Polski
русский
Українська

How Ukrainian Businesses Have Lived Through 1,000 Days of Full-scale War

Sergey BaidinNews
How Ukrainian Businesses Have Lived Through 1,000 Days of Full-scale War

Over 1,000 days of full-scale war, Ukrainian businesses have faced immense challenges. Early in 2022, hiring came to a near standstill, and job searches were rare. The IMF estimates that Ukraine’s total economic losses reached 35% of GDP, with many companies shutting down or relocating. For instance, from 2022 to the first quarter of 2024, 1,261 agricultural enterprises closed — one of the hardest-hit sectors.

But there’s a brighter side to the story. Despite missile strikes, power outages, and logistical hurdles, the number of individual entrepreneurs has risen by 12% over the past year. An October survey by the National Bank of Ukraine showed that businesses feel optimistic about their economic prospects. Entrepreneurs are growing more confident.

You can see it in the headlines and hear it in their stories. Ukrainian entrepreneurs find solutions and make it work, even in the hardest of times.

Ukrainian Business Is Going Global

This summer, I was in Miami, and in my neighborhood alone, there were three places founded by Ukrainians. It's not just our people who went there, but locals too — for great coffee and Ukrainian syrnyky. Another Ukrainian café a few blocks away served coffee roasted in Kyiv. Even with beans shipped from Ukraine, the price was in line with local spots, and the taste, of course, was unmatched.

This is just a small glimpse of what’s happening around the world. Ukrainian businesses are now everywhere, from every corner of Europe to North America. Over these 1,000 days, Ukrainian brands have grown alongside businesses. They’re bringing our vision of quality and customer service to the world, which is often at an exceptionally high level.

The numbers back this up: the percentage of companies that started working with international markets rose from 4% to 17% in 2023. Another 14% of businesses planned to expand, and 27% were considering entering new markets this year.

Sympathy Isn’t Enough Anymore

Thanks to the high level of service, our businesses are doing quite well abroad. Ukrainian entrepreneurs, especially those in the service industry, are culturally much closer to Americans than to Europeans. That’s why the path to the U.S. has opened up for many entrepreneurs. Paradoxically, entering Western Europe is no easier, even though it’s geographically closer. Most countries there are small and monocultural. Marketing channels aren’t as authoritative as in the U.S., and so-called "word of mouth" and shared context drive demand.

But for Ukrainians, there are no special favors in these markets anymore. Consumers aren’t looking for charity — no one’s going to pay for a product or service just because it’s Ukrainian.

When Ukrainians develop any service, B2B or B2C, they’re competing on equal terms with local businesses. Customers choose them from a sea of local competitors who may have been in the European or U.S. markets for years.

The full-scale invasion also put off many foreign clients. Sympathy didn’t work for everyone. Even though Ukrainian businesses are known for following through on their promises (just look at Ukrzaliznytsia), clients were reading the news, worrying about blackouts, the productivity of Ukrainian teams, and their own projects. We had clients who pulled their deposits as soon as they heard about the war. But there were others who immediately asked how they could help, making generous donations to the Ukrainian army.

Despite these challenges, if you can spot a niche and a need, any market can be conquered — just like SkyUp, Nova Poshta, Rozetka, Dnipro M, and dozens of other businesses have done.

There’s No Pity, but There Is Support

Of course, no successful entrepreneur is expecting sympathy or pity right now, but getting support or help still makes sense. According to the government data, by 2023, Ukrainian businesses had received €4 billion from international partners, including direct funding, grants, credit risk, and war risk insurance.

This speaks to the incredible effort of Ukrainian entrepreneurs. Securing this kind of support takes more than just strong arguments and professional preparation — it takes the skill to present their projects effectively on the global stage. Every dollar is earned through real results, adaptability, accountability, and hard work. For Ukrainian entrepreneurs, the stakes are even higher, as they manage to achieve all of this under constant shelling.

During the full-scale war, Ukrainian companies have found ways to take advantage of international tenders and contracts. For example, TK-Domashniy Tekstyl secured new deals and entered markets like the Baltic states, Denmark, Georgia, and others. By partnering with a UN division in Ukraine, they’ve expanded production and introduced new product lines, including children’s clothing and footwear.

Winning international tenders and attracting investments from global partners, including the U.S., has helped them create jobs and employ hundreds of Ukrainians, including those displaced by the war.

