Netherlands essential-personnel startup visa is playing a vital role in the economy. Innovative start-ups can apply for a residence permit for employees from outside the European Union against a reduced salary criterion: the residence permit for essential start-up personnel. The salary standard is €2497 gross per month. Several conditions do apply.
The Dutch government would like to contribute to the Dutch knowledge economy. In this light, a four-year pilot was launched on 1 June. In this way, the government wants to improve the ability of start-ups to attract and retain staff with high-quality expertise and skills from abroad.
The residence permit is granted for the first time for one year. The residence permit can then be extended.
This scheme for essential startup personnel is still temporary and will end on June 1, 2025. An evaluation will take place in June 2024 to determine whether the scheme is successful. It will then be determined whether this new immigration regulation will become definitive or whether the regulation will be abolished again. If the residence permit scheme for essential start-up personnel is abolished, employees who have this residence permit may continue to work at the start-up for one year after the abolition of this scheme.
With the new pilot scheme, a temporary exemption from the work permit requirement for essential personnel of start-ups is realized. The usual remuneration structures for this personnel were taken into account in the elaboration of the pilot, by applying a reduced salary criterion in combination with the requirement of employee participation.
This labor market endorsement is exempt from the work permit requirement. This change is in line with the labor market registration of family members of groups, such as highly skilled migrants, researchers, and the self-employed.
Why the Netherlands essential-personnel startup visa has been started?
With entry and residence schemes, Dutch employers are enabled to recruit scarce foreign talent. However, the current range of schemes is not in line with the (internationally) common way of retaining essential personnel by startups. Starting innovative companies are less able to offer a salary in line with the market. This is because they often have no or limited turnover in the initial phase. In addition, the available capital is needed to invest in the (further) development of the product and the company.
The relatively low base salary is therefore normally supplemented by a share in the company in order to retain scarce, high-quality essential personnel. This means that these employees become salaried employees, but at the same time also share in the risks, success, and opportunities of the company. This compensation structure shows that this workforce is essential for the startup to get the business off the ground.
The residence permit for essential start-up personnel is a pilot project. This pilot project runs from 1 June 2021 to 1 June 2025. The residence scheme will continue for 1 year after the pilot project.
Requirements for residence permit essential start-up personnel
The following requirements apply to you if you want to apply for the visa:
- You and your employee meet the general requirements that apply to everyone.
- You have an innovative start-up company with scalable activities. This means that your company can grow along with the demand for the product or service. The start-up is innovative in the following situations:
- The product or service is new to the Netherlands.
- The start-up uses new technology in its production, distribution, and/or marketing.
- The start-up has a new manner of working and organizing.
- A maximum of 15 employees work at the start-up.
- The start-up can apply for a residence permit for essential start-up personnel, for 5 foreign employees at most.
- The employee is an expert in a special field that the start-up needs in this start-up stage.
- The employee has an employment contract with the start-up.
- The employee meets the income requirements.
- The employee will be given at least a 1% share in the company (employee participation). The employee will be given:
- Shares in the company.
- Depositary receipts for shares in the company.
- Share options. These give the employee the right to purchase shares in the company. The price of these shares is agreed in advance.
- The employee will be given the shares within up to 3 years after the contract started. The employee will always be entitled to shares. No requirements apply to this, such as achieving certain accomplishments.
Family visa allowed
Relatives of essential personnel of start-ups receive the labor market endorsement ‘work allowed, work permit not required. On that basis, they are allowed to work in the Netherlands without being in possession of a work permit or a combined permit for residence and work.
This labor market endorsement applies as long as the essential personnel of the startup are exempt from the work permit requirement. This change is in line with the labor market registration of family members of comparable groups, such as highly skilled migrants, researchers, and the self-employed.
Who is considered an essential worker?
The essential worker for whom a residence permit is applied must play an active role in the scalable and innovative business activities of the start-up. This role must be described in the business plan. The essential employee may therefore not only be a shareholder or financier.
Essential start-up personnel visa fees
First application or change in the purpose of the stay | € 345,00 |
Extension | € 345,00 |
Visa application forms for Essential personnel startup visa
Visa form to be used for the employers (if they are applying on behalf of the employee)
The employee submits the application abroad:
The advice of the Netherlands Enterprise Agency (RVO)
The IND will ask the Netherlands Enterprise Agency (in Dutch: Rijksdienst voor Ondernemend Nederland or RVO) for advice. RVO gives advice on:
- The start-up and innovative nature of the company. This advice is valid for 3 years from the start date of the first employee receiving a residence permit for essential start-up personnel.
- Which major role the employee will have at the company? And whether the employee will get an employee participation scheme.
Does the same start-up submit a new application for essential start-up personnel within 3 years? Then the IND will ask the RVO only for advice on the employment contract.