Types of Bahrain Companies

Healy Consultants assists entrepreneurs in setting up their companies in Bahrain. The following information on the types of Bahraini companies will help make an informed decision regarding what type of company best suits your business interests.

Entrepreneurs looking to start a company in Bahrain should note that the two most popular options for foreigners undertaking Bahrain company registration are a Limited Liability Company or a Partnership company.

	With Limited Liability Company (WLL)	Partnership Company
Shareholders	Can have a maximum of 50 shareholders and minimum of 2	Must have a minimum of 2 (Shareholders are referred to as 'partners')
Foreign Ownership	Yes, 100%	Yes, 100%
Capital	A minimum of share capital required is BD 20,000 (US$53,800).	No minimum capital requirement
Auditor's Report	Required to submit an annual audited financial statement	Not required to submit audited statements
Liability	Limited Liability	Unlimited Liability
Set-up Duration	2 weeks	2-3 weeks
Others	Banking and insurance, and investment arrangement activities are not allowed	Banking and insurance, and investment arrangement activities are not allowed

Other Types of Bahrain Companies

Minimum of 7 shareholders (minimum of 5 directors).

The Shareholder is liable for the company’s debts and obligations only to the extent of the value of their shares.

Commercial, banking, insurance and investment activities are allowed. The presence of a local office is required. The share capital minimum required is BD 1,000,000 (US 2,690,000).

A minimum of 2 shareholders and a minimum of share capital required is BD 250,000 (US$ 663,129).

The owner is subject to limited liability. An annual submission of audited financial statements is required.

Commercial, banking, insurance and investment activities are allowed. The presence of a local office is required. .

Limited Partnership Company (Simple commandite)

The minimum of shareholders is 2.

Share of Bahrain partners’ capital shall not be less than 51%.

Shareholders Who have invested capital in the company but are not involved in management are Limited Partners.

The minimum of founding partners is 4.

The minimum share capital required is BD 20,000 (US$ 53,050).

Shareholders Who have invested capital in the company but are not involved in management are Limited Partners.

The minimum share capital required is BD 50,000 (US$ 132,625).

An external auditor is required

100% foreign ownership is allowed.

Minimum share capital is not applicable.

Representative and regional offices are only permitted to undertake marketing and promotion.

Branch manager is required.

The minimum of shareholders is 2.

Must own more than 50% of the shares of its subsidiaries.

Only for Bahraini an GCC citizens.

Unlimited liability.

Own by one individual only.