Company Formation: Process, Fees, and Tax Advantages.
The Bahrain Company formation in 2025 is quicker, more convenient, and rewarding than ever. Having 100 percent foreign ownership in most sections of the economy, you, as an investor anywhere in the globe, can establish and formulate a business on full ownership without having a local sponsor or registered agent.
Company registration in Bahrain is fast and effective, and normally it takes between 11 and 21 days, with the Commercial Registration (CR) being issued within 5-10 business days. Registration fees by a sponsor commenced at BHD 1350, and it depends on how you decide to make up your legal structure in regard to office establishment and the business set-up.
On November 10, 2024, Bahrain proposed a zero-rate corporate income tax on most of its businesses and a standard Value Added Tax (VAT) of 10 per cent on goods and services. The process of opening corporate bank accounts in Bahrain can be done within 2 days, and shareholders can receive an investor residency visa with a maximum validity of 2 years.
Bahrain is one of the best countries to register a company in the Gulf Cooperation Council (GCC). It provides easy rules, 100 percent foreign ownership, and an easy business registration process. This has enabled it to be placed highly in Doing Business and Ease of Doing Business reports by the World Bank.
In case of professional services regarding business formation and advisory, MAServices can guide you through the whole procedure to get the company set up in Bahrain successfully.
Advantages of Bahrain Company Formation
With its favorable location, good economic climate, and business-friendly regimes, Bahrain has established itself as a business and investment destination in the Middle East. Foreigners will be able to access regional markets and free trade zones through the Bahrain company registration. The Global Competitiveness Report indicates that Bahrain has a strong economic position, and the potential for growth by international companies is high. We have analyzed the following core advantages of company formation in Bahrain:
No Corporate Tax
In Bahrain, most businesses are taxed at no rate, which allows you to retain larger amounts of profits without being in legal violation of the laws.
No Income Tax
No individual income is subject to any payroll tax to concern over in the Kingdom of Bahrain.
No Capital Gains Tax
No capital gains on the sale of assets, and your investment gain is maximized.
No Third-Party Involvement
You will not require the intervention of third parties, implying that you run your business setup.
100% Full Ownership
To control the company, you can have 100 percent foreign ownership of the company.
Highly Skilled Workforce
Bahrain boasts of talented and multicultural workforce that is willing to satisfy your business operations requirements.
Company Formation in Bahrain 7 Easy Steps 2025.
The company registration in Bahrain can be easily done following our seven simple steps. We have developed a streamlined seven-step process of company formation in Bahrain based on the 6+ years of experience by MAServices and successful execution of over 450 applications. We get to know what is needed to comply to be able to have a successful business registration. This is done in 7 steps whereby different ministries and government agency workloads are approved. Every ministry comes with its needs in that the business will not be registered successfully in Bahrain unless you meet the needs of each ministry. MAServices will fully support you at each of the steps, including pre-registration consultation and document preparation, the final approval, and issuance of a commercial registration, and will provide you with a hassle-free and quick start to your business in the Kingdom.
These are the 7 steps to form your company in Bahrain:
Step # 1: Clearance to Security.
Step # 2: Secure Your Commercial Name.
Step # 3: Register Your Company Head Office.
Step # 4: Prepare the Deed of Association.
Step 5: Notarization of the Deed of Association.
Step # 6: Open Company bank account.
Step # 7: Complete the Company Registration under MOIC.
Step 1: Secure Security Clearance.
MAServices that help clients in the area of security clearance documents in Bahrain. The initial requirement of establishing a company in Bahrain is security clearance. MAServices prepares the necessary KYC (Know Your Customer) papers and makes sure that it has all the information described to the standards of regulations and compliance. Requirements Clear Copies of Passports Duly Signed KYC Forms Properly Signed Engagement Letter. Authorization Letter Once all the above documents are gathered and the required signatures are taken, we submit (copies of your passports, authorization letters) to Bahrain nationality, passport and residency affairs (NPRA) to provide approval. This process does not require too long as we have more than 6 years of experience in consulting services, and we can deliver it in a short period of time and with full efficiency. Processing Time Usually takes 3-5 business days.
Step 2: Secure your commercial name.
MAServices that are helpful in commercial name reservation in Bahrain. In second step of company formation in Bahrain, you require a peculiar and conformable business name. MAServices will assist you in choosing business names that meet the Bahraini laws and reflect your brand. You will give us three names and we shall file them with the MOICT under the e-booking of commercial names system. The rules and regulations involved in the selection of the business names of the company are as follows:
✅ The names used in business in Bahrain can be a name of a person or a section of a name of a person.
