The Dutch government has issued measures in response to the COVID-19 outbreak. In order to mitigate the financial impact - i.e. loss of income - of businesses that are directly affected by these measures, the Dutch government awards businesses a set, one-time compensation of € 4,000 (‘TOGS’).
Who can apply?
SMEs (with or without staff) that suffer loss because of necessary closing their stores, restriction of meetings and/or curtailment of travel can apply for a compensation. The compensation scheme already applied to sectors that were directly affected, such as restaurant and cafes, travel agents, fitness centres and sport clubs, museums and theatres etcetera.
On 28 March 2020 the Dutch Ministry of Economic Affairs and Climate announced that the scope of the compensation scheme (TOGS) is extended to other sectors, such as retail businesses. As of 30 March 2020, retailers can also apply for the compensation scheme.
Conditions for application
The following conditions must be met in order to be eligible for the compensation scheme.
- Your business expects a loss of turnover of at least € 4,000 in the period 16 March through 15 June 2020 and you expect fixes costs of at least € 4,000 in the period of 16 March through 15 June 2020 (taking into consideration other government support measures);
- Your business has not received more than € 200,000 government support during the current and previous 2 fiscal years (de-minimis decree);
- Your business is not a public company;
- Your business was established and registered with the Dutch Chamber of Commerce before 15 March 2020;
- Your business has a physical establishment in the Netherlands and this physical location is registered with the KVK;
- Your business’s main activity is registered with the KVK under a required SBI code;
- Your business has a maximum of 250 employees;
- Your business that is not active in the hospitality sector has at least 1 branch that is not the home address of the owner(s). Hospitality establishments are exempt from this rule but must have lease, rent or own 1 branch;
- Your business has not filed for bankruptcy;
- Your business has not filed for suspension of payment with the court;
- The bank account number in the name of your business must be provided with the application.
Application
Applications for the compensation scheme can be submitted with the Netherlands Enterprise Agency (‘RVO’) until Friday 26 June 17:00 CET. More information about the application procedure can be found on the RVO’s website (only in Dutch).
Our team of experts is available to advise and assist your business in these challenging times. Please contact Martine de Koning, Head of Team Commercial and International Trade.
