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NV - Public limited company

NV - Public limited company

The NV (naamloze vennootschap) is known in English as a public limited company or open corporation, with publicly tradeable shares.

The difference between a BV and an NV

The NV business form is more or less same as the BV, except for one major difference: the shares of an NV can be publicly traded on the stock market. With a BV it is only possible to transfer shares via a notary. For this reason the NV requires a startup capital of 45.000 euros, compared to 0,01 euros for a BV.

NV in formation: going public

It is possible for the owner/s of a BV to convert their business to a NV when they want to "go public". When starting this process the owners can set up a NVio (NV in oprichting or NV in formation), allowing them to prepare for making a public offering.

The NV in a nutshell

  • Establishment: notarial deed of incorporation
  • Capital required: 45.000 euros, notarial costs
  • Governance: executive board
  • Other bodies: shareholders (& potentially board of directors)
  • Liability: board of directors in cases of negligence
  • Social security: no social security benefits for directors or shareholders with a majority stake in the company
  • Taxation: corporation tax on profits / income tax on board member salaries / dividend tax / BTW / payroll tax (for employees)

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