How much does it cost to register a business in Ukraine?

If you're considering starting a business in Ukraine, one of the first steps you'll need to take is to register your company with the government. The process of registering a business in Ukraine can be complex, and it's important to have a clear understanding of the costs involved.

The cost of registering a business in Ukraine can vary depending on a number of factors, including the type of business you're starting, the size of your company, and the location where you plan to operate. Here's a breakdown of the costs you can expect to encounter when registering a business in Ukraine.

State Registration Fee

The first fee you'll need to pay is the state registration fee. This fee is charged by the Ministry of Justice of Ukraine and covers the cost of registering your company with the government. The fee is calculated based on the size of your company's charter capital and ranges from 640 UAH to 17,000 UAH (approximately to 0) depending on the size of your business.

Legal Services

While it's not required to hire a lawyer to register your business in Ukraine, many entrepreneurs choose to do so in order to ensure that the process goes smoothly and that all necessary documents are filed correctly. Legal services can range from a few hundred dollars to several thousand dollars depending on the complexity of your case.

Notary Services

You'll also need to have several documents notarized during the registration process, including your company's charter, the minutes of the founding meeting, and the application for state registration. Notary fees in Ukraine are regulated by law and are typically around 1% of the value of the transaction.

Accounting and Tax Services

Once your business is registered, you'll need to comply with Ukrainian tax law and file regular tax returns. Hiring an accounting firm or tax advisor can help ensure that you stay compliant and avoid any potential legal issues. The cost of these services can vary widely depending on the size of your company and the complexity of your accounting needs.

Overall, the cost of registering a business in Ukraine can range from a few hundred dollars to several thousand dollars depending on the size and complexity of your business. It's important to do your research and work with experienced professionals to ensure that the registration process goes smoothly and that you have everything in order to start your new venture.

Related article: How to create a business in Ukraine if there are several owners? How to fix relations in the company?

What types of business in Ukraine are considered the most profitable and why?

When starting a business in Ukraine, it's important to consider which types of businesses are the most profitable. Here are some of the most profitable types of businesses in Ukraine and why:

1. IT and software development - Ukraine has a growing IT industry, and many businesses are looking for software solutions to improve their operations. The IT sector in Ukraine is known for its talented and skilled workforce, and the cost of labor is relatively low compared to other European countries. This makes it a popular choice for investors looking for profitable opportunities in the tech sector.
2. Agriculture - Ukraine has a rich agricultural heritage, and the country has a vast amount of fertile land. The agriculture sector in Ukraine produces a wide range of crops, including wheat, corn, and sunflowers. There is also a growing demand for organic and sustainable agriculture products in Europe, which creates opportunities for Ukrainian farmers to expand their markets and increase their profits.
3. Real estate - The real estate market in Ukraine has been growing steadily in recent years, with many investors seeing opportunities for high returns on investment. Property prices in Ukraine are relatively low compared to other European countries, and there is a growing demand for residential and commercial properties in major cities like Kyiv and Lviv.
4. Energy - Ukraine has significant natural resources, including coal, oil, and gas. The energy sector in Ukraine is being modernized and privatized, which creates opportunities for investors to enter the market and take advantage of the growing demand for energy resources in Europe.
5. Tourism - Ukraine is home to many historical and cultural attractions, including ancient cities, castles, and churches. The tourism industry in Ukraine is growing, and there is a growing demand for high-quality tourist services, including accommodation, transportation, and guided tours.

Overall, these industries are considered to be the most profitable in Ukraine due to the country's favorable business environment, skilled workforce, and abundant natural resources. However, it's important to conduct thorough research and work with experienced professionals to ensure that you choose the right type of business and have everything in order to start your new venture.

Related article: How to start your IT business in Ukraine?

Which types of business require the biggest investments?

The amount of investment required to start a business in Ukraine can vary greatly depending on the type of business, its size, and its location. However, here are some examples of businesses that typically require the biggest investments in Ukraine:

1. Manufacturing - Manufacturing businesses require significant investments in equipment, machinery, and raw materials. The cost of setting up a manufacturing plant can be high, and ongoing operational costs can also be substantial. The size of the investment required will depend on the type of manufacturing business, the scale of operations, and the location of the facility.
2. Infrastructure - Infrastructure projects such as road construction, bridges, and power plants require significant investment, both in terms of capital expenditures and ongoing operational costs. These types of projects often require extensive planning and government approval, which can add to the overall cost of the investment.
3. Mining - The mining industry in Ukraine requires large-scale investments in equipment, infrastructure, and labor. Mining operations can be capital intensive, and ongoing costs such as exploration, extraction, and processing can also be significant.
4. Real Estate - While real estate investments can vary greatly in terms of cost, large-scale commercial and residential development projects often require significant investment in land, construction, and other related expenses. The cost of real estate investments can vary greatly depending on the location, size, and complexity of the project.
5. Energy - Energy projects such as power plants, wind farms, and solar facilities can require significant investment in equipment, infrastructure, and labor. These types of projects often require extensive planning and government approval, which can add to the overall cost of the investment.

Related article: Cost and timing of opening an account in a Ukrainian bank in 2022

5 advices for those foreigners who plan to start business in Ukraine

1. Do your research - Before you start a business in Ukraine, it's important to do thorough research on the market, industry, and legal requirements. Ukraine has its own unique business environment, so it's important to understand the local laws, regulations, and customs. Seek advice from local experts and consult with professionals to ensure that you have a clear understanding of what's required to start and operate a business in Ukraine.
2. Build relationships - Ukraine is a relationship-driven culture, so building strong relationships with key stakeholders can be critical to your success. Take time to network with local business leaders, government officials, and potential customers or partners. Building trust and understanding can help you navigate potential challenges and create new opportunities.
3. Consider the language barrier - Ukrainian and Russian are the primary languages used in Ukraine, and English proficiency can vary among the local population. Consider hiring a translator or interpreter to assist you with communication, or take language lessons to improve your own proficiency. The ability to communicate effectively with local stakeholders can help you build trust and credibility.
4. Be patient - Starting a business in Ukraine can take time, and the process can be complex. Be prepared for delays and setbacks, and try to maintain a patient and positive attitude. Work with local professionals who can help guide you through the process and provide you with the support you need to succeed.
5. Embrace the culture - Finally, it's important to embrace the local culture and customs. Ukraine has a rich history and tradition, and understanding and respecting the local culture can help you build stronger relationships and create a positive impression. Take time to explore the local culture, traditions, and cuisine, and consider incorporating these elements into your business strategy or branding.

Our company helps to go all the way to starting a business in Ukraine simply and safely. We are a reliable legal partner who will help you not only register the right business and obtain permits for it, but also accompany your business on the way to its development.

We offer:

• registration services;
• obtaining licenses and permits for business;
• accounting and legal support of business;
• assistance in concluding contracts, including investment ones;
• tax and financial planning, etc.

The cost of our services can be found here.