Setup your business in Oman
Oman Free Zone Company Formation
Free zones are an eye-catching factor for investors looking to start a business in GCC countries. These tax-free zones bring international business to certain areas and countries. Oman is the perfect spot to start a business for international investors, thanks to the availability of its free zones. If you plan to expand your business into Oman, the free zones are the place to start.
The Sultanate has four free zones focusing on the growth of different activities and business sectors. These zones bring in raw materials for assembling, processing, storing, packaging, shipping and warehousing finished products. They are classified based on business support and sector, so you should select a zone that matches your business and industry needs.
At a glance
Oman free zones at a glance
4
Free zones in Oman
100%
Ownership
10 years
No corporate tax
5 years
Minimum lease term
The directory
Industrial free zones in Oman
These free zones are classified based on business support and sectors. One must select a zone according to their business and industry needs. Here are the four free zones of Oman:
Salalah Free Zone
This free zone helps businesses that want to grow in Africa, the Middle East, Asia and southern Europe. It is an attractive destination because of the low cost of utilities, labour and infrastructure.
Al Mazunah Free Zone
Founded in 1999 and located close to the Yemeni border, it is a gateway to East African countries and the Republic of Yemen, and is usually a hub for the service, commercial and industrial sectors. Situated in the Dhofar region in the south-west of Oman, it covers an area of 4,500,000 sqm.
Sohar Free Zone
This 4,500-hectare deep-sea port has attracted US$26 billion and is one of the fastest-growing ports in the world. It also carries the responsibility of managing Oman’s National Food Reserve.
Duqm SEZ
One of the future’s biggest economic zones. The area covers 1,745 square kilometres, divided into eight sub-zones with different grounds for investment including seaports, industries, dry-docks, fisheries and tourism.
Key advantages
Benefits of company formation in an Oman free zone
100% ownership
No minimum requirements for share capital
No corporate tax for ten years
No duties imposed on export and import procedures
A lease term of at least five years
Trade starts in Oman without any local agents
The process
Steps to business setup in Oman’s free zone
The investor must follow these processes to incorporate a business in Oman’s free zone:
01
Application form
02
Submit the plot
03
Get agreement on commercial terms
04
No Objection Letter submitted to the Ministry of Environment and Climate Affairs
05
Clearing due diligence
06
Choose a plot and get its approval
07
Pay the licence fee, incorporation fee and lease
08
Collect the Certificate of Incorporation
09
Sign the lease agreement
Paperwork
Documents needed to set up in an Oman free zone
- Investor’s name along with the country of origin
- Plot size to set up a business
- Business plan with capital investment
- Figurative representation of complete employee generation
- Electricity and water requirements (total)
- Contact details of the investor
- Projected cargo volume
Investment
Fees for setting up a free zone company in Oman
Activities fee
Business registration fee
Logistics or commercial licence fee
Manufacturing or industrial licence fee
Visa fee
Ready to set up in Oman?
You can talk with business consultants who are well-versed in Oman’s legal regulations and business setup processes. This lets you incorporate an entity in a hassle-free way and at a faster pace.
Wider picture
Why free zones appeal to investors in the GCC
- 100% foreign ownership
- Tax benefits
- Duty free
- Low operational cost
- Low freight charge
- Abundant & inexpensive energy
- Exemption from all import and export duties
- Freedom to recruit expatriates
- Freehold offices available on sale or lease
- Readymade offices, factories & warehouses
- Free transfer of funds
- No foreign exchange control
