Single Person Company (SPC) in Bahrain
What is a Single Person Company (SPC) in Bahrain?
As the name explains itself Single Person Company is owned by a single owner with the benefit of limited liability. In Arabic, it is written as شركة الشخص الواحد and pronounces as Shirka Al Shakhs Al Wahid. It is similar to Single Member Company (SMC) in other countries.
According to Decree-Law No. 28 of 2020, amending some provisions of the Commercial Companies’ Law promulgated by Decree-Law No. 21 of 2001 that was published in the Official Gazette on October 1 of 2020 No. 3491, which states that S.P.C. registration type has been canceled, and it is now possible to establish a With limited liability company owned by one person. Click here for WLL Company formation in Bahrain
Features of a Single Person Company in Bahrain:
- Number of Shareholders: 1
- Liability: Limited
- Regulated by Commercial Companies Law Bahrain
- External Auditor: Required
- Annual Accounts Submission: Required
- Foreign Ownership: Allowed
Con’s of Single Person Company in Bahrain:
Single person company has only single owner who invests his money. As selling part of shares is not possible, this feature can become a hurdle in obtaining more funds for projects.