All about the flower business in Israel. Features of starting a business in Israel for foreigners

About the company registration procedure

Ways to organize commercial activities there are several de jure in Israel; de facto - really - two. You can open a limited liability company or become an individual entrepreneur (an analogue of a Russian IP). Both are registered in Israel very quickly. For the procedure itself, one shareholder is enough, the state fee is not much more than 500 euros, and the lawyer's fee is about 1000 euros. Registration is done within a few days, but if you really try, it is quite possible to complete everything in a day. And the charter of a legal entity fits on one page.

About bureaucracy

In general, the approach to business in Israel is very different from the Russian one. I really love one phrase that I myself came up with: “Legal theorems are more or less the same everywhere, but the axioms can be very different.” It is an axiom in Russia that the state tries to contact its citizens as much as possible and in all possible areas. In Israel, the state understands that it does not know how to work, does not produce anything, and that it even performs its basic functions with great difficulty. And therefore it should not climb into the markets where private companies operate.

In addition, Israel understands that every contact between the state and a person causes double damage - on the one hand, this contact is served by an official whose work must be paid; on the other hand, a citizen-entrepreneur is wasting time, during which he could pile something with a jigsaw or write some lines of code, like Waze, and sell himself for billions of dollars. Therefore, the state is trying to simplify the procedure for starting a business and its further activities as much as possible.

On the features of taxation

Taxation in Israel is very different from Russian. I know Israeli from the inside, and Russian - from publications in the press and stories from clients. When we hear about the Russian simplification with a taxation of 13%, or even 6%, then, of course, we cry bloody tears of envy. In Israel, taxes are not for children. And the state is trying to maintain tax neutrality.

It doesn't matter which legal entity you open. You become an individual entrepreneur and keep all your income as a salary, paying income tax from it, which is progressive in Israel - it reaches 50% in fact - and social contributions. Or a joint-stock company, and you pay corporate income tax on it in the amount of 26.5%, and then on the remaining 73.5% - as they say in Israel, you cannot go to the supermarket with your company's money, since this is a separate entity, - another 30% on profit. In the end, you leave about 51.5% in the state budget. It turns out that so - that so.

It hurts, it hurts, yes. So many Israelis quite rightly complain about the high cost of living, that real estate prices have risen phenomenally over the past 7 years, that after constant spending (rent or mortgage, municipal taxes, gasoline, gas, water, electricity, food, etc.) like) nothing remains, and the taxes are very high. On the other hand, a year ago we had Operation Protective Rock, when our southern neighbors, knowing that Israel lacked natural resources - namely iron - sent us blanks that flew all the way to Tel Aviv. Then our system "Iron Dome" knocked them down. And when we went out into the streets and saw tracing lines against missiles, and heard how blanks were being shot down, I think we realized that our tax money was flying, and understood that, probably, we paid them not in vain.

About subsidiaries and representative offices

For foreign corporations, by and large, there are two ways to open a branch in Israel. The first is to open a subsidiary. The second option is to open a representative office Russian company. Theoretically, both options are possible. But personally, we do not advise (and even do not allow) clients to register a representative office of their companies for two reasons.

First, because of the same taxation. In the tax authorities, you need to follow the general fairway and not shine. The opening of a limited partnership will attract more attention than the company Ltd. The same applies foreign companies- there are certainly more of them in Israel than limited partnerships. In other words, if you want to attract the attention of the tax authorities, open a representative office.

Secondly, because of the paperwork. It is easier for subsidiaries. To open a bank account for them, you only need your Israeli director to sign all the necessary documents. Of course, in order for him not to run away with your money or papers, you need to use special protective equipment. But I emphasize once again - for formal workflow in the case subsidiary you only need one person - yourself, or your trusted subordinate. When opening a representative office of a company, even in order to perform microscopic actions on a bank account, you will have to convene a board of directors in Moscow.

Therefore, our strong recommendation is to open a "daughter". I note that the company itself can be called a representative office, but it is important that it is not registered as a representative office of a Russian company without opening a separate legal entity in Israel.

On your own or with locals

The question is practical, and not legal - to "climb yourself" into business in Israel or together with the locals. I don't know a definite answer to it. There is one huge plus in the “climb yourself” strategy - when there is no partner, all the profit is yours. The downside is this. Yes, this is not China and there is no language barrier here: in Israel everyone speaks English language, and 1.5 million people - in Russian. But the barrier of mentality still exists. Since the remaining 7 million are non-Russian Israelis: they are both Arabs and Jews (religious, secular, American, European and others).

Even McDonald's in Israel is represented not by John Smith III, but by Dr. Omri Padan, a 100% Israeli. That is, despite all its knowledge, skills and experience of global expansion, McDonald's considered it right to have a local partner and concessionaire in Israel.

Everything has its pros and cons, which go beyond the scope of jurisprudence. One of the disadvantages of sending a branch representative to Israel is extra relocation costs. A person does not break away from his familiar place without the motivation of the ruble. For example, in the state and quasi-state sector, when Israel sends its representative abroad on a very modest salary, the state undertakes to pay for the education of its children in the best, most prestigious schools. And there are families where there are more children than parents, so the cost of their education is much higher than the salary of both parents. But you send your person to manage the business, whom you raised for several years, nurtured and whom you trust as yourself.

