Starting a Business in


Below is a detailed summary of the bureaucratic and legal hurdles faced by entrepreneurs wishing to incorporate and register a new firm in Israel. It examines the procedures, time and cost involved in launching a commercial or industrial firm with between 10 and 50 employees and start-up capital of 10 times the economy's per-capita gross national income.

This information was collected as part of the Doing Business project, which measures and compares regulations relevant to the life cycle of a small- to medium-sized domestic business in 190 economies. The most recent round of data collection was completed in June 2016.

Compare Israel to 189 other economies.

  • No. Procedure Time to Complete Associated Costs

    Obtain company registration documents certified by an attorney

    Agency: Attorney

    The following company certification documents must be certified by an attorney:
    • Application to register the company.
    • Declaration by the initial director(s) of competence to serve.
    • Initial shareholders’ signatures on articles of association.
    The company's initial Articles of Association must be signed by the initial shareholders and their signature needs to be authenticated by an attorney.

    3 days

    NIS 1,859 + VAT (recommended minimum fee by the Israeli Bar)

    File with the registrar of companies, Ministry of Justice

    Agency: Ministry of Justice

    To register a company, the promoter must:

    1) File the articles of association;

    2) The directors must sign a declaration stating that they have the capacity to serve and their signatures must be authenticated by an attorney;

    3) The shareholders must also sign a declaration stating that they have the capacity to hold shares in a company and their signatures must be authenticated by an attorney.

    2 days NIS 2,654 + NIS 4 for each page in the Articles of Association

    Register for taxes at Ministry of Finance, Income Tax Department and at the National Insurance Institute

    Agency: Ministry of Finance

    To register for company taxation, the promoter must file the company deed and identity certificate of registration. Upon registration at the Ministry of Finance, the company is automatically registered for social security at the National Insurance Institute

    7 days no charge
    * 4

    Register for VAT at Ministry of Finance, Customs and VAT Department

    Agency: Ministry of Finance

    The regional VAT office also operates under Ministry of Finance. To register for VAT, the promoter must file the certificate of incorporation, identity documents for all directors, a lease agreement, and other information.

    The VAT authority generally asks for a bank account for VAT refund purposes (or for VAT payment). It takes a few minutes to open a bank account, assuming that the company provided all required documents, including a company resolution to open the account and the rights of signature. There are no fees to open the account, but bank commissions may vary according to the bank and bank account features.

    1 day, simultaneous with procedure 3 no charge

    * Takes place simultaneously with previous procedure.