How to Set up a Single-Person Company in Bahrain?
Due to all the new and improved policies, Bahrain has been coming up with, it has become a hub for business growth. All the groups of companies in Bahrain and entrepreneurs have been looking forward to setting up their businesses in the Gulf country. Furthermore, it provides opportunities and living standards like no other country in the world. The aim is to make the country hub for anyone who wants to get into the world of business and earn money. It is high time that you set up a business in Bahrain, to make your life better and secure a bright future.
Out of all the business models, there is one that is gaining the highest number of traffic. It is setting up the single-person company model in the country of Bahrain. Moreover, out of all the reasons for its adaptation, the most liked one is able to provide complete liability protection to the audience. This way you can follow your dreams without the need of worrying about anything.
If you are someone who wants to set up a single-person company. Or just want some information on how this model can help you. Keep reading this article and it will be beneficial for you.
Introduction to a Single-Person Company :
As the name suggests, it is a type of company that has only one proprietorship and works as a whole company. Therefore, if you want to own the company by yourself and take benefits, this model will work best for you.
The Bahrain SPC congers complete liability protection to the owner of the company. Moreover, the capital investment that is poured into the company is safe. In addition, the owner of a single-person company enjoys full ownership, able to serve as the director as own, etc.
As the gulf country has been becoming a hotspot for business growth. It is very vital for foreign business owners to enjoy full ownership of their businesses. They can enjoy shares as well as the benefits of owning such a company. The commercial Companies Law of 2001, applies to all the activities related to formation, registration, and activities related to businesses.
Coming up with the Name:
Business owners who are interested in the prime market of Bahrain must think of a unique and attractive name. The name of any business is its base and helps them attracts customers. After you have set up your name. It is required that it must end with “Single Person Company” or the short form “SPC”. Therefore, it identifies itself as a company with single ownership.
Eligibility Criteria for setting up an SPC:
There is no limitation when it comes to performing business. The SPC can perform local and international activities without any issues. However, they have to refrain from performing business related to banking, insurance, etc.
Below are the criteria for setting up the company:
The government has made the registration process very simple. All you need is the following documents and you will be good to go.
The sole premiership offers limited liability to their business. Only the capital money they have invested in the business are held liable against them.
Shareholder:
As the name suggests, it is mandatory to have one shareholder. It can be the founder of the company. Moreover, there are no restrictions on where the person can belong. However, remember that an SPC can only issue registered shares. They are unable to release public shares due to the single ownership of the company. In addition, the company can’t share negotiable warrants.
Director:
The director can be from any part of the world. Furthermore, they can reside anywhere in the globe. The only important thing is to have one director.
Registered Office:
If your goal is to set up a single-person company in Bahrain. You must have an owned or can find office for rent Bahrain. To do so, you can contact a local registered agent. They can provide their office details as the registered commercial building for your business.
Taxes:
One of the best reasons to become part of Bahrain's business community is taxes. Or the lack of it. The kingdom is not interested in collecting taxes on income, corporation, capital gain, gift tax, etc. You can enjoy tax-free benefits in many departments.
Accounting:
It is mandatory for the SPC to file a financial statement. It must include all the information regarding the business activities of the business. Moreover, it must be issued every year.
For the Record:
The name of the shareholder must be included in the record for better assistance.
Time of Formation:
The process of application does not take long to complete. For the most part, it only takes two weeks to get registered as a single-person company.
Shelf Companies:
From time to time, the gulf country offers shelf companies for the audience to buy.
Conclusion:
We hope after reading this article you have a clear sense of how to set up a single-person company in Bahrain. Follow all these rules and regulations, and you will be good to go.
Furthermore, it is very important to check for any updates in the requirements and criteria. This way you can be safe from any kind of issues.