How Much Does It Cost to Set Up a Business in Oman

How Much Does It Cost to Set Up a Business in Oman?

Oman has firmly established itself as one of the most attractive destinations for foreign investment in the Middle East and globally, thanks to its politically stable environment, strategically advantageous location connecting Asia, Africa, and Europe, business-friendly regulatory framework, and the transformative Vision 2040 economic diversification initiatives. Understanding the precise company registration cost in Oman is absolutely essential for accurate financial planning and successful business establishment. This comprehensive 2026 guide provides transparent, government-verified pricing covering all aspects of business setup in Oman, including Oman company registration fees, business incorporation costs, free zone setup fees, business license charges, capital requirements, visa expenses, operational costs, and the hidden fees that catch 70% of entrepreneurs unprepared.

The cost to start a business in Oman in 2026 varies significantly based on multiple critical factors: business structure (LLC, SPC, branch office, free zone company, joint stock company), industry sector and licensing requirements, geographic location (mainland vs. various free zones), minimum capital requirements, number of employees and visa needs, office space requirements, and whether you choose DIY registration, assisted setup, or full-service consultancy. This guide eliminates confusion by providing specific, itemized costs for every expense category, sector-specific real-world examples, comprehensive comparison tables, realistic 10-16 week timelines, and proven strategies to reduce your business setup cost in Oman by OMR 5,000-15,000 without compromising legal compliance or quality.

Whether you are a foreign investor establishing a Limited Liability Company, technology entrepreneur launching a Single Person Company, multinational corporation opening a branch office, manufacturer setting up in SOHAR or Duqm free zones, or service provider exploring Knowledge Oasis Muscat, this guide provides the detailed breakdowns, expert insights, and practical knowledge needed to budget accurately for starting a business in Oman in 2026. We also correct widespread misinformation about capital requirements (the standard LLC minimum is OMR 20,000, NOT OMR 150,000 as incorrectly stated by many international firms) and reveal the actual Year 2+ operational costs that some consultancies misleadingly claim as ‘zero dollars’.

Business Setup Cost in Oman: Key Considerations (2026)

The business setup costs in Oman in 2026 are influenced by multiple critical factors that entrepreneurs must thoroughly understand before beginning the registration process. These factors directly determine your total investment, registration timeline, and ongoing operational expenses:

Business Structure Selection

Entrepreneurs can choose from multiple business entity types, each with distinct cost implications and regulatory requirements:

  •   Limited Liability Company (LLC): The most popular structure for mainland operations in 2026 | Minimum capital requirement: OMR 20,000 (general business) | Suitable for trading, services, manufacturing, technology, consultancy | Allows 100% foreign ownership in most sectors under Vision 2040 reforms | Registration costs: OMR 12,000-18,000 | Total Year 1: OMR 32,000-38,000
  •   Single Person Company (SPC): Ideal for solo entrepreneurs and small startups | Minimum capital: OMR 5,000 (introduced under Vision 2040) | Simplified compliance requirements | Lower registration costs: OMR 6,000-10,000 | Total Year 1: OMR 11,000-15,000 | Perfect for consultancies, freelancers, technology startups
  •   Branch Office: Extension of existing foreign parent company | No separate capital deposit required (parent company guarantee needed) | Registration costs: OMR 10,000-16,000 | Suitable for multinational corporations | Cannot engage in activities different from parent company
  •   Free Zone Company: 100% foreign ownership guaranteed | Tax exemptions for 30 years | Variable capital: OMR 5,000-20,000 depending on zone | Registration costs: OMR 8,000-15,000 | Total Year 1: OMR 13,000-35,000 | Available in SOHAR, Duqm, Salalah, Al Mazunah, Knowledge Oasis
  •   Private Joint Stock Company (SAOC): For large-scale ventures and corporations | Minimum capital: OMR 500,000 | Complex registration and governance requirements | Registration costs: OMR 25,000-40,000 | Total Year 1: OMR 525,000-540,000

Industry Sector and Licensing Requirements

Different industries have varying business license costs in Oman for 2026, with sector-specific requirements that significantly impact total setup costs:

  •   General Trading: License OMR 500 | Import/export permits OMR 1,200-1,500 | Chamber registration OMR 100 | Warehouse lease requirements | Total sector costs: +OMR 1,800-2,100
  •   Technology & IT Services: License OMR 300-500 | Minimal regulatory overhead | No special permits needed | Ideal for SPC structure | Total sector costs: +OMR 300-500
  •   Professional Consultancy: License OMR 300-500 | Professional qualifications required | Low overhead | Virtual office acceptable | Total sector costs: +OMR 300-500
  •   Healthcare & Medical Services: License OMR 2,000-4,000 | MOH approvals required | Professional registrations OMR 2,000-6,000 | Facility inspections OMR 500-1,000 | Total sector costs: +OMR 4,500-11,000
  •   Manufacturing & Industrial: License OMR 1,500-2,500 | Environmental clearance OMR 500-1,000 | Industrial zone requirements | Equipment certifications | Total sector costs: +OMR 2,000-3,500
  •   Food & Beverage (Restaurants/Cafes): License OMR 800 | Health department approval OMR 300-500 | Municipality inspections | Food handler permits | Total sector costs: +OMR 1,100-1,300
  •   Construction & Contracting: License OMR 1,200 | Contractor classification fees | Equipment registration | Safety certifications | Total sector costs: +OMR 1,500-2,000
  •   Tourism & Hospitality: License OMR 600-1,000 | Ministry of Tourism approval | Operating permits | Total sector costs: +OMR 800-1,500

Geographic Location: Mainland vs. Free Zones

Location choice significantly impacts both initial company registration costs and long-term tax obligations in 2026:

  •   Mainland (Muscat, Salalah, Sohar): Registration fees OMR 810-2,510 | Office rent OMR 3,000-15,000/year (location-dependent) | 15% corporate tax applies | 30-40% Omanization requirements | Full access to local market | Can trade anywhere in Oman
  •   SOHAR Port Free Zone: Registration OMR 1,200 | Office rent OMR 4,000-8,000/year | 0% corporate tax (30 years) | 10% Omanization | Industrial and logistics focus | Port proximity advantage
  •   Duqm Special Economic Zone: Registration OMR 800 | Office rent OMR 2,500-6,000/year | 0% tax (30 years) | Strategic logistics hub | Lower operational costs | Land availability for manufacturing
  •   Salalah Free Zone: Registration OMR 1,000 | Office rent OMR 3,500-7,000/year | US-Oman FTA benefits | Tourism and trade advantages | Southern region access
  •   Al Mazunah Free Zone: Registration OMR 600 | Office rent OMR 2,000-4,000/year | Indefinite tax exemption (with Omani hiring targets) | Border trade advantages | Yemen border location
  •   Knowledge Oasis Muscat (KOM): Registration OMR 1,500 | Office rent OMR 5,000-9,000/year | Technology and innovation hub | Premium facilities | ICT sector focus

Capital Requirements and Financial Planning

  •   Office space requirements: OMR 3,000-15,000 annually (varies by size, location, facilities)
  •   Employee visa costs: OMR 485 per employee (visa, medical, residence permit, labor card, Civil ID)
  •   Corporate tax obligations: 15% mainland (exemptions for small businesses <OMR 100,000 income) | 0% free zones
  •   Visa and employee expenses: Variable based on hiring needs and nationalities

Planning comprehensively for these costs ensures smooth business setup in Oman without budget overruns or unexpected delays.

How Much Does It Cost to Start a Business in Oman

The cost of starting a business in Oman in 2026 depends fundamentally on the type of company structure you establish and the geographic location you select. A Limited Liability Company (LLC) on the mainland has significantly different costs compared to a Single Person Company or a business established in one of Oman’s strategically positioned free zones. For foreign investors, certain business types require additional expenses such as attestation fees, translation costs, and professional consultation charges.

Here is a comprehensive breakdown of what entrepreneurs should expect in 2026:

Cost Category 2026 Cost Range (OMR) Details
Oman Company Registration Fees 200-500 CR certificate, name reservation, trade registration
Business License Fees 300-2,000 Depends on industry sector
Company Incorporation Fees 1,500-4,000 Legal docs, MOA, AOA, notarization
Visa Fees (per employee) 485 Work visa, medical, residence, labor card, Civil ID
Office Rental (Annual) 3,000-15,000 Location and size dependent
Chamber of Commerce Registration 100 Mandatory annual membership
Municipality License 150 Required for physical office
Document Attestation & Translation 250-500 Foreign documents, Arabic translation
Legal Consultancy Services 800-4,000 Optional but recommended for complex setups
TOTAL BASIC SETUP COSTS 6,785-26,635 Excluding capital requirements

 

These are fundamental costs for business setup in Oman. Entrepreneurs must additionally budget for capital requirements (OMR 5,000-20,000 for most structures), office furnishing (OMR 2,000-8,000 if unfurnished), initial inventory or equipment (industry-dependent), and business branding/marketing (OMR 500-3,000).

Contact Incorpyfy today for a free consultation and customized quote based on your specific business requirements:

Start your business journey in Oman with confidence in 2026. Let Incorpyfy’s proven expertise ensure your company registration is completed smoothly, efficiently, and in full compliance with the latest regulations. We handle the complexity while you focus on building your business success.

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