How to Open a Licensed Dealer Online: Which Documents Prove
To open a licensed dealer, you need to show that the business is actually starting to operate.
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In short
To open a licensed dealer online, you need to fill out a questionnaire and attach your ID, account management approval, and a document proving that the business is ready to operate, such as a rental agreement or a customer order.
To open a licensed dealer, fill out a questionnaire, upload your ID, a supplementary ID, account management approval, a driver's license or passport, and additionally a document proving that the business is ready to operate: a rental agreement, first order, agreement with a client, website, or professional certificate. The registration with the authorities is done for you.
What do you need to open a licensed dealer?
A licensed dealer collects VAT from customers and deducts VAT on expenses, so VAT opens a file only when they see that the activity is genuine and starting. Therefore, in addition to personal documents, you also need at least one document showing that the business is ready to work.
The personal documents are the same for all types of dealers: ID card on both sides, open supplementary ID with an address, a canceled check or account management approval from the bank, and a driver's license or Israeli passport. All of these should be uploaded in the questionnaire as a photo from your phone or as a scan. In the licensed dealer questionnaire, you also fill in the business address.
Which documents prove that the business is ready to operate?
If you have a workplace, the simplest thing is a rental agreement for a store, office, or warehouse. If you provide a service, a work agreement with the service requester or a first order from a client is suitable. If you purchased equipment or goods for the business, a purchase invoice in your name shows that the activity has already started.
In professions that require a license or training, a professional certificate or qualification certificate helps show that you are authorized to work in the field. Sometimes several documents are required together, and the authorities may request additional documents depending on the field. If this happens, we will inform you what is missing and how to complete it.
When working from home: proof without a rental agreement
An example for illustration. A programmer working from home with clients abroad and from companies in the country. He has no office, so there is no rental agreement to present. Instead, he uploads the first order from a client, and if available, also a link to his website or a business card with the business name.
The rule is simple: the proof must show that there is a real business with a name, field, and clients, not just an intention to open. A first order or agreement with a client is usually the strongest proof for someone working from home, as they show both a field and a real client. If there is no client yet, you can start with a website, a business card, or an invoice for equipment you purchased for work.
Registration steps, from the questionnaire to the dealer certificate
Choose the licensed dealer questionnaire and fill in the details: ID number, business address, business name, and activity description.
Upload the personal documents and proof of the business's readiness.
Pay only after all documents have been uploaded. Registration starts from ₪195, and VAT is added to the service price.
An accountant checks the documents before submission to ensure the application is not returned by the authorities.
We register you with VAT, Income Tax, and National Insurance within 24 hours.
Approval from the authorities arrives within an average of 3 business days, depending on the authorities, and the dealer certificate appears in your personal area.
What changes after opening?
From the moment of registration, you add VAT to prices, issue tax invoices to customers, and report to VAT every month or every two months, depending on the turnover size. Additionally, you submit an annual report to Income Tax and pay advances to National Insurance as self-employed.
It’s convenient to transfer the reports to the accountants of our partner EA&CO, with prices on their website (opens in a new tab), and to issue invoices in the CPA Digital (opens in a new tab) system. Ready to get started? Open the questionnaire and choose licensed dealer.
Frequently Asked Questions
How long does it take to open a licensed dealer?
Filling out the questionnaire on the website takes less than 5 minutes, and we complete the registration itself with VAT, Income Tax, and National Insurance within 24 hours. Approval from the authorities arrives within an average of 3 business days, depending on the authorities. If the authorities request an additional document, the time extends until it is completed.
What if I don't have a client or contract yet?
You can start with what you have: a business website, a business card with the business name, or an invoice for equipment you purchased for work. These show that the activity is starting even without a first client. The proof doesn’t have to be perfect, but it should be genuine. If you're unsure if it's sufficient, contact us on WhatsApp (opens in a new tab) before registration, and we’ll help you choose.
Do I need an accountant to open a licensed dealer?
Not for the opening. We handle the document checks and registration with the authorities for you. After opening, a licensed dealer reports to VAT regularly and submits an annual report, so many choose to have an accountant's support. You can also schedule a personal meeting with an accountant at the payment stage.
Can I open a licensed dealer while also being employed?
Yes, you can combine a salary and a licensed dealer. Income from work and income from the business are combined in the income tax calculation, so it's advisable to plan the advances from the start. The documents for opening are the same, including proof of business readiness, such as a first order from the side business's client. It's also a good idea to inform your employer about the additional income.
How much does it cost to open a licensed dealer?
The opening package for a licensed dealer through start.business (opens in a new tab) starts from ₪195, and VAT is added to the service price. The package includes a licensed dealer certificate, an explanatory booklet for management, and a digital accounting journal. You can add approvals for working with public entities, a professional guide, or a meeting with an accountant. You pay only after the documents have been uploaded, and the final amount is displayed before payment.