Location guide · Israel

Custom ERP, AI Agent & SaaS Development in Israel

Location guides for 3 cities in Israel, from Tel Aviv, Haifa and Herzliya. Flip Retail builds custom ERP, AI agents, web applications and SaaS for businesses in Israel from Jaipur, India, and delivers remotely.

City guides
3
Jaipur time is
3 h 30 min aheadStandard time
Currency
New Israeli shekel (ILS)
Indirect tax
VAT 18%
E-invoicing
Mandatorythe ITA allocation-number system
Data protection
PPL (Amendment 13)

01 — Compliance

Rules your software must follow in Israel

Tax, e-invoicing, data-protection and AI rules that shape an ERP, billing system or AI agent in Israel. Last reviewed October 2026.

Indirect taxVAT, standard rate 18%VAT has been 18% since 1 January 2025 (up from 17%), with exports and services to non-residents generally zero-rated and Eilat treated as a VAT-free zone. Imported B2B digital services are handled by reverse charge.
E-invoicingMandatory · Israel Invoices model (ITA invoice allocation / confirmation numbers)Since 1 June 2026, B2B tax invoices above NIS 5,000 (excluding VAT) must carry an allocation number obtained in real time from the Israel Tax Authority, or the buyer cannot deduct the input VAT. The threshold was cut to NIS 10,000 on 1 January 2026 and NIS 5,000 on 1 June 2026 under an accelerated schedule; no further cut has been announced.
Data protectionProtection of Privacy Law, 5741-1981 (as amended by Amendment No. 13)Amendment 13 (in force since 14 August 2025) gave the Privacy Protection Authority GDPR-style enforcement powers, requires a DPO in some cases and narrowed database registration mainly to public bodies and large data brokers, while transfers abroad remain governed by the 2001 Transfer of Data Abroad Regulations.
AI rulesNo AI-specific statute; the government's December 2023 AI regulation and ethics policy has sector regulators apply risk-based, mainly soft-law rules, with privacy law applying to AI that processes personal data.
Systems we migrate from or connect toPriority, Hashavshevet (Wizsoft), Rivhit, iCount, Morning (formerly Green Invoice), SAP Business OneMasters, ledgers, stock and open balances move across and are reconciled before cutover.
Payment rails for web apps and SaaSBit, Tranzila, Cardcom, PayPlus, Grow (formerly Meshulam)
Also worth knowingInvoicing software must request ITA allocation numbers through the authority's API, print Hebrew right-to-left tax invoices and handle withholding tax at source on supplier payments. Bookkeeping software is also expected to export the ITA unified file structure.

General information, not legal or tax advice. Rules change, so we confirm current requirements during discovery; your tax adviser should confirm anything that affects filings.

Sources consulted:

02 — Cities

3 city guides in Israel

Each guide covers the local economy, the industries we would build for first, and how working with Jaipur fits your hours.

Israel

  • Tel AvivTechnology & startups, Financial services & fintech
  • HaifaChemicals & plastics, Logistics & ports
  • HerzliyaTechnology & startups, Financial services & fintech

03 — Industries

Industries we would build for in Israel

The industries that come up most across the cities we cover in Israel.

Technology & startups

ERP
Lean internal systems for growing tech firms, such as subscription billing, project time tracking and revenue dashboards, without enterprise licence costs.
AI agent
LLM features inside your own product: retrieval-augmented search over your docs, support copilots, and agents that act through your APIs, with evaluation and guardrails.
Portal or app
MVPs and full SaaS products in React and Next.js with Java or Python back ends, built in two-week increments by the people you talk to.
Software for technology & startups

Financial services & fintech

ERP
Loan and policy lifecycle tracking, reconciliations, commissions and regulatory reporting, with role-based access, maker-checker approvals and audit logs.
AI agent
A document agent that reads bank statements, payslips and IDs, extracts what underwriters need and flags inconsistencies for a person to check.
Portal or app
Customer and partner portals, dashboards and APIs for fintech products, with the security reviews that come with them.
Software for financial services & fintech

Jewellery & gems

ERP
Stock tracked by weight, purity and piece; artisan job-work with metal issue and receipt; making charges; and pricing linked to the day's metal rate.
AI agent
Our own JewelShoot turns one product photo into catalogue-ready on-model images and reels in under a minute; an agent can also answer catalogue and price questions on WhatsApp.
Portal or app
B2B catalogue apps for retailers and wholesalers, with live rates, stock and custom orders.
Software for jewellery & gems

04 — Services

What we build for businesses in Israel

03

AI agent development

Custom AI agents that do real work inside your business: qualify leads on WhatsApp, read and key documents, take orders, chase payments and update your ERP or CRM, with a person approving anything that matters.

Learn more
04

Web application development

Customer portals, internal tools, dashboards, marketplaces and workflow apps, built with React and Next.js on solid back ends and APIs, and shipped in two-week increments you can use as they are built.

Learn more
05

SaaS product development

From MVP to multi-tenant platform: we design, build and run SaaS products with subscription billing, tenant isolation, role-based access and AI features built in.

Learn more

05 — FAQ

Custom software in Israel: common questions

Do you work with businesses in Israel?

Yes. Flip Retail is based in Jaipur, India, and works with Israel businesses remotely. We have no office in Israel; discovery happens on video calls, you get working software every two weeks, and the engineers who write the code are on the calls.

Can a custom ERP handle VAT and e-invoicing in Israel?

Yes. Invoicing is built for Israel's VAT (standard rate 18%). Since 1 June 2026, B2B tax invoices above NIS 5,000 (excluding VAT) must carry an allocation number obtained in real time from the Israel Tax Authority, or the buyer cannot deduct the input VAT. The threshold was cut to NIS 10,000 on 1 January 2026 and NIS 5,000 on 1 June 2026 under an accelerated schedule; no further cut has been announced. A custom ERP connects to the ITA allocation-number system through its official API or an accredited provider, and we confirm the current requirements in discovery.

How do you handle PPL (Amendment 13)?

Amendment 13 (in force since 14 August 2025) gave the Privacy Protection Authority GDPR-style enforcement powers, requires a DPO in some cases and narrowed database registration mainly to public bodies and large data brokers, while transfers abroad remain governed by the 2001 Transfer of Data Abroad Regulations. You choose where the system is hosted, access is role-based, and we work on test or masked data during development wherever possible.

Can you migrate us from Priority, Hashavshevet (Wizsoft) or Rivhit?

Yes. Masters, ledgers, stock items and opening balances move across and are reconciled with your accountant before cutover, ideally at a year-end or quarter-end.

Are there AI rules we need to follow in Israel?

No AI-specific statute; the government's December 2023 AI regulation and ethics policy has sector regulators apply risk-based, mainly soft-law rules, with privacy law applying to AI that processes personal data. We design AI agents with logging, human oversight and clear disclosure from the start, which covers most current requirements.

Contact

Let's build it.

Tell us about the process you want fixed in your Israel business. We reply within one working day.

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