DOING BUSINESS IN OMAN IN 2024
Since 2003, Healy Consultants Group has been efficiently and effectively assisting our Clients with i) Oman business registration ii) business licensing iii) Oman business banking solutions iv) visa options and staff recruitment strategies and v) workspace rent.
| Compare different Oman entities | 100% Foreign Owned LLC | 70% Foreign Owned LLC | Free zone company | Branch company | Representative office | Commercial Agency |
|---|---|---|---|---|---|---|
| Best use of company? | General Trading | Consultancy | Export hub | Government projects | Research and marketing | General Trading |
| Legally tax exempt if properly structured? | No | No | Yes | No | Yes | No |
| Corporate bank account location? | Arab Bank | HSBC | Bank Sohar | Ahli bank | HSBC | Ahli bank |
| Client must travel for incorporation? | No | No | No | No | No | No |
| Client must travel for bank account? | Yes | Yes | Yes | Yes | Yes | Yes |
| Can secure trade finance? | Yes | Yes | Yes | Yes | No | No |
| Limited liability entity? | Yes | Yes | Yes | No | No | Yes |
| VAT payable on sales to local customers | In 2021 | In 2021 | In 2021 | In 2021 | N/A | In 2021 |
| Withholding tax on overseas shareholders' payment? | 0% | 0% | 0% | 0% | 0% | 0% |
| Average total engagement costs? | US$38,119 | US$29,550 | US$29,800 | US$34,419 | US$27,450 | US$15,100 |
| Average total engagement period? | 14 weeks | 14 weeks | 16 weeks | 16 weeks | 16 weeks | 12 weeks |
| Accounting and tax considerations | 100% Foreign Owned LLC | 70% Foreign Owned LLC | Free zone company | Branch company | Representative office | Commercial Agency |
|---|---|---|---|---|---|---|
| Statutory corporation tax payable? | 15% | 15% | 0% | 15% | 0% | 15% |
| Must file an annual tax return? | Yes | Yes | Yes | Yes | Yes | Yes |
| Must file annual financial statements? | Yes | Yes | Yes | Yes | Yes | Yes |
| Investment income is legally tax exempt in Oman? | No | No | No | No | No | No |
| Access to double taxation treaties? | Yes | Yes | No | No | No | Yes |
| Monthly VAT reporting to the Government? | No | No | No | No | No | No |
| Dividends received are legally tax exempt? | No | No | No | No | No | No |
| Company registration | 100% Foreign Owned LLC | 70% Foreign Owned LLC | Free zone company | Branch company | Representative office | Commercial Agency |
| Resident director required? | No | No | No | No | No | No |
| Minimum number of shareholders? | 1 | 1 | 1 | Parent company | Parent company | No |
| Minimum number of directors? | 1 | 1 | 1 | 0 | 0 | No |
| Minimum paid up share capital? | US$1 | US$1 | US$1 | None | None | None |
| Oman PRO required? | Yes | Yes | Yes | Yes | Yes | Yes |
| Time to incorporate a new entity? | 4 weeks | 4 weeks | 4 weeks | 6 weeks | 5 weeks | 4 weeks |
| Can easily convert to a local PLC company? | Yes | Yes | No | No | No | No |
| Can have preference shareholders? | Yes | Yes | No | No | No | No |
| Business considerations | 100% Foreign Owned LLC | 70% Foreign Owned LLC | Free zone company | Branch company | Representative office | Commercial Agency |
| Can invoice local customers? | Yes | Yes | No | Yes | No | Yes |
| Can hire local staff? | Yes | Yes | Yes | Yes | Yes | Yes |
| Can rent local office space? | Yes | Yes | Within Free Zone | Yes | Yes | Yes |
| Secures a residence visa for business owner? | Yes | Yes | Yes | Yes | Yes | Yes |
| Good entity for trademark registration? | Yes | Yes | Yes | No | No | No |
| Oman has signed free trade agreements? | Yes |
| This country is a member of WIPO? | Yes |
| This country is a member of TRIPS? | Yes |
| The country is a member of the ICSID? | Yes |
| Average customs duties suffered? | 5% |
| Government foreign investment approval is required? | Yes |
| Average monthly office rental? (US$ per sq m) | US$18 |
| Minimum statutory monthly salary? | US$592 |
| Average monthly US$ salary for local employees? | US$4,622 |
| Overseas remittance currency controls? | No |
| Public register of shareholders and directors? | Yes |
| Multi-currency bank accounts available? | Yes |
| Corporate visa debit cards available? | Yes |
| Online banking and bank support in English? | Yes |
| Quality of e-banking platform? | Good |
| Crowd funding available in this country? | Yes |
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