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Expanding your business into Europe can be tricky, especially when you’re looking tostart a business in Belgium.
But fear not! House of Companies will walk you through the essentials, making the journey to establish your Belgian BV (besloten vennootschap) a smooth one.

Contents

1. Understanding the Belgian BV
2. The Journey from BVBA to BV
3. Major Differences between BVBA and BV
4. Company Formation Process in Belgium
5. The Role of the Belgian House of Companies
6. Key Considerations for Company Formation in Belgium
7. Directorship in a Belgian BV
8. Share Distribution in a Belgian BV
9. Financial Considerations
10. Directors’ Liabilities
11. Taking the Leap: Incorporating Your Belgian Company
12. Final Thoughts: Why Start a Business in Belgium

Note: The information provided here is accurate to the best of our knowledge. However, it’s always a good idea to consult with the appropriate authorities for the most current information.

Understanding the Belgian BV

The BV, orbesloten vennootschap, is the Belgian equivalent of a private limited company. As an entrepreneur, starting a BV in Belgium offers numerous benefits, including:

• Flexibility: A BV is a lot more adaptable than its predecessor, the BVBA.
• No minimum capital requirement: This makes it easier for new businesses to get started.
• Possibility to contribute in labor or work hours: This opens up new avenues for startup financing.
• Limited liability: This protects your personal assets from business liabilities.

The Journey from BVBA to BV

Until 2019, the most common form of company for SMEs in Belgium was the BVBA (Private Company with Limited Liability). However, a new law introduced on 1st May 2019 saw the BVBA replaced entirely by the BV as part of the Belgian Companies and Associations Code (BCAC) revision.

Companies that were established before the new law came into effect have until 1st January 2024 to update their company’s articles of association to comply with the new regulations.

Major Differences between BVBA and BV

Transitioning from a BVBA to a BV brings with it several changes. Here are a few key differences to keep in mind:

• No minimum capital: The previous requirement of a minimum capital of 18,550 euros has been abolished.
• Change in management structure: The manager of the company becomes a director.
• Updated share, dividend, and voting rights: These changes affect the control and profit distribution within the company.

Company Formation Process in Belgium

Starting a business in Belgium involves a series of steps:

1. Draft a solid financial plan.
2. Select and register your company name.
3. Draft, notarize, and file your company’s articles of association.
4. Register with the Belgian House of Companies.
5. Obtain necessary permits and licenses.
6. Register for VAT.
7. Open a business bank account.

The Role of the Belgian House of Companies

TheBelgian House of Companies provides a self-governance portal that allows entrepreneurs to start a business in Belgium from the comfort of their homes. This portal facilitates the company formation process, making it a seamless and hassle-free experience.

Key Considerations for Company Formation in Belgium

When setting up your Belgian BV, consider the following:

• Business Plan: A comprehensive business plan is crucial. It should clearly outline your business model, target market, marketing strategy, and financial projections.
• Legal Structure: The legal structure you choose for your business will have implications for your liability, taxes, and administrative obligations.
• Registration: Register your business with the Belgian House of Companies to receive your company number, which is required for all official documents and correspondence.

Directorship in a Belgian BV

In a Belgian BV, the manager becomes a director. This change in terminology reflects the shift in responsibilities and expectations.

Share Distribution in a Belgian BV

In a BV, the shares remain registered, but there are relaxations regarding voting rights, profit rights, and the transfer of shares. The articles of association can now state that the shares are transferable, providing additional flexibility.

Financial Considerations

Before you can start a business in Belgium, you must ensure that you have adequate resources for the activities your company will undertake. Although the mandatory minimum capital requirement has been abolished, a solid financial plan is still essential.

Directors’ Liabilities

Directors can be held jointly liable for any damage to the company and/or third parties if the company’s articles of association are not adapted by the 1st January 2024 deadline.

Taking the Leap: Incorporating Your Belgian Company

Embrace the spirit of entrepreneurship and take the leap to start your own business in Belgium. By understanding the steps involved, you can navigate the process with confidence and ease.

Final Thoughts: Why Start a Business in Belgium

Belgium offers a robust economy, strategic location, and a supportive business environment, making it an attractive destination for entrepreneurs. If you’re ready to start or expand your business, Belgium might just be the perfect place for you.

Remember, the journey to starting a business in Belgium is an exciting one. Equip yourself with the right knowledge, take informed steps, and you’ll be on your way to entrepreneurial success in no time. Happy business-building!

This article was written in collaboration with the House of Companies, your trusted partner in international business expansion. To learn more about how we can assist you in setting up your business in Belgium, visit ourwebsite