Extensive sovereign privileges were conferred upon the company and exercised by the Seventeen in the name of the States-General.

They might make treaties with native rulers and potentates, erect forts for the protection of their factories, appoint governors and officials with administrative and judicial functions, and enlist troops, but these officials and troops were required to take an oath of allegiance to the States-General.

The States-General themselves became "participants" by investing the 25,000 pounds, which the company had paid them for the grant of the charter.

The capital speedily reached the amount of six and a half million guilders.
The warlike operations of the year 1599 were uneventful and in the main defensive, except on the eastern frontier where the Spanish forces under the command of the Admiral of Aragon, Mendoza, captured Wesel and Rheinberg.

The new rulers of the Netherlands, Albert and Isabel, did not make their entry into Brussels until the end of 1599; and almost before they had had time to organise the new government and gain firm possession of the reins of power in the Belgic provinces, they found themselves confronted with a serious danger.