Any natural or legal person is entitled to establish a company in Israel, provided that the company's objectives are not contrary to law, public morality or inconsistent with the established social norms. One shareholder may be the owner of the company's shares.

A person wishing to register a company submits an application, made up in accordance with the form number 1 annexed to the Regulations on Companies, to the Registrar of Companies.
The following is to be attached to the application:

1. A copy of the Articles of association.
2. Declaration of the first directors of the company, under which they agree to hold the post of directors.
3. The statement, drawn up in accordance with the form number 2 annexed to the Regulations on the Companies.
 

A lawyer must certify name and surname of the person signing applications 1 and 2, number of his identification card, and his signature on the applications.
 

A person wishing to register a company must pay the registration fee at the time of registration. The Registrar of Companies will register a company only after it has satisfied all the requirements of the Companies Ordinance.
 

Each company is assigned a registration number, which is recorded in the Certificate of Registration.
 

Provisions concerning the Articles of Association of the company:
1. Each company must have Articles of Association.
2. Articles of Association are an agreement between the shareholders.
3. Amendment of provisions of the Articles of Association is made in the manner provided in the Act.
 

Articles of Association of the company should include the following provisions:
1. Company Name
2. Objectives of the company
3. Details of the share capital
4. Limitation of liability.
 

The Articles of Association may include matters related to the company and its shareholders including:
1. Rights and obligations of the company and its shareholders,
2. Provisions concerning management of the company,
3. Any other conditions that the shareholders have decided to settle.
 

The company has the right to make amendments to the Articles of Association by the decision taken by a simple majority of votes at the general meeting of shareholders, if the Articles of Association do not establish another number of votes of shareholders for this purpose.
 

The first shareholders must sign the Articles of Association. Herewith, the Articles of Association should indicate the number of shares distributed to the shareholders, as well as their name and surname, ID number and address of each shareholder. The lawyer should confirm the identity of the person signing the Articles of Association.