Oman is emerging as a dynamic hub for entrepreneurs and foreign investors in 2025. With a commitment to economic diversification under Vision 2040, the Sultanate has introduced updated regulations and fees that streamline business setup while ensuring compliance and local integration. Whether you’re considering a mainland LLC or a free zone venture, understanding these changes is crucial for a successful launch.
🛠️ Key Changes in Business Setup Rules
- Employment Obligations for Foreign Investors
Effective April 1, 2024, the Ministry of Commerce, Industry, and Investment Promotion (MoCIIP) implemented administrative restrictions on transactions through the Oman Business Platform for foreign investors who fail to meet the employment obligation within a year of registration. A grace period of 30 days—subject to extension—is granted for companies to rectify non-compliance.
- Minimum Capital Requirements
- LLCs: No official minimum capital requirement; however, depending on the industry, OMR 10,000 to OMR 150,000 may be required.
- Free Zone Companies: Typically require minimum capital of OMR 15,000–50,000, depending on the business activity.
- Enhanced Compliance Measures
Oman has introduced more stringent compliance measures to ensure that businesses adhere to local regulations and contribute to the national economy. These measures include stricter enforcement of employment quotas and increased scrutiny of business activities.
💰 Updated Fees and Costs
Commercial Registration (CR) Fee
Every business in Oman must obtain a Commercial Registration (CR). The fee for this registration varies depending on the type and size of the business.
Legal and Consulting Fees
Navigating the business setup process in Oman can be complex, and many entrepreneurs opt to hire legal or business setup consultants to assist with the process. Legal fees can range from OMR 500 to OMR 2,000, depending on the complexity of your business. Consulting fees can vary widely, but budgeting around OMR 1,000 to OMR 3,000 is a safe estimate.
Employee Visa Costs
Costs associated with employee visas can vary depending on the number of employees and the sectors in which they are employed. It’s essential to factor in these costs when planning your business setup.
🌐 Free Zones: Opportunities and Considerations
Oman’s free zones offer attractive incentives for businesses, including tax exemptions and simplified procedures. However, it’s important to note that as of April 1, 2024, MoCIIP has implemented administrative restrictions on transactions through the Oman Business Platform for foreign investors who fail to meet the employment obligation within a year of registration. A grace period of 30 days—subject to extension—is granted for companies to rectify non-compliance.
📰 Trending News and Updates
Corporate Law Updates in Oman
Recent corporate law updates in Oman have significant implications for businesses operating in the country. Companies are advised to stay informed about these changes and ensure compliance with the new regulations.
✅ Final Thoughts
Oman offers a promising environment for business setup in 2025, with its strategic location, investor-friendly policies, and commitment to economic diversification. By understanding the new rules and fees, and staying informed about the latest developments, entrepreneurs can navigate the setup process smoothly and position their businesses for success in the Omani market.
