DAFT vs. Ireland Stamp 4 STEP: Full Visa Breakdown
If you're a US entrepreneur looking at Europe, the Netherlands and Ireland are two of the most popular landing spots. The Dutch-American Friendship Treaty (DAFT) and Ireland's Start-up Entrepreneur Programme (STEP, which grants a Stamp 4 visa) both offer paths to living and working in Europe — but they target very different situations.
We chose DAFT, but we seriously considered Ireland early on. Here's the honest breakdown we put together while deciding.
What Each Visa Is Designed For
DAFT is a treaty-based residence permit for US citizens who want to be self-employed in the Netherlands. Freelancers, consultants, and solo business owners are the typical applicants.
Ireland's STEP is an entrepreneur visa for anyone (not just Americans) who wants to start a high-potential business in Ireland. It requires a significant investment and focuses on innovation and job creation.
The core difference: DAFT is accessible to solo operators with modest capital. STEP is aimed at funded startup founders.
Requirements Comparison
| Requirement | DAFT (Netherlands) | STEP / Stamp 4 (Ireland) |
|---|---|---|
| Nationality | US citizens only | Any nationality |
| Capital | 4,500 euros | 50,000 euros minimum |
| Business type | Any self-employment | High-potential startup |
| Innovation test | No | Yes (must be innovative) |
| Job creation | Not required | Expected within 3 years |
| Endorsement | Not required | Enterprise Ireland approval |
| Background check | FBI check + apostille | Police clearance |
| Health insurance | Required | Required |
The Capital Gap Is Enormous
DAFT requires 4,500 euros in a Dutch business account. STEP requires 50,000 euros in available funding — and that money must be earmarked for business development, not living expenses.
That single difference rules STEP out for most people who are considering DAFT. If you have 50,000 euros to invest in a startup, you're in a different category entirely.
Enterprise Ireland Approval
STEP applications go through Enterprise Ireland, which evaluates your business plan for innovation, scalability, and job creation potential. Think of it like pitching to investors — you need to demonstrate that your business will create at least 10 jobs and generate a million euros in revenue within three or four years.
DAFT has no such gatekeeping. You write a business plan, but the bar is much lower. You're showing you have a viable way to support yourself, not pitching a high-growth startup.
Cost Comparison
| Expense | DAFT | STEP |
|---|---|---|
| Required capital | 4,500 euros | 50,000 euros |
| Application fee | ~350 euros | ~350 euros |
| KVK/CRO registration | ~75 euros | ~50 euros |
| Health insurance | 120-180 euros/month | 50-200 euros/month |
| Background check | $50-275 | Varies |
DAFT is dramatically more affordable upfront. Even factoring in the 4,500-euro deposit, you're spending a fraction of what STEP requires.
Duration and Path Forward
DAFT: Two-year initial permit, renewable in two-year periods. Path to permanent residency after five years. Path to Dutch citizenship after five years with integration exam (civic integration, Dutch language).
STEP: Two-year initial permit, renewable for three more years. Path to Irish citizenship after five years of residence. No language requirement for citizenship — Ireland's naturalization process doesn't require learning Irish or passing a language test.
Reality Check: Ireland's lack of a language requirement for citizenship is a genuine advantage. Dutch citizenship requires passing the civic integration exam, which includes demonstrating Dutch language ability. It's doable, but it takes real effort.
Lifestyle Comparison
This matters more than people think when choosing a country.
The Netherlands offers world-class cycling infrastructure, excellent public transit, and a central European location. You're a short train ride from Belgium, Germany, and France. The cost of living is high but predictable, and healthcare is excellent.
Ireland offers English as a first language (huge advantage), a strong tech sector especially around Dublin, and easy access to the UK. The cost of living in Dublin rivals Amsterdam, but smaller Irish cities are more affordable.
What We Wish We Knew: The language advantage in Ireland is real. We love living in the Netherlands, but everything from doctor visits to government paperwork is easier when the country speaks your language natively. That said, most Dutch people speak excellent English.
Who Each Option Is Best For
Choose DAFT If:
- You're a US citizen
- You're a freelancer, consultant, or solo entrepreneur
- You don't have 50,000 euros in startup capital
- You want business flexibility without oversight
- You're drawn to continental Europe and don't mind learning some Dutch
Choose STEP If:
- You have a funded, innovative startup concept
- You can invest at least 50,000 euros
- You want to operate in English full-time
- Job creation and scaling are part of your plan
- You want access to Ireland's tech ecosystem
Honest Downsides of DAFT
DAFT is fantastic for its accessibility, but it has limits. You can't work as an employee, which means no fallback job if your business struggles. The Dutch bureaucracy is thorough, and the application process requires patience. And while most Dutch people speak English, you'll eventually need Dutch for civic integration if you want permanent residency or citizenship.
For a broader look at DAFT compared to other options, see our complete visa comparison overview.
Our Take
For most US citizens weighing these two options, DAFT wins on accessibility. The capital requirement alone makes STEP unrealistic for the typical freelancer or solo entrepreneur. If you have a well-funded startup and want to operate in English, Ireland makes sense. Otherwise, DAFT gets you to Europe for a fraction of the cost.
Check the full DAFT requirements checklist to see if you qualify.
FAQ
Q: Can I apply for both DAFT and Ireland's STEP at the same time? A: Technically yes, but it's not practical. Each requires significant document preparation, and you'd need to commit capital in two countries simultaneously. Pick the one that fits your situation best.
Q: Is Ireland cheaper to live in than the Netherlands? A: Dublin is comparable to Amsterdam in cost. Outside Dublin, Ireland can be cheaper — but outside Amsterdam, the Netherlands also gets more affordable. Check our cost of living comparison for Dutch city differences.
Q: Can I move from DAFT to Ireland later? A: Yes. Your DAFT permit doesn't prevent you from applying for visas in other countries. However, time spent in the Netherlands doesn't count toward Irish residency requirements.
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We're not immigration lawyers — just Americans who did this. Requirements change, so verify with official sources.