A 7-figure DTC brand restructured into a Bulgarian holding to reinvest €120k more per year into ads.

The challenge

The Dutch BV setup made sense at launch, but the founders wanted to aggressively reinvest profits into Meta and Google ads. The 25.8% Dutch corporate rate plus the 26.5% effective dividend tax meant nearly half of any retained earnings would never compound. They needed a structure that let them keep cash inside the entity efficiently — without losing EU credibility with suppliers.

What we did

• Bulgarian OOD set up as an operating entity, with the existing Dutch BV slowly wound down over 9 months
• Two-shareholder structure (60/40 split) drafted with custom Articles of Association in BG/EN
• VAT registration before the first shipment — VIES-verified within 9 days
• Bookkeeping and EORI registration handled monthly so customs clearance never paused
• Coordination with a Dutch tax advisor to manage the migration of intangible assets (brand, customer list)

The outcome

• Corporate tax bill dropped from €146k/year to €56k/year on the same profit
• ≈ €120k/year freed up for ad reinvestment without touching the founder distribution
• Suppliers and Stripe acquirer kept the same account — zero customer churn
• Quarterly reviews catching VAT recoverability that the previous accountant missed