The Dutch-American Friendship Treaty (DAFT) lets US citizens launch a business in the Netherlands with just €4,500 in starting capital. Therefore, US founders gain a fast, low-cost path into Europe. This guide walks through the DAFT visa requirements, how to open a Dutch subsidiary, and what a one-person setup looks like in 2026. Moreover, you will learn who qualifies, how long the permit lasts, and what it actually costs. Let us break it down step by step.
What is the DAFT visa?
The DAFT visa is a Dutch residence permit based on a 1956 treaty between the United States and the Netherlands. It lets US citizens live and work in the Netherlands as self-employed entrepreneurs. Furthermore, holders can run almost any legal business, from tech startups to consultancies. The permit covers the founder and, in most cases, their direct family.
Unlike other business permits, the DAFT visa for the Netherlands skips the strict points system. Instead, it relies on treaty privileges. As a result, US founders face far fewer hurdles than applicants from other countries.
Who qualifies for the DAFT visa for the Netherlands?
Only US citizens can apply for the Netherlands DAFT visa. Additionally, applicants must run or establish a real business in the Netherlands and invest at least €4,500 in it. The business can be a sole proprietorship (eenmanszaak), a BV (Dutch subsidiary), or a partnership. Spouses and minor children may join under a dependent permit.
Green card holders and dual nationals must hold an active US passport. Also, applicants need valid Dutch health insurance and a registered home address once they arrive.
DAFT visa requirements in 2026
The core DAFT visa requirements stay simple in 2026. First, applicants must be US citizens. Second, they need €4,500 invested in their Dutch business account. Third, they must register their company with the Dutch Chamber of Commerce (KVK). Finally, they must hold valid health insurance after registering as a Dutch resident.
Key documents include a passport, an apostilled birth certificate, a business plan, a KVK extract, and recent bank statements. Besides that, applicants usually ask a local accountant to confirm the €4,500 capital.
Typical DAFT visa requirements checklist:
- Valid US passport
- Apostilled birth certificate (and marriage certificate, if applicable)
- Business plan and KVK registration
- Proof of €4,500 business capital
- Dutch address and Dutch health insurance
- Clean criminal record declaration
How do you open a Dutch subsidiary under DAFT?
Many US founders use the DAFT visa to open a Dutch subsidiary, typically a BV (besloten vennootschap). First, you choose a company name and file it at the KVK. Next, a Dutch civil-law notary drafts the deed of incorporation. Then, you open a business bank account and deposit the €4,500. Finally, you submit the IND application.
Because a BV offers limited liability, most founders prefer it over a sole proprietorship. Meanwhile, one-person BVs are common under DAFT, with the founder acting as sole director and shareholder. Often, that same founder is also the first (and only) employee on the Dutch payroll.
DAFT visa for the Netherlands vs other business routes
The DAFT visa for the Netherlands is cheaper and faster than the Dutch startup visa or the self-employed points-based permit. However, it only opens to US citizens. Other routes require a facilitator or innovation score. By contrast, the Netherlands DAFT visa skips those steps entirely. Therefore, eligible US founders save months and thousands of euros.
| Route | Who qualifies | Minimum capital | Typical timeline |
| DAFT visa | US citizens only | €4,500 | 2–3 months |
| Dutch startup visa | Any nationality | Facilitator-backed | 3–4 months |
| Self-employed visa | Any nationality | Points-based | 3–6 months |
How long does the visa last?
The Netherlands DAFT visa lasts two years on first issue. Afterwards, holders can renew it for another five years if the business stays active and the €4,500 balance remains. Moreover, after five years of continuous legal residence, founders may apply for permanent residency or Dutch citizenship.
During renewal, the IND reviews business activity, tax filings, and capital balance. Therefore, founders should keep clean bookkeeping from day one. A local payroll or EOR partner can help cover compliance as soon as the first employee joins.
Costs, timeline, and next steps
Budget roughly €4,500 in capital, €1,500–€3,000 for IND and notary fees, plus €500–€1,500 for year-one accounting. Usually, the full timeline runs 8–12 weeks from arrival to residence card. Next steps include choosing your entity, booking a KVK appointment, and lining up a Dutch business bank. Then, you file the IND application.
Octagon Professionals helps US founders set up their Dutch subsidiary, payroll, and compliance from one place. If you plan to hire your first Dutch employee, we also handle contracts, tax filings, and onboarding.
DAFT visa FAQ
How much money do you need for the DAFT visa?
You need at least €4,500 held in a Dutch business bank account. Additionally, most founders budget €2,000 to €4,000 for notary fees, IND fees, accounting, and translations. However, exact costs depend on your entity type and advisors. Plan for roughly €8,000 total to stay safe.
Can I bring my family on the Netherlands DAFT visa?
Yes, spouses, registered partners, and minor children can join under a family reunification permit. Furthermore, your partner gets full work rights in the Netherlands straight away. Family members need separate applications, valid Dutch health insurance, and registered Dutch addresses. Income thresholds apply, though they stay relatively modest.
How long does DAFT visa approval take?
The IND normally decides within 90 days, although many files close faster. Meanwhile, applicants can often enter the Netherlands on short-stay travel while waiting. Once approved, you collect your residence card at an IND desk. Afterwards, you can live and work in the country for two years.
Does the DAFT visa lead to Dutch citizenship?
Yes, eventually. After five years of continuous legal residence, DAFT visa holders may apply for permanent residency or Dutch citizenship. However, citizenship usually requires passing the civic integration exam. Moreover, dual citizenship rules still apply, so some applicants must give up US citizenship first.
