How To Register A Company In Oman

Register company in Oman

Tetra Consultants aid our clients to annals company in Oman. Our service package includes Sultanate of oman company registration, opening corporate bank accounts and accounting and tax obligations. Tetra Consultants is the one-finish solution for you lot to legally start business in Oman.

Company Registration

6 Weeks

Bank Account Opening

4 Weeks

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Register company in Oman: Introduction

To register visitor in Oman is hassle-free if yous are familiar with the unabridged incorporation process. With Tetra Consultants at the cycle, you volition be able to dedicate your time and resources to other more of import channels.

With our lean-and-mean mentality, you lot can rely on our team of experts to provide yous a seamless experience throughout the whole visitor registration process in Sultanate of oman. Our ultimate goal is for your business to be operationally prepare inside the stipulated time frame.

Our service package includes everything yous will require for business concern setup in Oman:

Oman company registration with Ministry of Commerce and Industry
Local company secretary and registered address
Corporate bank account opening
Annual accounting and revenue enhancement services

How long to register visitor in Oman and open a corporate bank account?

Steps-to-register-company-in-Oman

Tetra Consultants will complete your company germination in Oman through a seamless and fuss-free process.

Upon receiving the required due diligence documents of the directors and shareholders, Tetra Consultants volition conduct an Oman company registration search to check the availability of your preferred company name.

The company registration procedure can be carried out remotely and you lot will not be required to travel to the country during the process .

Within 6 weeks , you can expect to receive the documents of your new company including the document of formation, Memorandum and Articles of Clan as well as the registry of directors and shareholders.

Subsequently successful visitor germination, Tetra Consultants will assist to open a corporate banking company business relationship with a local banking company or with an overseas global bank depending on your long-term goals and objectives. Opening a bank account in Oman for foreigners will usually take around 4 weeks to be completed.

Consequently, you lot can expect to offset operations and issue invoices with your new business organization within 10 weeks upon engaging Tetra Consultants.

Tetra Consultants' team of Chartered Accountants will ensure that your newly established company volition continue to meet regulatory laws set by the local Revenue enhancement Potency. This includes providing you lot with monthly bookkeeping, preparation of fiscal statements and almanac taxation render filings.

Tin a greenhorn annals company in Oman?

The authorities offers foreign investors several options on the different types of business entities to cull from for Sultanate of oman visitor formation. Tetra Consultants will advise you on the steps and requirements for starting business organisation in Oman.

Generally, an Oman concern tin can be wholly foreign-owned as long as they exercise not behave business activities in the blacklist provided by the Ministry building of Commerce and Industry. The blacklist includes activities in protected industries such as transportation, tailoring, vehicle repairs, salon services, fishing, retail sale of souvenirs, antiques, and paintings, etc.

The registration fee and minimum capital requirement for a 100% foreign-owned visitor is higher than that of a standard visitor. For LLCs, the minimum corporeality is OMR 150,000 if the company is wholly foreign-endemic.

In that location are no requirements to have a local resident director or shareholder.

When deciding the near suitable entity type, it is important to consider various factors that include only are not limited to availability of personal liability protection, tax ramifications, buying and management flexibility as well as compliance requirements. Each business entity will come with its distinctive features.

Before the start of the appointment, Tetra Consultants volition fully understand your business concern earlier recommending the about optimum business entity.

Some considerations we accept into account include the type of business activeness, tax obligations and nationalities of the shareholders and directors. Our consultants will as well offer more information on the requirements imposed to prepare these entities.

Types of companies in Oman

Tetra Consultants volition assist in recommending the nearly optimum business entity for your foreign company registration in Oman . In that location are iv main types of company registration in Oman , namely the formation of the following business entities: Limited Liability Company, Limited Partnership, Branch Part and Representative Office.

Limited Liability Company (LLC)

A LLC is the virtually common legal entity established in Oman.

