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Company formation in Bahrain
Comprehensive assistance in company formation, including banking services
How to form a company in Bahrain
1
Document submission
You submit to us necessary documents of the future founders and directors for the purposes of company formation in Bahrain
and opening a bank account in Bahrain
and opening a bank account in Bahrain
2
Payment of services
Payment of our services for company formation in Bahrain
and/or bank account assistance in Bahrain
and/or bank account assistance in Bahrain
3
Company formation
We register a new company in Bahrain for you. Upon completion of the registraion corporate documents are either delivered to you or submitted to a bank for the subsequent opening of a bank account
4
Bank account opening
In case you request an assistance with a bank account, we arrange an interview at the bank for you, inform you about the date of the visit and accompany you on your way to the bank. After the bank account is opened and active you receive corporate documents of the formed company as well as the access to the bank account
Key aspects to consider prior to incorporating a company in Bahrain
No corporate income tax, no withholding taxation and no personal income tax.
1. Founders that would like to register a company in Bahrain can either be resident or non-resident in Bahrain. Founders can be either individuals or legal entities. However, depending on the type of the business-activity of the company a certain percentage of shares will need to be owned by a resident shareholder. Examples of these activites are: trade and retail, construction, tourism, healthcare, pharmacy.
2. A resident or a non-resident individual can be a company director in Bahrain. It is not required to register a company in Bahrain with a resident individual as one of its directors.
3. One individual can register a company in Bahrain and simultaneously be a shareholder and a director in this company if such company is registered as a WLL (a company with a limited liability).
4. It is necessary to create substance in Bahrain - to rent an office in order to establish a company in Bahrain and to conduct business in Bahrain.
5. There is no minimum share capital requirement that is necessary to register a company in Bahrain a WLL (a company with a limited liability) However, it is highly recommended to set up a WLL company in Bahrain with a share capital of at least BHD 5,000.
6. Information about company founders, shareholders and directors after company registration in Bahrain is complete is publicly available in the state corporate register.
7. We can help you register a company in Bahrain, It is necessary for all shareholders and directors of the new company to travel to Manama in order to register a company and to open a corporate bank account.
2. A resident or a non-resident individual can be a company director in Bahrain. It is not required to register a company in Bahrain with a resident individual as one of its directors.
3. One individual can register a company in Bahrain and simultaneously be a shareholder and a director in this company if such company is registered as a WLL (a company with a limited liability).
4. It is necessary to create substance in Bahrain - to rent an office in order to establish a company in Bahrain and to conduct business in Bahrain.
5. There is no minimum share capital requirement that is necessary to register a company in Bahrain a WLL (a company with a limited liability) However, it is highly recommended to set up a WLL company in Bahrain with a share capital of at least BHD 5,000.
6. Information about company founders, shareholders and directors after company registration in Bahrain is complete is publicly available in the state corporate register.
7. We can help you register a company in Bahrain, It is necessary for all shareholders and directors of the new company to travel to Manama in order to register a company and to open a corporate bank account.
Cost of services
Formation of a WLL
Timeframe - 20 business days
Timeframe - 20 business days
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for company formation
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for office lease
Advantages of incorporating a company in Bahrain
Attractive business-environment
- Access to major markets of Gulf Cooperation Council states
- Access to the Persian Gulf allows to establish maritime trade
- Highly qualified workforce
- A well-developed infrastructure with excellent transport and communication facilities
- Low inflation rate
Stability and security
- Political stability
- Secure legal and justice systems
- Comprehensive protection of property rights
- Comprehensive personal security
- Investment protection
Tax benefits
- No corporate income tax is levied on corporate income or capital gains unless the business of the company is related to the oil and gas industry
- No withholding taxation
- No personal income tax
- Multiple double tax treaties
No strict foreign exchange controls
- Bahrain state regulations do not impose foreign exchange controls. Individuals and business entities, either resident or non-resident in Bahrain can open bank accounts in local banks in any currency
Ease of establishing and doing business
- 100% foreign ownership of a company is available
More about Bahrain
The Kingdom of Bahrain is an island country that is located in Western Asia and has a territory of 768.5 square kilometers. Its territory comprises a small archipelago made up of 50 natural islands and an additional 33 artificial islands which are centered on Bahrain Island. Bahrain borders Qatar and Saudi Arabia to which it is connected by the King Fahd Causeway. Bahrain has access to the Persian Gulf. The capital city of Bahrain is Manama, the largest city and the location of key government institutions.
