Representative Office in Oman

Oman is the third biggest country in the entire Arabian Peninsula. The political stability in Oman helps businesses trade easily in the borders. The legislature is centered on the monetary advancement and they have gone ahead to make a business-friendly climate. This has prompted more foreign investors to inject the capital in Oman. These are the few reasons why investors and companies are pulled in to doing business in Oman. And there are many ways through which an investor can start his business in Oman, one of them being incorporating a representative office.

As the name suggests, a representative office represents its foreign parent in Oman. Unlike a branch office, a representative office is only permitted to market the company’s activities and/or establish trading contacts, and may not carry out business in Oman. Importing, exporting, selling or publicizing products or services other than those of the parent company is strictly disallowed.  The one exception is the import of commercial samples of goods produced by the parent company or undertaking for the purpose of publicity.

Features of a Representative Office in Oman

  • A representative office must be registered in the Commercial Register of Oman
  • Foreign companies whose business activities relate to commerce, industry or tourism are allowed to utilize a representative office
  • A representative office must have at least one appointed individual representative ordinarily resident in Oman
  • They are also permitted to sponsor and hire local or foreign employees
  • The scope of activities is limited to promotion of the parent company’s business and market research

How to Incorporate a Representative Office in Oman?

The Omani Representative Office can be 100% foreign owned even though they cannot make direct sales in Oman. In order to successfully run a company in Oman, all foreign investors are required to register their companies. While registering a company in Oman, there are certain requirements such as documents and paper works that need to be submitted to the authorities. They are as follows:

  1. The first step to register your representative office is to deposit a sum in the local bank after registering your company name with the registrar. This deposit will be the required capital of the office
  2. The next step is to apply for a company license and permit. There are diverse sorts of business exercises that an outside organization can do in Oman. In light of those exercises, the substance needs to apply for that particular business permit
  3. Once the permit application is done, the representative office is relied upon to document their organization with the Tax branch of the Finance Ministry
  4. The next stage towards incorporating the office in Oman requires the organization being referred to get a Municipality License
  5. After which the company must enroll with the Royal Oman Police. This is one of the state prerequisites of Oman. This is required for all foreign organizations
  6. The next step is to register with the Ministry of Manpower. This enrollment essentially keeps a record of what number of local workers the foreign organization is wanting to contract and what number of expats will be included in the organization too
  7. The final step is to enlist the organization is enrolling for representatives’ social protection. This is finished with the Public Authority. The reason for this is for social protection

The total cost of establishing a representative office in Oman includes a registration fee of RO 500 at the Ministry of Commerce and Industry (MCI), an registration fee of RO 650 at the Oman Chamber of Commerce and Industry (OCCI), and a Municipality License which costs between RO 25 and RO 125, depending on the activities to be undertaken by the office.

Why Us?

Business Setup Worldwide is a platform to help you start your business in Oman. We specialize in company incorporation, company registration, accounting and bookkeeping services, corporate secretarial services, and intellectual property protection. If you are looking forward to set up a representative office of your foreign company in Oman, then we are at your service. Our advisors in Oman are well-versed with the legal framework and have years of experience in this field. It will be our job to smoothly complete your company formation process in a cost-effective way. Contact us to know more.