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Company registration in Oman means entering a company in the Commercial Registry of the Ministry of Commerce, Industry and Investment Promotion (MOCIIP), which works online through the Oman Business Platform at business.gov.om, formerly branded Invest Easy. That is why “oman business platform” is what most people type when they first look into company formation in Oman. Its New Commercial Registration service covers the whole application, trade name included. Every investor signs with a PKI-enabled Omani eID card or mobile ID, and one online application takes at most five investors; anyone else files at a MOCIIP office or a Sanad service centre.
The rules come from the Commercial Companies Law, Royal Decree 18/2019. A company established in Oman has Omani nationality and its principal place of business in the Sultanate (Article 12), and its constitutive documents and every later amendment must be written in Arabic, or they are void (Article 9). Once registered, the company prints a digitally signed CR certificate from the platform, which the Ministry says is as valid as the counter copy and accepted by banks.
| Form | Owners | Capital rule | Points to note |
|---|---|---|---|
| Limited liability company (LLC) | 2 to 50 natural or legal persons | The amount stated in the contract, in shares of equal value, paid in full on registration; the law fixes no minimum | Run by one or more managers who must be natural persons, shareholders or not |
| One-person company (SPC) | One natural or legal person | As for an LLC | A natural person may own only one SPC, and an SPC may not set up another; the name shows it is a one-person company |
| Closed joint stock company (SAOC) | At least three shareholders | Issued capital of at least 500,000 Omani rials | For larger ventures |
| Branch of a foreign company | The foreign head office | No separate capital | Takes the legal form of the head office; its documents are authenticated and translated into Arabic |
| Commercial representative office | The foreign company | No separate capital | May promote its principal’s products but may not import, export or sell |
For a foreign owner the realistic choice lies between an LLC with two or more shareholders and an SPC with one; the SPC is explained in the questions below. House Trade Business, the smallest entry in the registry, is open only to Omani individuals.
The Foreign Capital Investment Law, Royal Decree 50/2019, which took effect six months after its publication on 7 July 2019, lets a foreign investor own all or part of an Omani company in a permitted activity, with a licence from the Ministry’s Investment Services Centre (Article 6). Neither the law nor its executive regulation, Ministerial Decision 72/2020, sets a minimum capital for foreign investors, and the platform states that investors from the United States and the GCC follow the same rules as Omanis.
What stays closed is a list. Article 14 lets the Minister name the activities in which foreign investment is prohibited: Ministerial Decision 209/2020 named 70, Decision 364/2023 removed two and added 27, and Decision 435/2024 added 28 more, taking the numbering to 123. They are mostly small local trades and services: Omani sweets and khanjar making, tailoring, vehicle repair, fuel stations, grocery stores, real estate brokerage and property management, recruitment offices, customs clearance, laundries and barbers. Check every planned activity against the list before applying.
Two more rules shape a foreign-owned company. Ministerial Decision 411/2025 requires a company set up by a foreign investor to employ at least one Omani, registered with the Social Protection Fund, once it has carried on its commercial activity for a year, and to meet the Omanisation ratios set for it. And putting a business in an Omani’s name for a foreign owner is no lawful route into a reserved activity: Ministerial Decision 412/2023 on concealed trade forbids it, and Article 33 of the investment law punishes the Omani party with the same fine as the foreigner.
| Step | What happens | Legal basis |
|---|---|---|
| 1. Activity check | Find the ISIC code of each activity on the platform, see whether it needs a licence (69 activities need none) and whether it is reserved for Omanis | Platform licensing guide; Decision 209/2020 as amended |
| 2. Investment licence (foreign shareholders) | Application with the investor’s identity and bank details, experience, expected workforce, implementation timetable and an economic feasibility study; the competent bodies decide on approvals within 14 working days, silence counting as acceptance, and the licence is issued within 3 working days of the last approval | Decision 72/2020, Articles 8, 11 and 12 |
| 3. Constitutive contract | In Arabic, signed by every shareholder, stating name, place of business, capital, shareholders, objects, duration, manager and financial year; the Ministry publishes a model for the SPC | CCL Articles 9 and 240; Regulation Article 94 |
| 4. Capital deposit | Each shareholder pays the full value of the cash shares into an account opened for the company under formation at a bank licensed in Oman; the platform has a service for filing proof of the capital payment | CCL Article 241 |
| 5. Registration | Online application to the Registrar with the contract, the minutes of any corporate shareholder and identity documents of shareholders and managers, filed within 30 days of completing the formation steps | CCL Article 246; Regulation Articles 87 and 88 |
| 6. Activity licences | Activities marked “License pending” on the CR are licensed by the competent ministry or authority before they are carried on | Oman Business Platform |
The investment licence application may be checked, certified and submitted on the investor’s behalf by a bank or a licensed legal, administrative or financial consultancy in Oman (Article 7 of the regulation).
