Сompany formation in Hungary

Registering a company in Hungary represents an attractive opportunity for entrepreneurs looking to expand their activities into the European market. Hungary, with its strategic location in the center of Europe, a stable economy and a favorable tax climate, provides a number of advantages for business.

Main stages of company registration in Hungary

1. Choosing a form of ownership: The first step in the registration process is to select the appropriate form of ownership. The most popular forms in Hungary are: Limited Liability Company (Kft.) Joint Stock Company (Zrt. or Nyrt.) Branch of a foreign company Individual enterprise
2. Choosing a company name: The company name must be unique and not violate the rights of other companies. It must be checked and approved by the Hungarian Trade Register.
3. Preparation of constituent documents: The main constituent documents include the company's charter, minutes of founders' meetings and other documents confirming the creation of the company and the distribution of shares.
4. Opening a bank account: To register a company, you need to open a bank account in a Hungarian bank and deposit the authorized capital. The minimum authorized capital for a limited liability company is HUF 3,000,000 (approx. EUR 8,000).
5. Registration in the Trade Register: All documents are submitted to the Hungarian Trade Register. Registration usually takes several business days. After registration, the company receives a unique registration number.
6. Registration with tax authorities: After obtaining a registration number, the company must register with the tax authorities to obtain a tax number and a VAT number.
7. Registration with social insurance authorities: The company must also register with the social insurance authorities to meet its employee contribution obligations.

Advantages of registering a company in Hungary

1. Tax benefits: Hungary offers one of the lowest corporate taxes in Europe - 9%. There are also incentives and tax discounts for investors in certain sectors of the economy.
2. Access to the EU market: Registering a company in Hungary provides access to the European Union's single market, which simplifies trade and logistics with other EU member states.
3. Stable economy: Hungary's stable economic and political environment creates favorable conditions for long-term investment and business development.
4. Highly qualified workforce: Hungary has a highly skilled and educated workforce, which allows companies to attract talented specialists to implement their projects.
5. Geographical position: Its favorable geographical location in the center of Europe makes Hungary an ideal base for doing business and logistics in Central and Eastern European countries.

Registering a company in Hungary provides many advantages for entrepreneurs seeking to develop their business in the European market. Transparent and simplified registration procedures, a favorable tax climate and a stable economic environment make Hungary an attractive choice for starting and growing a business. Careful adherence to all stages of registration and the use of professional advice will help ensure the successful start and continued prosperity of your business in this country.

Advantages of establishing a company in Hungary

Hungary, located in the heart of Europe, offers numerous business opportunities. Establishing a company in this country provides entrepreneurs with access to the European market, favorable tax conditions and a stable economic environment.

Favorable tax conditions

1. Low corporate tax: Hungary offers one of the lowest corporate tax rates in Europe, at just 9%. This makes the country attractive to companies seeking to minimize tax liabilities and increase their profits.
2. Tax benefits and incentives: The government offers various tax breaks and incentives to investors, especially in sectors such as research and development, innovation and clean technology. This allows companies to reduce their tax burden and receive additional financial benefits.

Geographical location and logistics

1. Central location: Hungary is located in the center of Europe, making it an ideal base for business and logistics in Central and Eastern Europe. Convenient transport links with neighboring countries simplify the export and import of goods.
2. Developed infrastructure: Hungary has a developed infrastructure, including modern roads, railways and air routes. This makes it easier to transport goods and facilitates fast and efficient business.

Access to the European Union market

1. Single Market: Registration of a company in Hungary provides access to the single market of the European Union, which includes more than 500 million consumers. This opens up significant opportunities for business expansion and increased sales.
2. Freedom of movement of goods, services, capital and labor: Hungary, as a member of the EU, provides freedom of movement of goods, services, capital and labor, which simplifies business processes and creates favorable conditions for the growth and development of companies.

