A Case Study
A Case Study
WHY Ukraine? (In 2009) • Not in EU, so Lower Cost base
• No Visa needed for EU and US visitors • Most Democratic from NON-EU countries… it seemed ;-) • Lviv because it had great Universities and an International Airport
A Case Study
What happened after starting? • • • • • • •
Biggest Financial Crisis in history. No Growth for first 1,5 years Revolution, Maidan Invasion and Occupation of Crimea by Russia “Invasion and Occupation” of Donbas Area in Eastern Ukraine Mobilization Corruption …even from from Tax authorities No Financing from Banks for Cash-Flow
• Collapse Euro to $ from 1.50 to 1.02 • IT Salaries Doubled during last years
A case study
Where we are today.. despite all issues… • • • • • • • • • • •
Almost 300 people Almost 10 Mio Revenue +10% EBIT NEVER PAID BRIBE!! 2 new Offices last year (Rzeszow, Poland and Skopje, Macedonia) 100% Client Retention Top 5 Preferred to work for companies in Lviv CIO-Review: 2016 TOP 20 Most Promising JAVA companies CIO-Review: 2016 TOP 20 Most promising QA/Testing Companies Bank just informed they will FINALLY give a Loan for Cash-Flow My Second Home
A Case Study
My Conclusion : • Ukraine has been successful despite al issues !!
• Now things are more stable… it should be easier for new investors ;-)
A Case Study
Recommendations: • • • • • •
It is (MUCH MORE) important WHO YOU KNOW!!! Embassy and Consulate EBA (European Business Association) Local Foreign Investment Office (Lviv) Local Authorities Local “Colleagues in the Industry”
• NEVER pay Bribes!!!
A Case Study
Theo.Schnitfink@symphony-solutions.eu