True, most often sending your man to Israel is not technically easy. The United States receives up to 55,000 people a year who are lucky enough to win citizenship, as well as various specialists. Israel, unfortunately, does not. We have a repatriation law that defines the right to Israeli citizenship on a declarative basis: for people who have Jewish roots, that is, at least a grandfather, or at least a great-grandmother, or a spouse who meets these criteria. If you have them, obtaining citizenship is easy, if not, it is almost impossible. In addition, in order to obtain a work visa, a foreigner must meet a large number of requirements: he must have a high salary by Israeli standards, a job of special importance - and this is not a complete list.

The main criterion is to understand who is more interested in having this director in Israel: the director himself, his friend-employer, so that instead of work it would be convenient to go to the beach, or the state of Israel. Yes, we do not expect hundreds of companies with thousands of employees to open. Israel is a small country, which is mainly built on medium-sized businesses. Even large Israeli IT companies selling for billions do not have factories and tens of thousands of employees. They focus on quality, not quantity. If the Ministry of Trade and Industry can be convinced that the company is of real benefit to the State of Israel and produces an export-oriented product in the first place, then there is a real chance of getting the right to work. If not, then alas.

Cover photo: Thomas Trutschel/Contributor/Getty Images

To become an entrepreneur in the Promised Land, you do not need to know Hebrew and observe Shabbat

When moving to Israel, the Moscow marketer Yegor Gorelik least of all wanted to work as a loader. But his own unsuccessful “customer experience” made him take a closer look at the freight industry and find a niche for his business in it. It turned out to be much easier to issue all the documents necessary for legal work than to compete with unscrupulous "private traders". Egor Gorelik, the founder of IMS, told the website how to turn higher prices into a guarantee of quality of service.

27 years old, entrepreneur from Israel, founder of the company Israeli Moving Service(IMS). Graduated from the Russian State University for the Humanities with a degree in marketing. He worked as a sales manager in the Ion, Svyaznoy and White Wind communication stores, and as an organizer of the filming process on TV. I tried to run my own business, opening small online stores. In 2015, he emigrated to Israel, where in April 2016 he created the company IMS - transportation services when moving. The initial investment in the business was about $1,000.

Finding yourself in a new home

Egor Gorelik has always had the opportunity to emigrate from Russia to Israel - due to the presence of Jewish roots. But the family, who lived in Moscow, did not dare to take advantage of this chance for a long time. Everything changed in 2015, when Yegor was the first to dare to move.

“I did not see my future in Russia due to various factors - from political to economic. I didn’t find prospects for myself here,” the young man explains.

Following him, his parents and sister moved to Israel. At the new place, Yegor became a participant in the training program before obtaining citizenship. It helps the "new repatriates" gradually get used to life in new country and get qualified. You cannot work while studying.

When Yegor Gorelik became a full-fledged citizen of Israel, it was time to resolve the issue of employment. The key obstacle in this matter was the ignorance of the language. In principle, it is possible to find a job without knowing Hebrew in Israel. The easiest way in this regard is for IT specialists. Sometimes entire offices of IT companies do not speak Hebrew. But it is more difficult for many other specialists in this regard. Therefore, Yegor did not really understand what to do next.

He realized that the only way out was to run his own business. “If there is no work, create it yourself,” says Yegor.

The business idea was born from an unsuccessful transportation

While Yegor was thinking about what kind of business to open in Israel, he settled down in a rented apartment in Bat Yam, a suburb of Tel Aviv, where many immigrants from Russia live. In April 2016, he ordered the delivery of a washing machine using the services of private carriers that he found on Facebook.

There were unexpected problems with delivery. The machine was brought four hours later than the stated time, while it was unpacked, which is why it was badly scratched during transportation. When going up to the apartment, the movers began to demand more money than was originally stated.

Egor Gorelik began to figure out if he was the only one who was so “lucky” with the delivery. He decided to investigate this issue in Israeli Russian-language forums and Facebook groups.

"Having read great amount various discussions, I realized that the sphere of domestic transportation in Israel is a hell of a hell. Enough is here a big problem with services in general. If you want to order cleaning or moving in Moscow, you can download the application and do everything in three clicks. In Israel, there are no problems with the delivery of food: here they either eat or run. But as far as household services, it's much worse. There are very few large companies with a serious reputation on the market, usually private traders do this. For example, if you want to order cleaning or air conditioning installation, you need to get confused very well. The same applies to moving and delivery,” says Egor.

He began to study the domestic transportation market, from which he himself was not enthusiastic. It turned out that the inhabitants of Israel move quite often. Due to high housing prices, most rent apartments rather than own them. Therefore, people quite often decide to move for various reasons: they found new job, the landlord changed the terms of the lease, found a better or cheaper apartment.

According to Yegor Gorelik, about 200,000 moves are made per year in the 6 millionth state of Israel.