With a LLC, you can benefit from protection from liabilities and a regulated access to capital.

Primarily adopted by large businesses, a LLC allows shares to be freely and hands transferable.

Shareholders are protected co-ordinate to the level of their contribution to the capital. With limited liability imposed on its shareholders, in any event of winding upward, you volition non have to worry nigh incurring the debts and obligations of your company.

In that location are generally some restricted activities such every bit banking, insurance and investment operations that are not allowed to be proficient past a LLC.

To contain your LLC in Sultanate of oman, yous must have minimally 2 or more limited partners. A foreign partner is only restricted to own a maximum of 70% of the uppercase of the visitor and can accept interest in managing the day-to-day operations of the company.

The minimum majuscule requirement expected of your LLC will depend on the nationality of your directors. For Omanis of Gulf Cooperation Quango nationals, you can expect a minimum requirement of OMR 20,000. While for mixed shareholding with foreigners, yous can expect a minimum requirement of OMR 150,000.

Limited Partnership

Ane can form a limited partnership with 1 or more than general partners who shall be jointly and severally liable for its debts as well every bit one or more limited partners whose liability will be limited to the extent of their majuscule contributions.

In a limited partnership, a general partner volition exist granted the privilege of managerial rights while limited partners are not permitted to manage the company.

Generally, to form a express partnership in Sultanate of oman, you will require minimally that your full general partner is an Sultanate of oman or Gulf Cooperation Quango national.

Foreigners are just permitted to exist silent partners who hold no position in management. There is no minimum capital amount mandated to form a limited partnership.

Co-operative Office

A co-operative function is an extension to its strange parent company and is permitted to perform or conduct merchandise activities every bit per set out or predetermined by its foreign company.

As such, it does not have a legal identity distinct from its parent company. Therefore, all debts and obligations incurred by the co-operative will be borne by the parent company.

Typically, a branch is also ready for the purpose of consolidating the financial outcome of its parent company.

To set up, it is required that the foreign company owns a contract with 1 of the government entities or a state-sponsored company.

There are no minimum capital criteria imposed to set up.

Representative Office

Similar to a co-operative office, a representative part can also exist 100% strange-owned and controlled.

However, an exception that applies to a representative role is that it is restricted from making sales locally and is confined to existence primarily used to spread and promote materials regarding its parent visitor.

A representative office is best brash to exist used for the purpose of conducting market research.

There are not many requirements imposed to set up up a representative office. You tin can wait no minimum paid-upwards share uppercase. Still, minimally, there should be a managing director available to manage the function.

How to register visitor in Oman?

Step 1: Choosing an optimum concern construction to register company in Oman

Prior to visitor registration in Oman , it is essential to choose the correct type of company.

Based on your business organisation construction and long-term goals, Tetra Consultants will propose you on the well-nigh optimum business entity, paid up capital, corporate construction and business licenses such every bit the municipality license if applicable.

Generally, Tetra Consultants would recommend LLC company registration in Oman every bit it is the most mutual legal entity in the state and can be incorporated by a single shareholder.

Stride 2: Reservation of visitor name

Tetra Consultants will search and consummate visitor name registration in Sultanate of oman through the Commercial Registry of the Ministry building of Commerce and Manufacture.

Pace three: Preparation and submission of relevant documents to register company in Oman

Tetra Consultants will assist you lot in preparing the documents necessary for incorporation with the local c ompany registration authorisation . These documents include a draft of the Memorandum and Manufactures of Association, business program and other incorporation documents.

Generally, the Constitutive Documents accept to exist written in the Arabic Language. Therefore, Tetra Consultants will engage the help of a professional person translator to ensure that your documents are properly translated.

Upon successful registration of your company , Tetra Consultants volition courier the Certificate of Incorporation, Memorandum and Manufactures of Association and other corporate documents to your preferred address. Your Oman company registration number can exist found on the Document of Incorporation.

