Open Representative Office or Subsidiary in Ukraine

There are many ways to invest in Ukraine including setting up a company, or a branch of a foreign company. There is no good or bad solution for a company type, but mostly there are better suited companies for different needs. A Ukrainian branch may represent a perfect solution for entrepreneurs wishing to undertake commercial activities in the country. The legal status of the Ukrainian branch is not the one of a separate legal entity from the parent company. The liability and responsibility for the branch remains the attribution of the parent company. However in Ukraine branches do not technically exist and foreign companies usually establish representative offices. The process of incorporation for such an entity is simple and straightforward, without any major difference from setting up a regular Ukrainian company.

Preliminary activities prior to registering a representative office in Ukraine
A representative office in Ukraine must be registered with the Ministry of Economy of Ukraine, but prior to obtaining the registration certificate certain procedures must be completed. The articles of association of the company must be signed and notarized along with the list of managers' names and addresses and their specimen signatures. A representative office is set through a representative individual or legal entity which must be authorized to carry out the procedures through power of attorney. Also the representative office must have a bank account and obtain a bank deed.

Registering a representative office of a foreign company in Ukraine with the Ministry of Economy
In order for the representative office to be able to carry out commercial activities it must register with the Ministry of Economy of Ukraine. For that purpose a file must be completed and it must contain the notarized articles of association, the list of managers with names and addresses and the power of attorney through which a certain individual or legal entity is authorized to represent the Ukrainian office of the foreign company. Also some proof of the parent company must be provided. Usually it consists of the company's certificate of registration issued by the relevant institution of the respective country. Before submitting the application the representative office must pay a registration fee and must provide evidence of its payment. Usually the registration certificate is issued in five days, and the institution forwards the company's information to the State Committee of Statistics of Ukraine, the state social funds and tax authorities.

Setting up a representative office in Ukraine from abroad
The state of Ukraine is open for foreign investment encouraging it in many business sectors. In order to set up a representative office the parent company must name a representative who can carry out the incorporation procedures through power of attorney. Also the representative office must have a permanent address in order to function.

How long does it take to set up a representative office in Ukraine?
The incorporation process is rather simple and straightforward and does not imply many complex procedures. In fact setting up a representative office in Ukraine is more or less the same as incorporating a company, the main difference consisting of the more complex documentation required. Drafting the documents and preparing all that is necessary for the application may take up to two days, while the registration itself requires five days more or less. Al the other procedures, as registering for social security, statistics and tax authorities may take up to one week. However the representative office comes into existence upon issuance of the registration certificate. Usually a representative office in Ukraine is set up in ten days.