Investments and Due Diligence

Regardless of whether it is the purchase of the real estate or direct investment in the capital of Ukrainian companies, investment is a process in which the investor may face different challenges. That is why the decision of an investor to seek for legal advice during the process of investment would be a wise one.

Over the years, Ukraine has not been considered as the safest destination for investments. That is an additional reason for an investor to get qualified legal advice.

First of all, investors are advised to conduct a thorough security audit of the investment, which depends on the investor’s subject of interest. This may include, for example, verification of the title of the real property, the record of the transfer of rights for this property, the absence of rights of other persons for it, judicial or executive proceedings, and so on. Verification of the purchase of corporate rights (legal entity) is also on that list and may be particularly relevant for some clients.

Because the new owner of the corporate rights bears all the economic risks of the “toxicity” of the acquired company, which may include debts, loans, liabilities, litigation, the security check of such investment is a necessary thing to do. In legal practice, such inspections are called Due Diligence and are properly conducted by the lawyers of Hrynchuk and Partners law firm.

The structure of the investment transaction and the contents of the relevant documents are also of particular importance. Since this directly affects both tax liabilities and the possibility of efficient use of the investment object in the buyer’s business structure, it includes guarantees, which may play a key role in future disputes. The Hrynchuk and Partners law firm provides professional legal support to investors in the transaction structuring, contract conclusion process, corporate decisions drafting and analyses the content of relevant documents.

We will be glad to see you among people who invest in Western Ukraine and among our clients.

The Managing Partner Mr. Andriy Hrynchuk will be glad to answer your questions on the legal support of investments.