More than half of the respondents plan to close because of old-new taxes
Opendatabot has conducted the largest study of the status and plans of individual entrepreneurs in Ukraine. Almost 32 thousand entrepreneurs took part in the survey. 27% of respondents plan to close in the near future. More than half of these businesses stop working due to a sharp increase in the tax burden. In December, 2 entrepreneurs closed for every 1 open business. For comparison, a year ago the situation was completely opposite: 4 new entrepreneurs accounted for 1 closure.
Opendatabot conducted a large-scale survey of Ukrainian entrepreneurs to find out what small and medium-sized businesses plan to do in the near future. The survey involved 31,694 respondents who said they were working as sole proprietors.
27% or 8621 surveyed entrepreneurs plan to close their business in the near future. 2297 or 7% planned to close this year. Another 20%, or 6324 participants, said they planned to stop their business next year.
More than half of those who plan to close – namely 62% – decided to close because of tax increases. Another 19% of entrepreneurs are shutting down due to business problems. It is worth noting that currently, due to a large-scale attack by pro-Russian hackers on state registries, closing a business is either very difficult or impossible.
The majority of the surveyed entrepreneurs work in retail (24.6%), and another 21% work in IT.
Since the law on the introduction of the military tax for small and medium-sized businesses was signed, 2 new businesses have closed for every 1 new one. Thus, 24,497 entrepreneurs ceased operations between the time the President signed the law and December 17. During the same period, 2.2 times fewer new businesses were opened: 10 947. For comparison, in the same period last year, 4 new fops accounted for only 1 closing.
Opendatabot asked the Chairman of the Committee on Finance, Taxation and Customs Policy Danylo Hetmantsev for a comment. However, at the time of publication, we did not receive a response.
https://opendatabot.ua/analytics/fops-pool-result
closure of individual entrepreneurs, Individual entrepreneurs
PJSC Insurance Company VUSO (Kyiv) has collected UAH 2,494 billion of gross premiums in January-September 2024, that is by 24,4% more than in the same period of 2023, RA “Standard-Rating” informed in the information on confirmation of the company’s financial strength rating at the level of “uaAA” according to the national scale. According to the data on the website of the rating agency, receipts from individuals of the insurer for the specified period have increased by 13,01% – up to UAH 1,454 billion, from reinsurers – by 64,93%, up to UAH 37,018 mln. Thus, the share of individuals in gross premiums amounted to 58,29%, reinsurers – 1,48%.
Insurance payments sent to reinsurers for the first nine months of 2024 increased by 77,81% – up to UAH 282,831 mln. Thus, the ratio of reinsurers’ participation in insurance premiums has increased by 3,41 p.p. – up to 11,34%.
Net premiums collected by IC “VUSO” have grown by 19,78% – to UAH 2,211 bln, net earned premiums – by 18,98% – to UAH 2,014 bln.
IC “VUSO” for January-September 2024 paid out UAH 1,038 billion to clients, that is by 52,70% higher than the volume of insurance payouts for the same period of 2023. Thus, the level of payouts has increased by 7,72 p.p. – up to 41.63%.
RA also notes that following the results of three quarters of 2024 the financial results of the insurer have significantly improved: the profit from operating activities has grown in 22,6 times – up to UAH 183,760 mln, net profit – in 5,5 times, up to UAH 93,974 mln.
Assets of the company as of October 1, 2024 grew by 15.42% – to UAH 1.759 billion, shareholders’ equity – by 19.14% – to UAH 735.377 million, liabilities – by 12.89% – to UAH 1.024 billion, cash and cash equivalents – by 21.31% – to UAH 676.311 million.
According to RA data, as of the mentioned date the company has formed a portfolio of investments in government bonds in the amount of UAH 228,779 mln, which increased the level of security with liquid assets, which in aggregate covered 88,38% of its liabilities. Besides, the balance of funds in the centralized insurance reserve funds (IARF) of the insurer has amounted to UAH 344,624 m, that also positively influenced its liquidity.
IC “VUSO” was founded in 2001. It holds 50 licenses: 34 – for voluntary and 16 – for compulsory types of insurance, is represented in all regions of Ukraine. It is a member of the Motor (Transport) Insurance Bureau of Ukraine (MTSBU) and the Ukrainian Insurance Federation (UIF), as well as a participant of the Agreement on direct settlement of losses and a member of the Nuclear Insurance Pool.
Insurance company “Guardian” (Kiev) in January-November 2024 made insurance indemnities in the amount of UAH 457.5 million, which is 32.8% more than for the same period of 2023, according to the insurer’s website. It is specified that payments on CASCO amounted to UAH 31,7 million, which is 59,1% more than for the same period last year, MTPL – UAH 164,7 million, “Green Card” – UAH 258,05 million (+43,5%), insurance of medical expenses – UAH 0,5 million (+80,5%).
IC “Guardian” is a member of the Presidium of the League of Insurance Organizations of Ukraine. Since January 2020 it has received the status of a full member of the ITSBU, has the right to sell “Green Card” policies.
In October 2020 by the decision of the general meeting of the members of the Nuclear Insurance Pool of Ukraine IC “Guardian” became its member.
Doctor of sciences, deputy of the Zaparpattya regional council, Ukrainian serviceman Fyodor Shandor has been appointed ambassador of Ukraine to Hungary.
“To appoint Fyodor Fedorovych Shandor as Ambassador Extraordinary and Plenipotentiary of Ukraine to Hungary,” reads the text of Ukrainian President Volodymyr Zelensky’s decree No. 876/2024 of December 21, published on the Ukrainian head of state’s website on Saturday.
