Entering the Ukrainian Market Without Legal Risks: Intermarium’s Strategy for a Global Logistics Brand

Background and Project Objectives

Lemar Supply & Logistics, an international logistics company, decided to expand into the Ukrainian market with the goal of establishing future collaborations with USAID, World Central Kitchen, and other major international organizations that are large-scale consumers of logistics services in Ukraine. After consultations with Intermarium, the company’s representatives received a comprehensive legal analysis of the logistics market, regulatory framework governing freight transportation, and the tax obligations applicable to non-residents operating in Ukraine.

Legal Challenges and Key Aspects

1. Regulatory Complexities for Foreign Companies

For non-resident entrepreneurs, entering the Ukrainian market, even with extensive international experience, can be challenging. Beyond registering a legal entity, businesses must comply with corporate, tax, labor, and financial regulations.

2. Optimal Corporate Structuring and Tax Planning

The client required strategic legal support in selecting the most effective business model, minimizing tax risks, and ensuring a structured mechanism for profit repatriation for foreign shareholders.

3. Long-Term Legal Support

Beyond company registration, the investors needed legal assistance in drafting contracts, conducting due diligence on business partners, and navigating labor and corporate regulations.

Legal Strategy and Implementation

Company Structuring and Market Entry

✔ Conducted a preliminary legal analysis of the market, considering corporate, tax, and labor law specifics.

✔ Provided advisory services on selecting the most suitable legal entity type aligned with the client’s business model.

✔ Completed the company’s registration in Ukraine, ensuring full compliance with regulatory requirements.

Tax Planning and Profit Repatriation

✔ Developed a tax strategy to minimize risks and optimize financial flows.

✔ Advised on legally compliant methods for repatriating profits to foreign shareholders while adhering to tax and currency control regulations.

Legal Support and Contract Security

✔ Drafted commercial contracts, agreements with subcontractors, and supplier agreements.

✔ Conducted due diligence on potential partners, mitigating legal and financial risks.

✔ Provided legal guidance on employment regulations, labor law compliance, and corporate governance.

Results and Legal Impact

• Lemar Supply & Logistics successfully registered its business in Ukraine in full compliance with legal requirements.

• Foreign founders gained a comprehensive understanding of Ukraine’s corporate, tax, and labor regulations, enabling them to make informed business decisions.

• A tailored tax strategy was implemented, optimizing financial operations and ensuring an effective profit distribution mechanism.

• A legally secure business environment was established, incorporating well-structured contracts, risk minimization strategies, and full compliance with regulatory standards.

Conclusions and Case Significance

1. Entering the Ukrainian market requires more than just company registration—it demands comprehensive legal planning in corporate, tax, labor, and financial law.

2. Without a robust legal strategy, companies risk facing regulatory hurdles, tax liabilities, and legal challenges that could jeopardize their operations.

3. With Intermarium’s legal support, Lemar Supply & Logistics successfully expanded into Ukraine, ensuring regulatory compliance and securing favorable business conditions.

Through expertise in corporate and investment law, Intermarium enabled a risk-free market entry and the successful launch of business operations in Ukraine.