How to Benefit from Dutch Subsidies for Innovative Businesses and Projects

Intercompany Solutions has assisted thousands of entrepreneurs during the past decade, with the establishment of Dutch companies and organizations of various sizes and structures. We have a team of professionals that can help you with a wide variety of services, which makes it easier for you to do business in the Netherlands from a foreign country. We specialize in all matters related to business incorporation, tax advice, and also legal advice and assistance.

If you are planning on building a presence here or expanding your already existing company to the Netherlands, there are many new laws and regulations that you will have to adhere to. For most foreign entrepreneurs, this is very challenging since it requires you to have extensive knowledge of the way things work here. And you will generally need to know the Dutch language as well, if you want to truly stay informed. To make it easier and more efficient for you to do business from the Netherlands, we offer many services that will greatly assist you in achieving success with your Dutch business.

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Have an innovative idea that you would like to promote internationally?

Did you know that if you’ve got a bright idea that could make the world a little smarter, cleaner, or more connected, the Netherlands might just help you fund it? Innovation runs deep here, from the windmills that shaped the landscape to today’s cutting-edge tech and sustainable energy projects. The Dutch have a soft spot for big ideas and practical solutions, and they really love supporting people who bring both together. That’s why the Dutch government and several regional organizations offer a variety of subsidies, grants, and tax incentives for companies developing something new. And the good news? These opportunities aren’t just for Dutch founders, since foreign entrepreneurs with a registered Dutch company can apply too. 

Whether you’re working on green technologies, advanced software, life sciences, or anything in between, there’s a good chance there’s funding that fits your goals. The tricky part is figuring out which program suits your project best. Each subsidy has its own rules, focus areas, and deadlines. But with a bit of guidance, the process is much easier than it looks  and often well worth the effort. In this guide, we’ll walk you through why the Netherlands is such a great place for innovation, which sectors benefit most, the key subsidies available, and how you can apply. So if you’re ready to turn your idea into action, the Dutch might just help you take that next step.

The Dutch and innovation have always gone hand in hand

If there’s one thing the Dutch are known for besides windmills, tulips and canals, it’s their knack for problem-solving. Living below sea level has taught them a thing or two about resilience, planning and out-of-the-box thinking in general. That same practical creativity now drives their modern innovation culture, one that blends technology, sustainability, and also collaboration across borders. The Netherlands consistently ranks among the world’s most innovative economies. From smart cities like Eindhoven and Amsterdam to research hubs in Delft and Wageningen, innovation here is not just encouraged; it’s actually expected. To this end, the Dutch government invests heavily in research and development, but it also makes sure that entrepreneurs, startups and SMEs can tap into these opportunities through financial support and open collaboration networks.

One key reason that innovation thrives in the Netherlands is the country’s size and connectedness. Everything is very close by: universities, research centers, investors and potential business partners alike. Add to that their excellent infrastructure, a multilingual workforce and an open-minded attitude toward international cooperation, and you get an ecosystem that is built on innovation. Foreign entrepreneurs often find it refreshing how accessible the Dutch system is. There’s a strong sense of “let’s figure this out together,” whether you’re working on a high-tech prototype, a new farming solution, or a digital product. Innovation isn’t seen as a solo act here; it’s a team effort backed by government policy, academic partnerships and community support. So, in short, if your business revolves around new ideas or technology, you’ll fit right in.

Sectors that thrive on continuous innovation

There are certain sectors in the Netherlands where innovation isn’t just encouraged, but it’s actually essential for their survival and growth. These industries continuously evolve through research, collaboration and creative problem-solving. If your company operates in one of these areas, there’s a good chance you’ll find both funding opportunities and strong local partnerships to support your ideas. We will outline some of these sectors below.

1. High-tech systems and ICT

The Netherlands is home to some of Europe’s most advanced tech clusters, including Brainport Eindhoven and the well-known company ASML. From microchips to robotics and AI, Dutch companies lead in smart solutions that push the limits of what’s possible. Collaboration between tech startups and research institutes keeps this sector growing fast, and foreign investors and thinkers are always welcomed wholeheartedly.

