Company Formation Hungary

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Register A Company In Hungary Today

Hungary has been part of the European Union since 2004 and is part of the EU’s single market. The country is a medium sized open economy in Central Europe. It can be a great place to incorporate a business, if structured well, incorporation in Hungary can be a tax-efficient solution. Benefits include low Corporate Tax rates between 10% and 16% and no requirement to appoint local shareholders and directors, meaning that the company can be fully owned and controlled by international directors and shareholders.

Additional advantages of forming a corporate entity in Hungary include low (in some cases exemption from) capital gains and dividends tax. However, Hungarian company formation is not seen as an offshore corporate structure or a tax haven.  Some types of companies will benefit more than others in Hungary; for example a holding company, as dividends paid to any resident or non-resident person are legally tax free and any paid royalties are considered expenditures and can be deducted from corporate profits.


** Click here to find out if your company name is available in Hungary **


What are the main types of company in Hungary?

In Hungary you can set up the following kinds of business:

  • Joint Stock Company (public or private)
  • Limited Liability Company
  • Limited Liability Partnerships are also available but less common


What are the main features of Joint Stock Companies?

  • Owners bear no liability for the operations
  • ‘Zrt’ sells its shares through a private offer to the founders
  • ‘Nyrt’ sells shares publicly
  • Minimum capital is HUF 5M (approx. EUR 19K)
  • Some businees activities (i.e. finance, insurance, etc.) can only be conducted through this form of company


What are the main features of Limited Liability Companies?

  • This is the most common form of company in Hungary
  • One owner and one director is sufficient
  • Liability is limited to the capital input of the shareholder
  • Minimum share capital is HUF 500,000 (approx. € 1,900)
  • Can be owned by foreigners and foreign companies (as a subsidiary)


What are the main features of a Partnership?

  • Minimum of one general partner and one limited partner
  • The general partner’s liability extends to his/her private assets
  • The limited partner is only liable up to the value of his/her investment
  • There is no minimum capital requirement
  • Usually used for small family businesses


How easy is it to close a Hungarian company?

Please click here for further details and services on closing a company.


Open A European Company can register your company in Hungary in only 5 days.

We can assist you with all your needs when incorporating a business in Hungary such as company formation, VAT registration, bank accounts, accountancy, bookkeeping and taxation services, and registered, virtual and serviced offices. Please don’t hesitate to contact us today.



To talk to a Hungary formation specialist call us on

 +44 (0)208 421 7470,

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