More than 10,000 companies didn’t survive the summer

In the summer months of 2017 6,720 new companies were established, but the Court of Registration also deleted 10,319 companies. At the end of August there were approximately 487,000 companies in Hungary – 3,600 less than at the beginning of the summer. Richárd Pertics, business unit manager of Opten Kft. told our magazine that the summer months are traditionally weaker in terms of both establishing and deleting companies.

It is good news that a growing proportion of businesses exit the country’s economy in a regulated fashion, with their owners taking the necessary responsibilities. However, in August no less than 3,285 forced deletion procedures were started – this is more than in any other months of the last two years. This phenomenon probably has to do with the fact that many limited companies (Kft.) failed to comply with the new capital raise rule by 15 March 2017. //