2. Sustainable energy and climate tech

With its ambitious climate goals and strong government support backing this topic, the Netherlands is a great hub for renewable energy projects. Think of things like solar, wind, hydrogen and circular economy initiatives. Innovation in these sectors focuses on creating cleaner production systems and also reducing emissions while simultaneously improving efficiency.

3. AgriTech and food innovation

Dutch agriculture is world-famous for doing more with less. Through smart farming, vertical agriculture and biotech, the Netherlands helps feed the world sustainably. A large portion of the food that is grown here and the cattle that are herded is exported worldwide. Foreign entrepreneurs working on food security or agricultural technology can find plenty of innovation-focused subsidies here.

4. Life sciences and health

Health and medicine have become a very hot topic since the COVID pandemic. The Dutch are at the forefront of innovative health inventions. From medical devices to biotech research, the Dutch health sector thrives on innovation. Collaboration between hospitals, universities and companies ensures constant progress in healthcare solutions and patient care.

5. Water and environmental management

The Dutch have centuries of experience in managing water. Half of the country is below sea level, after all, which is amazing in itself. Today, that expertise extends into flood prevention, wastewater treatment and sustainable infrastructure, which are all backed by innovation funding and growing global demand.

6. Creative industries

Lastly, the creative industry is very much booming in the Netherlands. Sectors like design, gaming, architecture and media all benefit from the Netherlands’ open-minded culture and digital infrastructure. The government supports creativity as a serious driver of economic growth and social change, so if you are a creative entrepreneur, you can rest assured that you will fit right in here.

So, as you can see, there is much potential for entrepreneurs who would like to start a company in a niche or sector that is rich in innovation and invention. Of course, there are many more sectors and niches that rely on and evolve via innovation. Almost every imaginable business will have to innovate at some point in time, to simply keep up with our fast-paced world that keeps changing rapidly. But the sectors mentioned above are especially notable in Holland, so starting a business in one of these sectors is almost always a splendid idea, provided that you have an innovative spirit and personality and like to solve challenges along the way by thinking out of the box.

What kind of subsidies are currently available?

Now that we have mentioned the innovative climate in the Netherlands and given some examples of sectors that thrive on innovation and invention, let’s get down to how the country can back you financially if you have an outstanding idea. The Netherlands basically offers a wide range of subsidies, tax advantages and funding programs designed to make innovation easier, faster and generally more affordable. Whether you’re a local startup or an international company with a Dutch registration, there are numerous ways to secure financial support for research, product development, or sustainable investments. These programs all share a common goal: helping forward-thinking businesses turn great ideas into practical innovations. Below, you’ll find an overview of the most relevant subsidies and financial schemes available today, each supporting a specific stage or aspect of innovation.

1. The Research and Development Promotion Act (WBSO)

The WBSO is one of the cornerstones of the Dutch innovation system. It provides tax relief on R&D labor costs, prototypes and technical feasibility studies. For companies developing new products, software, or processes, this can lead to significant savings by reducing costs like payroll taxes and social security contributions for employees directly involved in R&D. Applications are made through the Netherlands Enterprise Agency (RVO), and both startups and established firms can benefit from this incentive. It’s a great first step for any entrepreneur investing time and talent into new technology.

2. The Innovation Box (Innovatiebox)

The Innovation Box rewards companies that successfully turn innovation into profit. Once your R&D efforts result in intellectual property (like trademarks, patents, software or R&D declarations), the income generated from these innovations can be taxed at a much lower rate, namely just 9% instead of the standard corporate tax rate. This creates a strong incentive to keep innovating and reinvesting in new projects. For many businesses, the WBSO and Innovation Box work hand-in-hand by first reducing development costs and then offering tax benefits once the product hits the market.

3. SME Innovation Stimulation for Regions and Top Sectors (MIT)

The MIT program is aimed at small and medium-sized enterprises (SMEs) that want to cooperate on innovation. It funds feasibility studies, knowledge vouchers and R&D collaborations within the Netherlands’ designated Top Sectors. These are the sectors we already mentioned above, such as agri-food, logistics, high-tech systems and creative industries. The focus is on connecting companies, universities and research institutes across regions. The MIT generally encourages businesses to think beyond their own plateaus, leading to shared progress and stronger innovation clusters across the country.

