Company Registration in Oman: A Detailed Guide

With a corporate tax rate as low as 12% and possible tax exemption for up to ten years, Oman is a favourable destination to do business. As the Omani government implements more reforms, it is gaining traction for foreign investors. If you have searched high and low for an easy-to-understand guide to company registration in Oman, here’s one you can count on.

 

Benefits & Challenges

Foreign businesses can register a company in Oman, provided they carry out business activities within the permitted sectors. There are restrictions for foreign companies to trade in sectors like fisheries, tourism, media, tailoring, automotive repairs, hairdressing and salon services, rehabilitation centres and translation & photocopying.

Companies can register in two areas of business in Oman: Mainland and Free zones. Companies in the Free zone have access to specific benefits that are economical and highly beneficial to budding entrepreneurs. Your business could also lease facilities for five years or more.

English is a common business language in Oman, but the company statutes must be in Arabic. By engaging with us, we will help you with the proper translation of the company statutes to facilitate the company registration process in Oman. Deciding where to register your Omani company could also be exhausting as its challenges could outweigh the benefits. Our experts will advise you on the pros and cons when you embark on this journey with us.

 

Common Company Structures in Oman

Limited Liability Company	A minimum of two shareholders and a maximum of 40 shareholders. Requires one director. Allows total foreign ownership. The minimum share capital is OMR150,000.
Joint Stock Company	Public Joint Stock Compan Offer shares to the public and listed in the Muscat Securities Market A minimum of five directors and a maximum of 12 directors. Capital requirements are OMR 2 million Closed Joint Stock Company Does not offer shares to the public A minimum of three shareholders  A minimum of three directors and a maximum of 12 directors Share capital begins from OMR150,000
Branch Office	Parent company ownership  Requires an Omani service agent for countries outside the GCC countries Subject to a minimum 12% tax Allowed to carry out commercial transactions similar to the parent company
Representative Office	Parent company ownership  Requires an Omani service agent for countries outside the GCC countries Not subject to any Omani tax Not allowed to carry out commercial transactions

 

 

What To Do Next?

Once you have decided on the company structure for your Omani business venture, your next move is to reserve the company name. Our local experts will guide you on the best names you could propose to reserve, ensuring it complies with local culture, rules and regulations. We will help reserve the name with the Commercial Registry at the Ministry of Commercial and Industry.

3E Accounting team will then work on assisting in drafting the company statutes for you. The company structure of your choice and the company’s location makes up the fundamental of the company statutes. The company statutes include the Memorandum and Association of Articles stating company name, business activities, shareholders and director(s), share capital, registered office and other relevant details.

We will also require supporting documents such as valid passports and visas of shareholders, identification of shareholders and director(s), tax residency certificate, initial deposit certificate and Chamber of Commerce and Industry Affiliation certificate.

After successful company registration in Oman, you will receive the company registration certificate. Our team will register your Omani company with the Oman Chamber of Commerce and Industry to ensure your business complies with the local rules and regulations.

If you have deposited the initial share capital into a bank account, we will assist to convert it to a current account. Otherwise, we will help open a bank account so you can facilitate business transactions.

 

Run A Business Swiftly in Oman

Company registration in Oman can be manageable. But, to ensure proper compliance with local regulations, let 3E Accounting facilitate matters from ideation to certification.