Highly qualified workforce

1. Educated population: Hungary is famous for its high level of education and skilled workforce. The country's universities and educational institutions train specialists in various fields, which allows companies to attract talented employees to implement their projects.
2. Competitive labor costs: Labor costs in Hungary remain relatively low compared to other Western European countries, allowing for lower operating costs without compromising the quality of work.

Stable economic and political environment

1. Stable economy: Hungary has a stable economy with steady GDP growth. This creates favorable conditions for investment and long-term business planning.
2. Transparent legal system: The Hungarian legal system complies with European Union standards, ensuring the protection of property rights and the fair resolution of commercial disputes.

Establishing a company in Hungary provides entrepreneurs with numerous advantages, including favorable tax conditions, a strategic geographical location, access to the EU market, a highly qualified workforce and a stable economic environment. These factors make Hungary an attractive place to start and grow a business, facilitating successful entrepreneurial initiatives and long-term success.

Is it possible to establish a company in Hungary remotely?

With the development of technology and the globalization of business processes, remote company registration is becoming increasingly popular among entrepreneurs around the world. Hungary, with its advanced digital infrastructure and favorable business conditions, offers the possibility of remote company registration.

Advantages of remote company registration in Hungary

1. Saving time and resources: Remote company registration allows entrepreneurs to save time and money that would be required for travel and personal presence in Hungary.
2. Access to the EU market: Registration of a company in Hungary provides access to the single market of the European Union, which opens up significant opportunities for international trade and business expansion.
3. Simplicity and convenience: The remote registration process is simplified thanks to modern digital solutions, making it accessible and convenient for entrepreneurs from anywhere in the world.
4. Stable business environment: Hungary offers a stable economic and political environment, favorable for doing business and long-term investing.

Step-by-step process for remote company registration in Hungary

1. Choosing a form of ownership: Determine which form of ownership is most suitable for your business. The most popular forms are limited liability company (Kft.) and joint stock company (Zrt.).
2. Preparation of documents: Required documents include: copies of the founders' passports, proof of residence address, company charter and minutes of founders' meetings. All documents must be translated into Hungarian and certified.
3. Appointment of a local representative: To register a company, it is necessary to appoint a local representative or director who will be responsible for interacting with government authorities and fulfilling legal obligations.
4. Opening a bank account: To contribute the authorized capital and conduct financial activities, you must open a bank account in a Hungarian bank. This process can be carried out remotely by providing all the necessary documents.
5. Registration in the Trade Register: Submit registration documents to the Hungarian Trade Register through a local representative or an accredited lawyer. Registration usually takes several business days.
6. Obtaining a tax number and VAT number: After registering a company, you must obtain a tax number and a VAT number from the Hungarian tax authorities. This can be done remotely through a representative.

Remote company registration in Hungary provides entrepreneurs with a unique opportunity to quickly and efficiently start a business in one of the most dynamically developing economies in Europe. The registration process is simplified with modern digital solutions and professional services that ensure compliance with all legal requirements. Using remote registration capabilities allows you to focus on business development and strategic planning, saving time and resources.

What is a Hungarian KFT?

Hungarian KFT (Korlátolt Felel?sség? Társaság) is one of the most popular forms of doing business in Hungary. This is a limited liability company, similar to a Western European GmbH or American LLC, which offers entrepreneurs flexibility and limited liability. This article discusses the key aspects, features and advantages of KFT, which makes it attractive to local and foreign investors.

Main features of KFT

1. Limited liability: The founders of KFT are liable for the company's obligations only to the extent of their contribution to the authorized capital. This provides protection for the owners' personal assets in the event of financial difficulties for the company.
2. Minimum authorized capital: The minimum authorized capital for KFT is 3,000,000 forints (approx. 8,000 euros). This capital can be contributed either in cash or in the form of a property contribution.
3. Management flexibility: KFT may be managed by one or more directors appointed by the founders. A structure with a supervisory board is also possible, which allows corporate governance to be tailored to the specific needs of the business.
4. No citizenship requirements: Hungarian citizenship is not required to create and manage KFT. This makes KFT an attractive choice for foreign investors and entrepreneurs.
5. Transparency and Accountability: KFT is required to maintain accounting records in accordance with Estonian Financial Reporting Standards (ESFS) or International Financial Reporting Standards (IFRS) and submit financial statements to the Trade Register annually.

