e-Entrepreneur in Diia: How to Register a Sole Proprietorship or LLC and Set Up a Business with a Single Application

«e-Entrepreneur» is a comprehensive service on the Diia portal that allows users to select up to 16 government services for starting or developing a business through a single electronic application. It enables users to register a Sole Proprietorship or a limited liability company (LLC) based on the model charter, choose the simplified taxation system, register as a VAT payer, open a bank account, submit Form 20-OPP, register an ECR or PECR, submit certain declarations concerning premises and work activities, notify the authorities about employees, and complete other registration procedures. Filling out the comprehensive application takes approximately 10–40 minutes, while individual services are processed within periods ranging from a few minutes to 10 working days. The service is listed as free of charge on the Diia portal.

A single application does not eliminate the legal requirements applicable to specific types of businesses. Entrepreneurs choose the services they need, while licensed activities, certain food facilities, high-risk work or equipment, and other specially regulated areas may require permits, licenses, or additional documents that are not included in the «e-Entrepreneur» service. Therefore, the service should be viewed as a unified digital process for the registration procedures it covers, rather than as a universal authorization to conduct any business activity.

What Is e-Entrepreneur and How Does the Comprehensive Service Work?

The legal framework for «e-Entrepreneur» is established by Resolution No. 1156 of the Cabinet of Ministers of Ukraine. This comprehensive electronic service was introduced under the Law of Ukraine «On the Specifics of Providing Public (Electronic Public) Services».

Its main principle is that instead of completing several government procedures separately, applicants select the services they need and fill out one electronic application. Data already available in government information systems may be reused, while interdependent services are processed sequentially. For example, if a person registers a Sole Proprietorship and simultaneously submits other related applications, the processing period for subsequent procedures begins after the Sole Proprietorship is entered into the Unified State Register.

Using «e-Entrepreneur» is optional. Each individual service can also be obtained separately using the procedures established by law. This is important, for example, when an entrepreneur is already registered and only needs to submit Form 20-OPP, register a PECR, or notify the authorities about an employee.

The application is signed using the electronic signature of an individual. Applicants are responsible for the accuracy of the information provided. When opening a bank account, the bank may request additional information or documents in accordance with banking legislation and its customer identification procedures.

Who Can Use e-Entrepreneur?

The service is available to adult Ukrainian citizens who:

• plan to register a Sole Proprietorship;

• are establishing an LLC based on the model charter;

• already operate a Sole Proprietorship or LLC and need additional services;

• are updating their Sole Proprietorship registration details;

• are switching an existing LLC to the model charter;

• are opening a new retail outlet, office, warehouse, production facility, or another location requiring notifications or registrations covered by the service;

• are hiring employees;

• are registering a cash register, PECR, taxable objects, or certain business facilities.

Existing businesses do not need to request all available services: they can select only those they require.

Which 16 Services Are Available Through e-Entrepreneur?

The Diia portal offers the following components of the comprehensive service:

1. Sole Proprietorship registration — estimated processing time of up to one day.

2. Updating Sole Proprietorship registration details — up to one day.

3. Registration of a declaration confirming that facilities and equipment comply with fire safety requirements — up to five working days.

4. Registration of a declaration confirming that facilities and equipment comply with occupational safety legislation — up to five working days.

5. Registration of food business operators' facilities — up to ten calendar days.

6. Registration of an LLC based on the model charter — up to one day.

7. Switching an existing LLC to operating under the model charter — up to one day.

8. Submitting vacancy information to the State Employment Center — up to one day.

9. Registration under or transition to the simplified taxation system — up to three working days.

10. VAT payer registration — up to three working days.

11. Opening a bank account — up to one day.

12. Submitting an ECR registration application — up to five working days.

13. Submitting a PECR registration application — up to one day.

14. Submitting an employee hiring notification — up to one day.

15. Submitting a notification of the use of a single tax account — up to one day.

16. Submitting a notification of taxable objects using Form No. 20-OPP — up to one day.

If a Sole Proprietorship or LLC is being established simultaneously, the processing periods for services dependent on state registration begin after the new business entity is entered into the Unified State Register.

What to Prepare Before Completing the Application

Before submitting the comprehensive application, it is advisable to determine not only the legal form of the business but also the parameters that will affect taxation and future obligations.

