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Entrepreneurship in Ukraine, Poland and the USA: what are the conditions and what is in the way?

Entrepreneurship is an integral part of the economic sector of any country. Every day, companies that conduct various businesses are formed and reorganized. It is worth understanding that behind both large technological multinational corporations and small enterprises are individuals (shareholders, directors, ultimate beneficial owners, etc.).

How strict are the requirements for doing business in Ukraine and abroad? What status will not allow starting a business in Ukraine, Poland and the USA and what are the requirements for business participants in these countries? Such questions are often asked by those who want to enter the business industry of these countries. Taking into account the legislation and "business cuisine" of the above-mentioned countries, we will try to understand these issues.


What is entrepreneurship?


First of all, in order to understand the above task, it is necessary to understand what are the key and characteristic features of entrepreneurship. It can be noted that the characteristic features of entrepreneurship are its independence, initiative, and systematicity, and the key persons in this process are business participants - economic entities (private entrepreneurs, legal entities) who conduct economic activities for the purpose of making a profit.


Entrepreneurship in Ukraine


The Constitution of Ukraine guarantees the right to carry out entrepreneurial activities. This basic right is based on the freedom of entrepreneurial activity, that is, on the real possibility of a person carrying out economic activities at his own discretion and risk, not prohibited by law, with the aim of obtaining profit.

At the same time, a person who plans to engage in entrepreneurial activity in Ukraine must coordinate his legal status with the state authority. This means that a person can register as an individual entrepreneur (in accordance with the Civil Code of Ukraine and other legal acts) or establish his own company (joint-stock company, limited liability company, etc.). In relations with the state, a business participant no longer acts as an individual, but a businessman who has either the corresponding status of an individual entrepreneur or his company.


 Analyzing the current Ukrainian legislation, it is possible to conclude that not all citizens have the opportunity to engage in business, and restrictions on conducting business activities are established by the laws of Ukraine.

A citizen of Ukraine does not have the right to engage in entrepreneurial activity if he has the status of an official of the prosecutor's office and court, state security bodies, is a notary public, an employee of internal affairs bodies, state authorities and local self-government bodies.

In connection with the realities, special attention should be paid to restrictions on entrepreneurial activity by servicemen of the Armed Forces of Ukraine.


 For such citizens, in accordance with the relevant law, the state registration of entrepreneurial activity as a natural person-entrepreneur is not terminated. At the same time, the norms of the special anti-corruption law "On the Prevention of Corruption" define that the restriction on co-operation and co-operation applies to military officials of the Armed Forces of Ukraine, the State Service for Special Communications and Information Protection of Ukraine and other military formations formed in accordance with the laws.

Persons whose criminal record has not been expunged for committed criminal offenses and who have been punished by a court in the form of deprivation of the right to engage in a particular type of activity cannot engage in entrepreneurial activity either.

Certain regulatory legal acts may establish certain restrictions on the activity of a business participant as a measure of responsibility for violating the rules of economic activity. It is worth noting that such restrictions can only be established by law and applied by state control (supervision) bodies only within the limits of their legal powers.


Entrepreneurship in Poland


At the political level, Poland declares the principle of economic freedom in the implementation of entrepreneurial activity. Thanks to the long-term integration processes in the European Union, of which the Republic of Poland is a part, this state is an attractive hub for starting and running your own business. However, as in Ukrainian legislation, there are certain restrictions on conducting business in Poland, which may arise due to various factors: the social status of a potential entrepreneur, the desired industry, etc.

According to the norms of the current Polish legislation, the first category of people who cannot engage in entrepreneurial activity includes persons who perform state functions in the country.

This list is long and includes employees of public institutions, including members of the civil service corps who hold managerial positions (eg department director, head of department), civil service corps employees who work in the office, employees of ministries, tax services, employees of prosecutor's offices, employees of regional audit chambers, mayors, deputy mayors, treasurers of municipalities, secretaries of municipalities, heads of organizational units of the municipality, managers and members of bodies that manage municipal legal entities, military personnel, etc.

The second group of citizens who cannot do business are people convicted by a court decision. This restriction does not apply to all court decisions, but depends on the type of crime committed - we are talking mainly about economic and financial crimes. A person who intends to start his own business submits a special document on the absence of a criminal record during registration.

 Separately, it should be noted about the age requirement for conducting business in the Republic of Poland. A minor cannot engage in entrepreneurial activity. This restriction applies, in particular, to:

- management of an individual enterprise

- the opportunity to be a partner in partnership

- the opportunity to be a shareholder in a joint-stock company

With the coming of age, such a person acquires the right to conduct his own affairs on his own behalf and becomes fully independently responsible for his actions.

 After reaching the age of majority, a natural person can engage in all types of activities: he can decide independently in which field of business to carry out his activities, he can be a party to all civil law contracts for the development of his own business. Such a person ceases to be limited by legal acts, therefore he does not require "control" (for example, by an official representative).










 Entrepreneurship in the USA


Traditionally, the United States of America is recognized as the first economy in the world, and Apple, Microsoft and McDonalds have long become the "business" hallmark of the entrepreneurial ecosystem of this country.

The US has a federal system of government, and laws are made at the national (federal), state, and local levels. "Local" laws are laws passed by cities and counties that apply in those geographic areas. All 50 states (along with US territories and the District of Columbia) have their own laws that apply in those jurisdictions.


 Some areas of law, such as patent and copyright law, are governed exclusively by federal law. Many other laws, including those governing contracts, employment relationships, and sales transactions, are largely set by individual states (many other areas of law are governed by both federal and state laws). When doing business in the US, entrepreneurs should be aware that they are subject to these "parallel" systems of laws, which often differ from state to state in which to do business.

Although, as noted above, relations in the business sphere are regulated by various acts depending on the state of incorporation of the company, the main requirements, as in Ukraine and Poland, include the absence of a special status for such a person (a powerful person, etc.).


 Just like in Ukraine and Poland, American military personnel are not allowed to engage in entrepreneurial activities (buy securities, register as private entrepreneurs, etc.). Notaries, employees of the prosecutor's office, courts and other justice bodies, and federal authorities also do not have the right to engage in business, and non-concurrent regulations prohibit American parliamentarians from any paid activity while working in the US Congress. In addition, parliamentarians also have no right to allow any firm, company, association or corporation to use their name.


 The legislation of the above-mentioned states originates in different legal families (the USA from the Anglo-American, Poland and Ukraine from the continental). However, the legal acts issued by the competent authorities and regulating business relations are quite similar. Thus, persons who are endowed with powerful powers and perform governmental functions or have other social status cannot engage in entrepreneurial activities, purchase securities, create business associations etc. 



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