrepreneur about 1000 Euros advantage.
This decision was made by the Dutch Minister of Economic Affairs, Mr. Maxime Verhagen, earlier this month. Only for complex business models, that include the distribution and transfer of shares, the deed will remain a requirement.
The previous Dutch government has already made it easier to establish a BV, by making the invested capital requirement a minimum. At the moment the Dutch Parliament is also proposing a bill to eliminate the minimum amount of 18.000 Euros required to start a BV. This amount is currently just a formality.
Because of these changes the administrative costs to start a BV will decrease with 90%. For the sole proprietor it is very useful to convert his business into a BV, in order to protect his personal assets from the business liabilities.
In Aruba, it is still required to provide a deed of incorporation when starting a VBA (Aruban limited liability company), even though there is no minimum invested capital required when establishing the VBA.
Aruba also has a committee working on cutting red tape for starting and existing businesses, called “A one stop shop”. Click here to read the report.