How to register a company in Oman

How to register a company in Oman

Omanis  one of the gate way in the middle east region. Which share its border with several countries which are United Arab Emirates, Saudi Arabia and Yemen. And also share its marine border with Iran and Pakistan. Oman has an influence control on Hormuz fetch.Which is the strategic way between Arab and West. Oman is the world’s twenty fifth oil reserves country and the country is standing on its high-income economy.

To start business in Oman is easy and its familiar with western law. So the foreign investors who are wants to establish business in Oman they have to go under few terms and condition.In Oman if the foreigners want they can own 100% ownership of the business by meet some government rules or if they want to establish their business in the Omani free zones. To registered the business in Oman the foreign investors need to registered their business in Ministry of commerce and industry (MOCI).

• Where the entrepreneur can check their company name availability through online. To accomplish the registration the entrepreneur needs to submits few documents to the Ministry of Commerce and Industry which are :
• passport (photocopy) or identity cards of shareholders.
• passport (photocopy) or identity cards of all intended authorized signatories.
• Approved authorized signatory form with the names and sample signatures of all authorized signatory with resigned.
• Applications for any specific license which is depending on the business activities.
• Certificate of the initial capital deposit form the bank.

Wait after submission

After submission all those documents the applicants need to pay all those fees along with the capital of the company including the application tracking number, and indicates his/her preference for the notification on the status of the application by phone,SMS or e-mail.

The following relevant public institutions are housed at the one-stop shop which are :

• Ministry of Commerce & Industry
• Ministry of Civil Defense
• Royal Oman Police
• Muscat Municipality
• Chamber of Commerce
• Ministry of Regional Municipalities
• Environment & Water Resources 
• The Ministry of Manpower.
• The one stop shop are providing the facilities to the registered company from the Oman chamber of commerce and industry.

To registered the company with Oman chamber of commerce and industry the applicant submit a complete application form with company structures and pay all the fees according to the company grade.Which are :

- Excellent grade type companies needs around OMR 250,000 for start up capital and registration fees need around OMR 585 and the annual renewal fees are OMR 279.

- If the company are in first grade then the company start up capital in between OMR 100,000 to 249,000 the registration fees are OMR 128 and the annual renewal feesare OMR 225 and the annual renewal fees are OMR 73.

- For the second grade company  the company needs start up capital in between OMR 50,000 to 99,000 the registration fees are OMR 128 and the annual renewal fees are OMR  73.

- If the company are in third grade then the company start up capital in between OMR 25,000 to 49,000 the registration fees are OMR 78 and the annual renewal fees are OMR 45.

- If the company are in fourth grade then the company start up capital between OMR 3000 to 24,000 the registration fees are OMR 33 and the annual renewal fees are OMR 25.

-Company lease agreement

- Company statutes (memorandum and articles of incorporation)

- Chamber of Commerce and Industry affiliation certificate

- Agency Certification (if applicable)

To fulfill the registration process it needs three working days and the OMR 40 for business registration (for five years)+OMR 128 for chamber of commerce +OMR15 for registration with Muscat Municipality .

The company must need to registered its business under the tax department of the Finance Ministry which needs one working day and no charge applicable for that.

(Agency: Tax Department of the Finance Ministry)

Company must registered its business under the Ministry of Manpower.Which needs one working day and no charge need for this.(Agency: Ministry of Manpower)

For establishing as a company the company needs to make a seal or stamp for its authorized signatory.Which takes two working days and OMR 50 will charge for that. (Agency: Seal maker)

So today Oman is the most iconic place for the foreign investors for its resources. But according to the report of https://www.cia.gov from 2016 the oil price is going down which creates a large deficit of Oman’s budget which is nearly $11.3 billion. And the wane of oil in Oman which is the alert of its economy.Which is totally based on oil resources. According to the estimate the contribution  of oil sectors in GDP is 46% but in 2020 it become only 9%.So it’s a time of diversification of its economic mind and move to other resources which is gas and tourism.