Up to 30 million UAH in compensation after shelling: what businesses should do to avoid losing the right to payments

Ukrainian businesses whose property was damaged by Russian attacks can claim compensation for damaged assets, grants and preferential financing. However, in order to receive part of the aid, companies need to take care of the documents and participate in the relevant programs even before the possible shelling.

The European Business Association, together with BDO in Ukraine, has updated the recommendations for enterprises regarding the recording of war losses and the subsequent receipt of compensation.

Up to UAH 30 million for damaged assets

One of the available mechanisms involves compensation through the Export Credit Agency.

An important condition: the company must be a member of the relevant program at the time of the event. It is not possible to join it after the shelling and receive compensation for previously caused damages.

A one-time contribution is 0.5% of the declared probable loss, and the amount of compensation for damaged assets can reach UAH 30 million.

Insurance premium reimbursement is also available to businesses – up to UAH 5 million per year.

What to do immediately after shelling

After an attack, entrepreneurs are advised not to hurry with cleaning, dismantling of damaged structures or repairs. First, it is necessary to record the consequences in as much detail as possible.

It is worth taking general and detailed photos of the damage, if possible with geolocation enabled, record the date and time, and save the original files.

Editing of photos and videos is not recommended. Also, do not rely solely on copies sent via messengers, as files may be compressed during transmission.

It is recommended to shoot the video in one continuous frame: start with the general appearance of the object and the address plate, and then move to the damaged premises and property. On the recording, it is desirable to name the address, date, approximate time and describe the seen destruction.

The company should receive victim status

Another important step is obtaining the status of the injured party in criminal proceedings.

It must be properly recorded in the case file that the damage was the result of the armed aggression of the Russian Federation.

Such documents may be important in the future for proof of damages, use of compensation programs, and potential recovery of damages.

Up to UAH 16 million in grants and UAH 150 million in loans

Grants of up to UAH 16 million are available for companies to resume production. At the same time, the amount of the grant cannot exceed the actual volume of damages.

Businesses can also use the “5-7-9%” preferential lending program. Financing of up to UAH 150 million is provided for the restoration of destroyed or damaged property.

For medium and large businesses, there is a separate compensation mechanism of 5.5 percentage points of the credit rate.

The minimum amount of such financing is UAH 100 million, and for enterprises operating in front-line territories, UAH 30 million. The total limit for a group of related companies can reach UAH 1 billion.

Damages can be reported through “Diya”

Businesses can also submit applications to the international Register of Losses through “Dia”.

You can claim not only the value of damaged or totally lost assets, but also lost profits, total loss of business, costs already incurred and future recovery costs.

At the same time, submitting an application to the Registry currently does not mean automatic receipt of money. The register records the requirements that should become part of the future international compensation mechanism.

For entrepreneurs, proper documentation of each loss remains key. In some cases, preparation for receiving potential compensation must begin even before a business is affected by a Russian attack.