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Cooperation with contractors from countries such as the Russian Federation and Belarus is undoubtedly risky.

In this regard, the extremely high probability of occurrence:

  • negative monetary consequences
  • operational losses;
  • damage to reputation.

First of all, this is due to the application and use of a variety of international sanctions. Note that you can read about business risks on https://youcontrol.com.ua/en/articles/stop-russia%20/ of the unique portal at any convenient time.

What is business risk

Business risk implies the freezing of all types of assets, monetary issues in business, restriction of financial transactions, prohibition of relevant economic activities, transportation. In some cases, you can revoke licenses and permits. This is already being applied today and is destroying the business of the CIS countries.

Often a system of sanctions is set up to manage bans and restrictions apply to those who do business with companies that are under certain sanctions. Organizations of the CIS countries and all persons associated with them can easily and quickly cooperate with the company. Sometimes counterparty services that work with countries that have fallen under sanctions are unable to conduct any transactions with it: banks that carry out financial transactions, thanks to modern analytical systems, effectively identify such risks and block or even freeze financial assets. This entails the inevitable destabilization of such a risky business.

Collaboration with business means indirect support for international aggression, as the military as resources are financed by their taxes. Such cooperation also attracts the attention of law enforcement and regulatory authorities. These authorities can carry out more detailed checks and find violations that were not so obvious before.

Through open source data and media facts, such collaborations are made public. Against the backdrop of general condemnation of the war in Ukraine, this spoils the image of companies that cooperate with the aggressors’ business. People from different countries condemn the war, so their motivation to work in such companies is significantly reduced, and the quality and effectiveness of the business becomes low. It all comes down to the fact that companies that want to work and develop should refuse any cooperation with enterprises from the CIS countries, their beneficiaries and partners.

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