Benefits of KFT

1. Low corporate tax: Hungary offers one of the lowest corporate taxes in Europe, at just 9%. This is a significant advantage for companies looking to minimize tax liability and increase profits.
2. Easy registration: The KFT registration process in Hungary is relatively simple and quick, usually taking a few working days if all the necessary documents are in place.
3. Possibility of remote registration: KFT can be registered remotely, which is especially important for foreign investors. This simplifies the process and saves time and resources.
4. Access to the EU market: Registration of KFT in Hungary provides access to the single market of the European Union, which opens up wide opportunities for international trade and business expansion.

KFT registration process

1. Choosing a company name: The company name must be unique and comply with the requirements of Hungarian law. It must be checked and approved by the Trade Register.
2. Preparation of constituent documents: Constituent documents include the company's charter, minutes of meetings of the founders and other necessary documents confirming the creation of the company and the distribution of shares.
3. Opening a bank account: To contribute the authorized capital and conduct financial activities, you must open a bank account in a Hungarian bank.
4. Submission of documents to the Trade Register: All documents are submitted to the Hungarian Trade Register through a local representative or an accredited lawyer.
5. Registration with tax authorities: After registering a company, you must obtain a tax number and a VAT number.

Hungarian KFT is an attractive form of doing business due to its advantages and flexibility. Limited liability, low corporate tax and remote registration options make KFT an ideal choice for local and foreign entrepreneurs looking to successfully grow their business in Europe. Hungary's stable economic environment and access to the EU market offer great prospects for the growth and prosperity of KFT-registered companies.

Ready-made company in Hungary

A shelf company in Hungary, also known as a "shelf company", is a registered but non-operating company that can be quickly acquired and used to conduct business. This solution is suitable for entrepreneurs who want to reduce the time required to register a new company and immediately begin operations.

Advantages of a shelf company

1. Reduced registration time: Purchasing a shelf company allows you to avoid the lengthy registration process and immediately begin business operations. All necessary legal and administrative procedures have already been completed.
2. Simplify the process: A ready-made company already has a registered charter, tax number and bank account, which simplifies the start of work and eliminates the need to resolve administrative issues.
3. Reputation and history: Some shelf companies may have a positive credit history and reputation, which can be useful when negotiating with partners and creditors.
4. Flexibility and adaptation: A ready-made company can be easily adapted to specific business needs by making changes to the charter, management structure and types of activities.

Process of acquiring a shelf company in Hungary

1. Selecting a shelf company: At the first stage, it is necessary to select a suitable ready-made company, taking into account its legal status, history, absence of debts and legal obligations. This can be done through specialized agencies or law firms.
2. Checking legal status: Before purchasing, it is important to conduct a thorough review of the company's legal status to ensure there are no hidden liabilities or issues. This includes reviewing financial statements, tax records and other legal documents.
3. Preparation of documents: After selecting a company and completing the verification process, it is necessary to prepare documents for the transfer of ownership. This includes the purchase and sale agreement, changes to the company's articles of association and other necessary legal documents.
4. Registering changes: All changes related to the transfer of ownership and changes in management structure must be registered in the Hungarian Trade Register. This process usually takes several days.
5. Notification of tax authorities and banks: After registration is completed, it is necessary to notify the tax authorities and banks about the change of owner and changes to the company's registration data.

