Advisory Agreement Template for Netherlands

An Advisory Agreement outlines the professional relationship between an advisor and their client in the Netherlands, setting clear terms for consulting services, strategic guidance, or expert recommendations. It spells out key details like the scope of advice, payment terms, and confidentiality obligations that both parties must follow.

Under Dutch civil law, these agreements protect both advisors and clients by clearly defining responsibilities, liability limits, and dispute resolution methods. Common in sectors like finance, technology, and management consulting, they're especially important for regulatory compliance and professional service relationships governed by Dutch business regulations.

Use an Advisory Agreement when engaging external experts or consultants to provide strategic guidance for your business in the Netherlands. This is particularly important when seeking specialized advice in areas like financial planning, IT strategy, or management consulting—situations where clear documentation of the advisory relationship protects both parties.

The agreement becomes essential before sharing sensitive company information with advisors, during major business transitions, or when regulatory compliance requires documented expert guidance. Dutch companies often implement these agreements at the start of long-term consulting relationships, merger discussions, or when seeking industry-specific expertise for growth initiatives.

• Advisory Engagement Letter: Formal agreement outlining specific consulting services, typically used for one-time or project-based advisory work with detailed scope and deliverables.
• Ongoing Advisory Agreement: Long-term contract for continuous strategic guidance, often used by Dutch businesses for regular business consulting or financial advisory services.
• Technical Advisory Agreement: Specialized agreement focusing on specific technical or industry expertise, common in IT, engineering, or regulatory compliance sectors.
• Board Advisory Agreement: Structured agreement for senior-level strategic guidance, often used when engaging external experts for board-level consultation or governance matters.

• Business Consultants: Professional advisors who provide the consulting services, often specializing in strategy, finance, or industry-specific expertise for Dutch companies.
• Client Companies: Organizations seeking expert guidance, ranging from startups to established corporations in the Netherlands requiring specialized advisory services.
• Legal Counsel: In-house or external lawyers who draft and review Advisory Agreements to ensure compliance with Dutch law and protect both parties' interests.
• Board Members: Company directors who approve and oversee advisory relationships, particularly for strategic or high-value consulting arrangements.
• Compliance Officers: Internal staff ensuring the agreement meets regulatory requirements and corporate governance standards.

• Scope Definition: Clearly outline the specific advisory services, deliverables, and timeline expectations for the engagement.
• Party Details: Gather complete information about both advisor and client, including legal names, registration numbers, and authorized representatives.
• Fee Structure: Document the agreed payment terms, including rates, billing frequency, and any performance-based compensation.
• Confidentiality Needs: Identify sensitive information that requires protection under Dutch privacy laws.
• Compliance Check: Review relevant Dutch regulations affecting your industry and advisory relationship.
• Document Generation: Use our platform to create a legally-sound agreement that includes all required elements under Dutch law.

• Party Identification: Full legal names, addresses, and registration numbers of both advisor and client under Dutch law.
• Services Description: Detailed scope of advisory services, deliverables, and performance metrics.
• Fee Structure: Clear payment terms, rates, and billing schedules in compliance with Dutch financial regulations.
• Confidentiality Provisions: Data protection measures aligned with GDPR and Dutch privacy laws.
• Term and Termination: Duration, renewal options, and conditions for ending the agreement.
• Liability Limitations: Clear boundaries of advisor's responsibilities and indemnification terms.
• Dispute Resolution: Choice of Dutch law and preferred method for handling disagreements.
• Signature Block: Space for authorized representatives to execute the agreement.

An Advisory Agreement differs significantly from a Agency Agreement in several key aspects under Dutch law. While both involve professional services, their scope, obligations, and legal implications vary considerably.

• Legal Authority: Agency Agreements grant the agent power to act on behalf of the principal and bind them legally, while Advisory Agreements only provide recommendations without decision-making authority.
• Scope of Responsibility: Advisors offer guidance and expertise but aren't responsible for implementation, whereas agents actively execute transactions or decisions for their principals.
• Liability Framework: Agency relationships carry higher liability risks under Dutch law due to the agent's authority to bind the principal, while advisors typically face more limited liability tied to their recommendations.
• Regulatory Requirements: Agency Agreements often require specific registrations or licenses under Dutch commercial law, while Advisory Agreements generally have fewer regulatory obligations.