Starting a One-man business (or sole proprietorship or independent contractor) is attractive if you are the only owner of the business and you prefer being independent. It is possible to have employees, but there can only be one owner. Therefore no partnership agreement is needed. The disadvantage of a One-man business, compared to a BV, is that you are personally liable for all your actions; there is no difference between your private and your business debts. You will also have to file for personal bankruptcy if your One-man business is declared bankrupt.

You can find more on the characteristics of a One-man business here. If you want to know whether a One-man business best suits your business, or if you want to set up a One-man business in the Netherlands, please contact us.