Belgium, with its strategic location at the heart of Europe, is an attractive destination for entrepreneurs looking to expand their operations overseas. If you’re considering to start a business in Belgium, this guide will walk you through the process of incorporating a Besloten Vennootschap (BV), a popular type of Belgian legal entity, in a systematic and straightforward manner.

1. Understanding the Belgian BV

Before diving into the incorporation process, it’s crucial to understand the nature of a Belgian BV. A BV, short for Besloten Vennootschap, is a private limited liability company. It offers several advantages:

• Limited Liability: Shareholders are only liable up to the extent of their contribution, protecting your personal assets from business debts.
• Legal Entity: A BV has its own legal personality, separate from its shareholders.
• Flexible Capital Requirements: Under new legislation, there’s no fixed minimum capital requirement for a BV. Instead, you need to ensure sufficient initial capital based on a financial plan.

However, setting up a BV also involves certain administrative complexities and costs, which we will detail in the following sections.

2. Step-by-Step Guide to Incorporating a BV

The process of incorporating a BV involves several key steps, each with its associated requirements and procedures.

2.1 Consult a Notary

Incorporating a BV requires the drafting of a notarial deed. This legal document outlines the company’s statutes and serves as the foundation of your business. Engaging a notary is a legal requirement and the initial costs for this service can be around €1,000, excluding VAT.

2.2 Develop a Financial Plan

A financial plan is a critical requirement for incorporating a BV. This document outlines your company’s financial viability and the resources needed to sustain operations for the first two years. It’s advisable to work with an accountant to develop a detailed and accurate plan.

2.3 Obtain an Auditor’s Report

If your initial contribution to the company includes non-cash assets (such as property or intellectual property), an independent auditor must verify these and produce a report.

2.4 Register Your Company and VAT Number

Once your notarial deed, financial plan, and auditor’s report are in order, you need to register your company with the Crossroads Bank for Enterprises (CBE) to obtain a company number. This process can be facilitated by a business counter such as Securex, for a fee.

In addition, if your business activities are subject to VAT, you’ll need to activate your VAT number. Your company number can be activated as a VAT number, with the format being: BE + your company number.

2.5 Join a Social Insurance Fund

Lastly, you should join a social insurance fund, such as Securex, within three months of establishing your company. As a company manager or partner, you’re required to pay social security contributions.

3. Cost Breakdown

Incorporating a BV involves various costs, including notarial fees, registration fees, VAT activation fees, and social security contributions. Further costs may include accounting services for double-entry bookkeeping and directors’ liability insurance.

4. The Role of House of Companies

The process of starting a business in Belgium can be complex, especially for non-EU companies. However, with the right support, it can be significantly simplified. This is where House of Companies comes in.

House of Companies provides a self-governance portal that allows you to incorporate a business in Belgium for your non-EU company, without needing to visit, at a fixed yearly fee. It’s part of their vision of “Globalisation as a Service,” aimed at making legal processes more understandable and actionable for entrepreneurs.

Founded by Dennis Vermeulen in 2007, House of Companies has expanded across Europe and Dubai, setting up over 10,000 entities. Its commitment to disrupting traditional consultancy practices and empowering international entrepreneurs makes it an indispensable partner for those looking to expand overseas.

5. Conclusion

Starting a business in Belgium, specifically a BV, involves a series of administrative procedures and costs. However, with the right guidance and support, this process can be navigated smoothly. House of Companies, with its comprehensive services, supportive community, and educational resources, is committed to empowering entrepreneurs in their international business journeys.

Starting a business in Belgium may seem like a daunting endeavour, but with the right tools and the right partner, it can be a rewarding and successful venture. So why wait? Start your Business in Belgium now!