| Obligation | Rule | Source |
|---|---|---|
| Chamber of commerce | Every business, Omani or foreign, must be a member of the Oman Chamber of Commerce and Industry | Royal Decree 56/2022, Article 10 |
| Income tax registration | Within 60 days of starting activity or of registration with MOCIIP; the company receives a tax file number | Tax Authority |
| Corporate income tax | 15% of net taxable income; 3% for small enterprises meeting the statutory conditions | Tax Authority; Income Tax Law |
| VAT | 5%; registration compulsory once annual taxable supplies reach 38,500 Omani rials, voluntary from 19,250 | Tax Authority |
| Beneficial owners | Register of everyone holding 25% or more, kept at the head office for at least 10 years, changes recorded within 5 working days, and a resident natural person named to coordinate with the Ministry | Decision 424/2023 |
| Accounts | Financial statements within 90 days of the year end, shareholders’ meeting within 180 days, 10% of net profit to the legal reserve until it equals a third of the capital | CCL Articles 274, 275 and 281 |
| Audit | Compulsory with more than 7 shareholders, capital above 50,000 Omani rials, a clause in the contract, or a request from holders of a fifth of the capital | CCL Article 278 |
The 3% rate, in Part Five bis of the Income Tax Law, is for a sole proprietorship of an Omani national or a partnership or LLC formed in Oman, within limits on registered capital, gross income and average staff, and never for banking, insurance, air and sea transport or natural resources. Dividends paid abroad carry no Omani withholding tax; royalties, management, software and service payments to foreign companies without an Omani permanent establishment bear 10%.
In the UAE full foreign ownership of a mainland company dates only from Federal Decree-Law No. 26 of 2020, and free zone companies remain a common vehicle for foreign owners there (see our UAE company guide). In Oman the 2019 investment law already allows full foreign ownership on the mainland outside the reserved list, so a zone is chosen for tax, customs and land rather than for ownership. The Public Authority for Special Economic Zones and Free Zones supervises the Duqm Special Economic Zone and the free zones of Al Mazunah, Salalah and Sohar (Royal Decree 105/2020), all governed since Royal Decree 38/2025 by a single law. A project needs the Authority’s licence through its one-stop system; its capital may be wholly foreign-owned, and the board may waive the company law minimum capital (Articles 6, 8 and 9). Income tax is exempt for 10 years from the start of activity, extendable twice for activities of a special nature, except for banks, insurers, telecoms operators, contractors and land and sea transport, and returns are filed regardless (Article 27). Project equipment and exports are not subject to customs duty (Articles 28 and 29), and a project that misses its approved start timetable loses its licence (Article 11). Companies already operating in a zone keep their earlier incentives until those expire.
Under Article 241 an LLC’s cash capital is paid into an account opened for the company under formation at a bank licensed in Oman, and the bank releases it only against proof of registration or if the shareholders abandon the formation. Afterwards the company should trade through accounts in its own name, since Ministerial Decision 412/2023 presumes concealed trade where a business uses an account not registered to it or its revenues go to a personal account. Which documents a bank wants, and whether it opens the account, is the bank’s decision.
An investor with a PKI-enabled ID registers an LLC online, and a foreign buyer needs the investment licence in either case, so buying rarely saves effort in Oman. It makes sense when the registration date matters, or when you want a CR that already carries licensed activities, Chamber membership and a tax file with a filing record. The share transfer and the checks a foreign buyer cannot skip are on our page on ready-made and shelf companies in Oman.
Our role: we can supply an existing Omani company or register a new one, draft the constitutive contract, prepare the papers for the Registrar and the investment licence application, and help assemble what a bank will ask to see. Where we have a working contact at a suitable bank we can introduce you, and the bank alone decides. The country as a whole is covered in our Oman company guide, and buying an existing company in general is explained in our guide to off-the-shelf companies.
Check the activities against the reserved list and choose between an LLC and an SPC. Foreign shareholders obtain the investment licence first. The Arabic constitutive contract is signed, the cash capital is paid into a bank account opened for the company, and the application goes to the Registrar on the Oman Business Platform, or through a MOCIIP office or Sanad centre for investors without a PKI-enabled ID. Chamber membership and tax registration follow.
Yes, in any activity not on the list reserved for Omanis, which reached 123 entries with Ministerial Decision 435/2024. The Foreign Capital Investment Law of 2019 requires a licence from the Investment Services Centre and sets no minimum capital, and investors from the United States and the GCC follow the same rules as Omanis. A foreign-owned company must employ at least one Omani after its first year of activity.
SPC stands for single person company, the one-person company of Articles 291 to 297 of the Commercial Companies Law: an LLC whose entire capital belongs to one natural or legal person, who is liable for its debts only up to that capital. The owner manages it or appoints managers. A natural person may own only one SPC, an SPC cannot set up another, and its name must show that it is a one-person company.
The Commercial Companies Law sets no fixed minimum for an LLC or an SPC: the capital is whatever the contract states, in shares of equal value paid in full on registration into a bank account opened for the company. Fixed minimums apply to other forms, 500,000 Omani rials for a closed joint stock company and 2,000,000 for a holding company. An auditor becomes compulsory once LLC capital exceeds 50,000 Omani rials.
Apply to the Public Authority for Special Economic Zones and Free Zones, which licenses projects in Duqm and in the Al Mazunah, Salalah and Sohar free zones through its one-stop system. Under Royal Decree 38/2025 the capital may be wholly foreign-owned, the board can waive the company law minimum capital, and income tax is exempt for 10 years from the start of activity. The project must start on its approved timetable or lose its licence.
Most come from the activity rather than the company. A reserved activity cannot be foreign-owned at all, many activities need a sector licence before they are carried on, and the investment licence asks for a feasibility study and a timetable. Online filing needs a PKI-enabled Omani ID. A foreign-owned company must employ an Omani after its first year, and its investment licence is cancelled if it does not start its activity within two years.
Planning an Omani company? Tell us the activities and who the shareholders will be, and we will check them against the reserved list and set out what the registration and the investment licence would require. You can also reach us on WhatsApp or Telegram at +48 663 247 166.