When a foreigner is going to open a business in Ukraine, there is always the question of which legal form to choose.
Economic activity in Ukraine is carried out
• physical-individual entrepreneur
• a legal entity.
The legal entity can be
1. private partnership;
2. a company with foreign investments;
3. foreign enterprise;
4. limited liability companies;
5.complete partnership;
6. limited partnership;
7. joint stock company
Individual entrepreneur
•must have a person with full civil capacity
•is not an official
•can carry out business activities with hired labor or independently
•a simplified reporting system.
Private enterprise
•there is no requirement for share capital
•liability of the founders only within the authorized capital
• the founders must be citizens of Ukraine, foreigners
• can carry out business activities with hired labor or independently.
A company with foreign investments •have the authorized capital of foreign investment at least 10 percent.
Limited Liability Company
•is one of the best regulated types of business and the most protected against raiding
•the number of participants is not limited
•members of the company are responsible for their property
•the statutory capital is not defined by law
•the contribution of a company member may be money, securities, other property, unless otherwise provided by law.
Full company
•all members of this society are responsible for their property
•conducting cases with the consent of all participants.
Limited partnership
•full participants bear additional joint and several liability for all their property
•other participants only by their contributions.
Joint Stock Company
•the authorized capital is divided into a certain number of shares of equal par value
•other participants are responsible according to their contributions
•shareholders may bear the risk of losses within the shares.