Can Every Company Become a Recognized Sponsor?

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Not every company can become a recognised sponsor with the IND. Your company must meet specific requirements regarding continuity, solvency, and reliability. Companies that have existed for more than three years have the best chances, while younger businesses must pass an extensive assessment through a points-based system. This status offers significant advantages when hiring international talent.

What is a recognised sponsor and why would your company want to become one?

A recognised sponsor is a company, school, or organisation that has been officially recognised by the IND to bring foreign employees to the Netherlands. This status gives you access to accelerated procedures and less administrative burden when applying for residence permits.

The benefits are considerable for companies that regularly hire international staff. Your residence permit applications are processed within two weeks instead of the standard longer timeframes. In addition, you need to submit fewer supporting documents and can submit applications online via the Portaal Zakelijk.

For knowledge migrants, au pairs, exchange students, and researchers, recognised sponsorship is mandatory. For regular employees, seasonal workers, and Blue Card holders, it is optional but advantageous. This status helps your company attract talent from abroad more quickly and efficiently through streamlined immigration procedures.

What conditions must a company meet to become a recognised sponsor?

Your company must meet various general requirements to become a recognised sponsor. Registration with the Chamber of Commerce is mandatory, unless you are exempt under the Commercial Register Act 2007.

The IND assesses whether your company can guarantee sufficient continuity and solvency. Your business must not be bankrupt or have applied for a suspension of payments. All persons involved, including directors and owners, must be reliable according to the IND criteria.

Your company must adhere to applicable codes of conduct within your sector. For companies involved in temporary staffing, registration with the Stichting Normering Arbeid (SNA) is mandatory. If this registration is terminated, you must report this to the IND.

The assessment procedure differs significantly depending on how long your company has been in existence. Businesses older than three years go through a standard procedure, while younger companies must provide more extensive documentation.

How long does the application procedure for recognised sponsorship take?

The processing time for a recognised sponsorship application depends on the age of your business. Companies that have existed for more than three years receive a decision within 90 days, often within eight to twelve weeks.

For businesses younger than one and a half years, the procedure can take up to six months. These companies must go through an extensive assessment via the Netherlands Enterprise Agency (RVO), which uses a points-based system to evaluate continuity and solvency.

Companies between one and a half and three years old may end up in either procedure, depending on the IND’s assessment of their financial stability. An exception applies to foreign companies with a letter of recognition from the Netherlands Foreign Investment Agency (NFIA), who receive a decision within eight to twelve weeks.

Incomplete applications or additional investigations can extend the processing time. It is therefore important to submit all required documents completely and correctly with your application.

What are the costs and obligations of recognised sponsorship?

The costs for recognised sponsorship vary by category and are set by the IND. Application fees are due regardless of the outcome of your application. After approval of your application, you will receive payment instructions from the IND.

As a recognised sponsor, you have ongoing obligations. You must immediately inform the IND of significant changes in your company, such as changes in the shareholder structure, impending financial difficulties, or changes in management.

Your recognised sponsorship remains valid as long as you meet all the requirements. There is no maximum validity period, but the IND can revoke your status if you no longer meet the requirements. This means you must continuously ensure adequate financial health and compliance with all relevant regulations.

Which companies do not qualify for recognised sponsorship?

Companies with financial difficulties do not qualify for recognised sponsor status. This applies to businesses that are bankrupt, have applied for a suspension of payments, or are otherwise financially unstable according to IND criteria.

Organisations without a Chamber of Commerce registration cannot become a recognised sponsor, unless they are exempt under the Commercial Register Act. Companies whose directors or owners are deemed unreliable by the IND also do not qualify.

Staffing agencies without SNA registration cannot become a recognised sponsor for work-related categories. Companies that have recently undergone major changes in ownership structure without adequate documentation of this also risk being rejected.

Obtaining recognised sponsorship requires thorough preparation and must fit your company’s strategy for international growth. At Eastwing, we help companies evaluate whether recognised sponsorship is the right step and guide them through the complete application process to maximise your chances of approval. Contact us for personal advice about your situation.

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