Foreign Business in Ukraine: Comprehensive Legal Support for an Indian Citizen

Today, entrepreneurial activities are incredibly diverse, offering numerous opportunities for profitable projects across the globe. The business sphere presents a plethora of possibilities for realizing lucrative ventures. Thus, selecting the right location for business development becomes a crucial strategic decision. Choosing the appropriate jurisdiction is half the battle on the path to successful operations, while partnering with reliable allies ensures stability and security.

In this context, we'd like to share a case study highlighting the journey of one of our clients, an Indian citizen, who chose Ukraine to realize his business project. The client intended to establish an equestrian business, which he already operated in his home country, in Ukraine. However, he decided to initiate his entrepreneurial endeavors in Ukraine by establishing a company specializing in animal feed formulations. Consequently, our team was tasked with several objectives:

• Advising on the appropriate organizational and legal structure for the foreigner's company and the tax regime aligned with the business nature.
• Handling the company registration process in Ukraine and facilitating the opening of a bank account for a non-resident.
• Assisting the client in preparing and submitting the required documentation to obtain a D visa from India.
• Securing a residence permit based on entrepreneurial activities within specified timelines.

Moreover, this case involved a unique aspect not commonly encountered by our legal team: the client aimed to relocate his minor child to Ukraine. This required a nuanced approach due to the complexity of immigration laws. Nevertheless, our team adeptly managed these multifaceted challenges, ensuring the timely completion of tasks while prioritizing client convenience. Thus, this article will elucidate the swift process for a foreign national to establish a business in Ukraine.

Registration of Foreign Business in Ukraine: Initial Steps

The legislation differs from one country to another, and Ukraine is no exception. That's why many foreigners who plan to start a business in our country, attracted by low taxes and relatively inexpensive labor compared to other popular jurisdictions, expose themselves to risks due to their lack of knowledge of local legislative norms. After all, violations can often lead to substantial fines and penalties. Therefore, it's crucial to find a reliable partner who can assist in opening a business while considering all legal aspects and a professional team that can ensure quality service in the future.

Our legal firm has become such a partner and support. By assisting our client, we not only provided professional legal assistance but also opened doors for him to embark on a new phase of successful entrepreneurial life in Ukraine, making this journey as comfortable and understandable as possible.

Registration of a Non-Resident Company in Ukraine: Comprehensive Legal Support

The registration of a foreigner's company in Ukraine is the initial stage where our team of lawyers conducted an analysis of the situation and consulted with the client to identify the needs and intentions for business activities in Ukraine. In this case, it was crucial to choose the appropriate organizational and legal form of the company and the taxation system in line with the specific requirements of the client's business. Based on the analyzed data, our lawyers recommended registering a Limited Liability Company, considering its goals and requirements, such as operating as a legal entity and generating profits.

The client opted for our turnkey business registration service, which included a full range of services for swiftly opening a business in Ukraine. Thanks to the extensive experience of our lawyers and their professionalism, the company registration process was carried out efficiently and promptly.

Obtaining a Work Permit for Citizens of India

The next phase involved securing work authorization in Ukraine for a specified period as required by the client. We prepared all the necessary documentation, from translating the passport to drafting the employment contract, power of attorney, and company statement. Our legal team established close collaboration with the Employment Center to acquire information about the status of document reviews, processing stages, and ensuring timely responses. Ultimately, thanks to our well-calculated steps and expertise, the foreign client obtained the work permit within 5 days.

Obtaining Visas for a Citizen of India and His Minor Child

It was crucial for the client not to be separated from his minor son and to stay in Ukraine. Therefore, he wanted to minimize the time spent on trips. Consequently, we took full responsibility for the case and simultaneously processed documents for visas to Ukraine and obtaining permits for two individuals: the client and his minor son, with minimal involvement of his time. How did we achieve this?

