Oman is part of the GCC and is an appealing location for a company setup. The country has fantastic business structures available and strong connections with other countries around the world.
What are the options for company formation in Oman?
There are a variety of company formation structures in Oman. At CBD, we will work closely with you to assess the most appropriate company structure for you.
Oman Free Zone set up
Free zone company setups offer many benefits to expatriates. For example, you can benefit from 0% personal income tax, 100% foreign ownership, free trade opportunities and better import and export rates. There are currently three main free zones in Oman.
Al Mazunah Free Zone
This free zone is suitable for businesses operating commercially, industrially or as a service provider.
Sohar Free Zone
The Sohar free zone is one of the most successful free zones within the GCC. It has strong connections with other areas of the GCC. This free zone is suitable for general trading, logistics companies, manufacturing and business service providers.
Salalah Free Zone
The Salalah free zone can be used by a range of company types, including manufacturing, distribution and logistics.
Oman Special Economic Zones
There are two economic zones in Oman, these are the Duqm Economic zone and the Knowledge Oasis Muscat Economic Zone. These economic zones offer benefits, such as 100% ownership, financial incentives, zero customs duties and 0% personal income tax.
Limited Liability Company (LLC)
An LLC is the most commonly used business structure in Oman; however, some ownership restrictions are in place. To open an LLC in Oman, a foreign investor can own up to 70% of the company. The rest of the company must be owned by at least one Omani National. The company must have at least two but at most forty shareholders.
A limited liability company provides many benefits, such as being able to trade freely on the mainland and having liability protection. Some business types will not be able to trade as LLCs, but our experts can offer the most valuable advice.
Limited Partnership
A limited partnership offers minimal control to foreign investors, who are not able to perform managerial duties in the company. The general partner must be a national from within the GCC.
Branch Office
A branch office can only be established in Oman as an extension of an existing parent company. Branch offices are not labelled as their own entity, which means any liabilities would fall to the parent company.
A branch office allows 100% foreign ownership, making it an attractive prospect for business owners looking to expand. A branch office can only be set up with a government contract.
Representative Office
Representative offices are also an extension of a parent company. In Oman, representative offices should be used to conduct marketing activities, such as market research. These offices are not permitted to trade within Oman but can conduct promotional activities.
How long does it take to register a company in Oman?
How long it takes for company formation in Oman depends on the type of business structure you choose to use. The process usually takes around ten weeks, although this can vary.
Once we have completed our feasibility assessment, we can provide a more accurate estimation. We will assist you with gathering the correct documentation for the process to be completed.
What documents will I need for company formation in Oman?
- Memorandum and articles of association
- Shareholder visas
- Shareholder passports
- Tax registration document
- Initial deposit certificate
- Company registration form
- Chamber of Commerce certification
You may be required to obtain various trade licenses to run your business in Oman. Our expert team can advise you on the correct licenses. After establishing your company in Oman, you can apply for a business bank account.
CBD are an expert corporate service provider who can assist you with the whole process of a company set up in Oman. We pride ourselves on having a fantastic reputation and successfully assisting businesses with company formation and restructuring. Get in touch with us for a smooth and efficient Oman business set-up.