Future Sole Proprietorship owners should identify their economic activity types in advance and check whether these activities are permitted under their chosen single-tax group. For an LLC, the founders must decide whether to operate under the model charter and prepare the information required for state registration.

If the business will operate from physical premises, accurate information about the store, office, warehouse, production facility, or other location will be required. If payment transactions are planned, it is necessary to determine whether an ECR or PECR is required. Hiring employees requires proper formalization of employment relationships, while food production or food retailing requires determining the legal status of the relevant facility.

Registering a Sole Proprietorship or LLC Through e-Entrepreneur

State registration of Sole Proprietorships and legal entities is governed by Law of Ukraine No. 755-IV «On State Registration of Legal Entities, Individual Entrepreneurs, and Public Associations».

For a Sole Proprietorship, state registration creates an official entry in the Unified State Register. After registration, the individual may legally conduct business activities within the registered economic activity codes (KVED), subject to any special requirements applicable to the specific business.

«e-Entrepreneur» also allows users to establish an LLC, but specifically one operating under the model charter. If the founders require an individually drafted charter containing special provisions on company management, corporate rights, or decision-making procedures, a separate state registration procedure is necessary.

Simplified Taxation System: What to Check Before Choosing

«e-Entrepreneur» allows applicants to submit an application for the simplified taxation system together with their business registration. However, the single-tax group must be selected based on the types of activities, customer categories, number of employees, annual income, and other restrictions established by Article 291 of the Tax Code.

For Sole Proprietorships in 2026, the following main figures apply:

For Groups I and II, the local council determines the specific single-tax rate within the maximum permitted rate, so the actual amount may be lower. The minimum Unified Social Contribution (USC), calculated on the minimum wage of UAH 8,647, is UAH 1,902.34 per month for entrepreneurs who are required to pay it. Legislation provides certain exemptions from USC payments, so registering a Sole Proprietorship does not automatically mean that every individual must pay the same amount without exception.

Registration under the simplified taxation system does not authorize activities prohibited for the relevant group. Violating the conditions of the simplified system, including exceeding the established income limits, may require switching groups or result in losing the right to use the simplified system.

VAT Payer Registration

The comprehensive application allows users to submit documents for VAT payer registration.

The registration procedure is governed by Articles 181–183 of the Tax Code. Whether VAT registration is required or advisable depends on the taxation system, the volume and nature of transactions, the business's customers, and other circumstances.

For example, the law provides Group III single-tax payers with the option of paying 3% of income plus VAT or 5% without VAT. Therefore, the decision to register for VAT should be aligned with the intended taxation model before submitting the application.

Opening a Bank Account

Opening a bank account can be requested as one of the components of «e-Entrepreneur». Accounts can only be opened through banks that have the necessary technical integration with the portal.

For this component, Procedure No. 1156 expressly provides an exception to the general «single application» principle: the bank may require additional documents necessary to open the account. This is related to mandatory customer identification and account-opening procedures.

It is best to check the list of available banks directly when completing the application, as it depends on current technical integrations.

Form 20-OPP for Stores, Warehouses, Offices, and Other Facilities

Paragraph 63.3 of the Tax Code requires taxpayers to notify the State Tax Service of Ukraine (STS) about taxable objects and objects related to taxation or through which business activities are conducted.

Under Taxpayer Registration Procedure No. 1588, Form 20-OPP must be submitted within 10 working days after the relevant object is registered, established, or opened. Changes to the object's details and its closure must also be reported. For businesses, such objects may include stores, offices, warehouses, production facilities, vehicles, equipment, and other assets or locations associated with their activities.

In other words, opening a new store after registering a Sole Proprietorship is a separate tax-related event. If information about the retail outlet must be reported, it should be properly submitted to the STS, including through «e-Entrepreneur» when this component is selected.

For violations of registration procedures, Paragraph 117.1 of the Tax Code establishes fines of UAH 340 for a self-employed individual and UAH 1,020 for a legal entity. If the violation is not corrected or a similar violation occurs again within one year, the fines increase to UAH 680 and UAH 2,040, respectively.

ECR and PECR: Registering a Cash Register Through e-Entrepreneur

The service allows users to submit applications for both hardware ECRs and software-based PECRs.

However, registering an ECR or PECR is not required merely because a Sole Proprietorship has been established. The obligation to use a cash register depends on whether the business conducts payment transactions and whether any statutory exemptions apply.

