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| Bahrain Incorporation | |||||||
Incorporating in Bahrain is a relatively easy process, however there are some issues to be mindful of before you begin. Below are some of the main considerations to be taken into account before you decide to incorporate a company in Bahrain.
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1.
| There are Two Types of company that can be incorporated in Bahrain - A Limited Liability Company (LLC) and Bahrain Exempt Company (WLL).
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2.
| When incorporating in Bahrain, there are some equity restrictions, depending on the industry. LLCs are allowed to conduct business within Bahrain as well as internationally, however Bahrain Exempt Companies are only allowed to conduct business and services outside of Bahrain.
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3.
| Those considering starting a business in Bahrain should note that according to the Heritage Foundation's 2010 Index of Economic Freedom, Bahrain has the 13th-freest economy in the world.
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4.
| To support those starting a business in Bahrain, the LLCs are exempt from customs duty on capital goods as well as goods for re-export, raw materials for manufacturing, semi-finished commodities imported for further processing, imports required for development projects, and initial import of capital goods by a manufacturing company.
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5.
| Those considering starting a business in Bahrain should note that it is perceived as the 48th least corrupt country in the world, according to the 2010 Corruption Perceptions Index by Transparency International
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6.
| When incorporating in Bahrain, note that there are no restrictions on the repatriation of capital, profits and dividends from Bahrain.
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7.
| Regardless of the type of company you wish to incorporate, the minimum capital required to form a Bahrain Exempt Company is 20,000 Bahraini Dinars (US$53,800), which is required to be paid in full prior to incorporating a Bahrain company.
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8.
| Investors forming a company in Bahrain have good access to low cost skilled and unskilled labour. | ||||||
9.
| Bahrain companies are required by law to prepare annual audited financial statements. WLLs are required, within three months of the financial year-end, to prepare a balance sheet, profit and loss account and report on the company's activities and financial position, and recommendations for profit distribution.
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| 10. | Investors who set up a company in Bahrain have good access to financing through the Bahrain Stock Exchange and the Bahrain Development Bank.
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| 11. | After incorporating in Bahrain, a register of directors and shareholders will be available to the public
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| 12. | Investors who set up a company in Bahrain should note that, according to a 2008 Investment Climate statement by the US Department of State, Bahrain has emerged as one of the most attractive and preferred investment destinations in the Gulf.
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| Contact Us | |||||||
For more information on how establishing a company in Bahrain, email email@healyconsultants.com or call us in Singapore at (+65) 6735 0120.
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| Back to Bahrain Company Formation page | |||||||
