Striking off or closing a company in Hungary for whatever reason can be daunting if you are unaware of the potential steps or pitfalls involved. Without specialist knowledge you may fall at the first hurdle and it is better to close or wind up the company in Hungary cleanly without leaving a stack of administrative liabilities behind you. Our staff at Close a European Company can provide a full package of bespoke services according to your individual/corporate requirement as follows:

We offer the following services for dissolving/winding up a company:

    • Accountancy advice
    • Taxation services
    • Legal advice
    • Liquidation and insolvency services
    • Personal Liability Advice
    • Advisory/restructuring services

OPTIONS FOR DISSOLVING/WINDING UP A HUNGARIAN COMPANY?


The procedure for liquidation of a company is highly formalized, comprising several stages. Dissolution of the company by way of liquidation is possible only if the company is solvent and has sufficient funds available to complete the process of liquidation (or if these will be financed by the shareholder). This means that funding must be available to satisfy the rights of creditors and shareholders, and the company seat and contact information must be kept available throughout the liquidation period. The process in practice last for between 6-12 months.

In order to ensure that the Hungarian company is closed in the proper manner and in the quickest possible timeframe you will need to follow the steps below:

    • A meeting of shareholders is convened and held; resolutions approving the opening of the liquidation and appointment of a liquidator are passed (the liquidator can be an agent or another person appointed to handle the procedure, so you can authorize us via POA to deal with this for you)
    • Documentation is filed at the company registration court.
    • The company's name is extended by a suffix "in liquidation"
    • The liquidator assumes the role, duty, responsibilities and liabilities of the board of directors.
    • An announcement regarding the liquidation is placed in official publications inviting creditors to come forward.
    • A period of 40 days from the date of publication of such announcements passes; since the publication is initiated by the trade registry (not us), up to 30 additional days may pass between our notification of the trade registry and the actual publication date.
    • The liquidator causes the company to satisfy the claims of creditors
    • Following such 40 days period and in the event that the liquidator is satisfied that all creditors' claims are sufficient, the liquidator may start actions to close the company.
    • Further shareholder resolutions, balance sheets and filings at court are required.
    • The company must continue, until the moment of its liquidation, to satisfy all normal company secretarial and compliance obligations of the company, including maintenance of accounts, tax and other filings.
    • Liquidation proceeds may be distributed only at the close of the liquidation

ADVANTAGES OF LIQUIDATION

    • This is the only straightforward way of ensuring that your company is closed in the correct manner
    • You have the "upper hand" in negotiating with any creditors you may have, so it is possible to reach amicable solutions and avoid legal conflict

DISADVANTAGES OF LIQUIDATION

    • Expensive but the only way that a company can be dissolved in the most efficient manner
    • If the company is not dissolved in the proper manner then this could take time and money as you can incur unwanted fines and lawsuits. Please contact us on +44 (0)203 114 5113 for assistance and fees for winding up your company in Hungary

MAKE AN ENQUIRY NOW

We can assist you with either Voluntary liquidation, Insolvency or structuring services to ensure that you are following the right path – Please call: +44 (0) 208 421 7470 or fill in your details below