Israel — Business: Limited Company

Why this matters

Understanding the process of forming a limited company in Israel can help entrepreneurs plan and execute their business strategy effectively.

Key facts

• The Registrar of Companies handles incorporation and ongoing reports; the Companies Law of 1999 requires one or more directors.
• Directors can be foreign residents; a registered company must name a local agent to receive legal notices.
• A foreign company registering a branch needs a notarised Hebrew translation of its certificate of incorporation and articles and a certificate of status from its home country; investinisrael.gov.il quotes a registration fee of NIS 2,614, which may be out of date.
• Every registered company must pay a fee once every calendar year, exempt only in the year it was registered, payable online.
• Lawyers can file applications online following a Corporations Authority reform.

Steps

1. Step 1: Choose a Business Name — The business name must be unique and comply with Israel's naming conventions. It's uncertain if a name can be reserved before applying for registration.
2. Step 2: Select a Registered Agent — A registered agent is required to receive official documents and notifications on behalf of the company. It's uncertain if a non-resident can act as a registered agent.
3. Step 3: Prepare and File the Articles of Association — The Articles of Association must be filed with the Israeli Registrar of Companies and Controlling Authority. Specific requirements and content are uncertain.
4. Step 4: Obtain a Tax Identification Number — A tax identification number is required for tax purposes. The process and requirements for obtaining a tax identification number are uncertain.
5. Step 5: Register with the Israeli Tax Authority — The company must be registered with the Israeli Tax Authority for tax purposes. Specific requirements and processes are uncertain.