DAFT: What you need to know before you go

The Dutch-American Friendship Treaty (DAFT) has become an increasingly popular pathway for American entrepreneurs looking to relocate to the Netherlands. Compared to many other residence permits, the DAFT visa offers a relatively straightforward route for U.S. citizens to start or move their business and build a life abroad.

However, while obtaining the visa is often the first step people research, it is far from the only challenge. Finding housing, completing administrative requirements, arranging healthcare, and, for families, choosing the right school are all important parts of a successful relocation.

In this guide, we'll explain the basics of the DAFT visa and highlight some of the practical considerations that many applicants don't discover until after they arrive.

What is the DAFT Visa?

The Dutch-American Friendship Treaty (DAFT) is a bilateral agreement between the United States and the Netherlands, signed in 1956 to encourage trade and investment between the two countries.

One of the treaty's provisions allows U.S. citizens to obtain a Dutch residence permit by establishing or investing in a business in the Netherlands. Unlike many other immigration routes, applicants are not required to meet a points-based assessment or demonstrate a minimum income before applying.

Who is Eligible?

To apply under DAFT, you must:

• Be a U.S. citizen.

• Register a business with the Dutch Chamber of Commerce (KvK).

• Maintain a minimum business investment of €4,500.

• Have your investment verified by a Dutch accountant with a BECON registration.

• Meet the general immigration requirements set by the Dutch Immigration and Naturalization Service (IND).

  
  

Applicants typically establish either an eenmanszaak (sole proprietorship, commonly used by freelancers and self-employed professionals) or a besloten vennootschap (BV), which is similar to a limited liability company. 

At the time of writing, the IND allows applicants to submit certain business documents, including proof of investment and KvK registration, after their initial application, provided these are submitted within the required timeframe.

How Long Does the DAFT Residence Permit Last?

The initial residence permit is generally granted for two years.

If you continue operating your business and maintain the business investment, you can apply to renew your permit. The renewed permit is typically valid for five years.

For many applicants, this timeline provides a pathway toward permanent residence or Dutch citizenship, provided they continue to meet the relevant residency and integration requirements.

Bringing Your Family

If you're relocating with a spouse, partner, or children, they may also be eligible to join you in the Netherlands. Your spouse or partner can apply for a separate residence permit linked to your DAFT permit.  The partner visa  allows them to work in any capacity including paid employment.  Family members should always check the latest requirements published by the IND, as eligibility and documentation differ from the principal DAFT application. 

Planning Your Move

While the visa requirements are relatively straightforward, relocating to the Netherlands requires considerably more planning than simply obtaining a residence permit.

Finding Housing

Housing is often one of the biggest challenges new arrivals face. The Netherlands continues to experience a housing shortage, particularly in larger cities such as Amsterdam, Utrecht, Rotterdam, and The Hague. Often finding housing is harder than obtaining the DAFT residence permit itself.

Many landlords also require tenants to demonstrate a stable income, often around three times the monthly rent. For entrepreneurs who have only recently arrived in the Netherlands, meeting these requirements can be difficult as they might not have the income history or financial records landlords are looking for.

To overcome this issue some choose to rent temporary accommodation while searching for a more permanent home. Others strengthen their application by paying several months rent (up to a year!) in advance and/or providing proof of savings. While it may seem impossible, some landlords are more flexible.

Finding housing is about more than having a roof over your head. A registered address is required to register with your municipality and receive your BSN (Citizen Service Number), making it a key milestone in the relocation process. 

Registering with Your Municipality

Once you've secured accommodation, one of your first priorities should be registering with your local municipality (gemeente).

Registration allows you to receive your BSN (Citizen Service Number), which you'll need for almost every aspect of life in the Netherlands, including opening a dutch bank account, arranging healthcare, paying taxes, and interacting with government services.

Important documents

Remember to bring important documents

•  Passports for everyone

•  birth certificates, apostilled for everyone

•  marriage certificates/proof of nonmarriage (if applicable)

  
  

Moving with Children

For families, relocation involves more than visas and paperwork.

Choosing where to live may also influence the schools available to your children. Depending on your family's circumstances, you may be considering Dutch public schools, bilingual schools, or international schools, each with their own admissions processes, curriculum, and availability.

Beginning your research before arriving can help avoid unnecessary stress and provide more time to find a school that best fits your child's educational needs and your family's long-term plans.

Final Thoughts

The DAFT visa provides an excellent opportunity for American entrepreneurs to build a life in the Netherlands, but obtaining the residence permit is only the beginning of the journey.

Preparing for housing, local registration, healthcare, banking, and education before you move can make settling into the Netherlands significantly easier.

At Your Next Step Consultancy, we help individuals and families navigate the educational side of relocating to the Netherlands. Whether you're exploring university options, comparing international schools, or planning your family's transition, our goal is to help you make informed decisions before your move begins.