Registration of a limited liability company (LLC) in Ukraine

1) LLC is a company founded by one or more persons, the authorized capital of which is divided into shares, the size of which is established by the charter.

2) Participants are liable for the company's obligations only within the limits of their contributions.

3) There are no requirements for the size of the authorized capital and the maximum number of participants.

4) The founding document of the LLC is the charter, which is signed by all the founders and notarized.

What is a Limited Liability Company?

A limited liability company, in accordance with the provisions of the Economic Code of Ukraine, is a business company that has a division into shares, an authorized capital defined in the constituent documents, and is liable for its obligations only with its property.

Who can be a founder and participant of LLC?

The founders and participants of the company can be both individuals and legal entities, residents of Ukraine and non-residents.

Are there any restrictions on the number of founders/members of an LLC?

An LLC can be created by one or more founders. The maximum number of LLC members is not limited.

What are the rights and obligations of the members of the society?

Rights of society members:

• Participate in the management of the society;
• Receive information about the economic activities of the company;
• Participate in the distribution of the company's profits;
• To receive, in the event of liquidation of the company, part of the property remaining after settlements with creditors, or its value;
• Other rights provided for by law and the charter of the company.

Obligations of the members of the society:

• Comply with the charter;
• Implement the decisions of the general meeting of the company's participants;
• Other obligations established by law and the charter of the company.

What is a corporate agreement?

Corporate agreement - an agreement under which the participants of the company undertake to exercise their rights and powers in a certain way or refrain from exercising them. The corporate agreement is free of charge and is made in writing.

What are the founding documents of an LLC?

The founding document of the company is the charter. The first edition of the charter is signed by all participants of the company, with mandatory notarization of the signatures of the participants.

What are the requirements for the size of the authorized capital?

There are no requirements for the minimum or maximum amount of the authorized capital of an LLC. The size of the authorized capital of the company is made up of the nominal value of the shares of its participants, expressed in the national currency of Ukraine, and may also be additionally determined as a percentage.

What can be the contribution of a company participant in the authorized capital?

The contribution of a member of the company may be money, securities and other property. A non-monetary contribution must have a monetary value, approved by a unanimous decision of the general meeting of participants, in which all participants of the company took part.

What are the governing bodies of an LLC?

The governing bodies of a limited liability company are:

• The general meeting of participants - supreme body;
• Director or directorate - executive body;
• Supervisory Board (optionally created) - a supervisory body over the activities of the director (management) of the company.

What is the taxation of an LLC?

In Ukraine, the legislation provides for three systems of taxation of LLCs:

• General system;
• General system with VAT;
• Simplified system (single tax).