If an ECR/PECR must be used, Law No. 265/95-VR requires, among other things, that the transaction be processed for the full purchase amount and that the customer receive a proper payment document in paper or electronic form.

Following the end of the temporarily reduced penalty period, standard financial penalties have applied since August 1, 2025, for violations specified in Paragraph 1 of Article 17 of the ECR Law:

• 100% of the value of goods, works, or services sold in violation of the requirements — for the first violation;

• 150% of the value — for each subsequent violation.

The STS separately emphasizes that each sale without a proper payment document may be treated as a separate violation.

Fire Safety Declaration: When Registration Alone Is Not Enough

«e-Entrepreneur» allows users to submit a declaration confirming that their facilities and equipment comply with fire safety legislation.

Article 57 of the Civil Protection Code of Ukraine establishes rules for commencing operations at newly established enterprises and using real estate facilities based on such a declaration in cases prescribed by law.

For entities with a high level of acceptable risk, the law imposes an additional requirement — a positive assessment report confirming the fire safety condition of the enterprise, facility, or premises.

Therefore, the availability of this service in Diia does not mean that the declaration is sufficient for every type of premises or business activity. Before opening a facility, the specific requirements applicable to it must be checked.

Occupational Safety Declaration and High-Risk Work

A separate component of «e-Entrepreneur» concerns the declaration confirming that facilities and equipment comply with occupational safety legislation.

Cabinet of Ministers Resolution No. 1107 distinguishes between work and equipment requiring a permit and those that may be performed or operated on the basis of a declaration.

In addition, during martial law, Cabinet of Ministers Resolution No. 357 establishes special rules for certain categories of high-risk work and equipment that would normally require permits. Resolution No. 357 remains in force.

Therefore, manufacturing businesses, vehicle service stations, warehouses with specialized equipment, construction and installation operations, and other high-risk activities must first determine the legal requirements applicable to the specific work or equipment. Submitting a declaration does not replace a permit where current legislation expressly requires one.

Grocery Stores, Cafés, and Food Production: Facility Registration

«e-Entrepreneur» allows food business operators to register their facilities. This applies to businesses handling food products when the relevant facility is subject to state registration.

Law of Ukraine No. 771/97-VR establishes separate procedures for state registration of facilities and obtaining operating permits. Therefore, before submitting an application, it is necessary to determine which category applies to a particular store, warehouse, production workshop, café, or other facility. The Diia portal itself recommends checking whether the business requires an operating permit.

The portal specifies a processing period of up to 10 calendar days for this component. Food-related facilities should only begin operating after complying with the legally established registration procedure or obtaining an operating permit where required.

Employees: The STS Must Be Notified Before Work Begins

«e-Entrepreneur» allows businesses to notify the STS about hiring an employee.

This does not replace the employment contract or the official hiring order. Article 24 of the Labor Code of Ukraine prohibits allowing employees to begin work without properly formalized employment relationships and notification of the STS in accordance with the procedure established by the Cabinet of Ministers.

Cabinet of Ministers Resolution No. 413, which establishes the notification procedure, remains in force in its version dated January 21, 2026. In 2026, provisions were also introduced for automatically transmitting the relevant information when employment relationships are formalized through the designated government system «Obrii».

Therefore, employees should not be allowed to begin a shift, operate a cash register, work in a warehouse or production facility, or perform other duties until their employment has been properly formalized and the required notification has been submitted.

Submitting Job Vacancies to the Employment Center

«e-Entrepreneur» allows businesses to submit vacancy information to the State Employment Center.

Form No. 3-PN and its submission procedure were approved by Ministry of Economy Order No. 827-22. This regulation remains in force.

This service is specifically intended to report labor demand. It does not replace an employment contract or the notification to the STS about the actual hiring of a particular employee.

Single Account for Paying Taxes

«e-Entrepreneur» also allows businesses to notify the STS about their use of a single account.

This mechanism is provided for by Article 35¹ of the Tax Code and allows certain taxes, levies, and Unified Social Contributions to be paid through one account, after which the Treasury distributes the funds accordingly.

However, the single account does not apply to every payment without exception. In particular, the Tax Code establishes separate exclusions for VAT and certain excise payments. Therefore, switching to a single account does not mean that all other tax payment details become unnecessary.

Can All Licenses and Permits Be Obtained Through e-Entrepreneur?