Features of a shelf company in Hungary

1. Minimum authorized capital: A ready-made company, as a rule, already has a contributed share capital that complies with the requirements of Hungarian legislation. For a limited liability company (Kft.), the minimum authorized capital is HUF 3,000,000 (approx. EUR 8,000).
2. Managment structure: A shelf company may have appointed directors and shareholders, who can be changed to suit the needs of the new owner.
3. Legal address: A shelf company has a registered legal address in Hungary, which can also be changed if necessary.

Purchasing a shelf company in Hungary is a quick and effective way to start a business without a lengthy registration process. This solution is suitable for entrepreneurs who want to start operations immediately and take advantage of the advantages of a Hungarian business. Reduced registration time, simplified administrative procedures and the ability to tailor the company to your needs make a ready-made company an attractive choice for local and foreign investors.

Tax number in Hungary

A tax number is a mandatory element for all legal entities and individuals operating in Hungary. It is necessary to fulfill tax obligations, open bank accounts, enter into contracts and other business transactions. This article covers the key aspects of obtaining and using a tax number in Hungary and its implications for business.

Tax number meaning

1. Legal necessity: A tax number is mandatory for all companies and entrepreneurs registered in Hungary. Without it, it is impossible to legally conduct business and fulfill tax obligations.
2. Identification with tax authorities: The tax number is used to identify the taxpayer to the tax authorities and allows for the keeping of records of his tax obligations and payments.
3. Necessity for business operations: A tax number is required to open bank accounts, enter into commercial contracts, file tax returns, and perform other business transactions.

The process of obtaining a tax number

1. Company registration: The first step is to register the company in the Hungarian Trade Register. During the registration process, the company automatically receives a temporary tax number.
2. Submitting an application to the tax authorities: To obtain a permanent tax number, you must submit an application to the Hungarian National Tax and Customs Administration (NAV). The application can be submitted in person, through a representative or online.
3. Required documents: To obtain a tax number, you must provide the following documents: Company registration documents (charter, memorandum of association, etc.); Copies of passports of founders and directors; Proof of the company's registered address; Other documents confirming the company’s activities and its legal status.
4. Consideration of the application: Tax authorities check the submitted documents and, if they meet the requirements, issue a permanent tax number. This process usually takes from several days to two weeks.

Use of tax number

1. Filing tax returns: The tax number is used for all tax returns, including income tax, VAT, income tax and other taxes.
2. Conclusion of contracts: The tax number must be indicated on all commercial contracts and invoices entered into and issued by the company.
3. Opening bank accounts: To open a bank account in a Hungarian bank, you must provide a company tax number.
4. Participation in government tenders: A tax number is required to participate in government tenders and other competitions conducted by government agencies in Hungary.

A tax number in Hungary is a key element for legally conducting business and meeting tax obligations. The process of obtaining it is quite simple, but requires careful adherence to all procedures and provision of the necessary documents. Using a tax number allows a company to fully participate in the economic life of the country, enter into contracts, open bank accounts and perform other important business transactions. To successfully conduct business in Hungary, it is important to obtain a tax number in a timely manner and use it correctly in your activities.

Virtual office service in Hungary

With the development of technology and the globalization of business processes, virtual office services are becoming increasingly popular among entrepreneurs and companies seeking flexibility and cost reduction. In Hungary, with its favorable business climate and strategic location in the center of Europe, virtual offices offer significant advantages for local and foreign companies.

Basic virtual office services

1. Legal address: A virtual office provides a company with a legal address in Hungary, which is necessary for registering a company, receiving correspondence and fulfilling other legal obligations.
2. Processing mail and correspondence: Services include receiving, sorting and forwarding mail, as well as notification of incoming correspondence. This allows companies to receive important documents in a timely manner and maintain communication with clients and partners.
3. Telephone services: A virtual office provides a telephone number with call forwarding or the services of a secretary who answers calls on behalf of the company. This improves communication and creates a professional image.
4. Rent of conference rooms: If necessary, the virtual office provides the opportunity to rent conference rooms and office space for meetings and events. This is especially useful for companies that conduct most of their business remotely but need periodic face-to-face meetings.
5. Accounting and legal services: A virtual office may offer additional services such as accounting, tax preparation and filing, legal advice and other business services.