People Longed to Be a Part of Something Bigger

At the start of the invasion, few people on my team could focus on work. In those first weeks, everyone’s thoughts were consumed by safety — their own and their loved ones’. We were glued to the news, driven by a strong desire to make a difference, to do something meaningful rather than just sit at our desks. For many, a heroic spirit awakened, and it felt entirely natural.

The challenge was finding a balance between this impulsive energy and the steady, day-to-day work that had to keep going. It was important for the team to feel like we were part of the bigger fight. So, we decided to double down on our efforts, earn more, and channel a portion of our income into donations. It made a huge difference.

Even now, a large part of the team hasn’t regained the same level of motivation they had before the full-scale invasion — and some may never fully return to it. There are people who have become withdrawn, isolated, or even avoid going outside, especially those living closer to the frontlines. We’re doing our best to support everyone, at least emotionally. We organize interactive activities, online games, and sports events. The team always knows we’re here for them and ready to help. These efforts make a difference, and thanks to the team, the business continues to move forward.

COVID Prepared Us

By the time the invasion began, most IT businesses in Ukraine were already familiar with remote work. Over the past 1,000 days, the shift toward this has only grown stronger. The global conversation has focused on a return to offices, but in Ukraine, over 65% of IT professionals still work fully remotely, with only 5% back in offices. Many companies can’t guarantee operational shelters, and employees — especially those closer to the frontlines — are often hesitant to leave their homes.

One of the biggest challenges for my business came during the blackouts in the winter of 2023. While COVID had prepared us for remote work, nothing could have prepared us for 12-hour power outages. Our work relies heavily on meeting deadlines, and our clients are based abroad. Few of them could fully grasp what it meant to work without electricity, but we weren’t willing to make excuses or lose orders.

Over the past 1,000 days, we’ve revised and improved many of our operational processes. For example, all project folders are now automatically synced with cloud storage at all times. If a developer in Odesa has a blackout, their colleague in Ternopil can pick up the cloud-synced project.

We’ve also made sure that all online meetings are automatically recorded, with AI generating transcripts. This means that if someone can’t join a group call, they can watch it later, or if their internet connection is too weak, they can at least read the summary.

And it worked! Not only did we get through last winter without any conflicts or penalties from clients, but we also became much stronger and more systematic.

Ukrainian IT professionals have long been among the best in Europe. Even now, Ukraine is home to over 1,600 outsourcing IT companies, serving hundreds of international clients. Businesses choose Ukrainian talent for their exceptional service quality, strong sense of responsibility, and, of course, competitive pricing.

This even led to a project from the Ministry of Digital Transformation. Last week, during Web Summit, the biggest tech conference in Europe, the ministry announced the launch of a platform — Code.ua — where foreign companies can find Ukrainian outsourcing partners. Despite the challenges, Ukrainians are still positioning themselves as strong players in the global IT market.

Here’s what I’d recommend to Ukrainian companies looking to enter international markets:

  1. Find as many people as possible in your industry on LinkedIn. Set up online meetings to ask your questions. Don’t hesitate to reach out to potential competitors. Be direct, skip the small talk. You’ll be surprised at how much valuable info you can get that would otherwise take years to uncover.
  2. Always start with a small-market test. Even if you don’t have your product or service yet, run ads and see how much feedback you get. It’s better to apologize to a customer now for not meeting their needs than to invest heavily in something the market doesn’t need.
  3. Find out what support programs are available for new businesses in your target location. Google "Local Enterprise Office" or "Chamber of Commerce," and you’ll likely find a government organization focused on local business development. They can help you get set up and pay taxes locally, and they often offer grants for growth and assist with all the bureaucratic procedures.
  4. Hire at least one marketing specialist and one salesperson in your target country, even on a part-time basis if you can’t afford full-time staff yet. Even if you and your Ukrainian team know the language well, you likely don’t fully understand the local cultural nuances and context. Local employees will help you avoid mistakes and, in most cases, earn significantly more money.
  5. Most importantly: don’t be afraid, just take action! There will never be a better time. You’ve got this!

What lies ahead for Ukrainian businesses? Every day, they evolve in unpredictable circumstances, and the situation can change in a very short period of time. Despite this, we are much more optimistic. We already have experience entering new markets, we’ve overcome tough challenges, and we are ready to move forward.

Other News

How not to harm indoor flowers: myths about winter care

To make indoor plants feel good in winter, you should pay attention to their condition and needs