Open a Company in Hungary (Non-Resident Kft)
If you are a foreign founder, you can open a company in Hungary without ever setting foot in the country. The standard vehicle is the Kft (korlátolt felelősségű társaság) — a private limited liability company — and the whole process can be done remotely by power of attorney. This guide walks through the steps, the mandatory lawyer, share capital, timeline and the bank account.
Can a non-resident open a Hungarian company?
Yes. Non-residents — whether EU or non-EU, and whether individuals or companies — can 100% own a Hungarian Kft. There is no requirement to be resident, and no requirement to have a local partner. You also do not need to travel: the documents can be signed abroad and the company set up by power of attorney (PoA).
Step 1: Choose the entity and the basics
For most founders the right entity is the Kft. Before drafting anything, you decide:
- the company name (we check it is available in the company register);
- the main activity and any secondary activities (TEÁOR activity codes);
- the managing director (ügyvezető) — this can be the foreign founder;
- the registered seat (székhely) in Hungary — a service address is fine;
- the share capital and how it will be contributed.
Step 2: The mandatory lawyer and power of attorney
This is the part that surprises many foreign founders: in Hungary a lawyer (ügyvéd) is mandatory. Hungarian law requires a lawyer to countersign the articles of association and file the incorporation electronically with the company court. There is no DIY or notary-only route.
You do not have to be in Hungary to sign. You grant a power of attorney so the documents can be prepared and the lawyer can act for you, and you sign your own documents abroad (often with your passport and a certified/Apostilled signature, depending on your country).
Step 3: Share capital
The minimum share capital for a Kft is 3,000,000 HUF (Hungary uses the forint, not the euro). Two points founders often get wrong:
- it does not have to be paid in full on day one — it can be contributed over time or in kind (e.g. equipment), under the rules set in the articles;
- the capital is not a fee — it remains the company’s money and can be used for the business.
Step 4: Filing, timeline and tax number
Once the articles are signed and countersigned by the lawyer, they are filed electronically with the company court. Registration is usually fast.
| Stage | What happens | Typical timing |
|---|---|---|
| Preparation | Name check, articles drafted, PoA issued | 1–3 business days |
| Signing | You sign abroad; lawyer countersigns | Depends on courier/notary |
| Company-court filing | Lawyer files electronically | Same day after signing |
| Registration | Company number + tax number issued | 1–5 business days |
| Bank + accounting | Bank introduction, monthly bookkeeping starts | After registration |
Step 5: Bank account and accounting
After registration the company receives its company registration number and tax number, and can open a Hungarian (or EU) business bank account. As a non-resident you will usually need a bank introduction; some banks ask for a short video call rather than an in-person visit. From there, monthly accounting and VAT returns begin — we handle these in English.
FAQ
Do I need to travel to Hungary? No. The company can be set up 100% remotely by power of attorney; signing is done abroad.
Is the lawyer really mandatory? Yes. A Hungarian lawyer must countersign the incorporation documents and file them with the company court — this is not optional.
How much is the share capital? 3,000,000 HUF for a Kft. It can be contributed over time or in kind and remains the company’s money.
How long does it take? After signing and lawyer countersignature, registration typically takes 1–5 business days.
What tax will my company pay? A flat 9% corporate tax (TAO) — the lowest in the EU — plus VAT (ÁFA) and local business tax (HIPA) where applicable.