Understanding Small Business Registration in Bahrain

Starting a small business in Bahrain is an exciting journey, but it comes with its own set of challenges. Whether you’re an aspiring entrepreneur or an experienced businessperson, understanding the registration process is the first and most important step to getting your business off the ground.

Why Registering Your Business Matters

In Bahrain, registering your business isn’t just a legal requirement—it’s a gateway to unlocking a host of opportunities. A registered business can:

  • Build credibility with customers and suppliers.
  • Access government incentives and support programs.
  • Open business bank accounts for smoother financial transactions.

For small businesses, registration also lays the foundation for growth by ensuring compliance with local laws and protecting your brand.

Registration Fees for Small Businesses

Bahrain is known for its business-friendly environment, but it’s still essential to plan for costs. A business in Bahrain incurs following three type of costs:

  1. Business License Registration Cost
  2. Business License Renewal Cost
  3. Business License Operational Costs

1. Business License Registration Cost

 

Silver Package

Cost: BHD 1326 (VAT included)

Timeline: 35-40 business days

Includes:

  • Commercial License Application
  • Assistance with Security Clearance
  • Articles of Association Drafting and Notarization
  • Chamber of Commerce Membership (1 year)

Ideal for businesses looking for essential support to get started.

Gold Package

Cost: BHD 1612 (VAT included)

Timeline: 25-30 business days

Includes:

  • All services in the Silver Package, plus:
  • Additional compliance guidance
  • Personal multi-currency bank account assistance
  • Faster processing

Platinum Package

Cost: BHD 2151 (VAT included)

Timeline: 11-20 business days

Includes:

  • All services in the Gold Package, plus:
  • Exclusive access to meeting rooms
  • PO Box setup for official mail
  • Comprehensive post-incorporation support

Key Highlights Across All Packages

  • Consultancy on choosing the right company structure
  • Security clearance from Nationality, Passport, and Residency Affairs
  • Commercial name reservation and address approval
  • Support with corporate bank account setup and capital deposit
  • First-year activity license fees and Chamber of Commerce membership included

2. Business License Renewal Costs:

Renewal costs of Business license in Bahrain are as follows:

  1. Commercial Registration fee: BHD 50.
  2. Business Activity License fee: BHD 100*.
  3. BCCI Fee: BHD 16.
  4. Service Charges: BHD 50

*Some activities are exempt from activity fees. These activities are available with 51% or more Bahraini ownership

3. Business License Operational Costs:

Operational costs of a business license in Bahrain can be as following:

  1. The first operational cost that you will meet is Office Rent. There are serveral options for office as described below:
    • Private rent starts from BHD 120 in rural areas and BHD 250 in the market.
    • Incubation centers offer a BHD 1000 annual plan for startups.
    • Business Centers offer BHD 900 to 1200 per year. 
  2. Electricity cost for an office with 2 air conditioners ranges from BHD 40-65~.
  3. A reasonable receptionist can be hired for BHD 150.
  4. LMRA’s monthly fee is BHD 5.00/month per expat.
  5. Employee Insurance rate is 4% of basic salary.
  6. An Annual Audit is required from the 2nd fiscal year. Its cost depends on annual sales and audit firm. For sales up to 0.5 million, its cost can range from BHD 200 to BHD 500.

Contact us for detailed business estimation and registration service.

Calculate Business License Registration Cost in Bahrain:

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