FIFA said on Tuesday it plans to create the subsidiary to run the World Cup and its other events, and will offer stakes of up to 20% in it to external investors.
Additionally, FIFA president Gianni Infantino will give €40 million to each football association that approves of the plans for the 'FIFA Forward Enterprise', as the subsidiary will be called.
The move has provoked a furious response from European football authorities, including UEFA, which said FIFA was putting the game up for sale.
"The soul and governance of football are not assets to trade - especially with zero transparency as to who gains financially. None of us are the owners of football. It is not FIFA's to sell," UEFA said in a statement.
Following UEFA's critical line, Frank Paauw, president of FIFA founding member KNVB, disapproved of FIFA's plans, as revealed during television program Nieuwsuur on Thursday evening.
"For the KNVB, this marks a line that has been reached and crossed," Paauw told Nieuwsuur. He continued to say that the money "is not as important to us as it is to others, without sounding too decadent. To us, it's about principles."
Paauw revealed that all 55 UEFA members would join for an emergency meeting on Friday, during which they'll discuss FIFA's plans.