This year Ukraine adopted the Law “On state regulation of activities for the organization and conduct of gambling”, which may become the beginning of the development of the legal gambling industry in the country. VigoLex team is confident that now it is worth paying attention to Ukraine as a potential market for the gambling incorporation.
A license in Ukraine will be issued to organize the activities of:
- offline casinos;
- online casinos;
- offline and online bookmakers;
- slot machines halls;
- online poker;
- betting at hippodrome; as well as
- per each gaming table (for casinos);
- per each bookmaker’s office;
- for providing gambling services;
Other activities such as lotteries and sport poker are not gambling – no gambling license is applicable. A gambling license must also be obtained by residents of Ukraine who supply software for residents and non-residents of Ukraine who conduct gambling activities.
Only a company with the authorized capital of at least UAH 30 million can obtain a Ukrainian license. The licensee must also form a bank deposit in the amount of UAH 34 million. To open offline gambling at a casino, for example, in addition to a gambling license, you must also obtain a permit that confirms that the premise complies with the law requirements, namely:
- for Kyiv – a 5-star hotel for at least 150 guest rooms;
- forothercities – a 4- or 5-starhotelfor at least 100 guest rooms;
- for country complexes – a complex of at least 10,000 m2 with a 5-star hotel.
The main difficulty for Ukraine is that it is still unknown how and when exactly the gaming market will be launched
How to obtain the Ukrainian License
In order to obtain the Ukrainian License you must submit the following documents:
- an application for a license;
- copies of the company’s constituent documents;
- the auditor’s document confirming the amount of the company’s authorized capital;
- a document that confirms the sources of funds origin for the formation of the company’s authorized capital;
- police good conduct certificate for managers, who own more than 10% in the company, beneficiaries and accountant of the company;
- a document for the right to use the premises (if applicable);
- a document confirming ownership for the .UA domain (if applicable);
- a document confirming the premises compliance with the law requirements (if applicable).
For each type of license, the additional list of documents can be established that must be submitted in order to obtain a license, in particular – certificates for slot machines, gaming tables, etc.
The term of validity and the cost of licenses (tied to the minimum salary, accordingly, it will constantly change):
- offline casino: the term is 5 years; the cost of issuing a license is UAH 283 million for Kyiv, UAH 142 million for other cities; the annual license fee is UAH 826 thousand for one table with roulette, UAH 425 thousand for one table without roulette, UAH 28 thousand for one slot machine;
- online casino: the term is 5 years; the cost of issuing a license is UAH 30.5 million;
- betting: the term is 5 years; the cost of issuing a license is UAH 141.5 million; the annual fee for a bookmaker’s office is UAH 142 thousand;
- slot machines: the term is 5 years; the cost of issuing a license for a slot machines hall is UAH 35.5 million; the annual fee for one slot machine is UAH 28 thousand;
- online poker: the term is 5 years; the cost of issuing a license is UAH 23.5 million;
- provision of gambling services: the term is 5 years; the cost of issuing a license is UAH 1.5 million.
Taking into account many years of operational experience in gambling in other jurisdictions, VigoLex is ready to provide assistance in Ukraine, starting from consultations on general issues related to a particular gambling type, and ending with obtaining a license and preparing all other necessary documents for the full-fledged launch of this type of business.