Two professionals decide to carry on together under one name. The vof (vennootschap onder firma, a Dutch general partnership) is in the Handelsregister, the first joint quote has gone out and the client asks for the account number. Which account does that money go into, and which of the two may do something with it later? A business account for the vof gives a clear answer to both questions, even though the law does not require one.
This piece covers what the KVK (the Dutch Chamber of Commerce) says about the vof and the account, which documents a bank asks for and how partners arrange authority. After that come the maatschap and the cv, the steps and what to look for when choosing.
In short:
- A business account for a vof is not mandatory, but according to the KVK it is advisable.
- With a business account, the account is in the name of the business, not in the name of one partner.
- The bank usually asks for the partnership agreement, an ID document of all partners, the KVK number and the details from the UBO register.
- Partners can agree with the bank that larger payments are approved by several people: joint authority.
Is a business account mandatory for a vof?
No. According to the KVK, anyone working together in a vof, maatschap or cv is, just as with a sole proprietorship (eenmanszaak), responsible themselves for the business and its finances; a business account is not mandatory, but advisable. There is a practical reason for that: every entrepreneur has to keep records in which the Belastingdienst (the Dutch tax authority) can see which income and expenses belong to the business.
With a vof, VAT also plays a part. If the activity falls under VAT, the vof itself is the entrepreneur for VAT, not each partner separately. The vof also gets its own VAT identification number and turnover tax number. A business account for a vof fits logically with that: one VAT entrepreneur, one account where the turnover comes in and the costs go out. That saves puzzling between the partners’ private accounts at every return.
Using a private account is also allowed, says the KVK, as long as the bank’s terms permit it. Many banks do not allow business use of a private account. With a vof there is one more point: the private account is in the name of one partner, while the turnover belongs to all partners together. An account in the name of the vof avoids one partner managing the partnership’s money on their own account.
VAT and income tax for a vof
The vof pays the VAT, and each partner pays income tax on their own share of the profit. If a partner also works as a self-employed person, they are a VAT entrepreneur for that work of their own, separately from the vof. In that situation two money flows run side by side: the vof’s turnover and the turnover from the partner’s own work. A separate account for the vof keeps those two flows apart, and with them the two VAT returns.
Whose name is the account in?
With a business account, the account is in the name of the business, writes the KVK. For a vof that is special, because a vof is not a legal entity. Unlike with a bv (private limited company), the partners are therefore liable with their own money for the vof’s debts. The account in the vof’s name mainly makes visible which money belongs to the partnership and which money stays private.
That distinction matters because liability is broad. Under the Dutch Commercial Code (Wetboek van Koophandel), each partner is jointly and severally bound for the obligations of the vof. The KVK explains what that means: each partner is liable for the whole amount, even if another partner incurred the debt. A partner who leaves remains liable for debts from their time as a partner; anyone joining an existing vof takes on the existing obligations. A separate account with clear agreements gives that responsibility a fixed place.
If the make-up of the vof changes, the account changes with it. If a partner leaves or joins, the authorities at the bank and the registration in the Handelsregister should match. Arranging this at the same time as the change at the KVK keeps the list of people who may pay up to date.
Which documents does the bank ask for from a vof?
Anyone who wants to open a vof bank account needs a few documents that do not come up with an eenmanszaak. No notary is needed: the partners register the vof with the KVK themselves. According to the KVK, a bank usually asks for these documents:
| Document | Where you get it |
|---|---|
| Copy of the vof agreement (partnership agreement) | Drawn up by the partners, possibly with an adviser |
| Copy of a valid ID document of all partners | Passport or identity card of each partner |
| KVK number of the vof | On registration of the vof in the Handelsregister |
| Details of the UBOs | The KVK’s UBO register, entered at formation |
According to the KVK, a partnership agreement is not mandatory but sensible, and the bank usually asks for a copy. When checking those documents, the bank performs a statutory task: it has to know who it does business with, and so it looks at all partners and at the ultimate owners of the vof. That check does not stop at the opening: the bank keeps monitoring payments afterwards too.
The ultimate owners of the vof
When a vof is formed, its UBOs belong in the KVK’s UBO register. UBO stands for ultimate beneficial owner: the ultimate owners or the people who take the final decisions. Banks have to check these details, and you find them in the UBO register.
In summary: you register a vof with the KVK yourself, without a notary. With the agreement, the ID documents of all partners and the KVK number, you have the basis for the application.
Authority: who may pay?
Without agreements, every partner has full signing authority. Each partner may then conclude contracts on behalf of the vof for any amount, and a purchase by a fellow partner cannot be undone afterwards. Anyone who wants to open a business account for a vof therefore does best to settle first who may do what. The KVK and Ondernemersplein (the government portal for entrepreneurs) name a few agreements that help:
At the bank, the agreement that several people approve larger payments is called joint authority. If the authorities are also in the Handelsregister, they apply towards third parties: a supplier can then look them up. That way the account, the agreement and the register fit together.
What goes into the partnership agreement
The law contains few rules for the vof, which is why the agreement carries a lot of weight. The KVK names the details that always belong in it: the name of the vof, the purpose of the business, how long the business will exist or under which conditions it ends, and what the partners may do on behalf of the business. According to the KVK, it also sets out the profit split and what happens if one of the partners wants to stop.
