Things to arrange when starting a business from home

The majority of self-employed professionals in the Netherlands work from home. That makes sense because for office work you typically do not need that much. You do still have to arrange some things. For example, your plans must fit within the environment plan of your municipality. And your mortgage lender or landlord can set conditions for how you use your house. You need to arrange this before you start your own business from home.

Key considerations when running a business from home 

Did you know that around 800,000 freelancers work from home in the Netherlands? Running a business from home saves you rental and travel costs, and travel time. You often only need to make a few investments, because an empty attic or the kitchen table will do. Running a business from home is allowed as long as you do not cause any disturbance in your neighbourhood. Below you can find out more about the key considerations.

Read your mortgage agreement or rental contract

Check your mortgage agreement or rental contract to see if you can start a business from your home or your premises. If necessary, discuss your plans with your mortgage lender or landlord. Do you live in a rented house? Always ask your landlord for written permission. If you live in an apartment complex, check if there are restrictions set out in the rules of the homeowners’ association (VvE).

Check the environment plan

Always check the environment plan with the municipality where you live and will start your business. Formerly known as a zoning plan, the municipality indicates how you may use a certain piece of land or building. It states, for example, where hospitality businesses, shops, industrial buildings or homes may be located. The environment plan applies to citizens, entrepreneurs, and the municipality itself. 

You can check the environment plan of your house via the Omgevingsloket (in Dutch), an online counter. Enter your city and postcode to see which environmental category your house has. Usually, this will be category 1 and your house is intended for living in. This means that a home business is possible as long as you do not cause any disturbance to the neighbourhood. If the situation is not clear, contact your municipality. 

Does the environment plan say it is not possible to start a business in your home? Then you can apply for an environment and planning permit (omgevingsvergunning). After an investigation, your municipality decides if an exception to the zoning plan is possible. 

What are the differences per municipality?

The rules for running a business from home differ per municipality. For example, one municipality has drawn up a policy or additional rules about home businesses, while another municipality has not. The differences per municipality can vary a lot. Always check if your local municipality has drawn up special rules for specific sectors, in addition to the zoning plan.

How do I apply for permits?

You can apply for environmental permits and permits for building and living at the Omgevingsloket (in Dutch).

Renovations

Are you going to renovate your home? Use the permit check (in Dutch) to see what you need to arrange.

Advertising and signs

You may not change the appearance of your home when placing an advertising sign on your facade. So, you may not attach neon signs to your facade or place a large billboard in your garden. If your signs comply with the rules of the municipality, you do not need to apply for an all-in-one permit for physical aspects. You can also check this via the Omgevingsloket.

Environment

Does your company have an environmental impact? Then you must apply for an environmental permit or report an Activities Decree. You can find out what applies to you via the Activities Decree Internet Module (DigiD is needed).

Meeting with customers at home

Do your customers visit you at home? When running a business from home, there should be no disturbance to your neighbourhood. Consider things like excessive noise, strong smells, and parking spaces that are continuously used by your customers. For example, a construction company in a residential area could cause disruption to neighbours, but a nail studio in your attic will in most cases not cause any disturbance. Check with your municipality which conditions apply.

Running a web shop from home

When you run an online shop from your home, customers are not allowed to collect purchases at your door. This can cause disturbance to the neighbourhood. In addition, the municipality could view this as retail trade. That is not allowed from a residential home.

Arrange insurances

Do not forget to take out your business insurance when starting a business from home. Your household insurance and home insurance are for private property and the house itself. These insurance policies do not cover damage to business assets and your workspace. 

Find out which business insurance policies are relevant to you. For example, do you store goods in the attic or in a shed? Take out business inventory and goods insurance. Then flooding, theft and storm damage are in any case covered for the storage of goods. Do you work a lot with clients or outside the home? Damage to customers or their items at external locations is covered by business liability insurance. 

You can deduct the costs of your business insurance from your profit.

Deduct expenses for your workspace

Does your home workspace or office have its own entrance, toilet and water connection? In some cases, you may deduct the costs of the workspace from your income tax return. Think of the costs of the furnishings and electricity. The Tax Administration also looks at how many workable hours you spend in your workspace. If you work outside the home office a lot, you do not meet the conditions. Check which deduction costs apply to you with the Workspace tool (in Dutch) of the Tax Administration. You can also seek advice from your bookkeeper or accountant.

Register at KVK with a private address

Keep in mind that your address will be visible in the KVK Business Register when you start a home-based business. This is because with a home-based company, the business address (the address of your company) is the same as your private address (the address where you live). By law, the business address of a company must always be public. Read how you can limit your findability.