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What You CANNOT Spend Grant Funds On

Published 30 April 2026 year, 12:20

The eRobota program is one of the most popular state initiatives supporting entrepreneurship in Ukraine. Since its launch, thousands of Ukrainians have received grants to start or grow their businesses. However, grant funds are not “free money” — the state has set clear rules for their use, meaning they must be spent strictly for their intended purpose.

So, what exactly is prohibited?

Salaries and personal remuneration

Grant funds cannot be used to pay employee wages or the entrepreneur’s own income. Salaries must be covered from business revenues.

Taxes and mandatory payments

No tax liabilities — including single tax, personal income tax (PIT), unified social contribution (USC), VAT, etc. — can be paid using grant funds. This is a key principle: taxes paid by the entrepreneur are part of how the grant is effectively returned to the state.

Debt repayment

If the entrepreneur has loans, credits, or any outstanding debts, grant money cannot be used to repay them. The funds are strictly for business development, not for settling existing financial obligations.

Personal expenses

Spending on personal needs — such as food, clothing, personal transport, vacations, or household expenses — is a direct violation of the program conditions. The grant is intended for business use only.

Unapproved expenses

Even if a cost is business-related, if it is not included in your approved budget, you cannot spend grant funds on it without written approval from the employment service. Unauthorized changes to spending directions are considered a breach of the agreement.

Compliance with the targeted use of funds is a mandatory requirement of the eRobota program. Before making any purchases, always check your approved business plan. If in doubt, consult employment service specialists for clarification:

Call center of the Donetsk Regional Employment Center: 0-800-219-713

Contacts: https://t1p.de/rzryk.

More about grant support: https://dcz.gov.ua/grantssearch.