✅ The business names may be creative and can consist of a description of the business activity.
✅ The name should be distinct and it should not be registered already in the system of commercial registers.
Requirements
3 unique business names Processing Time 1-3 business days
Step 3: Register the Head Office of your company.
MAServices providing assistance in registration of office space in Bahrain. The third process of company formation in Bahrain is the registration of the head office of the company with Bahrain Municipality. Whether the virtual office, traditional office space, or commercial properties, the business address is sent to the Bahrain Municipality to be pre-approved. The electricity is registered and after the pre-approval the lease contract is signed. Requirements
Office Photos (Pre-Approval) Lease Agreement (Upon Approval). A Bill of Proposal (Voltages, Energy priced in kWh/m2). Construction and Property license fees documentation. MAServices offers a total office package that includes virtual office and options of renting a commercial property that fits your requirements and will reduce operating expenses. Processing Time 4-6 business days
4th Step: Prepare the Deed of Association.
he most crucial section of the company formation in Bahrain is the preparation of the deed association. The deed of association is a very significant document which explains the responsibilities of the shareholders, requirements of capital and the regulations of the company. It contains 27 articles that establish the specifications of the company, the duties of the shareholders, the capital contribution of the company and the company ideals. After the draft has been prepared with our services of document preparation, the documents are then offered to the Ministry of Industry, Commerce and Tourism (MOICT) and Sijilat in Bahrain to be approved and processed further. This is done to achieve absolute conformity to the Bahraini laws. The deed of association is also an important task to complete to ensure that your business has a legal existence in Bahrain. Requirements The guidelines should be taken as the foundation of the draft by the Bahrain Ministry of Industry, Commerce and Tourism. [Click here to see a sample draft]. Processing Time 1 business day
Step 5: Notarize Deed of Association.
The next stage on the formation of a company in Bahrain is to have the Deed of Association notarized by a public or private notary. MAServices will handle the whole procedure of attestation by the notary to our clients, and they will be registered to business in Bahrain smoothly and fully in compliance. Requirements In the notarization of the article and memorandum of association of the company, the following requirements should be met: In Bahrain, the company formation requires the physical presence of the shareholders. Power of Attorney which is already signed is necessary in case an attorney is signing them. To have the company registered all the shareholders are required to bring their original passports to the notary. Signing the Memorandum by all the shareholders through their Passport Signature is also a vital process in establishing a company in Bahrain. Once the above steps are done, we can help in the notarization. Our processes have been developed over years so that there are no delays when it comes to compliance. Processing Time 1 business day
Step # 6: Open a Company Bank Account.
In Bahrain, company formation requires the opening of a corporate bank account in the name of the company according to MOICT Resolution 43 of 2024. The consultants of our banking services can open a corporate bank account within 1-3 business days with no exchange controls and allow international transactions to be done smoothly. We help in the quick opening of a bank account in Bahrain by choosing between our banking service partners. We will take you through the whole process of opening an account. The bank account of the company is opened in a selected bank in Bahrain and the minimum capital deposit amount is deposited. Requirements In order to open a corporate bank account in Bahrain, 4 requirements are as follows: The latest bank statement of half a year in English with a bank seal on every page to confirm its authenticity. The actual attendance of all company shareholders in the bank branch where you are planning to open the account. Documents to support your source of income which can be bank statements of your business in case you are employed or slips of salary in case you are employed. A business plan that highlights what your business is all about and how big it will be, and a financial plan that estimates your future income and expenses. Processing Time Al Salam Bank: 1-2 Business Days Ithmaar Bank: 5-6 Business Days Ahli United Bank: 3-4 weeks National bank of Bahrain: 5-6 weeks. Bank of Bahrain & Kuwait: 1-2 weeks
Step # 7: Finalize the Company Registration with MOIC
In this final step, we take the notarized Deed of Association and the capital deposit certificate and submit both documents to the Bahrain Ministry of Industry, Commerce and Tourism (MOICT) and Sijilat through their electronic system.
Once they approve this setup through the e-submission and e-verification of business transactions process, your business will be registered, and you can legally start your new venture in Bahrain.
With this final step, the entire company formation process is now complete, and you’ll receive your commercial registration certificate.
Requirements
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Notarized Deed of Association
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Capital Deposit Certificate (Including AML Clauses)
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IBAN Certificate
Processing Time
1-2 business days