Choosing to set up a Belgium subsidiary is a big decision for any company. While you'll benefit from global business relationships, new opportunities, and talented team members, you also have to accept...
Read MoreChoosing to set up a Belgium subsidiary is a big decision for any company. While you'll benefit from global business relationships, new opportunities, and talented team members, you also have to accept the challenges that come with the incorporation process. Companies looking to establish a subsidiary have to learn a whole new state of tax laws, meet international employment compliance standards, and continue to run a business.
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Choosing to set up a Belgium subsidiary is a big decision for any company. While you’ll benefit from global business relationships, new opportunities, and talented team members, you also have to accept the challenges that come with the incorporation process. Companies looking to establish a subsidiary have to learn a whole new state of tax laws, meet international employment compliance standards, and continue to run a business.
As a global PEO, Globalization Partners is well-versed in Belgium subsidiary laws and can help simplify the expansion process. We’ll use our existing subsidiaries around the world to help companies start working in a few days instead of a few months. You won’t have to learn how to set up a Belgium subsidiary, and you can have complete peace of mind knowing that you’ll stay compliant.
Before starting the Belgium subsidiary setup process, you should consider certain factors, such as your business goals, desired location, language fluency, and more. Costs, availability, and regulations often vary based on the city or region your office space is in. If you’re not well-versed on the different areas within Belgium, you should work with a consultant who can give you advice on the easiest city for incorporation.
Belgium is unique in that it has two official languages — Dutch and French. Most businesses need contracts in both French and Dutch when working with employees or other local companies. If you do not have someone in your company who is fluent in both languages, you’ll need to hire some additional staff members or a translator.
Your company goals also play a role in how you should set up a Belgium subsidiary. The country permits several different subsidiary structures, including a public limited liability company (PLC), foreign branch company, private limited liability company (PLLC), and starter-private limited liability company (S-PLLC). Every entity allows for a different level of activity and operation in Belgium, so you need to choose the structure that best fits with your goals.
Many companies choose to incorporate as a PLLC. The steps to set up a Belgium subsidiary as a PLLC include:
Belgium’s subsidiary laws also depend on the entity you decide to use, whether it’s a PLLC, PLC, S-PLLC, or foreign branch company. PLLCs must be set up by two or more people. Shareholders contribute funds for shares in the company, and their liability is limited by the amount they contribute. You need at least two shareholders, as well as a minimum amount of capital of 18,500 EUR. The minimum amount of paid-up capital for PLLCs is 6,200 EUR.
After you incorporate, you can finally begin hiring employees, adding them to your payroll, and doing business in Belgium. Many companies opt to set up a PLLC because of its limited liability structure. If you do the same, your parent company will not have to worry about litigation from the subsidiary. Plus, you’ll get the opportunity to run your subsidiary using a process that works best for Belgium.
Globalization Partners overshadows these benefits by offering Belgium subsidiary outsourcing. When you work with us, you won’t have to spend months trying to understand Belgium’s subsidiary laws and figure out the incorporation process. Instead, you can start working in a few days, and we’ll shoulder all compliance.
If you decide to set up your Belgium subsidiary on your own, we recommend planning for everything you’ll need. Try to set aside time for the incorporation process as well as a large budget for the numerous fees involved. It will also help to work with an expert in Belgium subsidiary laws who can help you stay compliant.
Globalization Partners wants to help your company expand without all the stress. Contact us today to learn more about Belgium subsidiary outsourcing.
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