Debt trouble: your options as a self-employed person
Running into debt as a freelancer? Learn about payment plans with the tax office, the Bbz support scheme, debt restructuring and bankruptcy, and when to seek help.
As a freelancer (eenmanszaak), you have unlimited personal liability. Unlike a BV, there is no legal barrier between your business debts and your personal assets. This means if your business cannot pay—whether from a bad year, a failed project, or a client who defaults—you remain personally liable for every euro. Understanding your options before a crisis hits is the difference between recovery and catastrophe.
Why self-employed debt is different
Running a sole proprietorship (eenmanszaak) is straightforward from a tax perspective, but it carries a real risk: personal liability. If your business owes money—to suppliers, clients, the Belastingdienst, or lenders—those debts are your debts. Creditors can pursue your personal bank account, home equity, and other assets.
The challenge is that freelance income is irregular. A single lost contract, a late-paying customer, or an unexpected tax bill can spiral. Unlike employees, you have no wage protection, no employer to fall back on, and no automatic safety net.
Self-employed liability facts
Option 1: Payment plans with the Belastingdienst (uitstel van betaling)
If you owe the Belastingdienst (income tax, VAT, or back payments) and cannot pay on time, you can request uitstel van betaling (payment deferral). This is not forgiveness—it is a structured payment plan.
How it works
- Request it early: Contact the Belastingdienst as soon as you realize you cannot pay. Do not wait until the deadline passes.
- Propose a plan: Suggest instalments that fit your cash flow (monthly, quarterly, or another schedule).
- Provide evidence: You will need to show your financial situation—recent invoices, bank statements, and a realistic income forecast.
- Interest applies: The Belastingdienst charges belastingrente (tax interest) on the deferred amount. The rate fluctuates yearly; it is currently around 4-5% per year. This is a cost, but it is lower than commercial late fees.
- You must stick to it: If you miss a payment in the plan, the deferral can be revoked and enforcement actions (like a beslag, or asset claim) may follow.
Contact them, do not hide
The Belastingdienst is more willing to work with you if you reach out before the deadline. Ignoring letters and missing deadlines triggers escalation: first a written reminder (aanmaning), then a formal demand (dwangbevel), then liens on your bank account or business assets.
Getting uitstel van betaling
You can request it through Mijn Belastingdienst Zakelijk or by calling the Belastingdienst directly. Be prepared to explain:
- Why you cannot pay now
- When you can pay (your proposed schedule)
- What cash flow or income recovery you expect
Option 2: Bbz — the self-employed support scheme
Bbz (Bijstand voor Zelfstandigen) is a government income-support scheme for self-employed people in financial difficulty. It is not a loan; it is a safety-net allowance, similar to unemployment benefits.
Who qualifies
- You must be registered as self-employed (have a KVK number)
- Your business income has dropped significantly (usually at least 50% or more)
- You are in financial hardship and cannot meet basic living expenses
- You have been working as self-employed for at least one year
What you get
The Bbz provides a monthly allowance (roughly related to the minimum wage, depending on household size and other income). The goal is to cover essential living costs while you stabilize your business or transition out of self-employment.
How to apply
Apply through your local gemeente (municipality) or the social services office. You will need to demonstrate your financial hardship with bank statements, invoices, and proof of drop in income. Processing takes several weeks.
Not unlimited
Bbz is temporary. You can receive it for up to 4 years, but it is designed to bridge a crisis, not replace a sustainable income. It also comes with conditions: you may have to prove you are actively seeking paid work or restructuring your business.
Read more about Bbz support in depth.
Option 3: Schuldsanering (debt restructuring)
If you owe money to multiple creditors—tax, suppliers, lenders—and you cannot pay them all, schuldsanering (debt restructuring) offers a formal path to negotiate a settlement.
Two routes: extrajudicial and judicial
Extrajudicial schuldsanering: You work with a debt counsellor (schuldhulpverlener) to negotiate directly with creditors. You propose a repayment plan (perhaps paying 50 cents on the euro) that creditors can accept or reject. It is faster and less formal than court, but it depends on creditors' goodwill.
Judicial schuldsanering (WSNP): If negotiation fails, you can file for Wettelijke Schuldsaneringsregeling Natuurlijke Personen (WSNP). This is a court-supervised debt restructuring. The court appoints a trustee who negotiates on your behalf. If creditors representing 50% of the debt agree, the court can bind the rest. It is more powerful but also more formal and takes 5–7 years.
What debt can be restructured
- Back taxes
- Unpaid supplier invoices
- Bank loans and overdrafts
- Personal loans
- Some types of rent arrears
Not included: Current mortgage (you cannot restructure ongoing housing costs), child support obligations, or criminal fines.
Cost and outcome
There are legal and administrative costs, but many debt counsellors are subsidised by the government. The end goal: either a repayment plan (5–7 years in WSNP) or partial forgiveness (creditors write off some debt). It is painful but it is a legal way out.
Let ZZP Belasting do the maths
Automatic BTW returns, income-tax forecasts and depreciation — from the invoices you already have.
Try it freeOption 4: Bankruptcy (faillissement)
Bankruptcy is the final option. It is not a dirty word in the Netherlands; it is a legal mechanism to clean the slate when there is no other way out.
What happens
- You file for bankruptcy (you can do this yourself; you do not need consent from creditors)
- The court appoints a trustee (curator) who takes control of your assets
- The trustee sells or liquidates assets and distributes proceeds to creditors (unsecured creditors—like suppliers—are paid last, after secured creditors like banks)
- You are freed from personal liability for the unpaid debts
- Your credit record is marked for 5 years
Duration and aftermath
The bankruptcy process itself takes 1–3 years. After that, you can start fresh—apply for jobs, take out new loans (albeit cautiously), and even start another business (though lenders will be wary).
You are not barred from being self-employed again, but banks and suppliers will check your history for years.
A last resort
Bankruptcy is a serious step and carries social stigma in some circles, but it is a legitimate legal right. If you have no assets to lose and no realistic way to pay debts, it can be the fastest path to a clean slate. However, consult a lawyer before filing; there are fees and paperwork, and you want to be sure you understand the consequences.
Where to get help early
The best time to act is before you are in crisis. Here is where to start:
- Call your bank: explain your situation and ask about restructuring your loans or overdraft
- Contact the Belastingdienst: request uitstel van betaling if you cannot pay tax on time
- Find a debt counsellor: most gemeenten offer free schuldhulpverlening
- Talk to an accountant or boekhouder: they can help you understand your true financial position
- Reach out to business support: the KvK (Chamber of Commerce) and local entrepreneurs' networks often offer guidance
Government resources
- Schuldhulpverlening (debt counselling): Free or low-cost from your gemeente
- Ondernemersplein: The government portal for self-employed support, including crisis resources
- KvK Infotelefoon: Advice line for registered freelancers
Frequently asked questions
If I file for bankruptcy, can I still work?
Will bankruptcy affect my home?
Can I negotiate with the Belastingdienst to forgive some tax debt?
How long does schuldsanering take?
The key takeaway: Debt as a freelancer is serious, but there are legal paths to address it. The sooner you acknowledge the problem and seek help, the more options you have. Do not wait until creditors are at your door. Reach out to ZZP Belasting or a financial advisor today to understand your situation and build a plan forward.