Bahrain serves as a point of entry into the Gulf Cooperation Council (GCC), providing easy access to Saudi Arabia and other local markets. Because of Bahrain’s strategic position, cost-competitiveness, ownership structure, and skill pool, international IT businesses select it as a hub. Cloud traffic is expanding 41% more annually in MENA than in any place else in the globe. Bahrain is in a prime position to take advantage of the ICT possibilities this trend is providing in fields including business services outsourcing, cybersecurity, digital entertainment, gaming, and e-commerce since it was the first Gulf nation to implement a national “cloud-first” strategy.
Benefits of IT in Bahrain
Bahrain provides internet capacity for connections to regional hubs in the Middle East and North Africa, Europe, the Americas, Asia, and Australia. Bahrain offers an ideal testbed for communication technology companies looking to capitalize on a region that is undergoing rapid digital transformation and technological advancements, thanks to strong market conditions produced by high mobile penetration, the roll-out of commercial 5G, and a business-friendly regulatory environment.
The establishment of your IT company in Bahrain
You must comprehend the various business categories, their operations, and their share capital needs before forming a company in Bahrain. In Bahrain, establishing a company is a quick and straightforward procedure. These are the actions needed:
Select a legal system
The choice of a legal framework is one of the most crucial ones to make when launching a business. It will have an immediate effect on the management of the business, the owner’s obligation, etc. Bahrain has the following possible legal entities:
- Limited liability company
- Branch office
- Partnership Company
- Sole proprietorship
- Public shareholding company
- Closed shareholding company
Obtain an electronic key
By enrolling on Bahrain’s e-Government authority site, you may get an electronic key, or e-key, from the Ministry of Industry and Commerce. This key will also include your login and password. To start a business in Bahrain without an e-key, you must get the Power of Attorney.
Registering your company name
The next step is to register your business name, which will stay with your firm forever. When choosing a firm name, the Ministry of Industry, Commerce, and Tourism (MoICT) has established a few rules. Make sure you follow their guidelines. A business owner may propose up to four company names at once.
Submit the application to MoICT
Send the application to the Bahrain Ministry of Industry, Commerce, and Tourism (MoICT) together with the firm name, applicant information, business type, share capital total, shareholding distribution, passport photocopy, and other necessary papers.
Procure the Commercial Registration (CR)
You may get the commercial registration after your application has been reviewed and approved by the MoICT. Then, get the necessary business permits.
Publish your application for corporate head office approval
The lease for the office, shop, or workshop, an electricity and water connection from the Bahrain Ministry of Electricity and Water (EWA), pictures of the office, shop, or workshop, and an address card from the landlord indicating the type of property and the address of the commercial location is required for this.
Create the articles of association and the memorandum of association
Memoranda, articles, and other legal documents may be notarized by a public or private notary as part of this stage.
Establish a bank account
To form a corporation and launch a business in Bahrain, you must create a bank account. The company’s name must be on the bank account. You may deposit the funds into a business bank account you open at your preferred Bahraini bank.
Send paperwork to the MoICT
Lastly, provide the notarized memorandum and bank certificate to the MoICT. The MoICT’s approval makes the company’s creation official.