Obtaining a business license is required by the local authorities, in accordance with the Licensing of Business Law, which stipules that each business registered as per the Business Licensing Order is required to obtain a license in order to operate legally. This law is intended to supervise and ensure that each business operated according to pre-determined regulations, which are meant to defend both the service providers and the service receivers.
What is the Purpose of the Licensing of Business Law?
- To ensure that the business is worthy of providing services and that those who arrive on the premises can enjoy adequate conditions, such as proper and hygienic sanitation facilities, or a reliable firefighting system that can provide protection if need be. Of course, as each business is different, different criteria apply according to the services provided.
- When referring to the food business, improper conditions can cause grave danger, and some businesses are completely inacceptable. On-site supervision will guarantee, among other things, quality inspections that will allow the safe vending of food. Also, such supervision will help prevent dangers from pesticides or other hazardous materials which otherwise might come in contact with the food.
- Creating a safe environment in the business and in its surroundings; preventing various hazards and nuisances and eliminating those that exist.
- Certain businesses are required to install security systems against burglary, break-ins and other calamities.
It is important to understand that good intentions are in the basis of all of this, and that the authorities’ aim is to promote the businesses. Assisting businesses is profitable for both sides. For example: if we examine the authorities’ calculation regarding business property tax, we will find that for every 1 NIS the city receives from residential property tax, it spends 1.2 NIS on the residents themselves. However, for every 1 NIS the city receives from business property tax, it spends 0.8 NIS on the residents, and thereby balance is created.
Business Licensing or Business Promotion?
The initial idea of businessowners, once they receive the demands of the various bodies regarding their business, is that the authorities are trying to fail them and are making it impossible for them to make an honest living. However, the contrary is true—it is in the authorities’ best interest to have more businesses operating in their territories, as they receive an income in the form of property tax. Therefore, our working assumption is that a business that functions properly will draw many clients to the city’s recreational culture, and that eventually, complying with the standards and demands will help promote the businesses in a safer, more correct manner.
Once you have internalized the importance of a business license, if you still do not have one—whether yours is an active business, a business which has not yet been created, or a business in the process of being established—you are more than welcome to reach out to us. We will point you in the right direction and guide you throughout the entire process. We will look into the demands you’re being asked to comply with and the changes that must be made on your business, if any.
As licensing experts, we will be happy to answer any additional questions you might have and accompany you throughout the process, until you receive your business license from your local authority. For a price quote, please leave your contact details here.