Strategic Market Entry into Ukraine for Lemar Supply & Logistics

Client’s Situation

Lemar Supply & Logistics had extensive international experience but was entering the Ukrainian market for the first time. To ensure legal and operational success, the company required guidance in the following areas:

• Company formation and legal structuring tailored to its global business model
• Regulatory compliance under Ukrainian corporate, tax, and labor law
• A strategy for tax efficiency and profit repatriation to the bank accounts of the foreign shareholders
• Support in building secure, enforceable relationships with Ukrainian partners and suppliers
• Long-term legal guidance across business functions, from contracting to employment

Ukraine’s legal environment presented both opportunity and complexity. The firm needed expert legal navigation to avoid risks and lay a stable foundation for growth.

Problem

Despite Ukraine’s open stance toward foreign investment, several legal challenges had to be addressed for Lemar’s successful market entry:

Regulatory Complexity for Foreign-Owned Businesses For a non-resident company, entering Ukraine requires more than just registration. Businesses must adhere to multi-layered compliance frameworks covering company law, tax, labor, licensing, and currency control.

Optimal Legal and Tax Structuring Lemar needed to choose the right form of incorporation—balancing operational flexibility, tax efficiency, and compliance. They also needed a reliable method to repatriate profits to shareholders abroad, subject to Ukraine’s currency and taxation rules.

Contractual and Partner Risk The company intended to enter into agreements with subcontractors and local suppliers. This required careful contract drafting and due diligence, to minimize financial risk and ensure enforceable obligations.

Long-Term Legal Maintenance Beyond initial registration, Lemar required ongoing legal support in areas such as employment law, corporate governance, and operational contracting. A one-time legal setup would not be sufficient for long-term sustainability.

Our Approach

Analysis

Intermarium developed and executed a legal strategy tailored to Lemar’s global structure and operational objectives in Ukraine. The project unfolded across three key pillars: corporate structuring, financial planning, and contractual risk management.

Strategy

Corporate Structuring and Market Entry

• Conducted a pre-entry legal audit, analyzing Ukraine’s logistics sector from corporate, tax, and labor perspectives
• Advised the client on choosing the optimal legal entity form—balancing liability protections, tax exposure, and corporate control
• Registered the company in full compliance with the Ukrainian Commercial Code and Tax Code, including obtaining all identification numbers, licenses, and banking permissions
• Ensured that the company’s legal structure was compatible with Lemar’s global operational and reporting requirements

Tax Planning and Profit Distribution Strategy

• Designed a tax-optimized operational structure, limiting exposure while maintaining legal compliance
• Developed mechanisms for repatriating profits to foreign shareholders in accordance with Ukrainian currency and tax law
• Reviewed double taxation agreements and compliance requirements for international financial flows
• Provided planning tools for VAT, payroll taxes, and reporting requirements applicable to foreign-owned businesses

Legal Support and Contractual Security

• Drafted and reviewed commercial agreements, including supplier contracts, logistics service agreements, and vendor relationships
• Conducted due diligence on local partners to verify their legal standing, financial reliability, and regulatory history
• Implemented legal tools to minimize contractual risks, including provisions on liability limits, jurisdiction clauses, and termination terms
• Provided HR-related legal support, including employment contracts, staff onboarding policies, and compliance with labor law obligations

Implementation

Each strategy was implemented with ongoing legal oversight, enabling the client to operate securely and efficiently from the moment of launch.

Result

Thanks to Intermarium’s integrated legal approach, Lemar achieved a secure and successful launch in the Ukrainian market. Key outcomes included:

• The company was officially registered and licensed, meeting all corporate, tax, and regulatory criteria
• A strategic tax structure was implemented, supporting efficient operations and enabling clean financial reporting
• Contracts with Ukrainian suppliers and service providers were legally sound and risk-mitigated
• Foreign shareholders were equipped with a clear mechanism for profit repatriation, eliminating common pitfalls with cross-border fund transfers
• Lemar gained ongoing legal access for its local office, ensuring compliance during its growth phase

This project confirmed that market entry into Ukraine—even if complicated and time-consuming—is manageable and safe with proper legal planning and experienced counsel.

Expert Commentary

“Ukraine offers strategic opportunities for global logistics providers, but legal entry must be done thoughtfully. Lemar’s case showed that with precise structuring, risk assessment, and local compliance, a non-resident business can launch successfully—without regulatory turbulence.” — Senior Partner, Intermarium Law Firm

Conclusions

Lemar’s case offers a blueprint for any international company seeking to establish operations in Ukraine. It proves that company registration is only the beginning. True market entry involves mastering:

• Entity selection and tax structuring
• Currency compliance and financial flow planning
• Regulatory filings and operational contracting
• Employment law and corporate governance

Many companies underestimate the legal complexities until problems arise. With Intermarium’s strategic planning, this international company avoided common missteps and entered Ukraine with zero regulatory friction.

This case also demonstrates that legal planning is not a one-time step, but a continuous framework for growth and protection. Especially in sectors like logistics—where risks include liability, customs, and contract disputes—having local legal support is essential.

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Planning to enter the Ukrainian market? Whether you’re in logistics, infrastructure, or international development, Intermarium Law Firm provides legal solutions that eliminate risk and accelerate growth.

Contact us today to make your expansion to Ukraine smooth, compliant, and strategically sound.