It’s always difficult to choose a business. Its name, theme, location and much more. When you are about to register a company, the product you select matters the most.
In this era, where inflation is increasing day by day, everyone wants to start their business to run their homes.
Especially, in foreign countries, you need to register the company on a legal basis. An attorney can help you go through that. After starting the business, there are so many costs of multiple trips you need to take.
To Starting a Business in Hungary, you can easily sidestep numerous expeditions and have prolonged stay, if you hire a Hungarian attorney.
HOW DOES IT WORK:
To start a business in Hungary, the completion of the first step depends on the Court of Registration. If your selected name will not approve, they will tell you other unreserved names based on your original idea.
The Signing of the document is the necessary step. The Court requires to register all the forms. If you are in Hungary, the registration can be done in the office also. The signing can also be done in your home country as well. The registration only takes 1 business day.
TYPES OF BUSINESS:
Each work type has its own set of rules, limitations, and principles. Each has its pros and cons. It completely depends on the type you select. The process of registration a business in Hungary is different among all.
Here is a brief overview of what liabilities are when you about to start your industry.
One general (unlimited) partner and one limited partner are required in this partnership. One has unlimited liability, the liability determined by the size of the contribution goes with the latter.
Only the general partner can represent the company if it’s not specified in the objects of the association. 50,000 HUF, you pay if you want a limited partnership in Hungary.
There is a risk of the downfall of the company because the main partner bears the highest risk and is completely accountable.
In general partnership, you need many members for it. You only need one more partner other than yourself. All the partners will be responsible for all the jeopardies. There’s no minimum amount, you only have to pay 50,000 HUF for registration.
There are not specifications. You don’t need to have a deputy manager or director to start a general partnership. All the members can take direct part in representing the corporation, if not specified by the board of registration.
In terms of drawbacks, you should keep in mind that you and your candidates are answerable to all the debts incurred by the company.
Every foreign company can open its branch office in Hungary. A legal residential representative is required to take permission for it.
The main risk is that the parent company will hold all the liabilities for all the activities. The registration fee is the same.
DOCUMENTS YOU WILL NEED:
You need to take certain forms while registering your company. It’s fairly simple.
- Founding documents and deceleration of the CEO
- A valid passport for the general manager and the owner.
- Agreements of assignment
- Specimen of signature
Now you have to sign the documents by a Hungarian attorney. The submission can only be done electronically. Therefore, you have to scan all the forms after they’re signed. All the official papers should be signed with a qualified electronic signature.
You can use the option called Power of Attorney. In which the attorney will represent you and allow all the necessary work on behalf of you.
Once all the paperwork has been done, you have to go to the Court of Registration with your attorney. The process usually takes one day. Then, you’ll have to roll with other companies and organizations in Hungary.
This is compulsory to register your company to local text office and Hungarian text authority. The court directly gets the statistical code and tax number directly from the statistical office and tax authority instead of you through an option called ‘one-stop-shop’.
You can permit the Hungarian attorney to index yourself with the Chamber of Commerce.
Also, every Hungarian company has a bank account. Foreign currency can be managed there. It usually takes one day to open a bank account.
If your company is not registered to main organizations especially with the Trade Registry, Social security and additional authorities within a legal time frame then you and your company might face serious issues which will lead to many legal troubles.
Get your documents translated and sign them with your attorney. This excludes procurement a legal Hungarian address for your corporation and then open a bank account.
Then all the forms will be submitted to the Registration Court. After all the data is submitted into the computer, you’ll receive an electronic certificate from the court. The Statistical code and tax identification numbers will be given to you if you use the one-stop-shop method.
You should read all the laws and principles before starting your trade-in Hungary to be safe from all legal troubles, otherwise, it’s very easy to get fixed in Hungary.
Are you looking to have your business in Hungary? Did this article helped you? Please share your opinion in the comments box below.
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