Businesses in Ukraine are under constant threats due to unstable financial and economical situation in the country, as well as high levels of corruption, bureaucracy and imprecise business laws and regulations, which do not protect the rights of the entrepreneurs as well as they should. In this situation many corporate companies and individual entrepreneurs entering Ukrainian market, have to rely on lawyers, who understand the intricacies of criminal justice system and tax policy in Ukraine. If you want to start a business in Ukraine, a help of a professional legal advisor might be necessary.
The main threats for Businesses in Ukraine
One of the biggest problems in modern Ukraine is the high level of corruption, especially in the business field. A research conducted in 2012 by the prestigious international firm Ernst & Young showed that Ukraine is one of the three most corrupted countries in the world, along with Brazil and Colombia. Ernst & Young’s experts have also reported a dramatic increase in the number of top managers from Ukrainian companies, who admitted to accepting bribes – the numbers increased by 9% and 15% in 2011 and 2012 respectively. Other research studies have also confirmed that many foreign companies conducting businesses in Ukraine are at risk of losing the contract, if they do not provide a bribe. Another areas, where the problems with corruption are particularly painful, are the taxation, customs and business licensing. The situation makes it difficult not only for the foreign companies, but also for the local Ukrainian companies to operate on the domestic market. According to the estimations, even as much as 45% of Ukrainian business activities are performed in the gray zone and not regulated by any laws. Since the corruption is a common practice in most national institutions in Ukraine, from tax securities to prosecutors, dealing with the problem requires broad experience and a good understanding of the Ukrainian law. Entrepreneurs, who want to present their cases in court, but do not have a professional representative, often fail to achieve the desired results. Ukrainian law with its many gaps and imprecise definitions, does not make it easy for the entrepreneurs, who want to find a good solution to their problems. A consultation from a law savvy advisor is often necessary.
Legal companies in Ukraine
There are many legal companies operating in Ukraine, from the Ukrainian divisions of major international law companies, to local legal firms, which hire Ukrainian lawyers and legal consultants. When you are looking for a legal advisor in Ukraine remember to always check whether the company is licensed and have enough experience in criminal law/ business law to successfully present your case in the court. Large foreign companies are advised to hire only the most recommended law firms, which are often featured in the rankings of the best legal companies in Ukraine. Do not hesitate to contact a few different law firms to compare the prices for their services – the most expensive companies are not necessarily the best ones; the professional experience is what counts the most.
Jessica Stidd is a writer and editor with a wide variety of experience, including writing for websites internationally and editing books on many different subjects and in a variety of formats. It is very fulfilling for her to edit the writings of people whose first language is not English and need help with their written English, and to help them have their voice shine through to a wider audience. It inspires Jessica greatly to write about topics that are read all over the world that promote peace and a greater understanding of different cultures.