There are about 12 thousand trucks in Israel, 3 thousand of them are engaged in transportation. There are many offers on the market for moving. But such services are most often provided by private traders. And it is difficult to find carriers with a guaranteed high level of service.

“There are only three or four companies that work at a high level. It turns out that with such a large volume of the market, it makes no sense for carriers to “strain” especially. No matter how badly they work, there will still be customers, ”says Yegor.

Taking into account all these factors, Egor Gorelik realized that a carrier with a high level of service would be in demand in the market. He decided to open his own business in this area.

Business registration

In Israel individual entrepreneurs usually register a business through an accountant who will subsequently serve them. But you can do it on your own. In this case, the whole process will take about four hours, during which the future entrepreneur fills out the necessary documents and submits them to two registrar organizations.

Four days after the submission of the package of documents, a notification arrives that the applicant is registered as an individual entrepreneur. IP in Israel is of two types: with the payment of value added tax and without it (in the case when the annual turnover does not exceed 100 thousand shekels or 25 thousand dollars).

Egor Gorelik issued an IP without paying VAT. I decided that if the revenue of his company exceeds 100 thousand shekels a year, then he will ask his accountant to re-register the IP with VAT payment. This procedure will take three hours.

Egor did not want to deal with paper issues when registering an individual entrepreneur, so he found it on the recommendation of an accountant. He registered an individual entrepreneur Gorelik for $ 70, for this he only needed a scan of Yegor's passport.

Launch of the project

To begin with, Egor, he found a local resident with a truck, speaking Hebrew. And together with him he began to work in his own company IMS (Israeli Moving Service).

The initial investment in the project was about $1,000. They were spent on the registration of individual entrepreneurs, the purchase of tools and devices for transportation, the development corporate identity companies for the Facebook page, as well as advertising.

In the search for clients, Yegor was very useful in his education as a marketer. On the initial stage he used local message boards that work on the principle of their Russian counterpart, the Avito service. He also posted information about the services of the IMS company on the website about transportation in Russian and on Facebook.

Now Yegor works mainly with the Russian-speaking audience. He wants to work out the system on one audience segment, so that later he can accept a large number of applications at the exit and for Hebrew-speaking clients.

At first, Yegor and his driver-companion did all the work together. Sometimes for large orders they "connected" 1-2 loaders. But this scheme was convenient until the number of orders increased several times.

Growth problems

In the "high" summer season, Yegor combined the functions of a loader and a manager. And the quality of service suffered from this. While unloading, Yegor could not take the order. His fatigue and busyness led to errors with already accepted applications.

“A man called me on August 31 at 6 pm and asked: “Well, where are you?”. He was waiting for us to move, and we were not at all in his city. I just forgot about this order, although we had a spreadsheet in Excel and our schedule. At that moment, I realized that we were losing money and reputation, and I only had to switch to managerial work. But my partner did not want change, and we decided to disperse, ”recalls Yegor.

Since September, Egor has been fully focused on the work of a manager, as well as the promotion and development of IMS. He accepts and processes applications, looks for drivers and loaders whom he wants to involve in the project. He meets with each of the drivers to understand how they will communicate with other people. After such conversations, it becomes clear whether the candidate is suitable and whether he will meet quality standards.

Egor plans to use a CRM system to make it easier to accept and process orders. Therefore, now he is working on these and other technologies that facilitate the activities of his company.

"Raise for money"

It is quite easy to enter the transportation market in Israel - it is enough to have a truck and advertise your services. And in this for players who want to provide high service lies one of the problems.

“People who have recently started to engage in transportation usually do not understand how they can compete fairly, and go to the deceit. They offer very low, but unrealistic prices in advance. They do it over the phone, without going to the site. And already in the process of transportation, they begin to put pressure on customers and ask for additional money under the threat of stopping work. Here it is called "raise for money". The process of this “lifting” usually begins not from the very beginning of work, but somewhere in the middle, when things are already in the car and they need to be unloaded,” says Yegor Gorelik.

Now Egor visits the customer before fulfilling the order in order to assess the scope of work and conclude an agreement. When he sets his price, for example, 3,000 shekels, some customers say that they have an offer for 1,800 shekels. So the difference between the two offers is as much as $300.

“Here the question arises of how to compete with these “offers”. We show reviews about ourselves. There are 70 reviews on our Facebook page, almost all of them are positive, with a rating of 5,” says Egor.

If for some reason a client is dissatisfied with the services of IMS, its founder tries to correct the situation as much as possible. If something went wrong during transportation, Egor always compensates for the damage. Actions to correct errors continue until the client says that everything is fine and there are no more complaints.

“This is the difference between our company and most other carriers, who simply do not care about claims. By the way, one of the five people with whom we made mistakes subsequently used our services, ”Egor notes.

Tipping and "high price"

Cargo transportation in Israel is generally not cheap. And for those who have recently moved to this country, it can be quite difficult to explain why everything is “so expensive” compared to Russia and other countries. For example, transportation of a cabinet, which takes three hours together with assembly and disassembly, will cost the client about 400 shekels ($100).

