Bahrain is one of the most business-friendly destinations in the GCC, offering investors 100% foreign ownership in most sectors, no corporate income tax (except in oil & gas), and direct market access to Saudi Arabia through the King Fahd Causeway.
Among the different legal structures available, the WLL (With Limited Liability) company is the most popular choice for entrepreneurs, SMEs, and foreign investors due to its flexibility, investor protection, and quick incorporation process.
This guide explains everything you need to know to start a WLL company in Bahrain, from requirements to step-by-step registration.
1. What is a WLL Company in Bahrain?
A WLL (With Limited Liability) company is a private limited liability business entity where:
- Liability of shareholders is limited to their share capital.
- Minimum 2 and maximum 50 shareholders are allowed.
- At least one director is required (can be foreign or Bahraini).
- In most activities, 100% foreign ownership is allowed.
2. Step-by-Step Process to Register a WLL in Bahrain
Step 1 – Define Your Business Activity
- Select your business activity from Bahrain’s Commercial Registration (CR) list.
- Activities such as finance, healthcare, or education may require additional approvals from relevant ministries.
Step 2 – Reserve Your Trade Name
- Submit at least three name options via the Sijilat portal or Bahrain Investors Centre.
- Ensure the name is unique, brandable, and compliant with Bahrain’s naming laws.
Step 3 – Draft and Notarize the Memorandum of Association (MOA)
- MOA must detail the company’s shareholding, capital, and operational scope.
- This can be notarized electronically via e-Notary or at an approved notary office.
Step 4 – Secure Required Approvals
- Some activities require sector-specific clearance (e.g., Central Bank of Bahrain for financial services).
Step 5 – Lease a Commercial Office
- A physical office is mandatory. The lease must be registered with the municipality for CR approval.
Step 6 – Deposit Share Capital
- Deposit the minimum capital (BHD 1,000 or higher based on activity) into a Bahrain bank account.
- Obtain a capital deposit certificate for submission.
Step 7 – Apply for the Commercial Registration (CR)
- Submit all documents via Sijilat. Once approved, you’ll receive your CR, officially allowing you to operate.
Step 8 – Post-Registration Compliance
- Register for VAT (if applicable).
- Register with Labour Market Regulatory Authority (LMRA) to hire staff.
- Open a corporate bank account.
3. Required Documents for WLL Registration in Bahrain
- Passport copies of shareholders and directors
- CPR copies for Bahraini partners (if any)
- Trade name reservation certificate
- Notarized MOA
- Commercial lease agreement
- Share capital deposit certificate
- Sectoral approval letters (if required)
4. Advantages of Starting a WLL in Bahrain
- 100% foreign ownership in most activities
- No corporate or personal income tax (except oil sector)
- Fast incorporation process via Sijilat
- Strategic location with access to GCC markets
- Full repatriation of profits and capital
- No foreign exchange restrictions
5. Popular Business Activities for WLL Companies in Bahrain
- E-commerce & IT services
- Import-export & trading
- Construction & engineering
- Restaurants, cafes, and catering services
- Consulting & professional services
- Logistics & warehousing
6. FAQ – WLL Company Formation in Bahrain
Can a foreigner own a WLL company in Bahrain?
How long does it take to set up?
Is a Bahraini partner required?
What is the minimum capital?
Is VAT registration mandatory?
Conclusion
Bahrain’s WLL structure offers flexibility, investor protection, and one of the most liberal ownership laws in the Gulf. By following the proper steps and working with a professional business setup consultant, you can secure your CR quickly and start operations without unnecessary delays.
