Company liquidation in Bahrain
We will write the deadline into the document that creates it. Bahraini law leaves the period to the liquidator's appointment, and we make sure it is there before anyone signs.
Period comes from
Срок берётся из
the appointment
документа о назначении
Interim account
Промежуточный отчёт
every 6 months
каждые 6 месяцев
Registering it
Регистрация шага
20 BD, 3 days
20 BD, 3 дня
Papers kept for
Бумаги хранят
10 years
10 лет
When you need company liquidation in Bahrain
The period comes from a document
Bahraini law leaves the length of the closing to the paper that appoints the liquidator. Whoever drafts that paper decides how long the company will be closing down.
If nobody wrote it down
Where the appointment says nothing about a period, any partner can ask the competent court to fix one. A silent document does not mean an open-ended closing.
An account every six months
Whatever period was chosen, an interim account on the liquidation is owed to the owners of the company twice a year. That is the one rhythm the statute itself imposes.
Publication decides the start date
The appointment is noted on the commercial registration and announced in a local daily paper. It binds outsiders only from the day after that announcement, and not from the vote.
The archive outlasts the name
Books and documents are kept for ten years from the day the name leaves the register, at a place the partners or the general assembly name.
What you get
- An appointment document that states the period rather than omitting it
- The liquidator marked in the register and published in a daily paper
- Creditors notified by registered letter with a delivery note
- Interim accounts prepared on the six-month rhythm
- The completion registered, published and the name struck off
What is required to liquidate a Bahraini company
The Bahraini answer to "how long do creditors have" is unusual, and it is worth stating exactly. The law requires the creditors to be notified, but it does not lay down a single minimum period for submitting claims for this form of liquidation. The calendar is built by the appointment document and, failing that, by the court.
The same service in other countries sits under company liquidation; the rest of what we do locally is gathered on the Bahrain page.
What the appointment has to carry
- The liquidator, chosen from among the partners or from outside by an extraordinary general assembly, on the simple majority the company uses for its resolutions.
- The remuneration, set in the same decision.
- The period within which the liquidation is to be completed, because if it is absent a partner has to go to court to obtain one.
- Any method of sale other than public auction, which otherwise applies by default.
- Whether several liquidators may act separately; without that, their acts are valid only if they agree unanimously.
Where each date actually comes from
The appointment document
It is the primary source of the timetable. Extending it later takes a resolution of the owners, passed after they have heard the liquidator's reasons for the delay.
The court, when the paper is silent
A partner applies and the court fixes the period. A period fixed by the court cannot then be extended without the court's own permission.
The statute, twice a year
The six-month interim account is imposed by law and does not depend on what anyone wrote in the appointment.
The register, for outsiders
A note on the registration plus an announcement in a local daily paper is what makes the appointment effective against third parties, from the following day.
Registering the liquidation itself is a three-day, twenty-dinar step at the ministry: the decision of the owner, the partners or the shareholders appointing a liquidator is filed through the electronic register, the announcement of liquidation follows, and a letter from the liquidator completes the file. Where the closing is court-ordered, the court's decision or its letter appointing the liquidator takes the place of the partners' decision.
Sources: the absence of a claims window, the appointment document, the court's power to fix a period, the six-month account and the ten-year archive — articles 325–344 of the Commercial Companies Law, Decree-Law 21/2001; the 20 BD and three days — the service description on Bahrain.bh.
Stages of work
Drafting the decision with a period in it
We prepare the owner's, partners' or shareholders' decision so that the liquidator, the remuneration and the period are all named in it. The missing period is the defect that costs the most later.
Registering and publishing the appointment
The liquidator's name and the agreed method are noted on the commercial registration and announced in a local daily paper. From the following day they are effective against third parties.
Handover and inventory
The board or the managers hand over the books, documents and property and submit their accounts. The liquidator signs an inventory and a balance sheet with them and opens a register of liquidation acts.
Calling in the creditors
Each creditor is told of the commencement by registered letter with a delivery note. If a creditor cannot be reached that way, the call goes into a local daily paper instead.
Collecting, selling, setting aside
Receipts go straight into the company's bank account. Assets are sold by public auction unless the appointment allows another method, and anything under dispute is lodged with the court rather than paid out.
Interim accounts every six months
Twice a year the liquidator lays an interim account before the partners or the general assembly, and answers their questions so far as that does not delay the closing.
Final account, publication, strike-off
The final account goes to the partners or the general assembly; approval ends the liquidation. Completion is entered in the register and published, and the liquidator applies for the strike-off.
Our case studies
FAQ
Discuss
the Task
Speak to our team
Speak to our team. Tell us about your task –
we’ll help you with it in any jurisdiction.