Advantages of a virtual office in Hungary

1. Cost reduction: Using a virtual office can significantly reduce operating costs associated with renting and maintaining a traditional office. This is especially true for startups and small businesses.
2. Flexibility and mobility: A virtual office provides flexibility in running a business, allowing employees to work from anywhere in the world. This improves employee efficiency and satisfaction.
3. Professional image: Having a legal address and professional communication services creates a positive image of the company and helps build trust with clients and partners.
4. Access to the European market: A virtual office in Hungary provides access to the European Union market, which opens up wide opportunities for international trade and business expansion.
5. Fast registration and ease of management: Registering a company using a virtual office is quick and easy, and managing operational processes becomes more convenient thanks to professional services.

Virtual office services in Hungary offer entrepreneurs and companies numerous benefits, including cost reduction, flexibility, improved professional image and access to the European market. These services become especially relevant in today's global economy, where efficiency and adaptability play a key role. A virtual office allows companies to concentrate on strategic development and operational activities, leaving administrative tasks to professionals.

Accountant in Hungary

An accountant plays a key role in the financial management and success of any company. In Hungary, with its complex tax system and strict financial reporting requirements, professional accounting services are especially important. Accountants ensure the accuracy of financial data, compliance with legal regulations and optimization of tax obligations.

Main responsibilities of an accountant in Hungary

1. Accounting: Accountants are responsible for maintaining all accounting records, including accounting for a company's income, expenses, assets and liabilities. They ensure that all financial transactions are reflected accurately and in a timely manner.
2. Preparation and submission of tax reports: In Hungary, there are a number of mandatory tax reports that companies must submit to the tax authorities. Accountants prepare and file returns for income tax, VAT, income tax and other taxes.
3. Preparation of financial statements: Accountants prepare annual financial statements, including the balance sheet, income statement, cash flow statement, and notes to the financial statements. These documents are necessary for internal analysis and external audit.
4. Tax planning and advice: Accountants help companies optimize their tax obligations by developing tax planning strategies. They advise on tax legislation and help avoid tax risks.
5. Audit and internal control: Accountants can participate in internal and external audits to ensure that financial statements comply with legal requirements and internal company standards.

The importance of an accountant for business

1. Legal Compliance: Hungarian tax and financial legislation requires strict compliance with all rules and regulations. Accountants ensure that a company meets these requirements, which helps avoid fines and other legal consequences.
2. Financial transparency and trust: Accurate and timely financial reports promote business transparency and build trust with investors, creditors and other stakeholders.
3. Optimizing costs and increasing profits: Through tax planning and financial analysis, accountants help companies optimize costs and increase profits. This contributes to sustainable development and business competitiveness.
4. Management decision support: Financial information provided by an accountant is the basis for making informed management decisions. She helps company management analyze current activities and develop strategic plans for the future.

Choosing a professional accountant in Hungary

1. Qualifications and experience: When choosing an accountant, it is important to consider their qualifications, industry experience and knowledge of Hungarian tax legislation. Professional certifications and membership in accounting associations are also important criteria.
2. Technological competence: Modern accountants must master advanced software solutions for automating accounting and reporting. This improves accuracy and efficiency.
3. Communication skills: It is important that an accountant has good communication skills and is able to explain complex financial issues in simple and understandable language. This helps to establish effective interaction between the accountant and the company’s management.

Conclusion

Accountants play a key role in ensuring the financial stability and successful development of a company in Hungary. They not only perform the mandatory functions of accounting and filing tax reports, but also provide valuable advice on tax planning and optimization of financial processes. Companies using the services of professional accountants receive significant benefits in the form of compliance with legal requirements, increased financial transparency and business efficiency.

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