Setting Up an Oman Representative Office

Oman is an Arab country that lies on the south end of the Arabian Peninsula. Muscat is the capital of this prestigious business-friendly country. 

Being one of the flourishing business platforms in the Middle-East region, Oman opens a gateway for business owners to set up a business either from the very scratch or expand well-established entities. One of the forms by which an established business expands itself or enters into a new market is by incorporating an Oman representative office. 

This composition will give you a clear idea of how you can incorporate a representative office in Oman that will accelerate your business growth globally. In the entire Arabian Peninsula, Oman is the third biggest country.

Set Up a Representative Office to Start Your Trade in Oman

You can initiate your trade in the market as it has different business opportunities in Oman. A representative office is one of the business structures formed by a well-established company to carry out its non-transactional operations in a new market. 

Under Omani Law, a representative office turns out to be 100% foreign-owned and controlled and restricted to direct sales within Oman. They are governed by Representative Office Regulatory Law, promulgated by Ministerial decision number 22/2000.  

Its activities are limited to:

  • Promotion of parent company
  • Market research.

Now, it becomes a mandate for the Omani Representative Office to appoint at least one individual who turns out to be a resident of Oman. 

Features of a Representative for Your Investment in Oman

Oman gives us multiple facilities with a well-built infrastructure, high security, property rights, commercial connectivity, and international networking steps taken forward by the ministry of foreign affairs. Creating a huge opportunity for the sectors like fishing, manufacturing, pharmaceutical, mineral mining, etc., because the government is taking initiatives to export non-oil products.

Now let us have a look at some of the features of a well-established company’s representative office.

  • Business activities related to commerce, tourism, or industry of foreign companies are allowed to utilize a representative office.
  • A representative office must be registered in the commercial register of Oman.
  • At least one ordinary resident of Oman must be appointed as an individual representative in the office.
  • The commercial representative office will ask you to pay the fees if approved and get the certificate and papers required.

How to Set Up a Representative Office for Foreign Direct Investment in Oman?

Even though one cannot make direct sales in the country, the Omani representative office can be 100% foreign-owned. These reasons promote company registration in Oman to a global investment market attracting valuable FDI every year. 

Now, in order to initiate, you need to follow the below-stated process.

1. Deposit Initial Capital

This is the first step that you need to start with. An initial stated capital needs to be deposited in the local bank after registering the company name with the registrar.

2. Obtain the License and Permit

A business can have a diverse range of activities that require special permits. All you need to do is obtain the business license and permits to kick-start your organizational activities.

3. Submit the Required Documents

Now, arranging the documents in a sequential way and keeping them at hand makes the incorporation process much easier.

  • Certified copy of Articles and Memorandum of Association from the parent company
  • Certified copy of Commercial Registration Certificate
  • Authorization letter for the manager of the representative office
  • Letter of the undertaking which states that the liabilities will be borne by the parent company
  • A certificate that proves the existence of the parent company
  • Copies of ID for the authorized signatories
  • Specimen signatures of the directors.

4. Application with the Tax Department

Once you receive the permit, next you need to apply with the tax department of the Finance Ministry.

5. Obtain a Municipality License

Moving ahead, a municipality license needs to be obtained.

6. Enroll with the Royal Oman Police

You should keep in mind that your business entity needs to get registered with the Royal Oman Police, and this turns out to be a mandate for all foreign companies.

7. Register with the Ministry of Manpower

Next, you need to register with the Ministry of Manpower to avail yourself of the local resources. It also helps to keep a count on the number of local and foreign employees and gives a picture of whether more resources are to be hired or not.

8. Get a Social Protection

This is the final step that ends your representative office registration in Oman. You need to register your company for social protection and come to an end with the Public Authority.

End Note

A consultant strives to ensure that business kick-offs perform exponentially in the market. Finally, when business scalability has been saturated, it liquifies hassle-free, providing a suitable amount of remuneration to the top managers and available severance to the hard-working employees. 

The energetic and ever-buzzing business environment in Oman always leads new business owners to raise questions about company registration in the country. Well, that's why it is home to industry professionals that cater to providing new business owners with step-by-step solutions to business setup services in the country. 

We at Commitbiz have been catering to various clients across the tenure of over 15 years, providing our clients with tailor-made solutions for all their administrative activities, from accounting to company secretarial services. Our consultants have been diligently working to provide clients with nothing but the best-in-class services. 

Contact us to know more about starting your entrepreneurial journey in the country.


Can a representative office in Oman be 100% owned?


Which law governs an Omani representative office?

It is governed by Representative Office Regulatory Law, promulgated by Ministerial decision number 22/2000.

What are the activities that can be performed by a representative office in Oman?

Its activities are limited to:

  • Promotion of parent company
  • Market research.

Can a representative office make direct sales within the country?

No, it is restricted to making direct sales within Oman.

Do the Oman representative offices require to register with the Royal Oman Police?

Yes, and this turns out to be a mandate for all foreign companies.