Often the cost of transportation is higher than the value of the item. Therefore, some "new repatriates", having learned the price of transportation from Yegor or his "official" colleagues, are surprised and try to find cheaper options.

Another Israeli feature of the relationship between carriers and customers is “knocking out” tips for movers.

This is usually done at the end of work by the owner of the car or the foreman - the business owner simply wants to save on movers. He pays them the minimum amount, and tries to shift the rest of their wages to clients.

Yegor Gorelik does not like this practice and does not use it. At the conclusion of the transaction, he immediately says that the price prescribed in the contract is the final one. He also brings maximum clarity to the issue of tips.

“Usually I tell clients, 'I pay my workers well. Tipping or not is up to you. But if you want to thank them for Good work, this money will go only to them, I have nothing to do with them, ”Egor notes.

Command

Yegor Gorelik cooperates with seven drivers, each of whom has his own car, and several teams of loaders. Each driver is registered as an individual entrepreneur, with whom Yegor concludes a cooperation agreement. He does not have full-time workers, because their maintenance is expensive.

If there are a lot of orders and you need to attract additional movers, Egor looks for them through Facebook.

When IMS has its own new truck, a driver will be hired to work on it - he will become the company's first full-time employee. The purchase of the truck is scheduled for the near future.

National features

Israel is a small country. Therefore, IMS operates in almost every locality, except for the southernmost point - the city of Eilat, separated from the rest of the country by a desert.

Distances within the country are also small. For example, between the capital Tel Aviv and the city of Haifa in the north - about 100 km. At IMS, they try to schedule their cars in such a way that a free car arrives in Haifa by the time of the move after some other order nearby.

The project has several brigades in other "key" cities in Israel: Ashdod, Ashkelon, Jerusalem and Beersheba. This ensures high mobility of the company.

During the winter in Israel, the number of people moving decreases because it is the rainy season. And in the rain, unloading things from the car is not very convenient - things get wet, more dirt forms in the apartment. In addition, a lift is used to load furniture and equipment through the window (this is a common practice), and in the rain such equipment cannot work because of the water.

So most of the moves are in the summer. At this time, school holidays and many holidays, due to which working citizens have days off. “In the summer there is enough work for everyone. At this time, it is almost impossible to order a move “for the day after tomorrow” - all more or less normal carriers are busy. In the high season, they usually have everything scheduled a week in advance, ”Egor notes.

Saturday in Israel (Shabbat) is a day off, sacred for Jews. Most public and private establishments (including shops) are closed on Shabbat. But Egor Gorelik's company works on Saturdays, as there are orders for cargo transportation. Far from all the inhabitants of Israel are “observant” Jews, besides, for many, Saturday is the only day off during the week.

“Of course, on Saturdays we do not work in religious areas. For example, in the city of Bnei Brak (a suburb of Tel Aviv) there is a gate, and they are simply closed on Saturdays - it is impossible to enter the city. But in most places we work on Saturdays. For example, Tel Aviv and Haifa live on Saturday full life, restaurants and cafes are open there, ”explains Yegor.

Egor Gorelik plans to reach a new part of the audience in the spring-summer of 2017 - Hebrew-speaking. He already has clients who do not speak Russian. They were told about IMS by their Russian acquaintances. In general, about 30-40% of clients turn to Egor after someone's recommendation.

In order to work with a large number of clients, Yegor plans to hire a sales specialist who will speak both Hebrew and Russian. You will also need another employee who will travel to the site and evaluate the amount of work during the move. Such an assessment will allow you to more accurately calculate the cost of services. Now Yegor himself is mainly engaged in this work.

For business development, Egor Gorelik wants to get government loan for entrepreneurs who have recently moved to the country. It is issued at a rate of 3.25%. And in the first year, a novice businessman receives a deferred payment from the main body of the loan. Egor Gorelik is trying to get a loan in the amount of 125 thousand shekels. Under the terms, he will pay 380 shekels a month in the first year, and then 1,800 shekels.

Special organizations that are supported by the state help to get such a loan. They make up a business plan for an entrepreneur who wants to get a loan, and submit it to a special commission. Information about the projects that have received the approval of the commission is then transferred to the bank, which transfers the money to the entrepreneur's account.

Egor Gorelik and his company IMS have already received the commission's approval. It took a little over a month. Now the entrepreneur is waiting for the approval of the bank. It doesn't always come out. But Yegor is optimistic. He is already making plans to buy several new trucks in the near future.

"Now me and my small team from people who until recently did not understand anything about cargo transportation, have turned into those who do it almost better than everyone else in Israel, ”says Yegor.

At the beginning of my business career, I was friends with the head board of trustees State Center for Business Initiative Support. He liked to joke that their organization had two goals. The first is to help people who should be businessmen to start a successful business and succeed in it. The second, less public, but no less important, is to help people who should not open a business, not to open it and not go bankrupt. Therefore, those who are not Israeli citizens, but want to open their own business there, should first of all make sure that their idea has an economic right to exist. Hoping to transfer your knowledge and skills from doing business in Russia to Israeli soil on a "copy-paste" system is a bad idea.

