Five Steps for Company Registration in Hungary

We have outlined a detailed process for those exploring company registration in Hungary to ensure a seamless and efficient experience. Each step is designed to help you confidently establish your business in Hungary.

If you need further clarification or assistance at any stage, our team is here to provide expert guidance. Below, you’ll find an in-depth explanation of each step. Feel free to contact us for personalized support tailored to your specific needs.

1. Initial Consultation

Starting the company registration process in Hungary requires a solid understanding of local laws, business opportunities, and regulatory requirements. It’s essential to gather comprehensive information before proceeding. Key areas to consider include taxation, accounting, and legal compliance to ensure a smooth setup.

Navigating the complexities of company registration in Hungary can be challenging, but with the right support, the process becomes manageable. Our consultancy services are designed to provide clear, actionable insights into the registration process, helping you make informed decisions.

Whether you’re a local entrepreneur or an international investor, our expertise covers all aspects of company registration in Hungary. Through our online consultation services, you can discuss your goals, clarify doubts, and receive tailored advice to meet your specific needs.

We recommend scheduling an online meeting with us to address your unique requirements and ensure a smooth start to your company registration journey in Hungary.

2. Deciding on Company Details

One of the most critical steps in company registration is determining the legal structure, name, address, owners, and CEO of your business. Hungary offers several legal forms, each with distinct implications for financial liability:

• Unlimited Liability Companies: Business partnerships (Kkt. and Bt.) require owners to bear full responsibility for company debts.
• Limited Liability Companies: Structures like Limited Company (Ltd.), Private Limited Company (Zrt.), and Public Limited Company (Nyrt.) limit personal liability to the registered capital.

Choosing the right legal form is crucial, as each has its own advantages and disadvantages. Additionally, your company name must be unique and free from historical references. While English names are acceptable, securing an official address can be challenging. We offer reliable official seat solutions at competitive rates.

For newcomers, a Limited Company (Ltd.) is often recommended due to its flexibility, limited liability, and cost-effectiveness.

Age Requirements:

• CEOs must be at least 18 years old.
• Owners under 18 require parental consent, which can complicate the process for foreign citizens. We generally advise excluding minors from the ownership structure.

Our team is here to assist you in making these critical decisions and ensuring compliance with Hungarian regulations.

3. Preparing Documents

To register your company in Hungary, you’ll need the following documents:

1. Identification: Passport for all owners and CEOs.
2. Proof of Address: Documents verifying your local address.
3. Founding Documents: Founders’ resolution or articles of association, along with signature specimens, if the owner is another company or legal entity.

4. Signing Documents and Forming the Company

Once all documents are prepared, we’ll schedule an appointment for you to complete the registration process. You can either:

• Travel to Hungary and finalize the paperwork in one day, or we can organize an online conference call with our Hungarian lawyer
• Authorize us to handle the process on your behalf via a power of attorney, eliminating the need for you to travel.

During registration, you’ll sign the following documents:

1. Articles of Incorporation: The founding document of your company.
2. Shareholder List: A record of all company owners.
3. CEO Declarations: Certifications regarding the official seat, financial contributions, and acceptance of the CEO role.
4. Assignment Agreements: For foreign owners and CEOs, a local delivery agent will be assigned to handle official correspondence.

The Hungarian court typically registers companies within 1 to 12 days. Once completed, we’ll send you the electronic certificate of incorporation.

5. Opening a Hungarian Bank Account

Every domestic company in Hungary is required to open a local forint (HUF) bank account. You may also open accounts in other currencies (EUR, USD, GBP, CNY, and others).

While opening an account is free, maintaining it incurs monthly fees. Initial deposits are not mandatory, but regular transactions may be required to keep the account active.

We recommend banks such as OTP Bank, Erste Bank, and Bank of China. Our team will advise you on the best option for your business needs.

If you haven’t completed the company registration process, you can:

• Stay an additional 2 days to open the account in person (we’ll assist you with all steps).
• Authorize us to open the account on your behalf for a special fee.

Why Choose Us?

IST Hungary offers comprehensive support for company registration in Hungary, from initial consultation to post-registration services. Our expertise ensures a hassle-free experience, allowing you to focus on growing your business.

Contact us today to begin your company registration journey in Hungary!