To obtain the visa, we prepared the entire package of documents remotely, without the client needing to come to Ukraine. We then sent it by mail to India. Our specialist scheduled him in the electronic queue for a convenient date and time. Additionally, we completed the electronic visa application, which was sent to the consulate. After that, the client appeared at the Ukrainian consulate in India with all the necessary documents and successfully obtained the visa. Thus, the process of obtaining documents for legalization occurred quickly and smoothly. The guarantee of efficiency and timely task completion was the fact that our immigration lawyer, with over ten years of experience working in the State Migration Service, handled the case and thoroughly knew all procedural nuances.

You may also like: How to Obtain Residence Permit in Ukraine When One Family Member Already Holds It?

Establishing a Business and Organizing Operational Processes: From Opening Bank Accounts to Accounting Support for the Company

Pravova Dopomoga Law Firm comprises professionals from diverse legal backgrounds that collaborate on our clients' projects simultaneously, each bringing expertise in their respective fields. This collaborative approach sets us apart from other legal firms and is a key reason why clients choose our services. Consequently, even in handling complex, multi-faceted cases, we deliver prompt, high-quality solutions, tailored to each client's needs. Our ultimate objective is to ensure timely and effective resolutions for our clients, minimizing their personal time investment.

Given the necessity to open a bank account for a non-resident in this particular case, this responsibility was delegated to a specialist proficient in this area. They actively liaised with banking institutions, successfully navigating compliance procedures for the company, of which our foreign client serves as the founder and director. It's worth emphasizing that for non-residents, the accurate completion of all banking documents and providing clear explanations to the bank regarding the company's activities, fund sources, business partners, etc., is paramount.

Regrettably, not all legal practitioners possess the requisite expertise, often resulting in delays and unsuccessful attempts to open bank accounts for their clients. However, this is not the case with us. Leveraging over a decade of experience in facilitating the opening of personal and corporate accounts, we swiftly established the necessary accounts for our client.

Personnel Matters, Accounting Support, and Assistance in Drafting Agreements for a Non-Resident Company

In addition to the services mentioned earlier, we provided a range of other services that facilitated the integration of the foreign client into the business environment. For the client's company, our specialists ensured comprehensive personnel management and assisted in resolving all personnel-related issues, including:

• Hiring staff, maintaining personnel records, issuing orders, and directives.
• Developing internal documents and company policies.
• Organizing personnel record-keeping.

Additionally, the client availed themselves of our accounting support services for the business. Recognizing the importance of engaging a local accountant to ensure successful operations in another country, they benefited from the expertise of a local accountant who:

• Was knowledgeable about taxation systems, reporting deadlines, and accuracy requirements.
• Monitored the correct calculation of taxes and fees.
• Kept track of changes in tax legislation.

We took responsibility for managing the accounting process, including:

• Submitting reports to tax authorities.
• Calculating and paying taxes and salaries.
• Conducting transactions with counterparties.
• Overseeing all financial aspects of the company's operations.

We assisted in organizing not only the personnel and accounting aspects of the business but also provided comprehensive legal support, including the development of agreements with suppliers and clients, ensuring clear terms for the delivery of goods and services. This encompassed defining prices, terms, obligations of parties, as well as mechanisms for dispute resolution. To ensure confidentiality and protect commercial information, we drafted non-disclosure agreements for confidential information. As a result, we established a transparent and secure legal framework for the further development and successful operation of the business.

By offering integrated services, we helped our non-resident client focus on scaling and growing the company, ensuring profitability, while mitigating all risks and challenges of doing business in the Ukrainian market.

Our clients, both in Ukraine and abroad, know that we always prioritize organizing workflow, ensuring successful completion of tasks within set deadlines, even when they are tight. Our company maintains a high standard of service for every inquiry, and our team is always ready to address both simple and complex legal matters.

We are the ones who consider your individual needs and offer the most advantageous solution to achieve your goals. Therefore, when it comes to opening a business for a foreigner in Ukraine, collaborating with us is convenient, and the results will not be long in coming!

To learn more about the services we provide to non-residents, click here.