No. The current list of 16 services does not include a universal procedure for obtaining all licenses and permits.

Article 7 of Law of Ukraine No. 222-VIII «On Licensing Types of Economic Activities» establishes the list of business activities subject to licensing. Additional requirements for certain goods or services may also be established by special legislation.

These requirements must be checked before starting operations, particularly if the planned business activity is expressly subject to licensing or permitting requirements. Registering a Sole Proprietorship, LLC, ECR, or retail outlet does not, by itself, authorize activities requiring a separate license.

Similarly, «e-Entrepreneur» does not replace requirements concerning product safety, labeling, sanitary regulations, storage, technical regulations, consumer protection, or other industry-specific rules applicable to a particular business.

How to Submit an Application Through e-Entrepreneur

The procedure on the Diia portal consists of several steps:

1. Open the «e-Entrepreneur» service and sign in to your citizen account.

2. Select only the services required for your specific business.

3. Complete the comprehensive electronic application and verify the information entered.

4. Sign the application using your personal electronic signature.

5. Monitor the results in your Diia account and check notifications sent by email.

You can also check the current status in the «Services — Ordered Services» section of your personal account.

Completing the application on the portal takes approximately 10 to 40 minutes. This refers to the time required to fill out and submit the application, not a guaranteed timeframe for completing all state registration procedures. Each selected component has its own processing period.

What to Check After Receiving the Results

After the procedures are completed, it is advisable to check not only the status of the comprehensive application but also the outcome of every service required for operating the business.

For a retail store, for example, the following may need to be in place before full operations begin:

• correct economic activity codes (KVED) and taxation system;

• information about the store or warehouse submitted using Form 20-OPP;

• a registered ECR/PECR if required for the payment methods used;

• properly formalized employment relationships;

• documents confirming the right to use the premises;

• declarations or permits required for the specific facility or equipment;

• for food businesses — facility registration or an operating permit where required by law;

• a license if the business activity is subject to licensing;

• proper inventory and primary document accounting where such records are legally required.

This verification is important because successful state registration establishes a business entity but does not automatically confirm compliance with every special requirement applicable to its future activities.

How to Set Up PECR, Inventory Accounting, and Sales in Torgsoft After Business Registration

After registering a business through Diia, Torgsoft can be used to automate daily store operations, including goods receipt and movement, sales, returns, inventory balances, stocktaking, cash transactions, and reporting. The software includes dedicated features for software-based ECRs (PECRs) and maintaining inventory records in the prescribed format.

For PECR, Torgsoft supports registering a business unit, the software-based ECR itself, and cashiers directly from the program. This requires configuring the company and the electronic signature of its director or Sole Proprietorship owner in Torgsoft. The software provides settings for fiscalized goods and receipts, support for multiple cashiers, PECR analytics, transaction reversals, sending electronic receipts, and offline operation.

Torgsoft also offers an additional feature for generating the prescribed inventory record form based on documents entered into the software. This allows primary documents recording the receipt and disposal of goods to be integrated with day-to-day warehouse accounting. At the same time, Torgsoft does not replace state registration of a Sole Proprietorship or LLC, obtaining licenses, submitting Form 20-OPP, or completing fire safety and other permitting procedures. The software automates accounting and retail operations after the business has completed the required government formalities.

Example of Using e-Entrepreneur

In a Diia publication dated June 19, 2026, the story of the founder of the Dulce confectionery brand is presented as an example of using «e-Entrepreneur» to register a business online. Diia highlights this case to demonstrate how the comprehensive service eliminates the need to search for and complete different government procedures separately.

The service is also used by traditional manufacturing businesses: in July 2026, Diia published the story of an entrepreneur who used «e-Entrepreneur» to register a family-owned flour mill.

Key Takeaways About e-Entrepreneur

«e-Entrepreneur» reduces the number of separate applications and eliminates the need to enter the same information repeatedly. Entrepreneurs can register their business and immediately submit some of the applications required for future operations through one digital process.

However, before opening a store, office, café, manufacturing facility, or another business location, it is necessary to check three levels of requirements: state registration of the business itself, tax and employment formalities, and special rules applicable to the particular activity, premises, goods, or equipment. This approach allows entrepreneurs to use «e-Entrepreneur» as a business launch tool while minimizing the risk of overlooking a mandatory license, permit, notification, or fiscal procedure.

