Incorporation and Corporate Law Issues in Israel
What You Need to Know
As in all legal documents, the language is deliberately complicated, so that many will not notice the holes left for unsuspecting parties to fall into. Anyone accustomed to doing business in the United States might think he’ll understand and be able to navigate the road in Israel on his or her own. Nothing is more dangerous that navigating on one’s own.
Some Laws That Pertain to Business
- Companies Act
- Company Law
- Includes the Companies Act, 2013, whereas Corporate laws are those laws that relate to companies, for example, SEBI Act, Insurance Law, FEMA, Economic Laws, etc.
- Company Law is the narrower term, whereas Corporate Law is the broader term.
- Company Law applies to the administration and operations of a company, while corporate laws pertain to every aspect of the company.
- Corporate Law
Lawyers are essential to form companies, set up bank accounts for businesses and, any potential entrepreneur would be well advised to consult with them with respect to contractual relationships, labor law matters, leases, etc. Accountants typically set up and open the tax portfolios. David Page is a lawyer who is licensed both, in the United States and Israel and can help a client maintain a business in the United States or dissolve it and at the same time, open a solid business or make an investment, in Israel. If you want the best corporate law firm in Israel, look no further.
Companies in Israel and Other Countries
With peace and commerce agreements forged with more and more countries outside of Israel, new business opportunities have opened up, both for finding investors and or, investing. Any business already established and running in another country, could want to put a foothold in Israel by any of the following means:
- appoint local representative/s or agents. An ace corporate law firm in Israel could do just that.
- open a local branch office and register as a foreign company with the Companies Registrar
- form or acquire an Israeli subsidiary. Important things to consider would include the extent to which the business wants to expand, the extent to which it wants to have its own personnel actually at the business location, tax implications and exposure to liability.
Similarly, some business owners have opted to operate their business enterprises, in part or in whole, offshore, specifically in locations that can save large amounts of taxes. With the changes in Israel’s tax structure over the past several years, offshore options will no longer provide the same benefits that they did in the past, as far as the law will allow. Conducting an off-shore business carries significant risk and is rife with all manners of complexities and potential pitfalls.
Again, there’s nothing that can’t be done, if it’s done right. If one protects his or her investment or investments, by practicing due diligence on the part of a qualified lawyer, who will scrupulously peruse any and all documents, fine print and whatever lies between the lines, one could, potentially, do big business, even in a small country.
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