London-based fintech unicorn Revolut announced on Thursday that they will be introducing the Dutch International Bank Account Number (IBAN) to simplify business banking for its customers in the Netherlands
Around six months after introducing Dutch IBAN for personal accounts, Revolut made the announcement for business users.
Once customers have been moved to the Revolut Bank UAB Netherlands branch, they will be assigned a new IBAN that begins with ‘NL’, the country code for the Netherlands.
This change will offer:
- A Dutch bank account
- The ability to use Direct Debit for payments
- The convenience of paying utility providers and tax authorities directly from your Revolut Business account
- The elimination of extra paperwork is typically required for non-Dutch IBANs.
The process of transferring customers’ accounts to the Netherlands branch is expected to begin within 2 to 3 months from the announcement.
However, the exact date will be communicated shortly, says the company.
The company says, “Our team will contact you in case we need any additional information to make the move.”
If you are wondering whether you can continue using your current IBAN, Revolut allows its customers to receive payments using their existing IBAN for up to 12 months after the migration.
However, the company recommends updating all parties using your current IBAN with the new details once the Dutch IBAN is accessible to ensure a seamless transition.
Talking about it, our founder and CEO, Remco Janssen, says, “Open banking should have revolutionised and democratised the banking industry. For consumers, yes, but startups and SMEs like Silicon Canals still struggle with the archaic ways banks do business. Even in the Netherlands, it takes weeks, if not months, to open a business account.”
“When Silicon Canals changed entities and needed new accounts to pay and receive internationally, Revolut came out on top. Opening a new account took me a week — the delay was on my end. Revolut has now taken the last hurdle in offering Dutch IBANs, which, in my experience, makes it the most sensible business banking option for local startups with international ambitions,” he adds.
Changes with Branch terms
After the migration, Revolut Bank UAB will provide payment services through its Netherlands branch.
The relationship between customers and Revolut post-migration will be governed by the General Banking Conditions (GBC) set out by the Dutch Banking Association.
“These conditions will cover the terms of service, and Dutch law will be applicable in case of any disputes, which can be addressed to the court of Amsterdam,” says the company.
If a customer does not want to move to the Netherlands branch, they can close their Revolut Business account before the migration date, free of charge.
Silicon Canals’ top recommendations for banking as a startup in the Netherlands
As a startup in the Netherlands, choosing the right banking partner is crucial for managing your finances efficiently and effectively.
From hassle-free international transactions to environmentally conscious banking, there are several options available tailored to the specific needs of startups.
Here are our top recommendations for banking as a startup in the Netherlands:
Revolut
Revolut stands out as an excellent option for teams and e-commerce startups that engage in international transactions frequently. The platform offers virtual team debit and credit cards, making it easier to manage expenses and payments across borders.
Wise (previously TransferWise), is an ideal choice for startups requiring occasional international money transfers. Whether it’s paying abroad or receiving payments from global clients, Wise provides a cost-effective solution with transparent fees. Additionally, startups can benefit from cashback options, helping them save money while managing their finances efficiently.
Note: Receive a fee-free transfer of up to €500
For startups looking for the best online consumer bank, Bunq stands as an ideal option. The bank offers traditional services and plants ten trees when a personal account is opened to support environmental conservation.
Moneybird, in collaboration with Adyen, offers startup banking solutions tailored to their needs. From receiving online payments via invoices to accessing virtual bank cards, Moneybird simplifies financial management for startups. Additionally, startups can benefit from automatic VAT savings and interest on all accounts, enhancing their financial stability and growth prospects.
Note: The trial period will be extended for 60 days, worth €60.
