Immigration Services Hungary

A resident permit is required if you intend to stay in Hungary for more than 90 days. Resident permits are available for paid activity, educational purposes, family reunification, medical treatment, accredited research and voluntary work. This information focuses on residency permits granted to individuals from non-EU countries who wish to set up a business in Hungary.

A Resident Permit gives you the following rights:

• To reside in Hungary for up to 3 years, after which you may apply for Permanent Residency
• To enter any other Schengen country an unlimited number of times for short visits.

BENEFITS OF A HUNGARIAN LONG STAY VISA

• No work permit required if you are an executive director/owner of a Hungarian company
• After 3 years of uninterrupted legal stay you can apply for permanent residency.

Applicants must either set up a company in Hungary for which they assume the role of executive director, or they must have a valid job offer at a company operating in Hungary, to be eligible to work in the country.

The company formation procedure is as follows:

1) Incorporation

We will set up a company via Power of Attorney. However, there is an obligation for Hungarian companies to have a bank account locally (in Hungary), and it is difficult to open bank accounts remotely for non-EU nationals. Before we set up the company, we will consult with the bank but it is possible that the applicant will have to be present for the account opening, in which case he/she would have to plan a visit for the incorporation or soon thereafter.

2) Preparation of business plan

With the applicant's input, we will prepare a business plan for the company that he/she can use for applying for a resident visa.

3) Housing search

The applicant will need a rented or purchased property in order to provide a resident address. If he/she visits Hungary, we can arrange viewings of a few suitable (short-listed) properties, and he/she can sign a lease. This typically does not take more than a day or two. If the applicant cannot visit, we can try to secure a lease on his behalf via POA, subject to certain conditions.

4) Insurance

The applicant can either take out private health insurance that provides comprehensive coverage in Hungary; state insurance is also acceptable. In the latter case, he/she would be employed with his own company at minimum wage (which may help the visa application, and may be mandatory anyway if the applicant has no full-time gainful activity elsewhere) and pay the associated cost to the state.

5) Visa application

In the first phase of the process, the third-country applicant (non EU) must apply for an entry visa in his country of citizenship or country of residence (in case the two are distinct). Once he/she obtains the visa (which takes 30 days) he/she can travel to Hungary and start his business. The first visa will most likely only be issued for 1 year, after which it will come up for extension, based on how his/her business is progressing.

Total time frame: approx. 2 months including everything (except for potential appeals)

Our Service

• Supplying a checklist for any and all documents to be submitted
• Handling all necessary official translations (at additional cost, borne by the applicant)
• Compilation of documents to be submitted
• Handling legal questions received from the authorities
• Submission of outstanding/supplementary documentation
• General advice/instruction during the application process
• Personal representation in official matters, as permitted by law
• Handling appeals (additional fees may be incurred)

The applicant must apply for a work permit, and only after successfully receiving one can they apply for a visa.

Work permit

A work permit is required only in the case of non-EU nationals. If a 3rd country citizen holds the position of executive director then he is also exempt from this requirement.

The work permit has to be applied for by the future employer, in other words the employee's work permit will not be granted if he does not have a job offer. The permit is tied to a particular position, so if the foreigner changes jobs, the work permit loses its validity and the person has to start the procedure over once he/she has a new job. If the foreigner needs to travel to Hungary in order to search for a job or meet prospective employers, he/she must do this on a short-term visa.

The procedure is as follows:

1. The company must advertise the job through the employment center of the district where the business is located, by filling in and submitting a data sheet and a 'demand for labor' reporting sheet. The advert should be live for 15 days before a hire can be made. The application can be submitted via POA on behalf of the company.

2. On the 16th day an application by the future employee may be submitted and the actual work permit procedure can begin. The application is evaluated within a maximum of 30 days.

In summary, the procedure takes a total of 45 days: 15 + 30 days if the application is filed without any missing data and all requirements are met.

Resident permit

After the work permit has been acquired, the procedure for residency is the same as for a business owner (see above), with the exception that no business plan needs to be submitted.

Our Service

• Supplying a checklist for any and all documents to be submitted
• Handling all necessary official translations (at additional cost, borne by the applicant)
• Compilation of documents to be submitted
• Handling legal questions received from the authorities
• Submission of outstanding/supplementary documentation
• General advice/instruction during the application process
• Personal representation in official matters, as permitted by law
• Handling potentially arising appeals (additional fees may be incurred)

This is often known as Intra-Company Transfer or Intra-Corporate Transfer.

This option is available if you're transferring from a position in a company that is situated outside the EU, and you're moving within the company or the group into an EU country to for a specified period of time that has a defined start and end date, after which you must return to your country of origin.

Work Permits in Hungary must be applied for by the future employer, in other words the employee's work permit will not be granted if he does not have a job offer. The permit is tied to a particular position, so if the foreigner changes jobs, the work permit loses its validity.

An Intra-Company Transfer Permit can be issued for six months or less or 24 months or up to a maximum of 36 months. This permit is suitable for personnel coming to Hungary for a clearly defined period.

The Delegation is subject to the following conditions:

• The sending company must prove a direct link with the host company.
• The permit is issued on the basis of an assignment contract between two companies, which confirms that the salary will be paid in the country where the employee is originally employed.

Our Service

• Supplying a checklist for any and all documents to be submitted
• Handling all necessary official translations (at additional cost, borne by the applicant)
• Compilation of documents to be submitted
• Handling legal questions received from the authorities
• Submission of outstanding/supplementary documentation
• General advice/instruction during the application process
• Personal representation in official matters, as permitted by law
• Handling appeals (additional fees may be incurred)