Stride 4: Taxation Registration and other relevant registration

Once the Document of Incorporation has been acquired, our team will follow up in enrolling with the Revenue enhancement Department at the Ministry of Finance.

Post-obit which, nosotros will also carry out registration of your business with the local Royal Police, Muscat Municipality and Ministry of Manpower appropriately.

Pace 5: Creation of company seal

All companies in Oman crave a company seal that is issued by the authorized signatory of the company. You will need to beginning obtain and submit documents such as a Sleeping room of Commerce and Industry Affiliation document, authorized signatory course and a document of initial capital deposit. Tetra Consultants volition assist you to fulfill these obligations also as to design and order a company seal from a third-party supplier.

Step 6: Corporate bank account opening after you register company in Oman

Depending on your business structure, the documents required to open a corporate bank account volition be slightly dissimilar.

Tetra Consultants will help in consolidating the documents and opening a corporate bank account with a reputable bank of your choice.

Typically, the directors and shareholders are non required to travel to the jurisdiction to open a banking concern account. Yet, if travel is required, we volition accept a representative accompany you to the bank meeting.

Accounting and tax obligations

Many international clients engage Tetra Consultants for Oman accounting and tax services. By outsourcing your accounting and taxation obligations to Tetra Consultants, you tin can exist confident that yous will exist in the best easily. Our team of consultants will ensure that your business firm'southward fiscal statements, corporate revenue enhancement returns and audits are timely completed without the demand for you to travel.

Additionally, outsourcing your accounting and tax needs to Tetra Consultants will allow you to reduce overhead costs while being ensured of timely reporting and filings.

Before the start of the appointment, our accounting squad will besides keep you updated of all the required deadlines and expectations. Thereafter, we volition prepare all required filings in advance to ensure that the stipulated deadlines are met.

Almanac reporting requirements

The fiscal fiscal yr in Sultanate of oman runs according to the calendar year. Newly established companies tin either opt for an opening period of 12 months or a maximum period of upwards to 18 months instead.

Inside 6 months after the end of the financial yr ending, Omani companies are required to file an annual income tax return accompanied by its audited fiscal statements and any taxation due.

The local laws also mandate that accounting records have to be maintained for safekeeping for minimally x years prior to the terminate of the accounting catamenia.

All companies should mostly adopt the International Financial Reporting Standards when preparing financial statements. The documents should include statements of the financial position, income, changes in equity and cash flows.

It is likewise required that the fiscal report is minimally submitted in Arabic linguistic communication. Every bit such, Tetra Consultants volition also appoint a professional translator to ensure that your report will encounter all requirements set.

Corporate income tax

In full general, all Oman companies are required to pay a Corporate Income Tax charge per unit of 15%. Only oil companies will face a corporate revenue enhancement rate of up to 55%.

Small-scale and medium-sized enterprises may be eligible for a reduced Corporate Income Tax rate of three%. To be eligible, your pocket-sized or medium-sized enterprise should have:

- An authorized share capital letter not exceeding OMR fifty,000

- A gross income totalling less than OMR 100,000;

- Less than fifteen employees; and

- Non be involved in whatsoever transport, extraction of natural resources, banking, insurance or financial services business activities.

Dividend distribution tax

If you are looking to distribute dividends to non-residents, you can expect to be subjected to no withholding tax. Yet, a ten% withholding tax volition be levied on the payments to strange companies without a permanent establishment in the jurisdiction.

Capital gains tax

Upper-case letter gains revenue enhancement is levied at a xv% rate.

Tetra Consultants volition help y'all in applying for these tax considerations.

Why register company in Oman?

Political

In its efforts to boost the economy, the local government is constantly on the lookout to improve its diversification initiatives – this includes placing greater emphasis on tourism.

While Qaboos' ruling of Oman was robust with his role in managing domestic and foreign diplomacy, his ruling also came with much economic hardship and much political unhappiness.

