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Commercial Registration

Sole Establishment

A sole establishment is a commercial registration issued in the name of one person who owns the activity in full and bears responsibility for it. It is available to a Bahraini or a GCC national resident in Bahrain and to no one else, and a valid smart card is required to issue it. It suits anyone starting out alone who wants the simplest legal form and the fewest administrative obligations.

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Who this service is for

  • A Bahraini starting a commercial activity alone
  • A GCC national resident in Bahrain who wants to register their activity
  • Anyone seeking the simplest legal form with the fewest administrative obligations

Issuing steps

  1. 1

    Trade name reservation

    The name is approved under the naming conditions.

  2. 2

    Issuing the entry

    The registration is issued in the name of the owner under the approved activity.

  3. 3

    Address and approvals

    The address is set and the approvals required for the activity are obtained.

  4. 4

    Issuing the licence

    The licence is issued and endorsed on the certificate.

Required documents

  • A valid smart card
  • Details of the requested activity

Key considerations

Liability is personal

A sole establishment does not separate the assets of the owner from those of the activity, unlike a company.

Hiring starts once the licence is complete

A Labour Market Regulatory Authority account cannot be opened, and foreign staff cannot be hired, until the commercial registration and the licence are complete.

Conversion into a company is available later

It is, however, a separate transaction that carries fees and time, which argues for settling the correct form from the outset.

Special rules on transfer of ownership

Different rules apply if the receiving party already owns a sole establishment registration, and these are reviewed before the procedure.

Common questions

No. A sole establishment is available to a Bahraini or a GCC national resident in Bahrain and to no one else. The form available to others is a company, as far as the activity permits.

Yes, once the registration and the licence are complete and a Labour Market Regulatory Authority account has been opened.

A sole establishment requires a commercial address, whereas the virtual commercial registration does not, though the latter is available only for specific activities.

No. An incorporation contract is required for companies, not for sole establishments.

Yes. Changing the entity type is available in both directions.

Contact us

Send the details of the requested activity, and we will start the issuing procedure directly.