Choosing the Right Business Structure in the Netherlands: ZZP, BV, NV, and VOF

Starting a business in the Netherlands is exciting, but one of the very first decisions you’ll face is which legal structure to choose. Your choice will affect not only taxes, but also liability, administration, and how flexible you can be as your company grows. Four of the most common structures are the ZZP (sole proprietorship), BV (private limited company), NV (public limited company), and VOF (general partnership).

ZZP (Eenmanszaak / Sole Proprietorship)The simplest form, often chosen by freelancers and solo entrepreneurs. It’s easy to set up, inexpensive, and has straightforward tax obligations. The trade-off? You are personally liable for all debts and obligations of the business. For some, that’s fine — for others, it can be a risk.

BV (Besloten Vennootschap / Private Limited Company)The BV is the most common choice for small to medium businesses looking for growth. It limits personal liability, offers a professional image, and is flexible for bringing in investors or co-founders. The setup is more formal (you need a notary deed and minimum share capital), and tax obligations differ compared to a sole proprietorship.

NV (Naamloze Vennootschap / Public Limited Company)The NV is designed for large businesses that want to raise capital by offering shares to the public. Think of it as the Dutch equivalent of a corporation. It comes with stricter governance, reporting, and capital requirements. Not the right fit for most entrepreneurs starting out — but essential for businesses with major growth ambitions.

VOF (Vennootschap onder Firma / General Partnership)Perfect when two or more people want to run a business together. A VOF is relatively easy to set up, but like the ZZP, partners are personally liable — and in this case, even for each other’s business debts. Trust and clear agreements are crucial here.

So, which is right for you?That depends. Your liability risk, expected revenue, tax situation, growth plans, and even your industry all play a role. Choosing the wrong structure can cost you flexibility or expose you to unnecessary risk. That’s why there is no universal “best” option.

👉 If you’re unsure which structure fits your business, reach out. I’ll be happy to help you assess your specific situation and guide you toward the setup that best supports your ambitions.