Minimum Requirements:

·          Minimum employees number required: 15

·          The average cost of salary of all new employees has to be at least 2.5 times the average cost of salary in Israel (about 20,000 NIS or $US5,000).

Employment Grants:

The program provides investor with Employment Grants that will be determined as a percentage of the employer's salary cost for each new employee, for a period of 4 years.

The following is an outline of the grants scheme:

Centers employing 15 -30 employees

·          35% - of each new employee's cost of monthly salary in the first year.

·          30% -  in the second year.

·          10% -  in the third year.

·          5%   - in the fourth year.

Centers employing 30 -45 employees

·          40% - of each new employee's cost of monthly salary in the first year.

·          35% -  in the second year.

·          15% -  in the third year.

·          5%   - in the fourth year.

Centers employing over 45 employees

·          45% - of each new employee's cost of monthly salary in the first year.

·          40% -  in the second year.

·          20% -  in the third year.

·          5%   - in the fourth year.

If the company recruits 130 employees it will be entitled to a grant of 40% instead of the rates listed above and this for 4 years

General Conditions

The company establishing the center is required to have annual revenues of at least $US 25 million.

The maximum salary entitled to the incentive is 30,000 NIS (or about $US 7,500) monthly. Salaries above this level will be calculated as 30,000 NIS.

·         The center has to be established in Priority Area A basically the Negev and Galilee regions. This area includes most locations outside the central metropolitan regions. (Towns that qualify include for example: Beer-Sheva in the south and Carmiel in the north).

·         At least 60% of all new employees should be residents of Priority Area A namely the Galillee region in the north and the Negev region in the south.

The above details outline the central principles of this program. More details are available at request. Please contact Mr. Gillam Keinan of the Investment Promotion Center at gillam.keinan@moital.gov.il

4.    Investment Incentives + R&D funding for fully fledged High- Technology Industrial Company

The standard support program available to any high-technology company based in Israel (Local or Foreign). Any industrial company that conducts it's manufacturing in Israel as well as R&D activities is entitled to receive the full range of government support for industry, namely:  investment incentives, company tax benefits and OCS funding.

Disclaimer: Invest in Israel provides this information as a service for potential investors

 Legal counsel should be consulted to establish the exact scope of benefits entitlement.