Where to start?
Wondering where to start a business in the European Union? In Hungary, company registration is available to all nationalities, and it takes only 4-5 work days. You can start taking advantage of the benefits of having a company right away. The 9% corporate tax is the lowest in the EU, and you are immediately issued an EU VAT number too. The company may be set up with a power of attorney, so you must come to Hungary only once, to open your company bank account. Other than that, you may operate your company even remotely.
Please note that during the current state of emergency related to the COVID-19 pandemic, you can still enter Hungary for business purposes. Setting up a corporate bank account for your business in a valid business purpose, so you can make your move today.
The main benefits of company formation in Hungary include the following:
When setting up a company in Hungary, you should be aware of some of the procedures involved in order to find the best and most cost-effective providers on the market, and decide on how to proceed with starting operation. Naturally, we provide all of the below services as part of our various packages.
Your company can be registered by a lawyer, who will hand in your documents to the company registry. This can be done either in person on by a power of attorney.
Local and an EU VAT number
Keep the documents
The documents you receive during the company formation procedure should be kept safe for future reference. They can be requested in English as well. Of course, your company data will also be publicly available at the online company registry for anyone to check. You may also want to have a company extract, which you can verify that your company in Hungary is operational.
Chamber of commerce
Registered seat for your company
Physical office with contract
Paying the company registration tax
Corporate bank account
The company setup procedure is completed by opening a bank account for your company in Hungary, which should be done within 8 days after the company is registered. Having a HUF account is compulsory for paying taxes and contributions in Hungary, but we advise that you set up further accounts for the various currencies you plan to trade in, e.g. EUR or USD.
Tax number and social security
The director of the Hungarian company should have a Hungarian personal tax number and a social security number as well. If you are a foreign national, we get this sorted out for you.
Registration at the gateway to electronic government
First you as a private individual need to register for e-government in order to register your company as well. Both procedures are obligatory.
Registered seat service and mail forwarding
Instead of registering your company seat at your own office or shop (which you might not even have when registering your company), it is worth using the services of a registered seat provider in the long run. This way you will not have to change your seat when moving the company, and you can rest assured that all company mail will be forwarded to you
You can ask for advanced mail forwarding, where the incoming mail is also sorted for you, and letters from the tax authority are forwarded directly to your accountant, and you receive a short summary of the message whenever necessary, complete with instructions on what action to take.