Have you ever wondered where to find tech talent that blends expertise with resilience? As global markets shift and businesses adapt to new realities, one country’s IT sector has remained not only relevant, but inspiring; Ukraine.
Despite facing extraordinary challenges, Ukrainian developers continue to deliver cutting-edge solutions, offering businesses worldwide a rare opportunity to tap into a pool of determined and highly skilled professionals.
Yes, the full-scale Russian invasion has disrupted many aspects of life, but it hasn’t diminished Ukraine’s reputation for top-tier technical talent and innovation. In fact, now might be the most opportune moment to hire Ukrainian developers. With competitive software development rates in Ukraine, exceptional education, and a proven ability to navigate and overcome adversity, Ukraine’s tech professionals are ready to help your business thrive in the global market.
At IntelliSoft, with over 15 years of experience, we’ve seen firsthand the strength and talent of Ukrainian developers. In this guide, we’ll explore why working with them can give your project the competitive edge it needs. Ready to turn adversity into opportunity? Let’s dive in.
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Software Development Industry in Ukraine
Before the full-scale Russian invasion, Ukraine had become a go-to destination for tech giants and startups alike to hire Ukrainian developers, offering a thriving offshoring landscape.
In 2021, the IT outsourcing market in Ukraine saw remarkable growth, expanding by 36% and hitting $6.8 billion in exports. This surge positioned Ukraine as a top outsourcing hub, with the Global Sourcing Association recognizing it as the number one choice. It wasn’t just small players either – global titans like Google, Amazon, and Microsoft established more than 100 R&D centers in the country, drawn to the exceptional talent and innovation the Ukrainian tech scene had to offer.
Then came the war, turning the world upside down. Yet, even under these unimaginable circumstances, the Ukrainian IT sector has shown a resilience that’s nothing short of inspiring.
In 2022, while many industries struggled, IT stood tall, generating $7.3 billion in exports. By 2023, despite the ongoing war, the industry brought in $4.5 billion in just the first eight months. Though this marked an 8.9% dip from the previous year, August 2023 saw a rebound, with IT service exports rising 1.3% and contributing $566 million to the national budget.
What’s even more impressive is the future outlook. Ukraine’s Ministry of Digital Transformation is spearheading the creation of a military tech hub, aiming to consolidate defense-focused innovations and offer support to tech entrepreneurs. These efforts not only highlight the sector’s resilience, but also open up fresh opportunities for international collaboration and investment.
And the industry is here to stay – 96% of tech companies in Ukraine plan to continue operations, despite the challenges. Looking ahead, the Ukrainian software development sector is expected to reach $5.49 billion by 2028, growing at an annual rate of 11.89%. This isn’t just about survival; it’s about continued growth and global impact. Ukraine’s tech talent is proving to be an unstoppable force, even in the toughest of times.
What Are the Top Skill Sets of Ukrainian Software Developers?
When you think of Ukrainian software developers, imagine a blend of technical excellence, innovation, and an unshakable work ethic. When you hire Ukrainian dedicated developers, these professionals are known for more than just their coding skills – they bring a mindset of problem-solving and adaptability that’s been shaped by a unique combination of world-class education and real-world challenges.
One of the standout skills among Ukrainian developers is their expertise in full-stack development. Whether working with front-end technologies like React or Angular or back-end environments like Node.js or .NET, they possess the versatility to build dynamic, end-to-end solutions. This makes them highly sought after by companies looking for developers who can handle multiple aspects of a project without missing a beat.
Another key strength is their proficiency in cloud computing and DevOps. With platforms like AWS, Azure, and Google Cloud increasingly becoming the backbone of modern businesses, Ukrainian developers are fully equipped to architect, deploy, and maintain scalable cloud solutions. Add DevOps expertise to the mix, and you get developers who understand the importance of automating processes, speeding up deployment cycles, and ensuring reliability at every stage.
But it’s not just about the tech stacks. Ukrainian developers are also highly skilled in data science and AI development. They excel in crafting intelligent algorithms, machine learning models, and data-driven solutions that help businesses turn raw data into actionable insights. In an era where data is king, their ability to work with Python, TensorFlow, and other AI tools positions them as key players in the global tech scene.