4. Energy Investment Deduction (EIA)

As part of the Netherlands’ push toward sustainability, the EIA rewards companies that invest in energy-saving technologies or renewable energy systems. This incentive allows businesses to deduct up to 45.5% of the investment costs from their taxable profit, in addition to the normal depreciation. Typical examples include LED lighting, efficient heating systems, or solar installations. The EIA not only improves your company’s sustainability credentials but also pays off financially in the long run.

5. Environmental Investment Deduction (MIA) and Random Depreciation of Environmental Investments (Vamil)

The MIA and Vamil schemes support companies that prioritize environmental innovation. The MIA allows up to 45% of investments in environmentally friendly equipment to be deducted from taxable income, while the Vamil gives flexibility in how and when to depreciate those investments. This combination offers both immediate and long-term financial advantages, which can benefit your company enormously. Eligible projects include topics such as waste reduction systems, circular production processes, or technologies that improve air and water quality.

6. Innovation Credit (Innovatiekrediet)

For companies developing truly groundbreaking products, the Innovation Credit can provide a serious lifeline. It’s essentially a government-backed loan that helps finance risky R&D projects where commercial success is not yet guaranteed but definitely possible. This credit is especially useful in sectors like biotech, medical technology, and advanced engineering. These are all areas where development costs are high and timelines are long. The repayment only starts once the innovation becomes profitable, making it a very entrepreneur-friendly form of financing.

7. Proof-of-concept funding (Vroegefasefinanciering – VFF)

The VFF bridges the gap between an idea and a marketable product. It supports startups and SMEs in developing prototypes, business plans, and proof-of-concepts before they actually attract investors. Funding is typically provided as a subordinated loan, giving founders some much-needed breathing space to refine their innovation strategy. It’s ideal for entrepreneurs with strong ideas but limited initial capital who want to prepare for larger funding rounds or venture investment later on.

8. Dutch Good Growth Fund (DGGF)

The Dutch Good Growth Fund helps Dutch and foreign entrepreneurs who want to expand into emerging markets or developing economies. Managed by the Dutch Ministry of Foreign Affairs, it offers incentives such as loans, guarantees and investment funds for projects that mainly promote sustainable growth and local employment. For innovative businesses with an international mindset, such as renewable energy, fintech or circular economy solutions, the DGGF opens doors to funding that supports both profit and positive impact abroad.

9. The Eurostars Program

The Eurostars program supports SMEs engaged in international R&D collaboration. Co-funded by both the European Commission and the Netherlands, it’s designed for market-oriented projects that involve at least two partners from different Eurostars member countries. Successful applicants gain funding to accelerate product development, validation, and commercialization across borders. It’s a great option for businesses ready to work with European peers and also bring innovation to new markets faster and more efficiently.

10. Horizon Europe - European Innovation Council (EIC)

As part of the EU’s flagship Horizon Europe program, the EIC supports high-risk and high-impact innovations with strong market potential. It provides a mix of grants and equity investments to startups and scale-ups developing cutting-edge technologies. Think of topics ranging from AI and robotics to green hydrogen and health tech. Dutch-registered companies can apply through national contact points. Besides financial support, EIC participation also connects entrepreneurs to the EU’s vast network of researchers, investors and innovation accelerators.

11. Local and Regional Subsidies

Finally, let’s not overlook the many regional innovation programs offered by Dutch provinces and municipalities. Each region has its own priorities and funding streams. For example, the province of North Holland supports digital startups, whilst South Holland focuses on maritime and life sciences, and then again Brabant emphasizes manufacturing and energy, to name just a few examples. These local grants often complement national and European schemes and can provide an extra push for projects that directly benefit the local economy or environment. 

So, each of these programs comes with specific eligibility criteria, deadlines and procedures, but they all share a common purpose: helping companies bring fresh ideas to life. By combining the right mix of tax incentives, funding and partnerships, innovative businesses in the Netherlands can grow faster and take bigger leaps with less financial risk. Whether your goal is to develop clean energy solutions, design smarter tech, or build global partnerships, the Dutch subsidy opportunities offer a strong foundation to make it happen. And the best part of it is that it’s open to entrepreneurs from all over the world.

How to apply for Dutch innovation subsidies?

