Bv or nv: what exactly is the difference?

What is the difference between a bv and a nv? A bv and nv are both popular legal forms for medium-sized to large companies. The two have quite a few similarities, but what is the difference? You can go to to find out. But sometimes it’s hard to decide what kind of legal form to use. Think, for example, of the money you have to put in, not everyone has it. And not everyone wants to put the effort into setting up a new legal form.Today, we are going to help you make a well-considered choice between a private limited company or a public limited company. First of all, we hope that you will save some extra information in order to set up the best legal form that you have in mind.

Capital requirements, bv or nv? 

First of all, the establishment of a nv requires considerably more capital than that of a bv. Whereas in theory you can already set up a bv with 1 euro in cash, you have to contribute at least 45,000 euros in advance to a nv. What are reasons to find out what kind of legal form you want to choose? The following reasons, among others, may be relevant:Are you ready to start your own business? Then you need to find out which legal form best suits your company. The choice for a sole proprietorship or Vof is easily made. These legal forms can be set up quickly and easily and are relatively inexpensive. Why look further into a BV? I give you 3 reasons why you, as a starting entrepreneur, for example should choose a bv, if it goes between the bv or nv:

  • For reasons of accountability
  • For tax benefit
  • Attractive to investors

So, for reasons of accountability, for tax benefit and because it is attractive for investors, you may choose for a bv. But you can also choose for the nv, it is up to you. Have you already decided between the bv or the nv? It is difficult, isn’t it? Read the last part of the article if you haven’t made your choice yet between the bv or nv. 

Bv or nv: have you already decided?

There are of course more differences. In order to make a good choice, we will explain the last differences between the bv or nv. Transferability of shares: Another important difference lies in the transferability (or marketability) of shares. The shares in a bv are registered, so that they are not freely transferable. You will therefore always have to visit the notary if you want to buy or sell shares in a bv. In the case of a nv, this restriction does not apply; in this case, the shares are not registered (hence the term ‚public limited company‘) and you can therefore freely trade them. So, the end of this article has been reached. So In case you need more information regarding the choice between the bv or the nv, you can go to the website we mentioned in the beginning of the article. Good luck with your choice and we hope that we have helped you a bit further between the choice of the bv or nv.