Lucky with the state

The main difference between doing business in Israel and Russia lies in the relationship between the state and citizens.

Russia seems to me to be a very overregulated state. But Israel is not. Israel understands that the state is not the most efficient business agent. And that any contact between an official and a citizen costs the state money, and twice.

First, you need to pay the salary of an official and cover all the expenses around: for an air-conditioned office, coffee, breaks, social rights etc. And in Israel, officials know how to defend their rights: the Israeli trade union, if necessary, achieves its demands.

Secondly, and even more importantly, is the time that a citizen spends sitting in line and communicating with an official. He could, in a parallel reality, spend that time to found another startup that could sell for a billion dollars, like Waze.

Unlike Russia, the Israeli state does not think it knows better what businessmen need to do. Moreover, the state does not even pretend to know how to properly allocate budget money to support business.

In Israel, you should not build a business relying solely on state support. Of course, there are benefits for business, but these are segmental benefits - "on the edges". Yes, Israel has Innovation Management, which in the past was called the Institute of Chief Scientist. It supports startups. There is also funding for the opening of hotels - after all, Israel is a tourist country. And there is a law to encourage capital investment, but, unfortunately for small businesses, the main money under this law goes to Intel and Teva ( pharmaceutical company). Because the state understands that it is impossible to fully rely on trust, and building a complex tool that will monitor hundreds of small businesses for targeted use of benefits is completely unproductive.

Therefore, the attitude of the state to business can be assessed as positive. And in this sense, the best thing it can do is not to interfere with regulations and checks, or with help.

Startup training ground

Opening a limited liability company in Israel is very easy. For this, one shareholder is enough. At the same time, to open a business, you do not need to receive a million certificates from various authorities and contribute any assets to the company's charter. This greatly simplifies the procedure for starting a business.

But unlike Russia, in Israel it is much more difficult to make money in this business, because the business is mainly export-oriented. Israel is a very difficult place for businessmen and entrepreneurs, but a very good testing ground for running global ideas.

First, in the same way that many Russian businessmen thrive abroad due to their training in Russia, Israeli businessmen, when they go abroad, succeed by “pumping” in a very competitive market. Sticking a stick into the ground, as in the dashing 90s in Moscow, and hoping that in six months it will begin to bear golden fruits, is not necessary in Israel.

Secondly, the Israelis are people who are open to changes, to the introduction of new technologies. True, this does not mean that they always receive these technologies. For example, the Israeli banking system is very stable and not customer-oriented at all. Despite the fact that a huge number of banks in the world work on the programs of Israeli companies, Israeli banks are cars hollowed out of a piece of wood.

If we talk about new businesses, then a startup that comes to an investor and says: we have a brilliant idea, we will very quickly capture the entire Israeli market and limit ourselves to this - it will not receive investment in development. Israeli startups should be focused on exports.

But Israel is a very interesting platform not only for Israeli startups.

Russia is perceived by many Western investors as a problematic country, and starting a startup in America is expensive. And yet, for the time being, Israel is called the nation of startups, not Germany or Lithuania. And in any case, many Western investors and funds include Israel in their relocation plans. Therefore, many Russian new businesses operate on the Western market under the Israeli guise.

Opening a business does not mean living

Israel is an unregulated country. If a foreigner wants to open a business in Israel, provide services here and pay taxes here, then there is no reason for a foreigner to interfere with this.

At the same time, you need to understand that the presence of a business in Israel does not give this very foreigner the slightest right to be in Israel. Moreover, his business may even make it difficult to enter Israel: there is a simplified visa regime for tourists from Russia, but not for businessmen.

In practice, foreigners come and open limited liability companies with ease - this is a very simple and fast procedure. But moving to live in Israel will not work. But if you have opened a large company with dozens of employees, millions of turnover and preferably export sharpness, then there is a chance to get a "management visa" in order to manage your business. successful business from Israel without even being a citizen.

2.5 forms of business

There are two and a half forms of business organization in Israel. The first of them is "LTD" - a limited liability company. For large firms, this mandatory form. For many businesses, it is more convenient, despite expensive and strict bookkeeping. In such firms, it is easier to sell shares.

On the other hand, the notion that Ltd companies are more trustworthy than individual entrepreneurs is a myth.

An alternative to registering Ltd is individual entrepreneurs. With this form, a person carries full responsibility on debts own business. All income is automatically considered the income of the owner and is taxed in the current regime - unlike the company Ltd, which allows you to pay corporate tax (today it is 23%), do not pay additional dividend tax (30% of the delta), do not approach the tax rate of 50% rather continue to invest money within the company.

Most good example- about the purchase of real estate. If you want to buy an office for a million dollars, then in order to buy it in an individual entrepreneur, you need to earn 2 million, of which 1 million to give to the state, and the second to spend on real estate, buying it in your name. If you buy real estate for your company, then it is enough to earn 1.33 million and pay 23% tax. The difference is very significant.

