Besloten vennootschap met beperkte aansprakelijkheid

The private limited liability company is a legal entity incorporated by notarial deed and registered in the Trade Register. Its capital consists of shares that are not freely transferable, thereby conferring on the company its private character. Shareholders and directors are in principle not personally liable for the debts of the company.

This corporate form is relevant in that it affords entrepreneurs protection against personal liability, may yield tax advantages and projects a professional image. In practice, the BV is widely used by both start-ups and established enterprises seeking to limit their risk exposure.

Upon incorporation and during the management of the company, statutory requirements must be observed, including the payment of the share capital and compliance with the applicable duty of care standards in order to avoid personal liability.