Why should you set up your fulfilment from the Netherlands?
There are 2 main reasons why many webshops choose the Netherlands as their fulfilment gateway to the rest of Europe.
The central location within the European consumer market
The Netherlands is located between Europe’s three major e-commerce markets: UK, Germany, France. All of these markets can be reached by road within a few hours. Most European countries can be reached within 1-3 days by regular road transport.
The Netherlands is famous for it’s excellent in- and outbound infrastructure.
Within a 300-kilometer (180 mile) radius you will find:
- Rotterdam and Antwerp, the two largest container ports in Europe.
- Amsterdam Airport Schiphol, the #2 best connected airport in the world with 296 destinations worldwide.
- UPS and FedEx/TNT, the two main European integrator air hubs.
As it lies in between all of these markets and has the above benefits, it makes it a European sweet spot for e-fulfilment.
Friendly VAT Implementation
Deloitte has concluded that the Netherlands offers the most comprehensive and business friendly VAT implementation of all EU member states (index score 14 out of 15). VAT deferment at import leads to a low administrative burden and a considerable cash flow advantage.
You can be completely VAT compliant without an entity in Europe by using a fiscal representative: you don’t need a company or branch in Europe to establish a local fulfilment center and comply with VAT regulations. More information on Fiscal Representatives can be found HERE
You can apply destination country VAT on BtoC sales to other EU countries. EU entities with a turnover in the EU under € 10,000,- annually, have the option to apply VAT rate of country of dispatch on B2C sales to other EU countries.
So fulfilling your orders from the Netherlands gives you the opportunity to apply Dutch VAT rate.
Additional reasons for fulfilment from the Netherlands
But beside the above, the Dutch trading mentality and cross border business environment resulted in many multinational companies establishing their European logistics base in the Netherlands. And on top of that the Netherlands is economically and politically stable.
Still have questions regarding fulfilment from the Netherlands?
If you still have any questions regarding whether fulfilment from the Netherlands is the best option for you, feel free to make use of the contact option below, and we will gladly help answer any remaining questions you might have.