The third form of business organization is the so-called "simplified". That is, an individual entrepreneur with a simplified reporting system, as in Russia. Only if in Russia it is possible to smuggle a business with a turnover of $ 2 million through it, then in Israel the maximum size of the “simplified tax” is a hundred times less. And splitting the plant into a dozen such companies is not a very good option.

Banks are doing great without you

The joke that banks will gladly give you an umbrella in sunny weather and take it away as soon as the clouds appear is a bitter truth in Israel in the context of business financing. You can get money from the bank, but you need to pledge something for this. As the cat Matroskin said: “To sell something unnecessary, you must first buy something unnecessary, but we don’t have money!”

If there is nothing to mortgage, you will have to work on your own money or on what is called FFF in the field of high-tech (friends, family, fools - friends, family and fools).

Opening an account here is also not easy. Especially a non-Israeli citizen.

The fact that the company is a resident of Israel upon registration in Israel is wonderful. But the bank will want to know everything about the beneficiaries of the company. If they are not Israeli tax residents, then financial control will check documents for weeks. And this is still an optimistic assessment.

If the goal is for this company and account to be a secret from your other tax residence country, then that goal is unattainable. Just then you should not open a business in Israel.

If you do everything transparently, in compliance with the Russian law on taxation of controlled foreign companies, then the banks will drink your blood, but you will open an account.

There are no minimum amounts that the bank requires to see on your account. But you need to understand the big picture. In America, for example, there are 3.5 thousand banks. And in Israel 5.5. But not thousands, but banks. It's not at all competitive environment. Accordingly, the banks have so much money that they are doing just fine without you. It should be accepted in advance that the bank does not want companies or money.

Of course, the more money in your account, the more currency transactions and deposits, the more the bank will be willing to work with you. And what you will do there, the bank will have to tell in advance so that it builds your client profile. If you take actions that are very out of your profile, then they will want to ask you questions.

The name will have to think

Israel has a registry joint-stock companies(Companies Ldt), which tightly regulates everything related to company names. For example, it was not easy to register a company called Pareto Capital because there was already a company called Pareto Investment.

Many years ago, a zealous travel agent decided to open an agency and call it Boeing, arguing that he does not sell aircraft and does not compete with anyone. The court did not appreciate the creativity of this approach, saying that it violated at least two rights of Boeing.

The first is the right to license someone for money to open a travel agency with such a beautiful name. The second is the right to ensure that this name is not “diluted”, rinsing in low spheres. No wonder the brands Toyota and Lexus, although they belong to the same holding, are promoted differently and in different price ranges.

Office rent: you can also have an aunt

As regards the indication legal address firm, then here you can easily specify the address of your auditor or second cousin.

In Israel, oddly enough, there are no virtual address services. Or rather, in Israel there is no “rubber apartment” service. Of course, we have firms that provide "office by the hour" and postal address services. But there is no obligation for the business to have rented premises. If a business manages without a rented premises, then the state will not put spokes in its wheels. If a company is trying to write off the cost of premises, VAT, then in this situation the tax office may want to see where they are physically sitting.

Today, Israel is a country with high economic indicators attractive to investors and businessmen.

People from different states express their desire to do business here. Russian citizens are no exception in this regard.

Among all types of business, it is small business in Israel that plays a key role. The following indicators serve as clear evidence of this: 75% of all jobs are in small businesses, and today its share in the overall business structure is already more than half.

The state is trying to promote the expansion of this business sector, first of all, seeing this as an effective option for creating jobs.

There are various foundations that specialize in assisting individuals. At the state level, the Office for Small and Medium Enterprises (MATI) provides opportunities to take training courses, get help in developing an idea for a business, as well as benefits when applying for a loan (from 3 to 7.25% per annum versus 9% for a regular loan).

Promising in Israel today is a small business in such areas as:

• the medicine;
• tourism industry;
• IT business;
• services: household, consulting, advertising, analytical, legal, catering, etc.;
• recycling.

In Israel, a system of programs has been developed and is effectively operating that provide tax benefits for entrepreneurs (up to 50% of the total amount!). Agreements have been signed with many countries prohibiting double taxation.

Promising options for private entrepreneurs

Since one of the most successful areas in business development in Israel is the service sector, those wishing to start a business here can consider several key ideas.

So, according to experts, one of the most profitable species entrepreneurship is catering business in Israel.

It includes a wide variety of establishments. Catering– restaurants, eateries, bistros, cafes, bars.

This is due, first of all, to the fact that many cities in the country have resorts, so the demand for such services is always high here. This also applies to stores specializing in the sale of food products, small food production establishments (bakery, pastry shops, etc.).

A huge number of representatives of different cultures and nationalities are concentrated on the territory of the country. And, despite the fact that there are already many Georgian, Italian, French and other institutions operating here, there are still many ideas for development.

Another business idea that has prospects for development is the organization of waste recycling. In terms of its area, Israel is a small country, the size of which is significantly inferior to the total area of ​​​​the well-known Baikal.

The population density of a country is sometimes largest cities exceeds 1,500 people/km 2 (Haifa region) and reaches 6,000 people/km 2 (Tel Aviv district).

Therefore, the problem of disposal and recycling of garbage here is one of the priorities. A small company of this type could certainly find its niche in the service market.

