Sole Proprietorships as an Economic Buffer: What Small Business Registrations in Ukraine in 2025 Reveal
21 January 20:40
In 2025, sole proprietorships remained the primary form of business start-ups in Ukraine. Data from the Unified State Register, compiled by the VKURSI platform, shows that sole proprietorships accounted for the majority of new registrations and effectively served as an economic buffer during the war, according to "Komersant Ukrainian".
By the end of 2025, approximately 302,500 sole proprietorships had been registered in Ukraine. In most months, they accounted for over 85% of all new business entities. The monthly number of registrations ranged from 20,000 to over 32,000, peaking in late summer and early fall.
Compared to pre-war 2021, the sole proprietorship segment recovered more quickly and adapted to the new conditions.
Which sectors dominate
Most often, sole proprietorships were registered in the following sectors:
- trade and vehicle repair,
- logistics and transportation,
- IT and consulting,
- consumer and service industries (beauty, education, self-employment).
Demand in many of these sectors is directly linked to the war economy and internal migration.
The government has already announced plans to change tax rules for sole proprietors with higher turnover starting in 2027.
As a reminder, PrivatBank is launching major changes in the market for banking services for entrepreneurs. The new pricing model for sole proprietors effectively eliminates the monthly subscription fee for active entrepreneurs and significantly reduces key fees.
