How Can Foreign Companies Set Up a Business In Hungary
Fortunately for those who are hoping to take advantage of everything that opening a business in Hungary has to offer, the law here allows both Hungarian and foreign people to get established under the law.
It’s important to remember that even with the opportunity to, there are still some important things that you’re going to need to consider before setting up, such as the different rules and regulations. On the plus side, you can find out everything you need to know about how a foreign company can set up a business in Hungary right here. In this blog, you will know about How Can Foreign Companies Set Up a Business In Hungary.
Is it hard to register a company in Hungary?
First of all, it’s important to understand what the process involves. There can be quite a few requirements, such as registering with the relevant tax authorities and gathering the necessary documentation. However, even with all this, company formation in Hungary doesn’t have to be too complicated. If you take the time to learn about what needs to be done and adequately prepare yourself, you should find that it’s a swift and relatively stress-free endeavour.
What are your options?
If you’re not aware of the different types of business you can choose from, it’s well worth looking into them to find the ideal one for your needs. Each form has its pros and cons, as well as restrictions and opportunities, so it really is worth taking the extra time to consider what each one means for you.
Limited liability companies, which can be established by one member
- Company limited by shares (with both Private or Public Limited Company versions)
- General partnership, where liabilities among members are joint
- Branch office, in which the business is a unit of a foreign company
While there are other options, these are a few of the ones that you might want to consider, depending on your business.
What documentation do you need to start up a business here?
In most cases, there are going to be different types of documents needed for the formation process, and those necessary may vary depending on the company you want to form and what you want moving forward.
There are several that can apply to all businesses, such as a declaration to the relevant Tax Authority to obtain a tax ID number, or a list of members. In general, it’s best to get in touch with an expert to get the full low-down on what’s needed and why, especially if you’re unfamiliar with the processes of Hungarian law.
How much does it cost to register a company in Hungary?
In most cases, the prices can vary greatly, considering that you need to hire a Hungarian attorney and open up a Hungarian bank account (the pricing of which will often depend solely on who you choose to work with). That being said, setup costs in the first year can often amount to a little over €3,600.
This may not be the same for everybody, but you can often expect to pay something along those lines when setting up a business here.