The next business idea worth considering is private entrepreneurship in the field of scientific discoveries and innovative developments, which are actively supported in Israel.

Moreover, since 2015, such a concept as an “innovation visa” for representatives of other countries has appeared here, which was intended to attract foreign entrepreneurs with a high level of knowledge of innovative technologies.

It provides an opportunity to receive assistance in opening a start-up on the territory of this state.

The search for both similar and fundamentally new ideas in the service sector is one of the opportunities to develop successful entrepreneurship in Israel.

Conditions for starting a business in Israel for foreigners

Israel as a platform for personal business enjoys the active attention of foreign citizens, including Russian businessmen. In order for Russian citizens to register a business in Israel, it is not necessary to have the citizenship of this country.

It is important to note that the concept of a "business visa" does not exist in Israel. But citizens Russian Federation have the opportunity to visit Israel without a visa for a period of not more than 90 days within six months. This time is enough to register a private company.

If a business is registered in the name of a person with a foreign (including Russian) citizenship, he provides a copy of the international passport certified by a notary.

But even financial investments in the Israeli economy are not a way to obtain a residence permit here. You need to use other options for the official move.

To conduct business from the territory of their country, Israeli law provides the following conditions for foreigners: one of the founders or a trustee must be Israeli citizens in order to be able to: represent the interests of the company and act on its behalf when concluding contracts, working with partners, reporting to government agencies, etc.

Russian citizens, like other foreigners, can register their company as a branch, subsidiary, representative office of a company operating in Russia, or create new business in Israel.

4 steps to success: the procedure for registering a business in Israel

To register a business in Israel, you need to take a number of consecutive steps.

Step 1. The procedure for registering company documents with the Israeli Ministry of Justice, which must be certified by a local lawyer, with further assignment of an identification number and issuance of a certificate.

The package of documents consists of: application for registration; association memorandum; company charter. The cost of the procedure: 2.6 thousand shekels.

Step 2. Registration of business in the Organization for the collection of VAT (MAAM). There are two options for choosing the status of your company:

• "Osek Patur";
• "esek murshe".

In the first case, the founder of the company, in the invoices issued to clients, indicates VAT, transferring 15.5% of the transaction amount to this organization. During the month, a recalculation may take place, as a result of which the owner may be partially reimbursed for this money. The annual turnover of a company with this status is not limited.

In the second case, the entrepreneur is not given the right to collect VAT from customers. The annual turnover of a company in this status cannot exceed 64,000 shekels. Cost of the procedure: free.

Step 3. Registration with the Income Tax Administration (“Mas Akhnasa”). It involves checking documents received from the previous organization and filling out registration forms. Cost of the procedure: free.

Step 4. Registration with the National Insurance Office (Bituach Leumi). At this stage, a social package for the company's employees is drawn up for approximately seven days.

The total duration of the process of opening a business in Israel is 1-3 months. This procedure is quite simple in its content and requires relatively small financial investments.

Forms of entrepreneurship requiring additional documents for registration

Buying a business in the country: what to look for?

For those who do not want to fuss around creating or searching for a new idea, there are ample opportunities to buy a ready-made private business.

The service sector, primarily serving tourists, is one of the promising areas where you can invest money. There are various firms that provide advice on acquiring a business in Israel. To buy a company, it is important to familiarize yourself well with:

• peculiarities of functioning of the local taxation system;
• the size of utility tariffs in a particular area;
• the history of the activity of the company you have chosen, the presence / absence of debt obligations.

It is also important to pay attention to the calculation with the help of specialists of the potential return on capital for the amount invested. If a business, according to the conclusions of professionals, can return capital within two to five years, then it is worth buying. If more than five years are spent on this, the deal is obviously unprofitable.

During this sale and purchase procedure, a protocol of intent or a preliminary contract is signed. The buyer leaves a deposit - 10% of the value of the company. You need to find a lawyer who would correctly and professionally register the property right based on the results of the transaction.

Here is a short review from a businessman from this country:

Thus, today Israel is a country with an investment-attractive climate. A well-thought-out state policy aimed at supporting the development of small and medium-sized businesses, the availability of a system of tax and other benefits, stability banking system- these are the key factors that activate the establishment of their own business here by foreign businessmen.

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At the legislative level, Israel promotes development entrepreneurial activity and the entry of Israeli companies into the world market. Competent financial and tax policy of the state simplifies the process of registering and doing business. The government is taking measures to transfer state-owned firms to the management of private entrepreneurs. Between Israel and more than 40 countries, including the European Union, the United States, the states of Latin and Central America, agreements have been signed on the avoidance of double taxation. The lawyers of our company have experience in organizing a business in Israel and will help you successfully register a company, gaining access to state benefits.

How to start a business in Israel

A citizen of any country is allowed to register a company, become a founder or shareholder of an Israeli enterprise. The process of starting a business in Israel is characterized by a simple and step-by-step procedure. registration required documents takes place in three mandatory state structures:

Israel Ministry of Justice a form for registering an enterprise is provided, the goals, rights, responsibilities of shareholders are described, the charter of the company is drawn up.

