Creating business in Ukraine by foreigner seems painless

Foreigners have the right to be not only founders of companies in Ukraine on a par with Ukrainian citizens, but also to be chief executives (directors) of such companies. However, it is necessary to consider some features, the execution of which are obligatory for foreign citizens.

The founders of a limited liability company in Ukraine may be foreign individuals as well as foreign legal entities. A foreigner has to obtain an identification tax number in Ukraine. This number is assigned once and for life. A foreigner can get a tax number in person or by the agency of a trusted person. The period of receipt is up to 2 working days. The documents required: translation of a non-resident’s passport into Ukrainian, and in case of obtaining a tax number through an authorized person – an apostilled, notarized power of attorney with a notarized translation into Ukrainian. An LLC both may be open personally by a foreigner (staying legally in Ukraine) and through an authorized person (being abroad). Initially, it is necessary to decide on the basic information on the company, and most important – choose the head of your company (director). A foreigner has the right to be a director in his own company only after obtaining an employment authorization document for foreign citizens in Ukraine. This means, at least for the initial time, a foreigner needs to choose a Ukrainian citizen as director. Immediately after the registration of the LLC the foreigner has the right to begin the procedure for obtaining an employment authorization document in Ukraine, the successful completion of which gives him the right to change the “temporary” Director of his company (Ukrainian) to himself.

The signing of documents on the establishment of an LLC and state registration in the availability of all documents, as well as when opening an LLC by a foreign individual, takes no more than a day.

When choosing a method for registration of an LLC in Ukraine (for yourself or for your foreign company), it’s necessary to know the procedure for making decisions on behalf of the LLC. The director has the right to carry out economic activities on behalf of the LLC. However, there are a number of actions that can be carried out only if there is an appropriate decision of the general meeting of the participants of the LLC (that is the owners of the LLC). For example, decisions such as: amending the charter, changing the types of activities, changing the director, limiting the powers of the director, making a decision to sell a share in the authorized capital, etc., require mandatory prior approval from the owner of the LLC. There are different options, but anyway, with the help of qualified specialists, the process of creating a business in Ukraine by a foreigner is painless and fast enough.

Source: The Odessa Journal