According to Transparency International's 2020 Corruption Perceptions Alphabetize, the nation holds a position of 54th amid 180 countries when it comes to the degree of public sector corruption.

Economic

Oman holds excellent bilateral relations with the United States. Its relations likewise led to the establishment of a gratuitous-trade understanding that eliminates tariff barriers.

American investors are treated as equal to a layman Omani investor, which allows them to similarly benefit from full foreign ownership and no uppercase limitation when doing business locally.

The domestic economy has been substantiated past diversification and foreign investment through establishing multiple ports and costless zones such as Sohar.

Social

According to the Overseas Security Advisory Council , Oman is by and large a condom country and is an important regional counterterrorism partner.

The official language adopted in the nation is Arabic. According to Education Starting time'due south 2020 English Proficiency Index, the nation is ranked 98th out of 100 when it comes to the population's level of proficiency in English.

Domestic ethnic tensions exist in the country and may undermine its harmony.

Technological

Committed to innovation, the Sultanate of oman Engineering Fund aims to assist and develop the Information and Communications Technology sector.

Other relevant efforts and programs rolled out by the state include The Government Innovation Initiative that was established to encourage greater innovation and inventiveness through adopting technologies in the government entities.

The Imperial Sultanate of oman Police has activated and adopted the utilize of drones to combat the Coronavirus Illness 2019.

Legal

In Sultanate of oman, Islamic law is the source of its legislation. All the same, the land constantly amends its police force and regulations to provide a flexible and pro-business framework.

The free zones geographically located in the nation are each considered as divide and singled-out legal jurisdictions, each owning its own regulatory laws.

Sultanate of oman Labour Law mandates that employment contracts take to exist executed in the Arabic linguistic communication. Equally such, you may see difficulties if your business concern operations will be located in the nation.

Environmental

Oman holds the highest standards when information technology comes to protecting the surround. With the publication of the document on the protection and development of the environment in the Arab earth, the nation pledges to commit to a guide that proposes to safeguard the surroundings.

In 2017, Oman appear its plans in building the offset current of air farm in Harweel in the Dhofar Governorate so as to contribute to the utilise of greater sustainable free energy.

The land-owned Petroleum Development has intentions of building more solar power projects in the nation to contribute to its free energy use.

Find out more about how to register company in Oman

Contact usa to learn more near visitor germination in Oman. Our dedicated and experienced squad will revert within the side by side 24 hours and respond all your queries.

FAQ

What is the best business organisation in Oman?

Some profitable industries to consider are the agriculture industry and the engineering industry. In an attempt to reduce the state's reliance on oil exports, the local government has been emphasising on the expansion of non-oil sectors such as agriculture. Information technology is relatively cheap to purchase farming land in Oman and setting up an agronomics business organisation locally may allow y'all to apply for grants or interest subsidies from banks.

The IT and technology manufacture in Oman is another bonny industry to fix up a company in equally it is still growing and hence there are many business opportunities in this sector. The regime has set up a Engineering Fund to encourage entrepreneurs to contain Information technology and tech companies that have the potential to implement technical innovation ideas within the country. Hence, setting up a tech related business in the jurisdiction will give you access to greater investment capital and grants.

Alternatively, concern owners tin can consider setting up article stores in Oman. Companies that set up in gratis zones will be exempted from import duties, hence setting upward a commodity store to sell imported appurtenances may be profitable.

How much does it toll to first a business organization in Oman?

The minimum shared upper-case letter necessary to contain a foreign-owned Express Liability Visitor is OMR 150,000. Equally for Tetra Consultants' appointment fees, this volition depend on the exact services required from Tetra Consultants. Our fees are inclusive of government fees and all fees volition exist clearly stated in our engagement alphabetic character prior to the start of the engagement. Tetra Consultants believes in transparency with our valued clients and there are no hidden fees.

Is a visitor secretary necessary to incorporate a business concern in Oman?

