OREANDA-NEWS. March 11, 2011. State Committee for Entrepreneurship and Regulatory Policy developed a Draft Law “On amendments to some legislative acts of Ukraine on the establishment of the principle business activity of private entities, without the use of seals” to ensure the reduction and simplification of procedures to start a business.

According to the Draft Law proposed to exclude from existing legislation requirements the usage of seals in economic activity for legal entities of private law.

This bill amended 37 existing legislation acts of Ukraine, aimed at removing from the provisions on the need for usage seals for legal entities of private law. This change to the Commercial Code of Ukraine and other legislative acts provide for the possibility, if desire, used of seals by legal entities that makes without obtaining permits.

Currently it is necessary to complete two procedures that require additional time and money for newly created entities. The abolition of the compulsory usage of the seal will reduce the time to start up a business from 27 to 20 days.

Besides it according to the analysis of ease of starting a business, conducted by experts from the International Finance Corporation by 2010, most countries in Europe and the CIS, excluding Ukraine, Azerbaijan and Russia is no need for a seal.

The bill does not contain rules and procedures that can contain the risks of committing corrupt acts, conversely it directed in particular to prevent corruption.