Acquiring a business license in Ukraine has become really convenient! This explains the annual economic growth rate which has been record high in the past few years.
Various businesses are flocking in from all walks of life. Sooner or later, the country will become one of the most respected business centers in the EU. To be part of this prosperity, you should know how you can apply for a business license today.
What's the best business type in Ukraine?
Several business structures can be found in Ukraine. However, the most popular one is the Limited Liability Company structure (LLC). This is really convenient especially for Small to Medium Enterprises (SMEs).
This article will focus on the requirements and procedures you should follow to get your business license in no time.
What are the authorities involved in the registration process?
From the year 2016, the government of Ukraine declared that the registration of LLC businesses shall be handled by one of the following state authorities:
- The municipal city council's Executive Committees;
- The Notaries (either private or public);
- Public legal entities that are endorsed by the Ministry of Justice;
The LLC should have a minimum of one stakeholder. The maximum number of stakeholders is not limited. These stakeholders can be foreign/ local corporate entities or individuals.
The company should have one or more individual(s) as directors. The individual(s) can be local or foreign citizens. If they are foreign, a temporary residence permit and work permit would be required.
- Company Secretary
Secretary is not required.
- Registered address
A local business address should be available. This place will be used as an office by the company's management.
- Share capital
The share capital has to be created. However, Ukraine doesn't require a specific minimum share capital. You can even use 1 UAH.
- Registration Timeline and Cost.
The process will be done at no cost and it will take just one day if all the required documents are in place.
The LLC will be governed by these bodies:
- General Meeting of Shareholders (GMS);
- Board of directors/ director chosen by the GMS;
- Supervisory Board (not compulsory);
The Registration Procedure
The steps below reveal how you can incorporate an LLC company in Ukraine.
- Pre-registration Tasks
These are the tasks that you should complete before you can continue with registration processes. They include:
- A decision on the profile of the company;
- Drafting of a Memorandum and Articles of Associations;
- Holding of meetings to make decisions of incorporation, approval of the company charter, and appointment of member/s, director/s, Supervisor Board, and representatives;
- Notarization of the approved charter;
- Drafting of the application for the registration of the company;
Below is a list of documents that foreign individuals (founders) should file to submit through a representative.
- Tax certificate/s provided in Ukraine;
- A power of attorney;
Documents to be issued by Foreign Legal Entities-founders:
- An Extract issued by the Company Registrar of your country residence;
- Power of attorney;
- Additional documents to apply for a work permit if you're going to appoint a foreign director.
- Filing for Registration
The pre-registration documents have to be filed with the Companies Registrar. The Company Registrar will then provide a receipt that lists all the filed documents plus an application filing number. You will use this filing number to check for your registration status on the online service of Ukraine's Ministry of Justice.
- Confirmation of Registration
At this stage, you can go and get an Extract from the Companies Registrar confirming successful registration. You can also be given a hardcopy of the document.
Aftermath, the Companies Registrar will inform the Tax, and Pension Fund authorities about your registration.
- Post-Registration Tasks
After completing your registration, you also have to complete some post-registration tasks to begin operating your business smoothly.
You should note that:
Regardless of whether you want to register the company as a legal entity or as an individual, all foreign documents (excluding passport) you bring have to be apostatized or legalized.
And also, if the documents are compiled in a foreign language that isn't Ukrainian, you should provide a certified translation.