Legal Address for Hungarian company

In the context of doing business in Hungary, having a registered office is a prerequisite for the registration and operation of a company. The registered office serves as the main channel for official correspondence between the public authorities and the company, and also fulfils a number of important functions in day-to-day business activities.

1. Legal requirements

Under Hungarian law, every company is required to have a registered office within the country. This requirement is necessary for:

• Company registrations: The registered office is used to make an entry in the Hungarian commercial register.
• Correspondence: The registered office should be used to receive official notices, tax documents and court notices from government and non-government organisations.

2. Choice of legal address

Choosing a legal address in Hungary can be done in several ways:

• Renting office space: The traditional way which involves renting an office or commercial space.
• Virtual office: A popular option for startups and international companies that do not require a physical presence. A virtual office provides a legal address and may include additional services such as mail acceptance, telephone services and access to office space.
• Using a legal address through service companies: Some companies offer their addresses as legal addresses for other organisations. This can be advantageous in terms of cost and convenience.

3. Meaning of the legal address

A registered office plays a critical role in the life of a company:

• Legitimacy and trust: Having a stable legal address increases the trust of clients and partners, confirming the legitimacy and seriousness of the business.
• Legal protection: A legal address ensures correct and timely receipt of all legal and official documents, which is essential to protect the rights and interests of the company.

4. Pitfalls

The wrong choice or use of a registered office can lead to legal problems, including fines and administrative offences. It is important for companies to choose an address carefully and ensure that it complies with all legal requirements.

A legal address in Hungary is not just a formality, but an important element of the company structure that requires careful consideration and competent management. The right choice and use of a legal address can significantly simplify the legal conduct of a business and ensure its sustainable development.