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Company Registration in Bahrain

Updated on Friday 09th March 2018

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Our company formation advisors in Bahrain help clients open the most appropriate legal structure for their business projects in this country.

 

 

What is the main business structure in Bahrain?

 
The main business structure used by foreign entrepreneurs in Bahrain is the LLC (limited liability company). According to the Commercial Companies Law of 2001, there are eight types of companies which can be set up, depending, among other factors, on the number of investors and the activity of the company.
 
These business vehicles can be owned by foreign citizens by 100%. There are, though, certain restricted sectors in which a company entirely owned by foreigners cannot operate in.
 
The only legal structures in Bahrain which can do business in the sectors of banking and insurance are the public and closed joint stock companies and the foreign branch companies.
 

Types of LLCs in Bahrain

 
Foreign citizens can set up three different types of limited liability companies (LLCs) in Bahrain:
 
The single person company (SPC) is a limited liability company owned by only one proprietor;
with limited liability (WLL) needs at least two shareholders and two directors in order to be set up. Additionally, a local manager is needed. This person generally is the company secretary;
Bahrain shareholding company (BSC), similarly to a WLL, requires at least two shareholders and directors, together with a resident manager. This structure is ideal for a large number of entrepreneurs for large projects. 
 
All three types of LLCs in Bahrain confer limited liability to their shareholders and can be owned 100% by foreign citizens.
 

Registration procedure of an LLC in Bahrain

 
In order to register an LLC in Bahrain, a suggested company name has to be reserved with the Bahrain Companies Register.
 
Afterwards, the incorporation documents have to be filed with the Commercial Registration Directorate. Our company registration consultants in Bahrain can provide all the necessary information related to what these documents consist of.
 
Afterwards, the business details have to be published in the Official Gazette.
 
If you have more questions about setting up a company in Bahrain, please feel free to get in touch with us. 
 

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