Money for Business to Unemployed Ukrainians

by Olha Povaliaieva
Tuesday, January 11, 2022
Money for Business to Unemployed Ukrainians

The draft State budget allocates almost $4.000 per person

In 2022, the State treasury could spend almost $4 million on a social program. The program assists unemployed people in low-income families. According to the minister of social policy in Ukraine, Maryna Lazebna, such a step will allow the creation of up to 3.000 new small enterprises on the market in just one year.

It is possible to get money to start a business interest-free. The state’s investment must be returned after the expiry of the three-year period. However, the amount to be paid back would be less than that provided by the state budget. The recount takes into account the taxes paid and the single social contribution. The government is also considering the option of a non-reimbursable loan. The state does not need to return the money in two cases:

  • The amount of taxes is higher than the amount granted under the social program;
  • In the first year of work in the enterprise, two more employees will be from low-income families. New employees should be sent to the organization from the Ukrainian labor exchange (Employment center).

The state assistance project is provided in a non-cash form. You can get the money to start your own business up to 15 minimum wages. So in January 2022, people could get up to $3.600. Write-offs occur only when bills are paid, equipment and materials are purchased, and premises are bought or purchased.

To receive financial assistance, Ukrainians have to submit a certificate of non-prosecution and a business plan to the Employment center. An application shall be considered for a maximum of 30 calendar days. In case of approval, it is necessary to conclude a formal contract with the regional and local Employment center and provide them with an account to transfer money. 

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