Registration of IT company in Ukraine: steps, cost and terms

We were approached by our clients, representatives of a large foreign company. They wanted to open their own IT department in Ukraine - a separate company that would provide their project with the necessary developments in the field of IT. Also such a company was to work on the sale of software for design and planning. 

Ukraine offers a large number of highly qualified and relatively inexpensive staff, as well as significant tax preferences when working in the IT sphere in Ukraine. Therefore it is not surprising that many foreign investors and companies consider Ukraine as a successful platform for their business.

The client was interested in creating an IT company in Ukraine on a turnkey basis, which would include not only the registration of the company in an optimally profitable form, but also addressing specific personnel issues. For example, the employment of foreign top managers in the company.

We have developed a project for the Client to register his company and carry out all the necessary additional actions, so that the company could immediately hire the necessary personnel and start working. Today we will share the nuances of such a procedure.

Related article: How to do business related to e-commerce in Ukraine 

What is the procedure for registering an IT company in Ukraine?

The plan of the foreign company was to register a company in Ukraine in the name of physical persons - the founders of the foreign company. One of the foreign founders was also supposed to become the director of the company. This would give full control over the work of the Ukrainian division, and would also give the foreign director an opportunity to obtain a residence permit in Ukraine - he would be able to come as many times as he needed to monitor the conduct of his activities.

So our first action was to register a legal entity with foreign founders and a foreign director at the head. To do this in Ukraine, foreign founders needed to get a TIN, which we managed on our own in three days on the basis of a power of attorney (without the personal presence of the founders in Ukraine).

For the registration of the company we have developed the Charter corresponding to the specifics of the organization work, as well as prepared the minutes of the general meeting of founders. Our lawyers filled out all the necessary applications, after which we registered LLC in Ukraine. The whole process of documents preparation and company registration took us two days.

It was necessary to obtain a Work Permit for a foreign director. Without it, it was impossible to appoint him as a director and employ him in the company. At the registration stage, we listed as a director our trusted lawyer, who, after obtaining the Work Permit for the foreigner, responsibly delegated all authority to him. 

Related article: How to open an online store in Ukraine as a foreigner?

How to employ a foreign director in an IT company?

Since our lawyer was initially the director of the company, we prepared the documents for the Employment Center ourselves for the issuance of a Permit to employ a foreigner. We did everything ourselves, and already in 5 working days we had the original RNT in our hands.

After that, the foreigner was able to take over his position from the temporary director, and directly begin to fulfill his employment obligations. 

Important! It is necessary not only to execute and get a work permit, but also to complete the process correctly - you need to sign an employment contract with the director, and then within 10 days to pass a copy of it to the employment center. If this is not done - the Employment Permit will be revoked.

The last and most important stage was opening an account, obtaining an electronic digital signature for a legal entity and transferring the originals of all documents to the director. 

Before starting all the work, we agreed with the client on the specific terms of its implementation and notified that for the account and EDS the director will need to come in person. We coordinated the time and day of the meeting at the bank in advance, so that it would take our client a minimum of time. 

A ready-to-work foreign IT business in Ukraine was registered within a month, with the Client spending no more than 1 day of his personal time.

If you are planning to open an IT or other business in Ukraine - contact us. We will not just register a company, we will find a business registration option that suits you. We also take care of all the difficulties of employing the personnel you need and preparing the business for opening.