Bahrain has a population of 1,47 million people.
Bahrain has a population of 1,47 million people.
Official currency of Bahrain is Bahraini dinar (BHD).
Bahrain has an open high income economy that is heavily dependent on the oil and gas industry. The country is home to large financial structures and a large financial center in the Middle East. Petroleum is Bahrain's most exported product with aluminium being the second most exported product, followed by finance and construction materials. Over the years Bahrain's economy has expanded into banking, heavy industries, retail and tourism.
The GDP of Bahrain grew by 2.7% in 2021 and amounted to USD 39.3 billion. Tertiary sector makes up almost 39% of the GDP of the country, followed by industry sector at 60%, agriculture at 0.5%.
In terms of foreign trade the largest exports of the country are petroleum, unwrought aliminium and aluminium wire, iron ores, transport vehicles, building structures, ferrous products, gold, mineral and chemical fertilisers.
Imports of Bahrain consist of oil, artificial corundum, electrical machinery, laboratory equipment, medicaments, cars and vehicles, consumer goods.
Primary trading partners of Bahrain are Saudi Arabia, United Arab Emirates, Qatar, Oman, Egypt, Kuwait, Malaysia, India, USA, Netherlands, Switzerland, Germany, China, Australia, Japan and Brazil.
Bahrain has an open high income economy that is heavily dependent on the oil and gas industry. The country is home to large financial structures and a large financial center in the Middle East. Petroleum is Bahrain's most exported product with aluminium being the second most exported product, followed by finance and construction materials. Over the years Bahrain's economy has expanded into banking, heavy industries, retail and tourism.
The GDP of Bahrain grew by 2.7% in 2021 and amounted to USD 39.3 billion. Tertiary sector makes up almost 39% of the GDP of the country, followed by industry sector at 60%, agriculture at 0.5%.
In terms of foreign trade the largest exports of the country are petroleum, unwrought aliminium and aluminium wire, iron ores, transport vehicles, building structures, ferrous products, gold, mineral and chemical fertilisers.
Imports of Bahrain consist of oil, artificial corundum, electrical machinery, laboratory equipment, medicaments, cars and vehicles, consumer goods.
Primary trading partners of Bahrain are Saudi Arabia, United Arab Emirates, Qatar, Oman, Egypt, Kuwait, Malaysia, India, USA, Netherlands, Switzerland, Germany, China, Australia, Japan and Brazil.
International business expands to Bahrain and incorporates a company in Bahrain primarily for:
Restricted for foreign entrepreneurs are the following sectors:
- financial services
- manufacturing
- wholesale and retail trade
- ICT
- logistics
- toursim.
Restricted for foreign entrepreneurs are the following sectors:
- national security
- television
- telecommunications, radio
- transportation of goods and people
- real estate
- oil product supply
- Muslim services
- accounting
- postal services.
- Corporate income tax - 0%, unless the business of the company is related to the oil and gas industry - for these businesses the tax rate is 46%. Tax returns are filed on an annual basis. Advance income tax payments are made on a monthly basis
- Dividend withholding tax - 0%
- Interest withholding tax - 0%
- Royalties withholding tax - 0%
- Capital gains tax - 0%
- VAT - Standard tax rate 10% or the reduced rate 0% or tax exempt. Tax returns are filed on a monthly or a quarterly basis
- Personal income tax - 0%.
Apart from such traditional business entity types as a company with a limited liability (WLL) and a joint stock company (JSC) that divides into a public joint stock company and into a closed joint stock company corporate law in Bahrain offers to incorporate a company in Bahrain as:
1. General partnership
2. Limited partnership
3. Single person company
4. Branch office
To receive a detailed description of the company formation procedure in Bahrain and information about documents necessary for company formation in Bahrain please contact our experts.
1. General partnership
2. Limited partnership
3. Single person company
4. Branch office
To receive a detailed description of the company formation procedure in Bahrain and information about documents necessary for company formation in Bahrain please contact our experts.
Send a request for company formation in Bahrain
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Phone: +44 20 8157 4037
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128 City Road,
London, EC1V 2NX
Phone: +44 20 8157 4037
Email: request@pil-services.com