One agreement deserves extra attention. By law, a vof ends automatically, for example, when one of the partners dies, unless the agreement provides otherwise. For the account this means: anyone who wants the vof to continue records that in advance, so the bank also knows which vof it is dealing with.
Maatschap and cv: what is different?
In a maatschap, at least two entrepreneurs with the same liberal profession work together, such as doctors or lawyers. The big difference with a vof lies in liability: in a maatschap, each partner (maat) is liable for an equal share. With four partners and a debt of €10,000, each partner is liable for €2,500. The partners of a maatschap all register with the KVK too, and their agreements are in a maatschap agreement.
A cv (commanditaire vennootschap, limited partnership) has two kinds of partners. The managing partners run the business and are jointly and severally liable; the silent partners invest money and can only lose their contribution. Only the managing partners are registered with the KVK. Who the silent partners are does not have to be reported, but how many there are and what they contribute does. For the account, the bank asks for the same kind of documents for a maatschap or cv as for a vof: the maatschap or cv agreement, an ID document of all partners and the KVK number.
Good to know: the vof, the maatschap and the cv are partnerships without legal personality (personenvennootschappen). The rules for these legal forms are going to change, but according to Ondernemersplein it is not yet known when.
Opening a vof account in 5 steps
With the registration and the agreement in order, opening is a manageable job, in this order:
Record the name, purpose, authorities and profit split in the partnership agreement, and what happens if a partner stops.
Register the vof and all partners with the KVK and enter the UBOs in the UBO register. That gives you the KVK number that belongs with every application for a bank account for a vof.
Collect a copy of the agreement and the ID document of each partner. For foreign payments, an overview of the trading countries may be added.
Submit the application in the name of the vof and agree straight away who may make payments and from which amount two partners have to approve.
Put the IBAN and the VAT ID on invoices, have clients pay into the new account and link the account to the bookkeeping.
How to choose an account for the vof
Anyone looking for the best business account for a vof gets more from a few targeted questions than from a ranking. For a partnership of several partners, these points count:
A sub-account for VAT makes the difference between turnover and what goes to the Belastingdienst immediately visible. For the profit split, a separate sub-account works the same way: every quarter it shows what the partners can share together.
Cards per partner also make spending traceable per person. That helps with the profit split and with the agreements on who incurs which costs, without anyone having to keep track in a separate file.
Vivid for the vof, maatschap and cv
At Vivid, the vof, the maatschap and the cv are in the list of legal forms used to apply for a business account. The account gets a Dutch IBAN, and unlimited Dutch IBANs can be added, regardless of the plan. The application usually takes about 10 minutes, fully online; opening the account itself usually takes 10 minutes to 1 hour.
Which plan suits the vof depends on the number of partners, cards and payments. The plan overview shows per package what is included, so the choice can be made together with the other partners. You can move to a higher plan later, charged pro rata; a lower plan takes effect when the current term ends, without a refund.
Vivid in short: a business account with a Dutch IBAN for the vof, maatschap or cv, with access and cards for each partner. The application is online and usually takes about 10 minutes.
A business account for the vof
One account in the name of the vof, with access and Visa debit cards for each partner and sub-accounts with their own IBAN. The application is fully online.
Frequently asked questions
Is a business account mandatory for a vof?
No. According to the KVK, a business account for a vof, maatschap or cv is not mandatory, but it is advisable. It helps with the records, which are mandatory. A private account is also allowed if the bank’s terms permit business use.
Whose name is a vof’s business account in?
In the name of the business. A vof is not a legal entity, but the account in the vof’s name keeps the partnership’s money separate from the partners’ private money.
Which documents do you need for a vof business account?
Usually a copy of the vof agreement, a copy of a valid ID document of all partners, the vof’s KVK number and the details from the UBO register. No notary is needed to form a vof: the partners register the vof with the KVK themselves.
Do you need a vof agreement for the account?
By law a vof agreement is not mandatory, but the KVK calls it sensible and banks usually ask for a copy. The agreement also sets out the partners’ authorities.
May every partner make payments?
Without agreements, every partner has full signing authority. With the bank you can agree that larger payments are approved by several people, and in the agreement you can record that partners sign together above a certain amount.
Does the same apply to a maatschap or cv?
Largely. The bank asks for the maatschap or cv agreement, the ID documents of the partners and the KVK number. Liability does differ: each partner in a maatschap is liable for an equal share, silent partners in a cv only for their contribution.
Does a vof get its own VAT ID?
Yes, if the activities fall under VAT. The vof is then itself the entrepreneur for VAT and gets a VAT identification number and a turnover tax number. The partners each pay income tax on their own share of the profit.
This article provides general information and is not legal, tax or accounting advice. The rules mentioned are as published by the KVK, Ondernemersplein, the Belastingdienst and in the Dutch Commercial Code and may change. Vivid’s payment services are provided by Vivid Money S.A., an electronic money institution authorised and regulated by the Commission de Surveillance du Secteur Financier (CSSF) in Luxembourg; its Dutch branch is registered with De Nederlandsche Bank (DNB) as an electronic money institution.
