SPD Registration Kyiv – FOP, ChP, FLP Registration

When thinking about starting entrepreneurial activity, you should immediately consider which organizational and legal form to choose at the initial stage of doing business. The simplest of all existing forms and popular among both small and medium businesses is registering an FOP.

Registering an FOP will allow a novice entrepreneur to officially conclude contracts with suppliers, landlords and clients, thereby protecting themselves from possible risks. You will also be able to actively and openly advertise the business without fear of attracting law enforcement attention. And with a correct choice of the tax system, pay a moderate amount of taxes and not spend much time and, accordingly, money on bookkeeping.

Our company’s staff will help you open an FOP with minimal time and financial costs.

Our registration services include:

Registering an FOP requires choosing a tax system. If you decide to choose the simplified system, pay special attention to which group of the single tax you want to belong to. You can register an FOP under Group I, II or III. To avoid mistakes, ask yourself the following questions:

• Do you want to register an FOP to sell goods or provide services only to individuals, or to legal entities as well?
• What maximum amount of annual income do you expect?
• Does the planned type of activity fall under any restrictions of the existing groups?

The lawyers of our company always draw your attention to these and other nuances during consultations. After all, how correctly the FOP registration is carried out will determine all your further activities. FOP registration is done at the place of registration (this information is displayed in the register), but the registration procedure itself can be carried out in any city — FOP registration does not have territorial attachment as is the case with registration of other legal forms of business. Our company can also provide services if a foreign citizen or a person without registration wants to open an FOP.

Self-registration of an FOP involves the following steps:

 

Stage 1: Choosing the type of activity for the FOP

Before FOP registration begins, decide which types of entrepreneurial activity you, as a private entrepreneur, will engage in. Depending on the type of activity you plan to pursue, you should choose an activity code (KVED) in accordance with the State Classifier of Types of Economic Activity during state registration.

You can choose one main type of activity. If it does not fully correspond to the enterprise’s activities, you can select any number of additional types. If you are sure the enterprise will engage in only one type of activity, it is still recommended to choose several additional ones.

You should approach the choice of KVEDs seriously, because some types of activities require a license or patent. Also note that the main activity must fully correspond to the chosen KVED.

Stage 2: State registration of the FOP

For state registration of an FOP you should apply to the registration authority at the district state administrations of Kyiv city or the executive committee of the city council for cities of regional significance nearest to you. FOP registration has no territorial attachment, so you DO NOT NEED to go to the registration authority at your place of residence. Also, since November 2019 notaries have been authorized to perform registration actions.

Documents required for FOP registration:

• Tax identification number (bring a photocopy as well);
• passport (bring a photocopy as well);
• the state registration card of an individual entrepreneur (FOP) filled in block letters by hand or typed;
• a notarized copy of the power of attorney (in case of registration by an authorized person).

Submission of documents for state registration of an FOP is possible:

1. in person;

2. by an authorized person (based on a power of attorney notarized by a notary);

3. by mail (in this case the applicant’s signature must be notarized, and the state registration card of an individual entrepreneur must be on a notary’s form);

4. by electronic document using an electronic signature through the Online Justice House website.

Confirmation of state registration of an FOP is an Extract from the Unified State Register of Legal Entities, Individual Entrepreneurs and Public Formations (EGRPOU), which the registrar issues after registration, and in case of electronic submission it can be downloaded from the register using the inventory number that appears in the personal account after the registration application is processed.

Stage 3: Registration of the FOP with the tax authority (GNIU). Choice of tax system and registration of the FOP’s income book.

Registration authorities and the tax office operate on the “one-stop-shop” principle, which significantly simplifies the registration procedure. Data about FOP registration is automatically pulled from the EGRPOU into the tax office, and it takes the entrepreneur on record.

By default, the tax office classifies such an entrepreneur as a taxpayer under the general taxation system if an application for the simplified tax system (single tax) or an application to register as a VAT payer was not submitted together with the FOP registration documents. If you did not submit such applications to the registrar but want to become a single tax payer or be on the general taxation system with VAT, you can submit such an application to the taxpayer service center at the place of FOP registration within 10 days from the date of registration in the EGRPOU.

You should also remember that an FOP is obliged to keep an Income Record Book for the tax system it chose. The book must be registered with the tax office.

In case of registration as a single tax payer or VAT payer, you can obtain an extract from the corresponding register (Extract from the Register of Single Tax Payers or Extract from the VAT Payers Register). To do this, a corresponding request is submitted to the taxpayer service center at the place of FOP registration.

Stage 4: Making a seal for the FOP

According to current legislation, a seal is not a mandatory requisite for signing any documents and the FOP may use it only if desired. It is also possible to operate without a seal. If you still decide to have a seal made, you can order it from us or contact a specialized company that provides seal manufacturing services.

Stage 5: Opening an account for the FOP in a bank

To carry out non-cash settlements, an FOP must open an account in a bank. Using a current account opened for a private individual to carry out operations related to entrepreneurial activity is prohibited.

To open an account in a bank, the entrepreneur will need:

• passport;
• identification number.

The bank employee will also help register in client-banking, which will significantly simplify your work and interaction with the bank.

Our registration services include:

The FOP registration process includes the following stages and actions