Ukrainians open and close businesses without queues: how the modernization of the sole proprietorship register has affected the automation of the process

5 November 15:45

The Ministry of Justice has announced the completion of the modernization of the Unified State Register of Legal Entities, Individual Entrepreneurs and Public Organizations (USR), "Komersant Ukrainian" reports.


Thanks to the update of the register, the processes of registration, amendments and closure of sole proprietorships have become fully automated.

This means that entrepreneurs can now open or close their own business without the participation of a state registrar – in just a few minutes online through the Diia portal.

How the new service works

According to the Ministry of Justice, 1,686,531 citizens have used the services since the launch of the updated system.
In particular:

  • 913,546 – opened a sole proprietorship,
  • 362,848 made changes to their data,
  • 410,137 closed their business.

“Automation of these processes is another step of the Ministry of Justice towards creating a modern, convenient and transparent system of public services for business,” the Ministry said in a statement.

What the Ministry says

Olga Ryabukha, Deputy Minister of Justice for Digital Transformation, emphasized that the reform has reduced bureaucracy and made public services more accessible:

“It takes only a few minutes to open, amend or close your own business today – without queues, paperwork and unnecessary procedures.”

She also noted that this is an example of how digital technologies are changing the interaction between citizens and the state.

Who was involved in the implementation

The USR was modernized by the Ministry of Justice jointly with the Ministry of Digital Transformation under the EGAP program implemented by the Eastern Europe Foundation with the support of Switzerland.

In October, the National Bank addressed the Ministry of Digital Transformation with a proposal to strengthen control over the termination of sole proprietorships to prevent the use of entrepreneurs in drop schemes.

In the first 9 months of 2025, foreigners registered 1,648 sole proprietorships in Ukraine, 10% less than last year.

Diia is also testing a register of losses for entrepreneurs who have lost their businesses due to the war.

Марина Максенко
Editor

Reading now