Govern­ment to stream­line busi­ness li­cens­ing

‘Low-risk’ firms will be able to ob­tain per­mit within 21 days

The Jerusalem Post - - BUSINESS & FINANCE - • By YU­VAL AZULAI

The draft of a re­form of busi­ness li­cens­ing pro­ce­dures be­ing for­mu­lated in the Prime Min­is­ter’s Of­fice, the Econ­omy Min­istry and the In­te­rior Min­istry that has reached Globes in­di­cates that more than one third of busi­nesses will re­ceive busi­ness li­censes within 21 days in a fast track pro­ce­dure.

At present, ob­tain­ing a busi­ness li­cense in­volves months of wait­ing, un­cer­tainty, bu­reau­cracy, and much run­ning about. Many busi­ness own­ers end up op­er­at­ing with­out a li­cense, be­com­ing un­will­ing crim­i­nals.

Un­der the re­form, which will shortly be brought be­fore the cabi­net, the owner of a busi­ness classed as low-risk will ob­tain a li­cense on the ba­sis of a signed dec­la­ra­tion that the busi­ness’s plan meets the cri­te­ria. Af­ter ap­prov­ing the plan and in­spect­ing the dec­la­ra­tion, the li­cens­ing au­thor­ity will is­sue a li­cense within 21 days.

The new reg­u­la­tions will af­fect some 150,000 busi­nesses. At present, the law makes no dis­tinc­tion be­tween a hair­dresser and a fac­tory han­dling dan­ger­ous ma­te­ri­als. It is es­ti­mated that about one third of busi­nesses op­er­at­ing in Is­rael can be clas­si­fied as low-risk – some 55,000 busi­nesses. About another 70,000 busi­nesses (47% of the to­tal) can be classed as medium-risk, with the re­main­ing 25,000 (18%) be­ing high-risk.

Un­der the pro­posed re­form, a medium-risk busi­ness will re­ceive a li­cense within 45 days.

Ex­am­ples of low-risk busi­nesses are shops, kiosks, den­tal labs, recre­ation sites and taxi ranks. Medium-risk busi­nesses will in­clude swim­ming pools, elec­tronic de­vice fac­to­ries, pur­vey­ors of in­tox­i­cat­ing bev­er­ages, garages, and car parks of over 500 square me­ters that serve com­mer­cial cen­ters.

To run the pro­cess­ing of dec­la­ra­tions and is­su­ing of li­censes for low- and medium-risk busi­nesses, the state will au­tho­rize pri­vate sec­tor en­ti­ties or lo­cal govern­ment agen­cies that will un­dergo spe­cial train­ing. An on­line sys­tem will be de­vel­oped for sub­mis­sion of ap­pli­ca­tions and is­su­ing of li­censes.

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