Setting up a Company in Oman Free Zones

Oman is a favourite location for business people due to the benefits they can avail by setting up a company in Oman’s free zones such as favourable taxation and a vibrant market. There are 6 free zones in Oman and an entrepreneur can choose among them depending on the business requirements.

In this blog, we will explore setting up a company in Oman and will delve into each of these freezones. First, let us understand what a free zone is.

What is a Freezone?

Free zones also known as Special Economic Zones (SEZs) are unique jurisdictions for setting up a company in Oman. By incorporating your company here, you can reduce the tax liability of your company. There are lower custom duties for goods being imported into these zones. The free zones have a simplified registration process and provide a boost to businesses by attracting global entrepreneurs.

Procedure for Setting Up a Company in Oman Free Zones. 

The Public Authority for Special Economic Zones and Free Zones of Oman is the governmental authority supervising company registration in Oman free zones. The steps involved in the process to start your business are -

1. Complete the Application Form

The first step is to fill out the application form and reserve a plot within the SEZ for your company. You must also come to an agreement with your shareholders on the commercial feasibility of choosing the plot.

2. Draft the Required Documents

For starting a business in Oman free zone, the following documents must be prepared - 

• Identity proofs of the investors

• Contact details of the investors

• The passport copies of shareholders and directors

• A figure on how much employment will be generated by the business.

• The projected cargo volume also must be submitted to the registry.

• A No Objection Certificate (NOC) from the Ministry of Environment and Climate Affairs.

3. Apply for the Licence

Depending on the business activity and free zone chosen, you must apply for the licence and pay the mentioned fees during company registration in Oman. 

Once you obtain the licence and have your plot set up, you can begin the commercial operations of the business. 

Free Zones in Oman

Oman consists of 6 free zones which are -\

1. Sohar Free Zone

Sohar Free Zone was established with the purpose of facilitating international trade through its strategically located port. By setting up a company in this free zone, you can gain access to the evolving market of the Middle-East and North Africa (MENA) region.

2. Duqm Special Economic Zone

Popularly known as The Special Economic Zone at Duqm (SEZAD), it is known for its management-related activities. Businesses that can help uplift the local communities of Duqm are encouraged to set up their company here. 

3. Khazaen Economic City Free Zone

Khazaen Free Zone is located in the Greater Muscat area. It is the logistics and industrial hub in the region. The aim of this free zone is to increase private sector participation in the development of Oman. 

4. Al Mazunah Free Zone

Al Mazunah Free Zone offers entrepreneurs the opportunity to be a part of Oman’s trade sector. Various activities such as catering services, logistics, packaging, food processing, light plastic industries are carried out here.

5. Salalah Free Zone

Salalah Free Zone is an industrial hub specialising in logistics, tourism and industrial trade. It has access to both Salalah port as well as the Salalah International Airport making logistics easy for businesses. 

6. Madayn Free Zone

If you are looking to engage in public sector activities as a private player, Madayn Free Zone will help you. Sectors like industrial manufacturing and transportation thrive within this freezone. 

These free zones offer a plethora of opportunities for expansion and growth. To better understand these free zones and begin the process of setting up a company in Oman free zones, contact our consultants at Business Setup Worldwide today. We’d be glad to assist you.