The short answer
Forming a Hungarian Kft in 2026 requires five conditions to be met:
- At least 3,000,000 HUF share capital (§ 3:161 of the Civil Code).
- At least one founding member (a natural person or a legal entity).
- A registered seat in Hungary.
- Articles of association with attorney countersignature (§ 6 of the Companies Act).
- At least one managing director (Hungarian or foreign).
The process takes 2–8 working days. On the Zenty platform we check each condition continuously as you complete the intake.
1. Share capital — minimum 3,000,000 HUF
The minimum share capital of a Kft is 3,000,000 HUF under § 3:161 of the Civil Code (Ptk.). It is assembled from the members' cash and/or in-kind (apport) contributions.
(a) Cash contribution
A bank transfer to the company's account. Paying the full amount at incorporation is the simplest route, but § 3:161 (4) permits the members to pay in at least half of the committed amount now and the remainder within a defined period (the articles typically set 1–2 years).
(b) Apport (in-kind contribution)
Transferring an asset to the company: real estate, a vehicle, intellectual property, a receivable. § 3:162 of the Civil Code sets separate rules for valuing apport — an expert valuation is required, and the value must be stated in the articles of association. Where apport represents more than half of the members' total contribution, auditor certification is mandatory.
The two can be combined — for example 2,000,000 HUF in cash plus 1,000,000 HUF in apport.
“Forming a Kft with no share capital” is not possible in 2026. What is possible: paying in half of the share capital later (§ 3:161 (4)).
2. Members — one or more
Single-member Kft — a single founder. This is the most common form for new ventures. The member may be a natural person or a legal entity (another company).
Multi-member Kft — two or more founders. There is no statutory upper limit, but in practice it rarely exceeds 10–15 members — above that, the Zrt form is administratively simpler.
In either form, members may be:
- Natural persons — Hungarian or foreign nationals. For a foreign member: an apostille on the identity documents, a Hungarian translation, and a process agent (included in the Zenty International tier).
- Legal entities — other companies (Kft, Bt, Zrt, a foreign undertaking). A company extract and a representative with signing authority are required.
Ownership proportions can be set freely and are recorded in the articles of association. The ownership proportion determines voting rights and (typically) the distribution of profit as well — though a separate contractual rule can be agreed for the latter.
3. Registered seat — registered in Hungary
A precondition of registering the Kft is that it has a registered seat (székhely) in Hungary. There are three main options:
Owned property
A property held in your own name or the company's name. A copy of the title deed is required. If you give your home address as the seat, note that the commercial registry is public, so the address appears publicly.
Leased property
A leased office or leased flat can also be the seat — in that case the owner's written consent is required (a template is provided in the Zenty intake). The lease agreement may also be needed, and the tax authority (NAV) can verify that the seat given is a real place of presence.
Registered-address service (HomeBase or another)
Hungarian law recognises the registered-address service as an official company-address option, under Ministry of Justice Decree 7/2017. (VI. 1.) IM. Zenty HomeBase starts from 9,990 HUF/month — a Budapest address with mail receipt and digital scanning. See the tiers and pricing →
4. Articles of association with attorney countersignature
Under § 6 of the Companies Act (Ctv.), the attorney countersignature is a validity conditionof a Kft's articles of association. It is not optional, and Zenty as a software company cannot perform it.
In the Zenty process, the partner law firm performs the countersignature — by video call. For the details of the process: the full company-formation process →
The mandatory contents of the articles of association (§ 8 of the Ctv.):
- The company's name and registered seat
- The members' identification details
- The company's activity (or activities)
- The amount of share capital and the members' contributions
- The managing director(s)
- The manner of the company's representation
- The company's start date and business year
5. Managing director — at least one
A Kft has at least one managing director (ügyvezető), elected by the members. The managing director:
- May be a member or an external person.
- May be a Hungarian or a foreign national.
- There may be more than one managing director — the articles set out the manner of representation (sole or joint signature).
The managing director must hold a signature specimen — Zenty generates this automatically once the data is entered, and it becomes valid at the attorney-countersignature stage. Under § 3:24 of the Civil Code, the managing director owes the company a duty to act in compliance with the articles of association and the applicable law.
Special cases
Single-member Kft
A single member, a single managing director (they may be the same person). Hungarian law recognises this fully — § 3:178 of the Civil Code regulates it separately.
Foreign founder
A foreign-national founder with no Hungarian address needs a few additional things: an apostille on the foreign identity documents, a certified Hungarian translation, and a process agent. The Zenty International tier includes these for 12 months.
Licensed activity
Certain activities (construction, hospitality, cleaning, education) are licensed — registering the Kft does not by itself start the activity; a separate permit is required from the authority. Zenty flags licensing requirements automatically during the intake.
Should I form a Kft, or something else?
Kft vs sole proprietorship
A sole proprietorship (egyéni vállalkozás) has a lower entry cost and less administration — no share capital, no attorney countersignature, and it can be started at NAV. But personal assets are fully exposed to the obligations of the business. A Kft takes more effort at the outset, but personal assets are protected up to the amount of the share capital. Above a certain revenue level (typically around 12,000,000 HUF a year), the Kft can also become more favourable on tax efficiency.
When it pays to start with a Kft: a higher-risk activity (construction, hospitality), multiple founders, you expect an investor, you are building for the long term.
When it pays to start as a sole proprietor:a service, low risk, single person, uncertain revenue, a “testing the waters” phase.
Kft vs Bt
A Bt(limited partnership) needs at least 2 members, including at least one general partner whose liability is unlimited. There is no share-capital requirement and the administration is simpler. But the general partner's liability is effectively the same as a sole proprietor's. The Kft is therefore almost always the safer choice.
Kft vs Zrt
A Zrt (private limited company) requires a minimum capital of 5,000,000 HUF, with shares. It is worth considering where a capital increase or IPO is expected, where a shareholder structure is needed, or where a regulated industry (an insurer, for instance) requires it. The Kft is more flexible for small and mid-sized companies.
The company-name check
Before you commit, Zenty runs a name check against the commercial registry — a manual, transactional service: you submit the proposed name and we reply within one working day on whether it is distinguishable from existing registered names and free to use. The check is free, and it happens before any fee is charged. A Kft name must carry the legal-form designation in Hungarian and must be distinguishable from existing names regardless of language.
Sources
- Hungarian Civil Code (Ptk.) — Act V of 2013: § 3:161, § 3:162, § 3:178, § 3:24. NJT
- Hungarian Companies Act (Ctv.) — Act V of 2006: § 6, § 8, § 36. NJT
- Ministry of Justice Decree 7/2017. (VI. 1.) IM on the registered-address service.
- NAV — nav.gov.hu
Reviewed by Dr. Tallár Ákos, attorney (Tallár Law Firm, MÜK 5203)