Oman’s legal and business framework is built flexibly that every organizational structure blends into its business arena. Investors from every corner of the globe find Oman a rising business establishment forum, so the location is in demand in the present times. You may choose to enter a Joint-Stock Partnership, whether you are a business investor or an owner who wishes to set up a business in Oman.
There are several robust incentive schemes in the Sultanate of Oman which attract foreign companies to invest in the oman country, ranging from customs duty and income tax exclusions to subsidized interest rates.
One way an investor will enter Oman's rising markets is by setting up a business in Oman. The country offers different institutions from which it is possible to form a company.
What is a Joint-Stock Company?
Most corporate organizations where the owners hold the right to purchase or sell their shares are a Joint Stock Company (JSC). In short, JSC can be said to be a corporation where the stock is separated into shares that can be shared on the free market.
Joint-Stock Company in Oman
Oman has an excellent platform for the initiation of a JSC for company investors and shareholders. The Public Joint Stock Corporation (SAOG) and those not known as (SAOC) publicly exchange their shares. Those basics, as per the Omani laws, are:
- Minimum share capital should be OR 150,000
- At least two owners
- An Omani shareholder who owns at least 30% of the shares
- Approval from the Department of Trade and Industry
In the business integration process, documenting plays a very significant role. The vital documents needed to set up a JSC in Oman are listed below.
Documents Required to Establish a Joint Stock Company in Oman
- Legal Guardian permission for Omani residents
- Memorandum + Partnership Papers + Business Feasibility Analysis
- Proposed Business By-laws
- Certificate from the bank confirming the deposit of initial capital
- Letter of Non-Objection from the sponsor for Oman residents
- Copy of passport for foreign individuals
- A certificate with criminal record clearance for foreigners
- Financial stability proof
- Certificate for Company Registration
- Minutes of an Omani business conference
Procedure for Establishing a Joint Stock Company in Oman
- Reserve a name for the government body
- Apply for the above documentation to the Director-General of Commerce (DGC)
- It is essential to make payments. The DGC will respond to the confirmation of the company's establishment within 30 days.
- Conducting a Constitutive General Meeting (CGM) before the registration process to align the steps that need to be taken
- The choice of members of the board and auditors
- A commercial registration document must be filed appropriately and signed in Arabic at the Registrar's Office.
- Once approved, the Business Registration Certificate needs to be acquired.
Therefore, you have now got a good picture of the company registration process in Oman. As an investor, you need to know the advantages of investing or setting up a JSC in Oman that you can use.
Advantages of Forming a Joint Stock Company in Oman
By forming a joint-stock company in Oman, the benefits you will reap are:
- Ownership at 100 percent
- No income or business tax
- A strategic position as it opens the door for other Middle East countries to join
- A fast-paced economy for growth
- Government Friendly Programs
- A large natural resource pool
- World Class infrastructure
The oil & gas sector has been turned into a multi-business center. To make the location more feasible for international investors, the government has diligently taken many steps. If you intend to begin the business forming process in Oman, then it's the right time to move forward. The method turns out to be smoother and quicker with the help of industry experts.
Commitbiz is here to help you to make your dream come true. We are one of the best UAE industry advisors interested in our customers' company incorporation process. Our services also provide accounting, visas, taxes, and legal services. Contact us today to commence your first step – we’d be delighted to guide you.