General conditions in applying for recognition as a sponsor
The following conditions apply to your organisation:
- Your organisation is registered in the Commercial Register in the Netherlands (in Dutch: Handelsregister). This is not necessary if not required under the Commercial Register Act 2007 (Hrw 2007).
- The continuity and solvency of your organisation is sufficiently guaranteed.
- Your organisation is not insolvent or has not been granted suspension of payment.
- Your organisation, directors and officers and other natural persons and legal entities involved in your organisation are reliable.
- Your organisation complies with the Code of Conduct that applies to your organisation. Does your organisation carry out activities such as assigning personnel for payment? Then your organisation must be listed in the register of the Labour Standards Foundation (SNA).
Continuity means that your organisation can comply with all financial obligations in the longer term. Solvency is that the organisation has the financial health to deal with financial setbacks.
Advice from the Netherlands Enterprise Agency (RVO)
The Netherlands Enterprise Agency (in Dutch: Rijksdienst voor Ondernemend Nederland or RVO) only assesses the continuity and solvency of start-up businesses. The RVO uses a point system to assess this. A maximum of 100 points can be obtained. You need at least 50 points for positive advice.
Sections of the point system
1. Registration with the Dutch Chamber of Commerce (in Dutch: Kamer van Koophandel or KvK)
- Is the organisation registered?
- Have there been any changes in partners, shareholders or control since the application date?
- Has there been a takeover, suspension of payment or insolvency of the organisation or of its owners/directors and officers?
2. Business Plan
- Market potential
- Description of unique characteristics of the product or service.
- Qualitative and quantitative analyses of the market, focusing on one’s own business environment.
- Clear and appropriate organisational structure.
- The right competencies in relation to entrepreneurship, management and subject matter.
- The organisation can deal with future financial setbacks for 3 full years.
- The turnover forecast is adequately substantiated and in line with market potential.
- The cash flow from factual business activities must be positive for 3 full years.
Are your organisation and the natural persons and legal entities involved in your organisation, reliable? The IND examines this in the application for recognition. You are considered unreliable in the following situations:
- Your organisation or the natural persons and legal entities involved in your organisation became insolvent 3 times in the year before the application.
- The tax authorities gave your organisation a negligence penalty in the 4 years before the application.
- Your organisation got 3 or more penalties in the 3 years before the application. These are the penalties concerned:
- penalty under the Aliens Act (Vw);
- penalty under the Foreign Nationals (Employment) Act (Wav); and
- penalty under the Minimum Wage and Minimum Holiday Allowance Act (WML).
- The IND withdrew your recognition as a sponsor in the 5 years before this new application.