n Bahrain, you have a variety of business structures to choose from, each with distinct features related to personal liability protection, tax implications, ownership, management flexibility, and compliance requirements. Before we embark on our engagement, Fionza Consultants thoroughly assess your business needs to recommend the most suitable business entity for your operations in Bahrain. Key considerations include your business activity, tax obligations, and the nationalities of shareholders and directors. Our expert consultants will provide detailed information on the requirements associated with setting up these entities.
Foreign citizens can establish various types of companies in Bahrain with 100% foreign ownership, including:
1. Bahrain Shareholding Company (B.S.C.) – Public
- Public limited companies can be publicly listed on stock exchanges.
- Limited liability protection and easier access to capital.
- Requires a minimum of 5 directors and 7 shareholders, with a statutory minimum share capital of BHD1,000,000.
- Mandatory Annual General Meeting and other compliance regulations.
2. Bahrain Shareholding Company (B.S.C.) – Closed
- Closed joint stock companies consist of a minimum of two shareholders.
- Minimum share capital of BHD250,000 (50% to be paid initially at incorporation).
- No requirement for a local director.
- Compliance with Ministry of Industry and Commerce regulations.
3. Will Limited Liability Company (W.L.L.)
- Requires a minimum of 2 and a maximum of 50 partners.
- Minimum share capital of BHD20,000, with no issuance of public shares.
- No requirement for a local resident director.
- Less stringent resolution requirements.
4. Partnership Company
- Formed without limited liability between two or more natural or corporate persons.
- No minimum share capital requirement.
- Must have at least one manager.
- 100% foreign ownership with no need for a local director.
5. Commandite by Shares
- Partnerships with joint and limited partners.
- Minimum share capital of BHD20,000.
- A minimum of three members on the company control board from among the limited partners.
- At least one manager required.
6. Single Person Company (S.P.C.)
- Fully owned by a single natural or corporate person.
- Minimum share capital of BHD50,000.
- No requirement for annual or extraordinary general meetings.
7. Foreign Company Branch
- Established as an operational office, representative office, or regional office.
- Liability is aligned with the parent company.
- Parent company provides a guarantee and appoints a branch manager.
- Adherence to the laws of the parent company in decision-making.
Fionza Consultants offers expert guidance in choosing the most appropriate business structure for your specific needs, ensuring a seamless entry into the Bahraini market.