Legal forms in Belgium: the complete guide

Sole trader or company?

First choice: operate as a natural person (sole trader / self-employed) or create a legal entity (company). As a sole trader it's fast and cheap, but your private and professional assets are merged: you are liable for debts on your own property. With a company, assets are separated and liability is often limited to contributions, at the cost of more formalities and accounting obligations.

• Sole trader: simple, but unlimited liability
• Company: separate assets, often limited liability

The SRL (BV): the most common form

The limited-liability company is the flagship form since the CSA. It no longer requires a legal minimum capital, but a « sufficient starting capital » justified by a financial plan. Members' liability is limited to their contributions. Very flexible (a single member is possible, adjustable governance rules), it suits most SMEs, incorporated self-employed and startups.

• No minimum capital, but a mandatory financial plan
• Liability limited to contributions
• Notarial deed required

The SA (NV): for larger structures

The public limited company targets larger projects or structures open to investors. It requires a fully paid-up minimum capital of €61,500 and more formal governance (sole director or board). Shares are in principle freely transferable, which facilitates investor entry.

• Minimum capital of €61,500
• Formal governance, transferable shares

The cooperative company (SC / CV)

The cooperative company is reserved for projects built on a cooperative ideal: cooperation between members, evolving shareholding, sometimes a social purpose. It remains a limited-liability company but follows its own rules and must not be used as a mere substitute for the SRL.

Unlimited-liability companies (SNC, SComm)

Stemming from the « simple company », the general partnership (SNC) and the limited partnership (SComm) rely heavily on the personal relationship between partners. They are formed without a notary (private deed) and without minimum capital, but the partners (or general partners) are indefinitely and jointly liable for the debts. To reserve for specific contexts, knowingly.

How to choose, and common obligations

The right choice depends on your risk level, financing needs, number of partners and intended taxation (personal income tax as a sole trader, corporate tax as a company). Whatever the form, every Belgian business registers with the CBE, obtains an enterprise number and declares a registered office — which can be a domiciliation address.

• Liability: unlimited (sole trader, SNC) vs limited (SRL, SA, SC)
• Notary: required for SRL, SA, SC; not for sole trader or SNC/SComm
• All: CBE registration, enterprise number and registered office