![](https://www.ecovis.com/global/wp-content/uploads/2019/10/australia.jpg)
Ecovis in Australia
Tax advisors, accountants, auditors and consultants in Sydney
International tax, audit, accounting and legal news
![Incorporate Dutch BV: The incorporation of a digital Dutch BV with English as the official language](https://www.ecovis.com/global/wp-content/uploads/2024/06/NL0424_NLD.webp)
Incorporate Dutch BV: The incorporation of a digital Dutch BV with English as the official language
03.07.2024As of 1 January 2024, it is now possible to digitally incorporate a private company with limited liability (Dutch BV) in the Netherlands. The experts from KienhuisHoving – a member of ECOVIS International – explain the most important points of this change in Dutch law.
The digital incorporation of the Dutch BV is further elaborated in Book 2 of the Dutch Civil Code (in Dutch: BW). Article 2:175a BW prescribes that a Dutch BV can be incorporated by electronic notarial deed by one or more subjects of the European Union (EU). EU subjects are:
- individual persons who are residents of a Member State within the EU or
- companies incorporated under the law of an EU Member State
Establishing a Dutch BV through a trust office
If these conditions cannot be met or the original intended incorporator is established outside the EU, it is still possible to establish a Dutch BV digitally. Here, European trust offices play an important role, as these fall under the scope of being an EU subject. These offices are regulated by De Nederlandsche Bank (DNB). A trust office can incorporate the Dutch BV digitally and subsequently transfer all shares of the Dutch BV to the original intended incorporator outside the EU, whereafter this non-EU company becomes the sole shareholder of the Dutch BV. This enables a company to set up a Dutch BV according to European requirements.
We can assist you in the digital formation of a Dutch limited liability company.Allard Schuering, Civil-law Notary, Partner, Kienhuis Legal – Member of ECOVIS International, Utrecht, Netherlands
The advantages of digital start-up
The ability to digitally establish a Dutch BV has modernised, simplified and accelerated the process of incorporation. The client no longer has to visit the notary in person if the use of power of attorney is not possible and the deed of incorporation is stored digitally. In addition, the incorporation of a digital Dutch BV can be executed in the English language. Previously, it was only possible in Dutch. This can provide a great deal of clarity for international clients. However, there are also limitations to this change in the law. For example, deposits must be made in cash in a digital incorporation. A contribution in kind must be carried out in the traditional manner.
European Directive 2019/1151 provides an option for EU Member States to enable digital incorporation for other company forms. However, the Dutch legislator has not yet opted for this. They will first monitor the developments concerning the digital incorporation of the Dutch BV. It remains to be seen if and when any possible expansion will take place.
For further information please contact:
Allard Schuering, Civil-law notary, Partner, Kienhuis Legal – Member of ECOVIS International, Utrecht, Netherlands
Email: allard.schuering@kienhuislegal.nl
![Automated data management: Streamline your client data collection with Flowsecure, including KYC searches](https://www.ecovis.com/global/wp-content/uploads/2024/06/NL0424_NOR.webp)
Automated data management: Streamline your client data collection with Flowsecure, including KYC searches
01.07.2024Flowsecure can significantly reduce the manual effort involved in data processing and KYC processes. This gives companies more time to concentrate on their core competencies. The Ecovis consultants in Norway explain why they decided to do this in the interests of their clients.
In today’s fast-paced business environment, efficiency in data management is essential. ECOVIS Norway is proud to introduce Flowsecure.io, a self-developed, AI-driven platform that revolutionises client data collection and management. With Flowsecure, the days of sending follow-up emails and manually updating spreadsheets are over.
Key advantages
- Automated data collection: Flowsecure automatically collects and updates client information, saving valuable time and reducing manual workload
- Enhanced KYC and PEP searches: Seamlessly conduct KYC searches on persons of interest, ensuring compliance with global standards
- Reduced follow-ups: Automate reminders and data verification processes, minimising repetitive communication
- Eliminate of manual data entry: Eliminate human errors associated with manual data entry and managing Excel sheets
By using AI software, we can advise our clients even more efficiently.Jørgen Svendgård, Managing Partner, ECOVIS Norway, Oslo, Norway
Flowsecure’s primary value lies in streamlining client data management, enhancing operational efficiency, and improving client satisfaction by speeding up onboarding processes and maintaining accurate records. This is particularly relevant as businesses adapt to a digital-first environment, where automating data collection is crucial for ensuring compliance and accuracy.
