Frequently Asked Questions about How to Set up an Israeli Company
Let us dive right in the main questions about How to Set up an Israeli Company, and more importantly, the do's and don'ts, requirements, conditions and time tables.
Do I need a local director?
There's no need to have a local Israeli director in order to Set up an Israeli Company. All directors may be foreigners.
How many directors do I need?
The minimum requirement is to have only one (1) director.
Do I need a local shareholder?
There's no need to have a local Israeli shareholder in order to Set Up an Israeli Company. 100% of the shareholders may be foreigners.
How many shareholders do I need?
The minimum requirement is to have only one (1) shareholder. The shareholder can be a legal entity (an LLC/LTD company, a partnership, limited partnership, etc.)
What is the minimum equity capital?
There is no minimum equity capital. As the matter of fact, the minimum equity capital requirement can be zero (0) Israeli Shekels (the local currency). Furthermore, such configuration does NOT affect the status of the company. To elaborate, neither banks nor tax authorities nor any other business entity consider minimal equity capital to be of any adverse effect on the company.
How much time does it take to Open an Israeli Company?
Once documents are submitted to the Israeli Companies Registrar , the official time to open a company, in case one of the company's purposed names is free to use, is 7 days. However, in our experience, the Israeli Companies Registrar can incorproate a company and provide a "Company Number" even within 24 hours. To our opinion, the Israeli Companies Registrar is the most efficient bureau in the entire country (save the Israeli Tax Authorities of course).
How much does it cost to Open an Israeli Company?
There are different compontents for each client. For the Full prices please refer to our "Fee Schedule" page.
Which documents are required?
The required documents are:
☐ passport & address of shareholder,
☐ passport & address of director (in case a person and if different than shareholder).
☐ KYC form (some general "Know Your Customer" information about you and your new Israeli comapny).
In case either the shareholder or the director are going to be legal entities (an LLC/LTD company, a partnership, limited partnership, etc.), the additional document are as follows:
☐ Apostilled certificate of incorporation + translation to English
☐ Apostilled articles of association + translation to English
☐ Apostilled certificate of good standing + translation to English
☐ Passport of company shareholder’s authorized signatory (if different from passport of director)
Can I open a bank account ?
Oh yes, absolutely. In face, we can proceed to Open a Bank Account for your New Israeli Company immediately after incorporating it for you. For your information, the entire process of Opening a Bank Account can be done remotely. For further information about Opening a Bank Account remotely please see our "Bank Account" page.
Must I do Tax Registration to my company?
As long as the company has not commenced any trading, you don't have to do tax registration to your company. However, once you wish to start trading, you must reigster your comapny with the Israeli Tax Authorities. For further information about opening a Tax Registration, please see our "Tax Registration" page.
Any limitation on the nationality of a director or shareholer?
Actually there is a minor limitation, wherein the law states that Lebanese, Syrian or Irani persons cannot, for the time being, hold shares or serve as directors in an Israeli Company. The reasons for legal status are too long to explain, but simply put the reason is past wars between the nations, and the painful absence of a peace agreement (unlike Egypt, Jordan, the U.A.E, and hopefuly more to come).
Do I need a local secretary, such as in Ireland or Hong Kong?
There's no need to have a local secretary. In fact, in Israel this position cannot even legally be defined when Opening an Israeli Company. However, if you need, we can help with administration matters, such as maintaing the Directors Register and the Shareholders Register, issuing Share Certificates, etc.
Does my New Israeli Company require a local address?
Yes, your new Israeli Company will require a local address. Lucky for you, we can provide your New Israeli Company with a very low-cost yearly subscription of a registered address, upon ordering.