Tobaksgården 3
108 Stryiska Street
Tobaksgården 3
108 Stryiska Street
Doing business in Ukraine has always had its unique characteristics, but the ongoing war has introduced additional complexities. Despite the challenges, Ukraine remains resilient, and its business sector continues to function and evolve. Here are key insights for foreigners looking to do business in Ukraine during these turbulent times.
Under normal circumstances, Ukrainians might have been flexible with time, but during wartime, schedules have become even more unpredictable. Meetings may be postponed or canceled due to air raids, power outages, or other emergencies. Always confirm meetings in advance and be prepared for last-minute changes. Virtual meetings via Zoom or Telegram have become more common.
Government agencies still play a significant role in business operations, but due to the war, certain processes may take longer than before. Foreign entrepreneurs should exercise patience and adaptability. The Ukrainian government has introduced some digital solutions, such as the Diia platform, to streamline bureaucratic processes, including company registration and licensing.
Despite the rise of remote communication, Ukrainians still value personal interactions when making business decisions. Trust is crucial, especially during times of crisis. Emotional intelligence plays a major role in negotiations, and long-term relationships often matter more than short-term gains.
Ukraine has simplified some registration procedures to attract investment, but businesses must still navigate licensing requirements. Some regions may be more difficult to operate in due to security concerns, so it's essential to research the safest and most business-friendly locations.
Work schedules have shifted due to air raids, curfews, and power supply limitations. While some businesses continue regular office hours, many operate remotely or adjust their schedules based on security conditions. Being flexible and understanding these constraints will help maintain smooth operations.
Bureaucracy remains a challenge, though war has accelerated some reforms. Digital platforms like Diia help with company registration and tax filing, but delays can still occur. When dealing with officials, persistence, clarity, and local legal support are essential.
Networking remains critical for success in Ukraine. Personal connections and trust-based relationships can help navigate local business environments and regulatory challenges. Partnering with local experts, legal advisors, and business associations can provide valuable insights and support.
More than ever, people want to know and trust whom they are working with. Due to the difficult circumstances, Ukrainians value loyalty, transparency, and mutual support. Taking time to build meaningful relationships can result in strong business partnerships and dedicated teams.
Holidays and special occasions are still observed, despite the war. Recognizing significant dates, such as Independence Day (August 24) and Defender of Ukraine Day (October 1), can help strengthen relationships with local colleagues and partners. Small gestures, such as thoughtful gifts or support for local charities, are appreciated.
Mobile phones are still the primary means of business communication. Despite power cuts and connectivity issues, many Ukrainians answer calls or respond to messages promptly. Messaging apps like Telegram and Viber are widely used for business discussions.
Ukrainian employees appreciate clear and constructive feedback. Wartime stress can impact performance, so fostering an open and supportive work environment is crucial. Consider flexible work arrangements and mental health support for your team.
Successful businesses in Ukraine are those that adapt quickly. Supply chain disruptions, currency fluctuations, and security risks require constant planning and quick decision-making. Having contingency plans and a proactive approach will help maintain stability in uncertain times.
Despite the challenges, Ukraine remains open for business. The resilience, creativity, and adaptability of Ukrainian entrepreneurs and professionals make the country an attractive destination for investment and partnerships. By understanding the local context, building strong relationships, and staying flexible, foreign businesses can thrive in Ukraine, even during wartime.
