How can you set up a company without coming to Hungary?
According to the law, the documents required for establishing a company must be signed in the presence of a lawyer who countersigns them. If you live abroad and are unable or unwilling to travel to Hungary for this purpose, your signature can be certified at a Hungarian consulate abroad, or the signed document can be provided with an Apostille in accordance with the Hague Convention.
What is the difference between a limited company and a branch office?
The question often arises as to whether a foreign parent company should establish an independent limited liability company (Kft.) in Hungary, or merely a branch office or a representative office. The key difference between an independent company and a branch office, or a representative office is that while the founder of the kft., i.e., the parent company, is not liable for any debts of the limited liability company (subsidiary) it has established, the founding parent company is liable for the debts of the branch office or representative office. A branch office or representative office established in Hungary by a foreign company is part of the founding parent company, whereas the parent company is merely the owner of a limited liability company.
The main difference between a branch office and a representative office established in Hungary by a foreign company is that while a branch office is authorized to conduct independent business activities, a representative office engages only in informational, advertising, and promotional activities and acts as an intermediary in contracts or prepares contracts on behalf of the parent company.