Ukraine company registration

DOING BUSINESS IN UKRAINE IN 2019

Since 2003, Healy Consultants Group PLC has assisted our Clients with starting their business in Ukraine. Our services include i) Ukraine business registration ii) corporate bank account opening iii) employee recruitment strategies and iv) office rental solutions.

Summary table of Ukraine company registration

Summary	Tax resident LLC	Private JSC	Public JSC	Representative office	Branch of a foreign company	Fast Solution LLC
Best use of company?	Trading company	Trading on the Stock Exchange	Raising capital	Marketing and research	Commercial representative office	Close a customer deal now
Legally tax exempt if properly structured?	No	No	No	No	No	No
Corporate bank account location?	Credit Agricole	Raiffeisen Bank Aval	Privat Bank	Alfa Bank	Sberbank	Sberbank
Client must travel to Ukraine?	No	No	No	No	No	No
Can secure trade finance?	Yes	Yes	Yes	No	Yes	Yes
Limited liability entity?	Yes	Yes	Yes	No	No	Yes
VAT payable on sales to local customers	20%	20%	20%	0%	20%	20%
Withholding tax on payments to overseas shareholders?	15%	15%	15%	15%	15%	15%
Average total engagement costs?	US$9,800	US$9,500	US$9,500	US$8,800	US$8,800	US$25,760
Average total engagement period?	3 months	6 months	6 months	6 months	6 months	2 months

See full table

Accounting and tax considerations	Tax resident LLC	Private JSC	Public JSC	Representative office	Branch of a foreign company	Tax resident LLC
Statutory corporation tax payable?	18%	18%	18%	0%	18%	18%
Must file an annual Ukrainian tax return?	Yes	Yes	Yes	Yes	Yes	Yes
Effective corporation tax rate on net profits of US$ 250,000	18%	18%	18%	0%	18%	18%
Must file annual financial statements?	Yes	Yes	Yes	Yes	Yes	Yes
Investment income is legally tax exempt in Ukraine?	No	No	No	No	No	No
Access to double taxation treaties?	Yes	No	Yes	No	No	Yes
This entity enjoys Government incentives?	Yes	Yes	Yes	No	Yes	Yes
Monthly VAT reporting to the Government?	Yes	Yes	Yes	No	Yes	Yes
Legally tax exempt entity?	No	No	No	No	No	No
Dividends received are legally tax exempt?	No	No	No	No	No	No
Company registration	Tax resident LLC	Private JSC	Public JSC	Representative office	Branch of a foreign company	Fast Solution LLC
Ukrainian resident director/partner/manager required?	Yes	Yes	Yes	Yes	Yes	Yes
Minimum number of shareholders/partners?	1	1	1	Parent company	Parent company	1
Minimum number of directors/managers?	1	1	1	1	1	1
Minimum paid up share capital?	US$1	US$59,741	US$59,741	US$0	US$0	US$1
Shelf companies available?	Yes	Yes	Yes	No	No	Yes
Time to incorporate a new entity?	1 week	1 week	2 weeks	1 week	1 week	1 week
Can easily convert to a local PLC company?	Yes	Yes	Yes	No	No	Yes
Can have preference shareholders?	Yes	Yes	Yes	No	No	Yes
Business considerations	Tax resident LLC	Private JSC	Public JSC	Representative office	Branch of a foreign company	Fast Solution LLC
Can invoice local customers?	Yes	Yes	Yes	No	Yes	Yes
Can hire local staff?	Yes	Yes	Yes	Yes	Yes	Yes
Can rent local office space?	Yes	Yes	Yes	Yes	Yes	Yes
This entity can secure a residence visa for business owner?	Yes	Yes	Yes	Yes	No	Yes
Good entity for trademark registration?	Yes	Yes	Yes	No	No	Yes

Ukraine has signed free trade agreements?	Yes, see this page
This country is a member of WIPO and TRIPS?	Yes
The country is a member of the ICSID?	Yes
Average customs duties suffered?	10%
Government foreign investment approval is required?	No
Average monthly office rental? (US$ per sq m)	US$30
Minimum statutory annual salary?	US$56
Average monthly US$ salary for local employees?	US$314
Ukrainian grivnya deposit interest rate? (1 year average)	21.25%
US$ deposit interest rate? (1 year average)	8%
Overseas remittance currency controls?	Yes
Public register of shareholders and directors?	Yes
Banking considerations
Multi-currency bank accounts available?	Yes
Corporate visa debit cards available?	Yes
Quality of e-banking platform?	Good
Crowd funding available in this country?	Yes