The Dutch Holding Company, establish a Holding Company in the Netherlands? Read more to find out why and to find out how! You can find it on this specific website: intercompanysolutions.com. What company is this? Intercompany Solution is the company we talked about. The Dutch Holding Company has proved to be an ideal structure, for many different ventures. But what is a Dutch Holding Company exactly? We will explain what a Dutch Holding Company is today. Read more and find it out! Not only what this means, but also what the benefits are will be explained later in the text.
What exactly is a Dutch Holding Company?
As we said, we will start explaining what a Dutch Holding Company is.
So, what is this Holding Company in The Netherlands exactly? We already told you that this has proven to be an ideal structure for many different ventures. It is a type of business that has the intention to hold stock of other corporations. Their aim is to control and perhaps to absorb this other companies. How can this be achieved? This can be achieved by purchasing enough shares, from a corporation that already exists. Then they have to gain voting rights that enables it to influence the actions that the company does. In some cases, the company will be fully controlled.
The next step: what benefits are there to mention?
There are also a couple benefits of a Dutch Holding Company to mention, let’s find out what they are. We can sum up the benefits in short:
- Low taxation
- Easy establishment
- Minimal overhead
What does low taxation, easy establishment and minimal overhead exactly mean? It comes down to the following. If we talk about low taxation, we can say that the tax ode promotes equality among investors and entrepreneurs. Doing so, they ensure that the same regulatory standards that have been given to companies outside the country extent to foreign companies.The second point, easy establishment means that establishing the Dutch Holding Company is a very easy process, or relatively easy process, it depends on how you look at it and how you experience it.
The Netherlands holding companies we talk about are listed as limited liability companies or partnerships. The following requirements are that the capital minimum for limited liability companies is just 1 euro. On the other side, there is no minimum capital required for limited liability partnerships. The third point, that minimal overhead is a benefit, means that overhead is the monetary cost of running a company. It is true that a company relies on the foundations os business that is already established. Furthermore, Holding companies are among the most advantageous business entities in the Netherlands. This is, amongst others, due to beneficial tax regime. This last part will be about the Dutch Holding Company Tax Benefits, as there are a lot we do have to mention. We will start and then continue in the next article that will be published next week. One benefit is that there is free profit repatriation allowed by the tax authorities. The Netherlands is attractive to set up a company, that is already one thing that we can say.