Сybersecurity has become a crucial area of expertise, and Ukrainian developers are increasingly recognized for their skills in securing systems, protecting sensitive information, and building applications with strong defense mechanisms. With the rise of cyber threats, having a team of developers who can anticipate risks and design robust security measures is invaluable.
When you hire Ukrainian full-stack developers, expect to benefit from full-stack mastery to cloud architecture and AI; they’re setting new standards in the industry. Their technical understanding and a deep sense of responsibility and resilience make them ideal partners for businesses looking to innovate and scale.
Is Ukraine a Good Choice for Your Business to Outsource Software Developers?
Outsourcing software development can be a game-changer for many businesses, and Ukraine continues to stand out as a top destination. When you hire Ukrainian iOS developers, expect to witness a strong tech talent pool, competitive costs, and an adaptable workforce; the country offers an ideal blend of expertise and cost efficiency. Even amidst the ongoing war, Ukrainian developers are proving their resilience, making Ukraine a strategic choice for companies looking to innovate while optimizing costs.
Ukrainian Software Development Hubs
Kyiv
As the capital and largest city, Kyiv has long been a hotspot for top-tier Ukrainian developers to hire. It’s home to a thriving tech ecosystem, with numerous startups, global R&D centers, and innovation hubs. Despite the challenges posed by the war, many tech professionals in Kyiv continue to drive forward, contributing significantly to the industry.
Lviv
Located in the western part of Ukraine, Lviv has become a rising star in the tech scene. Known for its vibrant IT community and strong ties to Europe, Lviv is a hub for software development, offering a highly skilled workforce and a favorable business environment for outsourcing.
Dnipro
Dnipro has emerged as another significant player in Ukraine’s tech industry. Its growing number of IT professionals and focus on innovation make it a prime location for companies seeking to build high-quality software solutions.
Odesa
With a rich cultural heritage and a strong tech infrastructure, Odesa is home to a diverse pool of talented developers. The city’s proximity to the sea and its well-established IT sector make it an attractive choice for outsourcing.
Kharkiv
Despite being heavily impacted by the war, Kharkiv’s tech community remains determined. Known for its engineering expertise and large pool of developers, Kharkiv continues to be a vital hub for IT innovation and outsourcing.
Vinnytsia
Vinnytsia is a smaller but fast-growing tech hub with a thriving IT community. Offering lower operational costs compared to larger cities, it’s an excellent location for businesses seeking to outsource while maintaining high-quality development standards.
Legal Aspects
When outsourcing or offshoring IT services to Ukraine, it’s crucial to follow local laws to ensure smooth collaboration. Most companies work with Ukrainian software developers registered as private entrepreneurs, which is similar to the independent contractor model in the US. To legally secure this cooperation, businesses typically sign a service provision agreement with these developers.
A reliable Ukrainian software development company will also provide three essential documents that help protect your interests and ensure transparency:
- Software Requirements Specification (SRS). This document lays out how your software will be developed and how it should function. It covers both functional and non-functional specifications, including use cases, ensuring the final product meets your expectations.
- Non-Disclosure Agreement (NDA). Protecting your company’s confidential information during development is crucial. An NDA defines what constitutes confidential information, outlines obligations for both parties, and specifies remedies in case of a breach.
- Statement of Work (SOW). This document is the backbone of your cooperation, covering everything from project timelines and payment terms to work standards and delivery criteria. The SOW ensures that all expectations are clear, preventing misunderstandings and fostering a smoother working relationship.
Taxation System and Accounting
Ukrainian software developers benefit from a simplified taxation system. Those working under the private entrepreneurship model (group 3) pay only 5% income tax monthly and a 22% social security tax quarterly, based on the minimum salary. Many companies cover these minimal taxes, allowing them to save up to 70% in costs compared to hiring full-time developers in the EU or US, where taxes can reach 20-40% of salaries.
Additionally, businesses can take advantage of payroll and accounting services to handle tax planning, document management, and bookkeeping. Trustworthy providers like IntelliSoft help companies save thousands of dollars and streamline administrative functions, allowing them to focus on core operations without the hassle of managing finances in-house.
Related Readings:
- Outsourcing vs Offshoring: Discover Which Model Maximizes Efficiency?
