Registration of companies in Hungary
from 2205 c.u.
Hungary or Magyarország is a state in central Europe that is becoming increasingly popular among investors and businessmen. Due to its geographical location, the country borders with Austria, Slovakia, Ukraine, Romania, Serbia, Croatia and Slovenia. If your business is related to this region, then a company in Hungary is the best solution for your business!
In 2018-2019, rather high indicators of economic development were noted, one of the lowest public debts among the EU member states. And that’s not all. The phenomenon that many experts note when talking about Hungary is its rapid emergence as a hub for start-ups, small companies and entrepreneurship in general.
Focused on supporting business, the country introduces tax incentives, improves the banking system and stimulates entrepreneurship. Apparently, this is why many consider Hungary as a country for registering their company.
One of the advantages is that Hungary is a member of the European Union and is its full member, has its own currency – forint. Its main economic partner is Germany, both in import and export.
In general, if the region of Central Europe itself is important to you, if the local climate is pleasant and you like the location of the country, you should consider Hungary for doing business. There are subtleties here, and we are happy to share the most important details.
Types of companies in Hungary
There are many different types of companies for doing business in Hungary, however, four are the most popular. They vary by type of limitation of liability, number of shareholders, authorized capital, etc.
This form is typical for large and medium-sized companies.
- Authorized capital — from 20,000,000 forints
- At least 30% of the authorized capital shall be paid at the time of registration of the company
- The number of shareholders can be any and not limited
- Responsibility of shareholders is determined by shares
- Shares may be offered for sale
- Shareholders can be both residents and non-residents
Company form for small and medium businesses. In general, this form is convenient from many points of view, for example, because the capital is not fixed.
- Any authorized capital
- Distribution of capital takes place evenly among all partners
- Minimum of two people are involved in setting up a business
- Status and residency are not important
The form of the company as a whole resembles a ZAO in the Russian Federation, suitable for medium-sized businesses.
- Authorized capital – from HUF 3,000,000
- Authorized capital shall be paid at the time of registration of the company by at least 50%
- Value of any assets (other than cash) shall be valued by an expert in Hungary
- Shareholder can be both a resident and a non-resident
- Status of the shareholder is unimportant
- Shares are not publicly traded
- Liability of the shareholders is limited to their shares
- With a capital of more than HUF 55,000,000 and more than 200 employees, a supervisory board is elected
Also like BT, KKT is a form of partnership. The only difference lies in the responsibility which entails some other subtleties.
- Authorized capital is any and not fixed
- Distribution of capital takes place evenly among all partners
- Minimum of two people are involved in setting up a business
- Status and residency are not important
- Partners are equal in all matters
- Managed by general partners
What you need to register a company in Hungary?
1. PROCEDURE
The process itself is as simple as possible and consists of the following steps:
- preparation of the company name (3 options)
- preparation of documents for registration and certification by a notary
The documents contain information about the shareholders, director, and activities of the company.
- choosing a bank and opening a current account
- registration of the company in the Commercial Register
2. TERMS
The procedure itself is carried out quite quickly and usually takes about a week with the right approach to paperwork.
3. OPPORTUNITIES
It is not necessary to be personally present at all stages. Part of the work can be delegated by granting a power of attorney to competent persons.
Вы можете выбрать любой город в Великобритании, находящийся на территории Англии, Шотландии, Уэльса или Северной Ирландии. Однако, наибольшей популярностью традиционно пользуются Англия и Шотландия.
Taxes and taxation
All companies submit an annual audited report.
Taxes are calculated as follows:
- With income up to 500,000 forints — 10%
- With income over 500,000 forints — 19%
- The VAT rate depends on the services and can vary from 5 to 25%
- Tax on dividends
Registration of a company in Hungary has never been so simple and clear – trust the professionals, ask any questions. We know how to save and increase capital!