No, a visitor secretarial assistant is non necessary. Notwithstanding, Tetra Consultants will provide you with a local secretary to help in the almanac tax filing and accounting requirements.

Do I demand a resident director to comprise a concern in Oman?

No, a resident director is not required to incorporate in Oman. In that location is no nationality requirement for directors in an Oman business.

What are the minimum requirements to set up an LLC in Oman?

To set upwards an LLC in Sultanate of oman, you lot volition demand to have at least ii shareholders and i director. There are no nationality requirements for the manager or shareholder. Other requirements for company registration include having a listed address in Oman and a minimum paid-upwards capital of OMR 150,000 for strange-endemic companies.

What is the mandatory criteria for a fully-foreign owned business organization in Oman?

Previously, strange ownership was capped at 70% of share upper-case letter for commercial companies. Under the new Foreign Capital Investment Police force in 2020, companies operating in specific sectors are allowed 100% foreign ownership.

As long as companies do non conduct business activities on the blacklist released by the Ministry of Commerce and Industry, they can apply for approving to be wholly strange-owned through the Oman Bedroom of Commerce and Industry. The blacklist includes activities in protected industries such equally transportation, tailoring, vehicle repairs, salon services, line-fishing, retail auction of souvenirs, antiques, and paintings, etc.

How many Free Zones are there in Sultanate of oman?

In that location are three Free Zones in Oman, namely the Salalah Free Zone, Sohar Free Zone and Al Mazunah Free Zone. The nation also has two Special Economical Zones: the Duqm Special Economic Zone and Noesis Oasis Muscat. Businesses that set up in these costless zones can savour 100% foreign ownership, revenue enhancement benefits, exemption from customs duties and other monetary incentives.

Is there sales revenue enhancement in Oman?

Yes, the Oman Tax Authority has recently released a Value-Added Tax (VAT) of 5% in April 2021 for non-essential appurtenances and services. Businesses that have an annual value of supplies of more than OMR 38,500 will exist required to apply for VAT.

Is in that location personal income tax in Sultanate of oman?

No, there is no personal income tax in Oman. In other words, no revenue enhancement will exist levied on income from majuscule gains, wealth, death or property. However, non-resident individuals may be subjected to 10% withholding revenue enhancement on sure specific incomes.

How can I get-go an LLC in Oman?

To showtime your LLC in Oman, you must accept minimally two or more than express partners. A foreign partner is only restricted to ain a maximum of lxx% of the capital of the company and tin can take interest in managing the day-to-day operations of the company.

The minimum upper-case letter requirement expected of your LLC volition depend on the nationality of your directors. For Omanis of Gulf Cooperation Council nationals, you can expect a minimum requirement of OMR 20,000. While for mixed shareholding with foreigners, yous can expect a minimum requirement of OMR 150,000.

Tetra Consultants will assistance you with the procedure to start an LLC in Sultanate of oman. Nosotros volition assistance you in preparing the documents necessary for incorporation with the local visitor registration authorisation. These documents include a draft of the Memorandum and Manufactures of Association, business organization program and other incorporation documents.

Upon successful registration of your visitor, Tetra Consultants will courier the Certificate of Incorporation, Memorandum and Articles of Association and other corporate documents to your preferred address.

Tetra Consultants volition then assist you with tax registration, the cosmos of the company seal and opening a business account with a reputable bank.

How can I start a business organization in Oman free zone?

Later incorporating your visitor with the Ministry of Commerce and Industry, you can proceed to setting up your company in a Gratuitous Zone with the local authority.

Tetra Consultants provides you with a fast and simple style to fix your visitor in an Oman Free Zone through our package which includes business incorporation; provision of local resident manager, provision of local company secretary and listed address; opening a business account with a reputable banking company; and fulfilling almanac accounting and tax obligations. Based on your visitor'southward concern activities, Tetra Consultants will also recommend yous the all-time Costless Zone to fix up your company in.