العربية• International Business Setup
Full ownership in most activities, with restricted lists that set the route
Bahrain allows full foreign ownership in most commercial and industrial activities without a local partner. Some activities, however, are reserved for Bahraini or GCC nationals, others require a set Bahraini or GCC share, and the lists are updated by ministerial decisions. Registration is with the Ministry of Industry and Commerce through the Sijilat portal.
You deal with LegalIn alone, from Egypt. We handle the in-country steps through our network of offices there, so you do not need to engage another firm.
• Is this route for you?
- Investors targeting the Bahraini or wider GCC market from Bahrain.
- Egyptian companies that want an entity or branch in Bahrain.
- Technology, services or manufacturing activities.
• Foreign ownership and investment regime
Full ownership in most activities, with three restricted categories
| Item | Details |
|---|---|
| Ownership | 100% in most commercial and industrial activities without a local partner |
| Legal basis | Commercial Companies Law No. 21 of 2001, and Ministerial Decision 40 of 2021 and its amendments |
| Reserved for Bahrainis or GCC nationals | Such as customs clearance and employment offices |
| At least 51% Bahraini or GCC | Such as some distribution, transport and private security activities |
| At least one Bahraini or GCC share | A third category we review by activity |
| Regulated sectors | Banking, insurance and telecoms need approvals from the regulators |
| Common forms | WLL, closed joint stock company (BSC closed), public joint stock company |
The lists are updated by ministerial decisions; we match the activity against the latest version before starting.
• How we handle the file
From Egypt to incorporation
- Checking the activity against lists of activities restricted or closed to non-nationals.
- Choosing the form and the ownership and management structure.
- Preparing, notarising and attesting documents.
- Registering and obtaining licences from the competent authorities.
- Arranging post-incorporation steps: government registrations, hiring and compliance.
• Before we start
What we need to know
- Your exact activity, and who and where your customers are.
- The partners and their nationalities, and whether the investor is an individual or a company.
- Whether you need a physical office or staff in Bahrain.
- How the new entity relates to your company in Egypt, if any.
This tells us the route and the document list; documents vary with the activity and the partners’ nationalities.
• Common pitfalls
What can delay the file?
Assuming all activities are fully open without checking the ownership lists.
Overlooking the security clearance required for individual investors before licensing.
Not disclosing the ultimate beneficial owner at incorporation and on every change.
Starting an activity that needs a sector regulator’s approval with only the commercial registration.
• FAQ
Questions we often hear before setting up in Bahrain
Do I need a Bahraini partner?
It depends on the activity; most do not, some are restricted.
Is there a minimum capital?
Some fully foreign-owned activities require a minimum, which we confirm after reviewing the activity.
Do I need a firm in Bahrain?
No. You deal with LegalIn, and we coordinate with our network of offices there.
• Related routes
Your file may also involve
• Your next step
Considering Bahrain?
Send us your activity and partners’ details. We review the right route and get back to you on the next step.
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