- Best Countries To Outsource Software Development
- Hire Developers for Startup: Key Strategies for Success
- Everything You Need to Know About Team Extension and Dedicated Team Models
- Outsourcing vs. Outstaffing Models: What Is the Difference and Their Pros & Cons
Ukrainian Developer Salaries
One of the biggest draws for outsourcing IT work to Ukraine is the cost-effectiveness of local talent. Ukrainian developers offer exceptional skills at a fraction of the cost compared to their counterparts in the US and Western Europe.
In Ukraine, you can expect to pay around $30,000 a year for a middle-level software engineer and about $54,000 for a senior programmer. This significant cost advantage allows businesses to access high-quality development expertise while keeping budgets in check.
Curious about how these figures break down across different tech stacks and roles? The table below provides a snapshot of salaries for various developer positions, based on recent job market data and insights from DOU, one of Ukraine’s top IT community platforms.
How to Hire Ukrainian Developers In 2024
Navigating the process of hiring Ukrainian developers can be smooth and efficient if you follow these detailed steps. Here’s a comprehensive guide to help you hire outsourcing Ukrainian developers, find the right talent and kickstart your project with confidence.
Step 1. Decide on a service type
Before diving into the hiring process, clarify the type of service you need. Are you looking for a full-stack developer to handle both front-end and back-end tasks, or do you need a mobile app specialist for iOS or Android?
For example, if you’re launching an e-commerce platform, you might need developers proficient in both web and mobile development. Defining your needs will streamline your search and ensure you target vendors who offer the exact skills you require.
Step 2. Make a vendors’ list
Start by compiling a list of potential vendors. Utilize platforms like Clutch, Upwork, and LinkedIn, or get recommendations from industry peers. Look for companies with solid reputations, positive client reviews, and portfolios that align with your project needs.
For instance, if you need expertise in React.js, search for Ukrainian development firms with a strong track record in that technology.
Step 3. Evaluate shortlisted vendors
With your list in hand, it’s time to dive deeper. Assess each vendor based on their experience, portfolio, and client feedback. For example, if you’re considering a vendor who claims expertise in AI but has limited project examples, you might want to look elsewhere. Websites like DOU and GoodFirms provide reviews and ratings that can offer insights into a vendor’s performance and reliability.
Step 4. Prepare your question list
Craft a detailed list of questions to ask potential vendors. This could include:
- Development Process. “Can you describe your development methodology? Do you follow Agile or Waterfall?”
- Team Composition. “Who will be working on my project? Can I meet the team members?”
- Communication. “How do you handle communication and updates? What tools do you use for project management?”
For example, you might ask, “What steps do you take to ensure code quality and timely delivery?”
Step 5. Communicate your project specifics
Once you’ve selected a few top candidates, clearly outline your project specifics. Provide a detailed project brief, including objectives, timelines, and any unique requirements.
For instance, if you’re developing a SaaS product, share information about the expected user load, feature set, and design preferences. This clarity helps vendors provide more accurate proposals and ensures everyone understands the project scope.
Step 6. Ask for preliminary estimates
Request preliminary estimates from the vendors. This might include cost breakdowns for different phases of the project, such as design, development, and testing.
For example, you could ask, “What is the estimated cost for developing a basic MVP of my application?” This helps you gauge which vendor offers the best value and aligns with your budget.
Step 7. Choose an engagement model
Decide on the engagement model that best fits your needs. Common models include:
- Fixed-price contracts. Ideal for projects with well-defined scopes.
- Hourly rates. Suitable for projects with evolving requirements.
- Dedicated teams. Best for long-term projects needing continuous support.
For instance, if you’re developing a new feature with changing requirements, an hourly rate might be more flexible.
Step 8. Choose a vendor
Based on your evaluations and estimates, select the vendor that aligns with your needs and budget. Consider factors like their expertise in your technology stack, their communication style, and their ability to meet deadlines. For example, if two vendors are comparable in cost but one has a stronger portfolio in mobile development, that vendor might be the better choice for an app project.
Step 9. Legal matters
Address all legal aspects to protect your interests. Ensure you have the following agreements in place:
- Service Agreement. Outlines the terms of your engagement.
