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Model Articles of Association
I need model articles of association for a private limited company in the Netherlands, focusing on a simple governance structure with a single director and shareholder, allowing for flexibility in decision-making and including provisions for electronic meetings and voting.
What is a Model Articles of Association?
Model Articles of Association are standardized templates created by the Dutch government to help companies set up their internal rules and governance structure. They outline the basic framework for how a business operates, including shareholder rights, board responsibilities, and decision-making procedures.
Most Dutch BVs and NVs start with these model articles as their foundation, then customize them to fit their specific needs. While you're not required to use them, these templates save time and money during company formation by providing legally sound, pre-approved language that meets Dutch corporate law requirements.
When should you use a Model Articles of Association?
Model Articles of Association become essential when you're setting up a new company in the Netherlands, especially a BV or NV. They're particularly valuable if you need to establish your business quickly and cost-effectively, as they provide ready-made, legally compliant governance structures that most notaries are familiar with.
These templates work particularly well for straightforward company formations where shareholders agree on standard governance arrangements. Consider using them during your initial company registration, when converting from a sole proprietorship to a BV, or when establishing a Dutch subsidiary of a foreign company鈥攕ituations where speed and legal certainty matter most.
What are the different types of Model Articles of Association?
- Model Articles Of Association For Private Companies: The standard template for Dutch BVs, covering basic governance structures, shareholder rights, and board duties. Ideal for most small to medium-sized private companies.
- Model Memorandum Of Association: Complementary to the Articles, this version focuses on the company's fundamental details like name, registered office, and business objectives. Often used alongside the Articles during company formation.
Who should typically use a Model Articles of Association?
- Company Founders: Initiate the process and make key decisions about the company's structure and governance rules during formation
- Civil Law Notaries: Review, validate, and execute the Model Articles, ensuring compliance with Dutch law
- Shareholders: Must understand and follow these rules as they outline their rights, voting procedures, and transfer restrictions
- Board Members: Need to operate within the framework set by the Articles, which define their powers and responsibilities
- Chamber of Commerce: Receives and registers the Articles as part of the company registration process
How do you write a Model Articles of Association?
- Basic Company Details: Gather the company name, registered address, and intended business activities
- Shareholder Information: List all shareholders, their contributions, and share distribution preferences
- Management Structure: Decide on board composition and define key management roles
- Governance Rules: Determine voting rights, meeting procedures, and decision-making thresholds
- Share Transfer Rules: Define restrictions and procedures for transferring shares
- Platform Assistance: Use our system to generate a legally compliant draft that includes all mandatory elements under Dutch law
What should be included in a Model Articles of Association?
- Company Identity: Legal name, registered office address, and company type (BV or NV)
- Corporate Purpose: Clear description of business activities and objectives
- Share Capital: Number and types of shares, nominal value, and issue procedures
- Management Structure: Board composition, appointment procedures, and powers
- Shareholder Rights: Voting procedures, meeting rules, and profit distribution
- Transfer Restrictions: Rules for selling or transferring shares
- Amendment Process: Procedures for changing the Articles
- Dissolution Rules: Procedures for company liquidation and asset distribution
What's the difference between a Model Articles of Association and a Memorandum of Association?
Model Articles of Association are often confused with the Memorandum of Association, but they serve distinct purposes in Dutch company formation. While both documents are crucial, they function differently in establishing your company's legal framework.
- Purpose and Scope: Model Articles focus on internal governance rules and operational procedures, while the Memorandum defines the company's basic identity and relationship with external parties
- Content Focus: Model Articles detail shareholder rights, board powers, and decision-making processes. The Memorandum states company name, objectives, and capital structure
- Timing of Use: Model Articles guide ongoing operations throughout company life, while the Memorandum primarily serves during initial registration
- Modification Requirements: Model Articles can be amended through shareholder resolutions, but Memorandum changes often need regulatory approval
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