Learn about everything you need to become a one-person company in Oman.
A member of the Gulf Corporation Council (GCC), Oman boasts a long and storied history as one of the Persian Gulf’s most powerful empires. In the modern era, Oman still relies on oil and gas as its primary exports, but tourism has emerged as one of its fastest-growing sectors.
Due to recent changes in company formation, an entrepreneur can now establish themselves as a One-Person Company (OPC) in as little as a day using an extremely streamlined and straightforward government registration process. In this article, we’ll tell you everything you need to get started with your OPC. Just keep in mind that nothing in this article should take the place of legal counsel.
What is a One-Person Company in Oman?
Prior to 2019, the only form of business an entrepreneur could form on their own was a sole proprietorship, which required that the person who owned and operated it also accept all of the business’s liability.
In 2019, Royal Decree 118/2020 established the new Commercial Companies Law (CCL), which created the “One-Person Company”, which functions as a sole proprietorship, but protects its owner from liability. The CCL also removed the minimum capital investment required for a sole individual to start their business and is considered extremely advantageous over the traditional sole proprietorship business structure.
How do I become a One-Person Company in Oman?
Establishing a one-person company in Oman is only available to citizens of Oman or other members of the GCC. Additionally, you’ll require a Civil ID Card with an ID Card reader or a cell phone with a PKI-enabled SIM card.
To begin, you’ll register using the Easy Invest portal on the Ministry of Commerce, Industry, and Investment Promotion’s website. After logging into the site, you’ll be instructed to choose an available company name and guided through all the forms and registration you’ll need to establish your OPC.
What kind of taxes will I pay as a one-person company in Oman?
As a one-person company in Oman, you’ll benefit from the country’s lack of personal income tax. Additionally, corporate taxes are generally calculated at 15%. However, you may be exempt from any corporate tax if your OPC fulfills the following requirements:
Your OPC’s registered capital does not exceed OMR 50,000
Your OPC’s gross annual income does not exceed OMR 100,000
Your OPC does not participate in certain forms of trade like air/sea transport, banking services, or other sectors designated by the Minister of Finance as non-exempt
Receiving payments in Oman via Liquid.
With your freshly minted OPC ready to start generating income, you’ll be sourcing work from an entire globe’s worth of clients. When you’re ready to invoice your clients in America, you can use Liquid to send invoices in OMR and other select foreign currencies. Work Orders / Project Proposals can also be agreed to in OMR in Liquid.
In fact, Liquid supports payments to Oman and 175+ countries worldwide in USD and select foreign currencies, including OMR. Payments arrive in 2-5 business days via wire transfer, whether the invoice was sent to an existing client using Liquid or a client who is new to Liquid.
Liquid charges clients who initiate payments $3 per US invoice paid and $8 per international invoice paid.
Liquid never charges Vendors to receive payments, even when Vendors are requesting payments from Clients who are not current users of Liquid.
Now you’re ready to start making money in Oman!
With such favorable tax implications for companies and citizens, you’re in an excellent position to start working for yourself and earning new clients. And when those clients are in the US, Liquid is your seamless way to accept work orders, manage invoices, and get paid.
Ready to invoice your United States-based clients? Try Liquid today.
