Payoneer, a financial technology company empowering the world’s small- and medium-sized businesses (SMBs) to transact, do business and grow globally, has unveiled its second Ukrainian SMB survey report tracking macro trends across Ukrainian businesses impacted by the war.
Despite significant obstacles, the new data uncovers a positive story that Ukrainian businesses are returning home and showing great independence as they battle disruption on every front. The survey also shows that businesses are shifting from survival mode to pursuing growth and looking to hire more staff.
Payoneer surveyed more than 2,300 Ukrainian SMBs during March of this year in various industries, including IT, manufacturing, education, agriculture and others, to gain insight into their state and outlook after a year of full-scale war. The new research indicates that Ukrainian SMBs continue to show remarkable resilience and are shifting from survival mode to seeking growth.
A year on, there’s no doubt that the war has caused unprecedented challenges for Ukrainian businesses, but key findings reveal how these SMBs are persevering in the face of adversity:
- 69% of businesses now have all staff based in Ukraine
- 30% of businesses, despite the war, are looking to grow their business in 2023
- 36% are looking to hire more staff this year
- 44% of businesses believe that have enough of their own resources to pursue their business goals
- 81% have not turned to international or state programmes for support
Resilience and returning jobs to Ukraine
The initial phase of the war in Ukraine had a significant and devastating impact on the country’s economy. According to the National Council for the Recovery of Ukraine from the War, almost half of its businesses stopped, or almost stopped, their operations, and total direct losses to SMBs were US$83 billion. About 10 million Ukrainians, around 25% of the population, left their homes.
A year later, though, results of the Payoneer survey show SMBs have adapted to their new reality and entered a more stable rhythm as Ukrainian business is gradually returning home. Sixty-nine percent of the entrepreneurs have all their staff in Ukraine and 25% have only part of their staff abroad. Furthermore, 44% of those surveyed believe they can achieve their goals without external government support, highlighting the unwavering resourcefulness of Ukrainian businesses. Despite the stress that war has placed on businesses’ finances, Ukrainian businesses are employing their resources not only to survive, but to grow.
SMBs can now plan for the future
Unlike at the beginning of the war, when many businesses could not plan their activities for more than two or three weeks ahead of time, they can now plan work a year in advance as 56% of those surveyed plan to maintain their current positions in the market this year. Similarly, this newfound stability may allow SMBs to develop and scale their business. Despite the unprecedented impact of the war, the survey indicates that Ukrainian business shows no sign of slowing down plans to expand and operate on a global scale.
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