Official Sources

• Diia Portal — «e-Entrepreneur»: current list of 16 services, processing times, application procedure, and eligible user categories. «e-Entrepreneur» service on the Diia portal

• Resolution of the Cabinet of Ministers of Ukraine dated November 7, 2023, No. 1156 «Certain Issues Concerning the Provision of the Comprehensive Electronic Public Service “e-Entrepreneur”» — procedure for providing the comprehensive service, selecting components, electronic applications, and interaction between government systems. Cabinet of Ministers Resolution No. 1156

• Law of Ukraine dated July 15, 2021, No. 1689-IX «On the Specifics of Providing Public (Electronic Public) Services», particularly Article 12 — comprehensive electronic public services. Law No. 1689-IX

• Law of Ukraine dated May 15, 2003, No. 755-IV «On State Registration of Legal Entities, Individual Entrepreneurs, and Public Associations», particularly Articles 17–18 — documents and procedures for state registration of legal entities and Sole Proprietorships. Law No. 755-IV

• Tax Code of Ukraine dated December 2, 2010, No. 2755-VI — Article 35¹ concerning the single account; Article 63 concerning the registration of taxable objects; Article 117 concerning liability; Articles 181–183 concerning VAT; Articles 291–298 concerning the simplified taxation system. Tax Code of Ukraine

• Order of the Ministry of Finance of Ukraine dated December 9, 2011, No. 1588 «On Approval of the Procedure for Registration of Taxpayers and Fee Payers», Section VIII — notifications of taxable objects, Form No. 20-OPP. Ministry of Finance Order No. 1588

• Law of Ukraine dated July 6, 1995, No. 265/95-VR «On the Use of Electronic Cash Registers for Payment Transactions in Trade, Catering, and Services», Article 3 — obligations concerning payment transactions; Article 17 — financial penalties. ECR Law No. 265/95-VR

• Order of the Ministry of Finance of Ukraine dated June 14, 2016, No. 547 — procedures for registering and using ECRs and related requirements. Ministry of Finance Order No. 547

• Law of Ukraine dated July 8, 2010, No. 2464-VI «On the Collection and Accounting of the Unified Contribution for Compulsory State Social Insurance», particularly Articles 4 and 7 — contribution payers and the assessment base for the Unified Social Contribution. Law No. 2464-VI

• Labor Code of Ukraine, Article 24 — formalization of employment relationships and admission to work; Article 265 — liability for labor law violations. Labor Code of Ukraine

• Resolution of the Cabinet of Ministers of Ukraine dated June 17, 2015, No. 413 — procedure for notifying the STS about hiring employees. Cabinet of Ministers Resolution No. 413

• Order of the Ministry of Economy of Ukraine dated April 12, 2022, No. 827-22 — Form No. 3-PN «Information on Labor Demand (Vacancies)» and its submission procedure. Order No. 827-22

• Civil Protection Code of Ukraine dated October 2, 2012, No. 5403-VI, Article 57 — commencement of operations by newly established enterprises and the use of real estate facilities from a fire safety perspective. Civil Protection Code of Ukraine

• Resolution of the Cabinet of Ministers of Ukraine dated June 5, 2013, No. 440 — procedure for submitting and registering declarations confirming that facilities and equipment comply with fire safety requirements. Cabinet of Ministers Resolution No. 440

• Resolution of the Cabinet of Ministers of Ukraine dated October 26, 2011, No. 1107 — permits and declarations for high-risk work and equipment. Cabinet of Ministers Resolution No. 1107

• Resolution of the Cabinet of Ministers of Ukraine dated March 24, 2022, No. 357 — special rules for high-risk work and equipment during martial law. Cabinet of Ministers Resolution No. 357

• Law of Ukraine dated December 23, 1997, No. 771/97-VR «On the Basic Principles and Requirements for Food Safety and Quality», particularly Articles 23–25 — operating permits and state registration of facilities. Law No. 771/97-VR

• Resolution of the Cabinet of Ministers of Ukraine No. 523 of 2026 — an experimental electronic mechanism for registration and permitting procedures for operators in the relevant market. Cabinet of Ministers Resolution No. 523

• Law of Ukraine dated March 2, 2015, No. 222-VIII «On Licensing Types of Economic Activities», Article 7 — list of activities subject to licensing. Law No. 222-VIII