Department of Income Tax and VAT under the Israeli Ministry of Finance copies of all registration documents of the company and passports of each owner are submitted.

National Institute of Insurance a social package is issued for the company's employees along with health insurance and unemployment benefits.

It is recommended to pay off existing debts before submitting documents to government agencies. The passage of all instances allows us to consider the process of starting a business in Israel completed. It is important to choose the form of doing business. Depending on the annual profit in Israeli law, the following are distinguished:

The business is owned by one representative. The annual income must be up to 15,000 euros. A report to the tax authorities is submitted annually, in case of exceeding annual turnover- 1-2 times a month.

1 enterprise is owned by a group of businessmen who are jointly responsible to tax service. Multiple companies can also be the owners of a business at the same time. Each of the co-founders is required to submit an individual report on the payment of the fee.

Company

A separate legal entity, consisting of shareholders and an executive office, is opened if there is a high annual profit. In small firms, one representative performs both functions. In accordance with changes in the legislation, it is now possible to own a business in Israel alone, previously there was no such possibility. The report is submitted to the tax authorities once a year.

Public organization, one of the goals of which may be to provide assistance to needy segments of the population. The activities of the company are exempt from taxation and are subject to state control. If an organization provides additional commercial services, income tax is established.

State support for entrepreneurs

Many entrepreneurs and graduates can open large, medium and small businesses in Israel. The Department for Support of Private Initiative of the Ministry of Aliyah and Absorption provides qualified assistance to repatriates in creating or developing their own business.

Providing information in the field of Israeli and international business

Determining the amount of initial capital required to start a business

Consultation of specialists to determine the commercial potential of a business idea and draw up a business plan

Assistance in obtaining loans on favorable terms for registration and development of your own business

Subsidizing the services of specialists - consultants helping to improve the quality of business management

The Ministry of Aliyah and Absorption has created a loan fund for repatriate entrepreneurs who want to develop a business in Israel. Maximum size Money from the state is 58,345 euros and is issued in 2 stages. The first part is intended to finance the opening, the second - to expand. A loan can be obtained if the following criteria are met:

The business is at the stage of creation or has existed for less than 4 years

The business plan demonstrates the capabilities of an individual, the likelihood of success and profitability of the enterprise in the future

Entrepreneur has professional skills and work permit

Open firm is the main source of income and work for a businessman

The size of the loan is determined by the business initiative support center depending on the needs of the business. Upon re-acquisition maximum amount payments will amount to 29,173 euros. The right to obtain a loan is valid for 10 years from the date of repatriation for persons aged 21 to 60 years.

Each new citizen can apply for assistance in opening or transferring their own business to Israeli territory. The business plan of the enterprise or company of the repatriate is checked by a special commission that decides on the provision of payments. You can use the loan solely for the purposes listed in the document - the purchase of equipment and other expenses. If changes are made to the business plan, a re-submission for approval by the commission is required. Additional condition provision of state aid is the availability own funds for organizing business in Israel. For repatriates minimum investment is 25% of the total loan amount. Business Initiative Support Centers (MAALOT) operate on Israeli territory to assist entrepreneurs.

Taxation of business in Israel

In order to facilitate the process of returning home, the Ministry of Aliyah and Absorption, together with the Tax Administration, has developed a system of benefits for repatriates. The reform carried out exempts new citizens of the state from income tax and contributes to the development of business in Israel and international market. Benefits apply to those received outside of Israel:

Real estate rental income

Foreign royalties

Wages

Investment income

Profit from doing business

Profit from the sale of real estate

Each form of business activity is subject to income tax. The amount of the enterprise's income is divided among all owners in accordance with the shares of participation. Founders joint business pay a fee of 15%, provided that there are no changes in the current tax legislation and agreements on the abolition of double taxation. VAT in Israel is set at 17% as of Q1 2018.

Benefits for new immigrants

When taxes are calculated, repatriates get the opportunity to use a special system of preferential taxation. New Israeli citizens who own an overseas company or shares in an enterprise are treated as foreign business owners upon repatriation and are exempt from automatic Israeli taxes. As long as the income is earned outside of Israel, income taxation is not carried out. Repatriates are also exempt from paying tax on pension savings for a period of 10 years from the moment they move to Israeli territory.

When paying income tax, holders of Israeli citizenship are given the opportunity to use a valuable credit unit that reduces the amount of payments. Within a year and a half from the moment of repatriation, a new citizen can use 3 preferential units, within a year after the expiration of the term - 2 preferential units and 1 for next year. The amount of the preferential unit is 50 euros.

The legislation provides for the exemption of a repatriate from taxes on income from foreign currency savings for a period of 20 years. The benefit is provided subject to the availability of capital from a new citizen of Israel until the moment of repatriation and storage of money in any Israeli bank.

When moving to Israel, repatriates are given the right to a period of adaptation in a new society lasting 1 year. The tax office will treat you as a citizen of another state, exempting you from paying taxes. You will be able to analyze all benefits and access all tax benefits for repatriates.