Bahrain Trade Name Rules

Business incorporation has been one of the significant segments that has been driving the economy of the Kingdom of Bahrain.

While foreign investors are continuously focusing on implementing their business ideas, the government of Bahrain has been adapting new norms to create a business-friendly environment and enhance the Foreign Direct Investment (FDI) at ease.

However, the company incorporation process in Bahrain demands that business owners and investors follow certain strict norms while proceeding ahead with the process.

The trade name of any company is the face of the organization, and certain precautions are to be followed while selecting one.

This guide will highlight the trade name rules to be taken care of while setting up a company in Bahrain. If you are planning to invest, do give it a read!

Trade Name in Bahrain

As the number of companies formation in Bahrain, it becomes challenging for business investors to decide the business name somewhere.

However, Bahrain trade name registration rules are guidelines that one should follow, which involves:

  • It has to be unique from the competitors
  • Must be displayed on the company letterhead
  • Must not breach the public norms
  • The chosen business name must be registered in Arabic

The trade name stands as the face of any organization, and thus, one has to take severe precautions while dealing with the same. While forming a company in Bahrain, the name is also accepted in any foreign language, provided it is accompanied with Arabic translation.

Every business involved in any kind of commercial activity must write the trade name clearly on the front of his business premise and on all the printed materials.

The owner of the trade name may also grant a third party the license to use the same an official contract.

Let’s look at the flip side and understand the core reasons for trade name rejection.

Reasons for Trade Name Rejection

As per the Bahraini laws, if the business entity does not meet the guidelines, that would lead to the rejection of the business trade name.

A few of the core reasons for rejections include:

  • If the trade name is a copy of an international business entity
  • If the trade name causes any kind of confusion among the public
  • If the name holds any political, military or religious content
  • If the name is similar to any international non-profit organization
  • It the name contains an imitated trademark
  • If it’s use is banned or restricted to certain parties by a legislation

A Trader Hold More than One Trade Name

In the case if any trader has got more than one commercial activity, then he can use more than one trade name that clearly distinguishes the business activities.

The trader must obtain an order issued by the Minister that clearly defines the conditions and requirements for the same.

Transfer of Business Trade Name

If the business owner wants to transfer the business trade name, it can be transferred, assigned, mortgaged or attached without transferring the title to the business.

The ownership of the trade name and its rights shall be transferred through inheritance.

How to Register a Trade Name in Bahrain?

For trade name registration in Bahrain, one has to go through the following process:

Do a Market Study

First, make sure to do a market study as it will help you to understand the existing condition and the players in the zone. This will give an idea on the type of business name to choose.

Finalize the Business Name

Based on the business requirements, finalize the business name. Make sure to follow the norms mentioned above while finalizing the trade name.

Submit the Essentials

In the next move, you need to submit the essential documents for the clearance process. The set of documents includes:

  • A duly filled application form
  • Identity proof of the business shareholders and investors
  • Address proof of the business shareholders and investors
  • List of the business activities
  • The selected business name (At least three)
  • The business trade name registration fee

Obtain the Approvals

Once the above-mentioned essentials have been submitted, you need to obtain the respective approvals from the relevant government authorities.

If the approvals get rejected, you need to cross-check with the government authorities and rectify the errors accordingly.

Implement on the Office Premise & Other Materials

After the approval, make sure to implement the same in the office premises and in the other corporate materials.

Thus, you have seen the overall picture of registering a trade name in Bahrain. One of the challenges that most business investors face while doing so is that they are not well-versed with the legal proceedings.

In short, lack of knowledge might abort or slow down the process. So, most of the investors prefer proceeding ahead under the guidance of an expert who can assist them accordingly.

Business Setup Worldwide is one of the top business consultants in Dubai who has been helping business investors to incorporate business entities across the globe.

Our experts are well-versed with the legal proceedings and can assist you to complete the registration process at ease. From company setup to bank account opening in Bahrain, we take care of all the essentials.

For more information, feel free to discuss with our experts. Contact us now-we’d be glad to assist!

FAQs

What are the requirements for registering a head office in Bahrain?

• Pre-approval photos of the premise

• Application form

• Lease agreement (Post approval)

• EWA (Post Approval)

What are free trade agreements?

Free trade agreements are legal agreements that is generally signed by the countries who are dealing with import-export business to exempt taxes at both the end. Bahrain has got 5 free trade agreements with 22 countries.