Applying for any Dutch innovation subsidy is usually a straightforward process, though each program has its own set of rules. Most applications go through the Netherlands Enterprise Agency (RVO) or a relevant regional or European organization. The process typically starts with identifying which scheme fits your project best, something many entrepreneurs do with the help of a consultant or subsidy advisor. Once you’ve found the right program, you’ll usually need to provide information such as a project description, business plan, financial forecast and technical details about your innovation. The goal is to show how your project contributes to innovation, sustainability, or employment within the Netherlands or the EU. Supporting documents like permits, patents or collaboration agreements can also strengthen your case.

On average, these applications take around four to twelve weeks to process, depending on the program. Some schemes have fixed deadlines, while others accept submissions throughout the year. There are rarely high application fees, but you might need to account for:

• Possible consultancy fees if you hire a subsidy specialist
• Administrative costs for preparing documents
• Legal or accounting support, especially for complex projects

The chances of approval depend on factors such as the quality of the project, general eligibility and currently available funding. In general, well-prepared, clearly written proposals have a solid success rate, especially when aligned with national innovation priorities. Many entrepreneurs successfully combine several schemes, for example, using WBSO for R&D tax relief while applying for MIT or EIC funding to scale up as well. With the right preparation, it’s entirely possible to build a smart funding mix that supports your growth from a concept to an actually marketable idea.

It’s highly profitable to own an innovative Dutch business in many different ways

As you can see, the Dutch offer many interesting opportunities to foreign entrepreneurs who can think outside the box. Because running a company in the Netherlands isn’t just about great logistics or market access; it’s also about opportunity. The Dutch government actively rewards innovation, and the wide variety of subsidies available can make a big difference for your potential future success. From tax deductions and grants to innovation credits, Dutch businesses enjoy an environment where good ideas are not only welcomed but also financially supported. But the benefits don’t stop there. Entrepreneurs in the Netherlands also have access to a broad network of alternative financing options. Business loans are relatively easy to obtain for companies with a solid plan, and the country’s startup scene is booming with angel investors and venture capitalists looking to back promising ventures. 

Crowdfunding has also become a popular route for creative and sustainable projects, allowing founders to connect directly with supporters. When you combine these financing options with innovation-friendly policies, you get one of the most supportive business climates in Europe. For foreign entrepreneurs, that means it’s not just possible but even highly profitable to start and grow a company in the Netherlands. Whether your dream is to scale a tech startup, develop new green solutions, or bring a breakthrough product to market, the Dutch system is built to help you succeed. Here, innovation isn’t just encouraged: it’s rewarded.

How our company can assist you with various interesting services

Intercompany Solutions has assisted hundreds of foreign entrepreneurs from over 50 different nationalities. Our clients range from small one-person startups to multinational corporations and everything in between. Our processes are aimed at foreign entrepreneurs, and, as such, we know the most practical ways to assist with your company registration. We can assist with the full package of company registration in the Netherlands, either ourselves or via trusted and professional partners we work closely with:

• Company establishment in the Netherlands
• Application for a VAT or EORI number
• Application for foreign VAT numbers
• Startup assistance
• Accounting services
• Administrative services
• Secretarial services
• Legal assistance
• Payroll administration
• Tax services
• OSS returns
• Intra-Community transactions declarations (ICP)
• Acquiring an Article 23 license
• Obtaining E-herkenning for your company
• Acquiring or closing G-accounts
• Transfer of shares
• Dutch company closures
• General business advice

We are constantly improving our quality standards to continually deliver impeccable services.

Need to apply for a grant or subsidy? Contact Intercompany Solutions for professional assistance

Intercompany Solutions has many years of experience in assisting foreign entrepreneurs with the establishment of a Dutch company. Although we cannot always assist directly in obtaining funding or grants, we can surely point you in the right direction for further assistance. What we can do, however, is make sure you get the basics covered by helping you register your company and allowing you to start your endeavor in just a few business days. Our skilled team of specialists can help you sort out the necessary obligations, assist you with legal and tax advice, and generally help you build your company from the ground up. If you would like to know more about your opportunities, feel free to give us a call. We will gladly answer any questions you might have about Dutch business establishment.