- Intellectual Property Rights. Ensures you own the rights to the developed code and software.
- Non-Disclosure Agreement (NDA). Protects your confidential information.
For example, a well-drafted NDA might include clauses detailing how confidential information should be handled and the consequences of a breach.
Step 10. Meet your team
Arrange an introductory meeting with your development team. This could be a video call where you discuss the project’s goals, milestones, and expectations. Meeting the team helps build rapport and ensures everyone is aligned. For instance, you might schedule a kickoff meeting to discuss project timelines and communication channels.
Step 11. Start working
With everything in place, begin the collaboration. Maintain regular communication with your team, monitor progress through project management tools, and provide feedback as needed.
For example, tools like Jira or Trello can be used to track tasks and milestones. Establishing a regular update schedule and being available for feedback helps ensure the project stays on track and meets your expectations.
Hiring a Development Team in Ukraine: Terms and Options
When it comes to hiring a development team in Ukraine, flexibility and options are key advantages. The country’s extensive talent pool of highly skilled developers offers businesses a wide range of expertise. But how long does it take to bring these experts on board? And what are the options for structuring your team? Let’s break it down.
Time to Hire: What to Expect
Hiring timeframes for Ukrainian developers can vary based on the seniority level and the specific skills you’re seeking. Typically, the time to hire:
- Junior developers averages around 3-4 weeks. If you’re looking for a fresh graduate or someone with a couple of years of experience, you’ll find an abundance of qualified candidates eager to learn and grow.
- Mid-level developers may take around 4-5 weeks to find, as they come with more specialized skills and relevant project experience. This is the sweet spot for many businesses, as mid-level developers can work independently yet still be cost-effective.
- Senior developers or tech leads can take up to 6+ weeks. With more experience comes higher demand, especially for those who have worked on complex projects or with niche technologies like blockchain or AI. Senior developers are often involved in decision-making and can significantly shape the direction of your project, so it’s worth the wait.
Extensive Talent Pool: A Competitive Edge
Ukraine is home to an extensive talent pool of over 285,000 IT professionals, ranging from software engineers to UX/UI designers and QA testers. Whether you’re building an e-commerce platform, a SaaS product, or an AI-powered application, you’ll have no shortage of talented specialists to choose from.
For instance, if you need developers skilled in Python for data analytics or JavaScript for web development, the options are abundant, and companies can easily assemble teams that fit their project needs. Ukraine’s educational system produces a steady flow of well-trained engineers each year, ensuring a constant influx of talent.
Moreover, Ukraine’s developers are known for their high adaptability and proficiency in the latest technologies. This is why tech giants like Google, Microsoft, and Oracle have established R&D centers in the country, tapping into this reservoir of expertise.
Risk Mitigation: Ensuring Project Stability
One concern that often comes up is the risk associated with outsourcing during times of political instability. However, the Ukrainian IT sector has shown remarkable resilience even in the face of war.
Despite the ongoing war, 96% of IT companies in Ukraine have continued operations, with many developers working remotely from safer locations or abroad. In fact, only 10% of developers have relocated temporarily, and a significant number of them plan to return.
Companies looking to mitigate risk can rely on outsourcing partners who have implemented disaster recovery and business continuity plans.
For example, many IT companies in Ukraine have backup offices in neighboring countries like Poland or Romania, ensuring uninterrupted service even in the face of unforeseen challenges. Additionally, Ukrainian developers are well-versed in working remotely, using project management tools like Slack, Jira, and Zoom, so your project remains on track regardless of physical location.
Wrapping Up
Navigating the search for a development team can be tough, especially with concerns around cost, expertise, and finding a trusted partner. Ukrainian developers, despite the ongoing war, continue to demonstrate unmatched technical skill, resilience, and innovation. This talent pool is an opportunity you don’t want to miss.
At IntelliSoft, we’ve spent over 15 years helping businesses connect with top Ukrainian developers. Our understanding of the local market ensures you’ll find the right experts to match your needs. Whether you’re looking to scale your team or need specialized talent to bring your project to life, we’re here to help at every stage. Let us guide you through building a dedicated team of developers who can truly make a difference.
Contact IntelliSoft today and let’s start creating something remarkable together.
