Types of companies

The regulations relating to the structure and governance of companies are governed by the Commercial Companies Law, Law No. (5) of 2002, replacing Law No. (9) of 1998.

Certain provisions of the Commercial Companies Law were changed as per Law No. (16) of 2006.

One of the main changes of the new law is the removal of the provision where only nationals of the State were allowed to form certain types of partnership companies.

Another significant change is the addition of two new types of companies.

The New Commercial Companies Law provides for the incorporation of eight different kinds of companies in Qatar.

Simple partnership company

A Simple partnership company is a company formed by two or more natural persons who are personally and jointly responsible for the liabilities of the company.

Limited liability company

A Limited Liability Company is a company formed with at least two partners and not more than fifty partners, whose liabilities are limited to the value of shares held in the company. The shares of a Limited Liability Company are not freely transferable.

One person company

A One Person Company refers to a company in which every economic activity and its full share capital is held by one natural or corporate person.

Holding company

A Holding Company is a joint stock, limited liability or one person company financially and administratively controlling one or more other companies by holding at least 51% of the shares of such company/ies whether they are shareholding, limited liability or one person companies.

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