Hungary is a landlocked country in Central Europe. Its capital, Budapest  is bisected by the Danube River. Its cityscape is studded with architectural landmarks from Buda’s medieval Castle Hill and grand neoclassical buildings  along Pest’s Andrássy Avenue to the 19th-century Chain Bridge. Turkish and Roman influence on Hungarian culture includes the popularity of mineral spas including at thermal Lake Hévíz.

It is a high-income economy with a very high human development index, where citizens enjoy universal health care and tuition-free secondary education.  Hungary has a long history of significant contributions to arts, music, literature, sports, science and technology. It is a popular tourist destination in Europe, drawing 24.5 million international tourists in 2019.  It is a member of numerous international organizations, including the European Union  along with the Schengen Area, the Council of Europe, NATO, United Nations, WHO, WTO, World Bank, IIB, the AIIB, and the Visegrád Group. 

Benefits of doing  business in Hungary

Foreign investment in Hungary reached over three billion euros in the first quarter of 2019. Foreign investment is a major part of Hungary’s economy and Hungarians are keenly aware of its impact. As a result, the business environment in Hungary is welcoming and accommodating to foreigners. Besides low taxes and great geopolitical location, Hungary has a lot to offer. Here are some of the most notable benefits of doing business in Hungary:-

Amazing business location

Centrally located in the very heart of Europe, Hungary is a member state of the European Union. it’s a place that historically connected Eastern and Western Europe and continues to be an economic and social hub in the area. Establishing a business in Hungary creates a direct gateway to all of Europe. Every corner of the continent is easily accessible in a few hours and it allows tremendous ease of travel.

In an even broader view, it sits at a midway point between the Americas and Asia as well. It’s a perfect place for a global company looking to establish a base of operations.

Starting a business in Hungary is easy

Another major benefit is a straightforward process for starting a business in Hungary. From start to finish, starting a business takes about five business days. All you need is a valid form of identification and you don’t even need a local business partner.

You’ll need a registered address in Hungary, an English-speaking accountant, and a Hungarian bank account. The cost of opening a business in Hungary is much more cheaper than other Western Europe’s  Schengen countries like Germany and many more.

It’s also very cost-effective

Hungary is a business environment with great opportunities and low risk. Doing business there is very cost-effective, especially compared to Western Europe. The main contributing factors to this environment are business-friendly tax rates, cheap real estate, and low export barriers.

The Hungarian company tax system is very pro-business and accommodating to legal entities. The payment procedures are accessible and simplified and the corporate tax rate is expected to trend at around 9% through 2020.

Furthermore, the local business tax is anywhere between 2% and zero. You read that right, local business can end up owing no tax. Finally, the foreigners have the opportunity to get VAT-free trading and to have a zero-tax dividend.

 

 

You don’t need a lot of starting capital

A big concern when expanding or starting a new business venture is the capital requirements. You’ll be pleased to know that Hungary has some of the lowest minimum capital requirements in Europe.

Having less of your capital locked up is an important competitive advantage and another great reason to invest in Hungary.

They Provide a VAT Number Instantly

In other countries in the EU, VAT registration can take up four to six weeks for foreigners. VAT registration is mandatory for any company selling in the EU that exceeds the VAT registration threshold. If you set up a company in Hungary, that company receives a VAT number for free and the process is an automatic part of registration. That represents massive savings in time and money spent filling out forms and meeting additional requirements.

You need a lawyer for everything

In Hungary, you absolutely must have a lawyer for any business activity. A lawyer has to represent the company in the drafting and preparation of all the relevant documents.
This includes opening a Hungarian bank account and push applications through the Registry Court to receive a social security registration.

Conclusion

Overall, Hungary is one of the best locations to do business in Europe. It won’t suit every type of business, but most companies will find investing in Hungary to be a fantastic opportunity. Between the tax system, educated workforce, and how easy they make it open a company, it’s a veritable haven for business. The only real downside is the intricate legal system. However, a good lawyer (which you need to hire anyway) will go a long way towards ameliorating that aspect.

Tourism

Tourist attractions in Hungary

The magnificent capital city of Hungary, Budapest, also called “the city of lights”  is famous for its many marvelous villages and fantastic scenery, this Eastern European country evokes a strong sense of history and tradition at every turn. Budapest is justifiably compared to cities such as Prague, even Paris and as a result has become the country’s biggest tourist attraction.

But not all the best places to visit and things to do in Hungary are in the capital. Picturesque cities and towns of all sizes in Hungary have preserved their classic old historical attractions. Many of them clearly exhibit influences from a variety of different regional cultures including everything from Turkish invaders to Italian Renaissance designers.

Hungary’s countryside includes some of the most beautiful scenery to be found anywhere in Europe. In fact, wherever you are in Hungary, you’re never far from spectacular mountains and lakes, beautiful river scenes and lush valleys. All of these stunning backdrops also provide many great opportunities for adventure sports enthusiasts, including hiking, biking, climbing, camping and other outdoor activities.

  • Buda Castle, Budapest
  • The Danube River
  • Historic Spa Towns
  • Esztergom Basilica
  • Hungarian Parliament Building, Budapest
  • Tihany
  • The Caves of Lillafüred
  • Hortobágy National Park
  • The Hungarian Open Air Museum
  • Sopron
  • Eger Castle
  • Pecs Cathedral
  • Visegrád Royal Palace
  • The Buda Hills
  • Aggtelek National Park & Caves
  • Castle Hill
  • Esztergom Basilica
  • Great Synagogue
  • Memento Park
  • Basilica of St Stephen
  • House of Terror
  • Hungarian National Museum
  • Liberty Monument
  • Hungarian National Gallery
  • Museum of Applied Arts
  • Hungarian State Opera House
  • Liszt Music Academy
  • Pannonhalma Abbey
  • Museum of Fine Arts
  • Festetics Palace
  • The Royal Palace
  • Holocaust Memorial Center
  • Castle Garden Bazaar
  • Zwack Museum & Visitors’ Centre
  • Gül Baba tomb (Ottoman Darvesh, who took part in the capture of Buda in 1541)
  • Ervin Szabó Central Library
  • Vasarely Museum
  • House of Houdini (dedicated to the famous Hungarian-born magician and escape artist Harry Houdini, who was born in Budapest’s in 1874. This small museum has original items from Houdini’s life, such as personal letters, handcuffs and documents etc. At the end of the guided tour, guests are treated to a live 15-minute magic performance. A gem of a small museum and loads of fun.
  • Liberty Bridge
  • House of Hungarian Photographers
  • Buda Creative House
  • The New Theatre
  • Vantage point
  • Magic Tower
  • Ornamental Palace
  • City Hall
  • Bird Park & Clinic
  • Gresham Palace
  • The Nine-Hole Bridge
  • Tropicarium (vast aquarium complex)

and many more………

Residence or Work Permit in Hungary

Let us help to find you the easiest way to get a residence or work permit based on a business in Hungary in the European Union. By choosing our services, we go through the whole process.