VOF
A VOF, or partnership firm, is a common legal form for businesses in the Netherlands. It is a partnership between two or more individuals, also called partners, who jointly run a business. In a VOF, the partners contribute their capital, labor and knowledge to generate profits. These profits are divided between them according to agreed arrangements, usually based on each partner's contribution.
Features and benefits of a VOF
An important feature of a VOF is that it is not considered a legal entity, which means that the partners are personally liable for the company's debts. This means that their private assets are at stake. A VOF is often chosen because of its easy formation and flexibility in the agreements between the partners. However, it is important to draw up good written agreements to avoid possible conflicts in the future.
