Obtaining Special Permits and Licenses in Hungary

Certain industries are subject to specific business licenses in Hungary. These permits are issued by various authorities, in accordance with the type of activities to be completed.

Below, our lawyers in Hungary summarized some of the most important licenses a company must obtain before starting its operations. They are also at the service of investors interested in setting up businesses and filing for the required permits.

Types of business licenses in Hungary

There are several types of business permits a company may be required to apply for in Hungary. They are the general ones, that must be obtained by all businesses and that refer to:

• using the premises they operate in;
• fire and safety authorizations.

Then, there are the permits that enable them to comply with industry-specific requirements. This is the case of:

• pharmaceutical companies;
• travel agencies;
• recruitment firms;
• restaurants and other food establishments;
• healthcare facilities;
• financial companies.

These are just some of the highly regulated sectors, so if you want to open a business in any of them, you can rely on the assistance of our law firm in Hungary. This way, you can start your activities stress-free.

General requirements to obtain a business permit in Hungary

It is important to note that you can apply for a Hungarian business license through your company or as a sole trader. Both options are available if you are a foreign citizen interested in immigration to Hungary as an entrepreneur. The only additional condition is to obtain a Hungarian residence permit to prove you have a local address.

Having local premises for your enterprise is one of the main conditions for being issued a Hungarian business license. Please note that in some cases (hospitals, clinics, hair and cosmetic salons), these must meet certain hygiene standards.

Another general requirement to obtain a business permit is to have experienced or trained staff to carry out certain activities.

Apart from these, each authority can impose specific rules, in accordance with industry standards. As these are usually covered by dedicated laws, you can ask for the support of our Hungarian lawyers to understand the requirements to comply with.

We also have an infographic covering this subject:

Regulated industries in Hungary

Industries like mining are also regulated and exploitation permits are allowed for a limited amount of time. However, foreign companies can invest in this sector.

Companies in Hungary that perform import and export activities must obtain import and export licenses. A special permit must be obtained from the Hungarian Ministry of Economy for importing products like precious metals, oil, gas, or coal. Our lawyers in Hungary can give you a complete list of the products that require special permits to be imported. Special certificates may also be needed to engage in certain construction works. It is also useful to note that there is no trade license in Hungary, as many of the imported products no longer need one.

Professional recognition in Hungary

Foreign citizens who want to carry out a professional activity in Hungary can do so by having their qualifications recognized. This means that the organizations regulating a certain profession will be in charge of recognizing the skills of a foreign national. The procedure applies to both EU and non-EU citizens who must file various documents to obtain their license. Diplomas, apprenticeship certificates, and qualification courses are some of the papers required.

While in some European countries, such activities are covered by trade licenses, we remind you that this is not the case in Hungary.

Investing in Hungary

Foreign investors in Hungary are guaranteed to have the same rights as national investors. They are also allowed to transfer profits and investment capital to their home country and generally have a large number of options when it comes to choosing an investment field and business in Hungary.

Foreign ownership is permitted to as much as 100% in most business fields. However, there are certain sectors that are considered strategic and are restricted to foreign investors. These are mainly in the defense and military industries. 

Current governmental policies aim at making Hungary an even more attractive business destination and previously restricted areas are now being open for privatization. Foreign investors in Hungary can choose from a number of legal entities when opening a company.

Here is also our video on this topic:

Recent statistics on company numbers in Hungary

According to the latest information gathered by a data aggregator, at the level of August 2024:

• there were over 668,425 businesses registered in Hungary;
• the largest number of 271,850 companies were operating in the services sector;
• 114,240 of these enterprises had as an object of activity finance, insurance, and real estate;
• there were also 86,731 retail trading businesses operating in the same period.

If you need more information about the special business permits and substitutes of trade licenses required to do business in Hungary, our Hungarian lawyers can help answer your questions. You can also contact our law firm in Budapest if you need any legal services in Hungary.