Start an Automotive Company in the Netherlands: Complete Guide

Looking to start an automotive company in the Netherlands? This guide will cover the steps, funding options and the best locations to start an automotive company in the Netherlands.


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    start an automotive company in the netherlands

    Setting out to launch an automotive business is an exciting adventure, and the location you choose is essential to its success. The Netherlands is a top choice for foreign investors and company entrepreneurs. In this comprehensive guide, we will delve into the reasons why you should consider setting up your automotive company in the Netherlands, the necessary steps for setting up your company, how to choose the right location, available funding options, and how OnDemand International can facilitate a hassle-free business incorporation process.

    Why Is the Netherlands the Best Location for Your Automotive Venture?

    Strategic Location and Infrastructure:

    The Netherlands serves as a gateway to the continent due to its favorable location in the center of Europe. Its first-rate transportation network, which includes renowned ports and vast road systems, makes it a perfect location for automakers. Importing and exporting products and services is made easier by easy access to important European markets.

    Innovation and Technology Hub:

    The Netherlands is well known for leading the way in technological innovation. The nation provides a setting that is favorable to research and development because of its educated and talented labor force. This is especially helpful for automakers who want to stay on the cutting edge of innovation and environmentally friendly solutions.

    Business-Friendly Environment:

    The Netherlands is renowned for having an open and welcoming corporate environment. The Dutch government actively promotes foreign investment, offering various incentives and subsidies to attract entrepreneurs. The ease of doing business, English proficiency, and a transparent legal system contribute to a welcoming atmosphere for international companies.

    Green and Sustainable Initiatives:

    As the automotive sector moves toward sustainability, the Netherlands is leading the way in environmentally friendly activities. The Dutch government has pledged to achieve carbon neutrality by 2050 and promote environmentally responsible activities. This is consistent with the global trend toward a greater focus on environmentally responsible business practices.

    Steps for Setting Up Your Automotive Company in the Netherlands

    Legal Structure and Business Plan:

    Begin by choosing the appropriate legal structure for your automotive company. Popular choices include a private limited company (BV) or a public limited company (NV). Develop a comprehensive business plan outlining your goals, market analysis, and financial projections, as this will be required during the registration process.

    Registration with the Dutch Chamber of Commerce (KVK):

    Register your firm with the Dutch Chamber of Commerce, a mandatory step for all businesses in the Netherlands. After completing this online registration process successfully, you will be assigned a unique Chamber of Commerce number.

    Tax Registration:

    Acquire a tax identification number (BTW number) from the Dutch tax authorities. This number is crucial for conducting business transactions, especially if your automotive company engages in import/export activities.

    Open a Business Bank Account:

    Choose a reputable Dutch bank and open a business bank account. Having a local bank account facilitates financial operations and ensures compliance with Dutch regulations.

    Obtain Necessary Permits and Licenses:

    Permits and licenses that are specific to your automobile business may be required. Verify adherence to Dutch laws and obtain any required approvals before commencing operations.

    How to Choose the Right Location for Your Automotive Company?

    • Proximity to Major Transport Hubs: Consider locations near major transport hubs, such as ports and airports, to facilitate the smooth movement of goods. The Netherlands has strategically positioned cities like Rotterdam and Amsterdam with excellent connectivity.
    • Access to Skilled Workforce: Choose a location with access to a skilled and specialized workforce, especially in engineering and technology. Dutch cities are known for their well-educated population, providing a pool of talent for your automotive endeavors.
    • Infrastructure and Logistics: Evaluate the local infrastructure and logistics network. A well-developed road and rail system is essential for the efficient transportation of goods and components. The Netherlands excels in this regard, ensuring seamless connectivity.
    • Economic and Innovation Clusters: Look for regions with established economic and innovation clusters. The Netherlands boasts such clusters, fostering collaboration and providing a supportive ecosystem for automotive companies.

    Funding Options for Automotive Entrepreneurs in the Netherlands

    Government Grants and Subsidies:

    To encourage entrepreneurship and innovation, the Dutch government provides a range of grants and subsidies. Automotive companies engaged in research and development may qualify for financial assistance through programs like WBSO (Research and Development Allowance).

    Venture Capital and Private Equity:

    Seek funding from venture capital firms and private equity investors active in the Netherlands. The country has a vibrant investment landscape, and securing funding from these sources can fuel the growth of your automotive startup.

    Bank Loans and Financial Institutions:

    Traditional financing options, such as bank loans and support from financial institutions, are readily available in the Netherlands. Having a strong business plan and a well-defined financial plan will help you increase the likelihood of receiving funding.

    Collaboration with Research Institutions:

    Leverage collaborations with Dutch research institutions and universities. These collaborations can lead to new financing opportunities in addition to giving access to cutting-edge research.


    Starting an automotive company in the Netherlands offers a multitude of benefits, from its advantageous location and welcoming atmosphere for businesses to its dedication to sustainability and innovation. Following the outlined steps for setting up your company, choosing the right location, and exploring funding options will pave the way for a successful venture.

    OnDemand International, with its expertise in business incorporation services, can assist you in realizing your automotive ambitions in the Netherlands. With a streamlined process, we can help you set up your company in approximately three weeks. Contact OnDemand International today for a hassle-free experience and professional guidance in establishing your automotive presence in the Netherlands.