Why did ECOVIS Norway Choose Flowsecure?
By implementing Flowsecure, ECOVIS Norway can significantly reduce the time spent on administrative tasks, allowing the team to focus on core business activities. Customised online forms collect extensive data automatically, while the AI analyses this data for actionable insights.
For further information please contact:
Jørgen Svendgård, Managing Partner, ECOVIS Norway, Oslo, Norway
E-mail: jorgen.svendgard@ecovis.no
![CSR Luxembourg: The auditor’s vital role in implementing the EU Directive](https://www.ecovis.com/global/wp-content/uploads/2024/06/NL0424_LUX.webp)
CSR Luxembourg: The auditor’s vital role in implementing the EU Directive
27.06.2024The draft law to implement EU Directive 2022/2464 on corporate sustainability reporting (CSRD) into national law has been submitted to parliament in Luxembourg. The Ecovis experts explain what changes companies can expect and the special features of the Luxembourg draft law.
The draft law, presented on 29 March 2024 and expected to be adopted in early July, introduces significant changes, particularly concerning the role of auditors in ensuring compliance with sustainability reporting requirements. Statutory auditors will play a crucial role in verifying the accuracy and reliability of sustainability information disclosed by entities, thus enhancing transparency and accountability.
CSRD scope and application
The CSRD expands the scope of sustainability reporting requirements to include a broader range of entities. Initially targeting only EU public interest entities with more than 500 employees, the CSRD now encompasses:
- Large entities
- Parent companies of large groups
- Listed SMEs
- Non-EU entities listed on regulated markets in the EU
Approximately 50,000 companies are expected to fall under the CSRD’s purview, necessitating comprehensive reporting on governance, as well as environmental and social impacts.
Main provisions and changes with the Luxembourg CSR
Under the CSRD, entities will adhere to European Sustainability Reporting Standards (ESRS) developed by the European Financial Reporting Advisory Group (EFRAG). These standards, published in December 2023 in Commission Delegated Regulation (EU) 2023/2772, mandate detailed disclosures aligned with the principle of “double materiality”, considering both impact and financial materiality. Auditors will conduct limited assurance engagements to ensure compliance with CSRD requirements and the ESRS.
We offer customised solutions to ensure compliance with the CSRD.Arnaud Yamalian, Managing Director, ECOVIS IFG Audit S.A., Luxembourg, Luxembourg
Focus on ESRS
Companies within the scope of the CSRD will be required to disclose a wide range of data relating to their governance and environmental and social impacts. The aim is to ensure that investors, consumers and other stakeholders have access to relevant information to assess:
- Companies’ impacts on people and the environment
- Financial risks associated with climate change
- Other sustainability issues
ESRS require entities to disclose cross-cutting standards applicable to all sectors, along with sector-specific standards where necessary. This ensures consistent and comparable reporting across industries. Compliance with ESRS is particularly relevant for entities subject to the Sustainable Finance Disclosure Regulation (SFDR) as datapoints will be aligned to reporting requirements under the SFDR, notably in respect of the SFDR principal of adverse impacts.
Application timeline
Luxembourg entities must adhere to a phased timeline for CSRD implementation. Large, listed entities or parent companies of large groups are first, followed by large, non-listed entities and small and medium-sized listed entities. Non-EU parent companies with significant operations in the EU will comply in subsequent phases.
The timeline ensures a structured transition to CSRD reporting requirements:
- Large companies with more than 500 employees being either: European public interest entities; other entities listed on EU regulated markets – for financial years starting on or after 1 January 2024 (reports published in 2025)
- Large companies listed on EU regulated markets. Other EU large companies (i.e., not listed) – for financial years starting on or after 1 January 2025 (reports published in 2026)
- SMEs listed on EU regulated markets (excluding micro-enterprises) – for financial years starting on or after 1 January 2026 (reports published in 2027)
- Other large non-EU groups or companies with an EU Net turnover more than EUR 150m – for financial years starting on or after 1 January 2028 (reports published in 2029)
What companies should be aware of and do now
The various obligations and their compliance, as well as the procurement and evaluation of the data required for reporting, is time-consuming and complex. It is therefore essential that companies which must deal with CSRD compliance seek advice from experienced experts.
For further information please contact:
Arnaud Yamalian, Managing Director, ECOVIS IFG Audit S.A., Luxembourg, Luxembourg
Email: arnaud.yamalian@ecovis-audit.lu