Belgium company registration

Belgium company registration

DOING BUSINESS IN BELGIUM

Since 2003, Healy Consultants has assisted our Clients with starting their company in Belgium. Our services include i) Belgium business registration ii) government license registration iii) Belgium business bank account opening iv) employee recruitment strategies v) visa strategies and vi) office rental solutions.

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  • Advantages and disadvantages

    Advantages of Belgium company registration

      Belgium business facts: advantages and disadvantages
    1. It is easy to register a new company in Belgium, as this can be done with only i) one shareholder, investing a minimum of €18,550 in the company’s capital and ii) one director. Both can be foreigners and do not need to be ordinarily residing in Belgium;
    2. Belgium is a great place to start a trading company because:
      • Our Clients’ sales will benefit from the size of the local market: Belgium has indeed a population of 11 million with a GDP per capita of €37,000 as of 2015. The total market size is €412 billion;
      • Due the country’s EU membership, a Belgium resident company enjoys advantages including i) lack of trade restrictions ii) free movement of capital and labor iii) reduction or exemption from withholding taxes on foreign payments and iv) access to an integrated European market of 500M people;
      • Companies registered in Belgium will also benefit from the country’s excellent transportation infrastructure, ranked as the 21st best in the world according to the World Economic Forum. Ports are notably ranked as the 3rd best in the European Union, after the Netherlands and Finland;
      • While Belgium has no free trade zones, the country does have bonded warehouses located near the main port of Antwerp and the national airport north of Brussels. In addition, with the authorization of the customs authorities, a firm may create a private bonded warehouse and thereby delay and even avoid payment of customs duties;
      • Belgium also shares borders with main European markets including i) Germany ii) Netherlands iii) the United Kingdom and iv) France;
      • For all the reasons listed above, the World Bank currently ranks Belgium as the best place in the world for a company to trade across borders.

    3. Our Clients forming a holding company in Belgium will benefit from the following advantages:
      • Belgium holding companies benefit from a reduced corporate tax rate of 4% on dividends received by both global and local subsidiaries, provided that the holding company has owned at least 10% of their shares during the preceding year;
      • Thanks to EU Parent/Subsidiary Directive, dividends paid to a Belgian holding company by European Union (EU) subsidiaries are also exempt from dividend withholding tax. See more details on eligibility requirements here;
      • Belgium has signed double taxation avoidance agreements with over 85 countries, including i) Australia ii) Brazil iii) Canada iv) China v) France vi) Germany vii) Hong Kong viii) Singapore ix) the United States and x) the United Kingdom

    4. It is easy to open global corporate bank accounts to support Belgium company formation. Healy Consultants works with internationally recognized banks such as i) HSBC ii) Standard Chartered and iii) Citibank to provide corporate bank account services in Belgium.

    Disadvantages of Belgium company registration

    1. Our Clients registering a company in Belgium will have to pay a significant amount of tax, because:
      • The standard corporate tax rate of 33% is one of Europe’s highest. The employees and employers social security contributions add up to 38% of the employees’ gross salaries;
      • All companies are required to register for value added tax, which standard rate is 21%;
      • Businesses are also required to pay several other taxes uncommon in other countries, resulting in an average effective tax rates of 58% of their annual earnings according to the World Bank.

    2. According to the location of the company, the official language will either be i) French ii) Flamish or iii) German. Consequently, all corporate documents will have to be translated in at least one of these languages, as well as contracts signed with local employees and customers;
    3. While the local workforce is efficient and well-trained, labor costs are recorded by Eurostat at €40 per hour, the 3rd highest level in Europe. Belgium has also the second highest minimum salary in Europe, fixed at €1,500 per month, just after Luxembourg.

Company registration

  • Time to incorporate: Two weeks
  • Cost to set up: €13,550
  • Minimum capital: €18,550
  • Physical office required: Yes

Required appointments

  • Shareholders: 1
  • Directors: 1
  • Company secretary: No
  • Resident director: No

Key facts

  • Corporate tax rate: 33%
  • Corporate tax base: Worldwide
  • Shelf companies: No
  • Main company type: SPRL

Contact us

For additional information on our company registration services in Belgium, please email us at email@healyconsultants.com. Alternatively please contact our in-house country expert, Mr. Simon Guidecoq, directly:
brussels, belgium Federation of Belgian Chambers of Commerce belgian government portal belgium tourism National bank of Belgium