Types of Company Registration in Oman

In Oman, there are several forms of company registration, chosen depending on the nature of activity, level of foreign ownership, and legal structure. Below are the main types:

1. Limited Liability Company (LLC)
   This is the most common business structure in Oman and requires at least two shareholders. Previously, a minimum capital of OMR 150,000 (approx. USD 390,000) was mandatory, but this requirement has been removed under recent reforms. In some cases, an Omani shareholder, or one from the GCC or the United States, may still be required.
2. One-Person Company
   Since January 2020, it has been possible to register a limited liability company with a single individual or corporate shareholder without any minimum capital requirement. These companies operate like LLCs but with only one shareholder.
3. Public Joint Stock Company (SAOG)
   This type requires at least three shareholders and is suitable for companies planning to list their shares publicly. The minimum capital requirement is OMR 2 million (approx. USD 5.2 million), and 30% ownership by an Omani shareholder is required.
4. Closed Joint Stock Company (SAOC)
   These also require a minimum of three shareholders but are intended for companies not seeking public listing. The minimum capital is OMR 500,000 (approx. USD 1.3 million), with 30% ownership by an Omani shareholder.
5. Branch of a Foreign Company
   Suitable for foreign companies wishing to operate in Oman. The branch acts as the legal representative of the parent company, with financial and legal responsibilities resting with the parent entity.
6. Representative Office
   Designed for foreign companies wishing to promote their business in Oman without engaging in direct commercial activity. These offices are limited to marketing and market research activities and cannot sell goods or services directly.
7. Free Zone Companies
   Companies registered in Oman’s free zones can enjoy 100% foreign ownership and tax exemptions. These are typically used for trading or manufacturing activities and require at least two shareholders.
8. Joint Ventures
   Agreements between two or more parties where profits and losses are shared jointly. These do not have an independent legal personality and do not require formal registration.
9. Commercial Agency
   Foreign companies can appoint Omani commercial agents to carry out business on their behalf. These agents must be registered with the Oman Chamber of Commerce and Industry and can only sell the products or services of the principal company within Oman.