One-Person Company vs LLC in Oman: Best for Expats?

Many foreign entrepreneurs come to Oman with a dream: starting something of their own. But that dream often crashes when the paperwork starts and they hear confusing terms like OPC, LLC, capital requirements, Omanisation rules, or foreign shareholding caps.

On top of that, there’s the fear, “Will I need a local partner?” “Is my investment safe?” “Can I even own the company 100%?”

At Jitendra Consulting Group, we help expat founders like you daily in understanding the comparison between company types in Oman.

Understanding Company Types in Oman for Expats

If you’re an expat planning your Oman business setup in 2025, you’re likely looking at two common legal structures: the One-Person Company (OPC) and the Limited Liability Company (LLC).

Both are approved by the Omani Ministry of Commerce, Industry, and Investment Promotion and offer different advantages, especially after the country opened more doors for foreign ownership.

Under the latest Foreign Capital Investment Law (Law No. 50/2019), foreigners can now own 100% shares in many sectors without needing a local sponsor. That means both OPC and LLC are perfectly valid options for expats, but choosing the right one depends on your goals and the type of your business. Understanding the comparison between company types in Oman is key to the success of your investment.

What’s a One-Person Company in Oman?

An OPC is a legal entity owned by a single individual, not a group. Earlier, these were mostly open to Omani nationals. But with recent reforms in investment laws, expats can now set up an OPC in Oman (depending on the sector and investment amount).

Here’s why OPC may suit you as an expat:

• You’re planning a solo venture and want full control.
• You’re starting small with limited risk.
• You don’t want to deal with multiple shareholders.
• You are looking to register an individual company in Oman with limited liability.

The big plus? Your liability stays limited to the capital you put in. Personal assets stay untouched even if the company struggles financially.

It’s a simple setup. And if you’re a freelancer, consultant, or techpreneur — this might just be your best starting point for foreign investment in Oman by yourself.

What is a Limited Liability Company (LLC) in Oman?

A Limited Liability Company (LLC) is a legal entity that can be owned by one or more persons (shareholders), where the owners’ liability is limited only to the amount of their capital contribution to the company. This structure separates the company’s financial liability from the owners’ personal financial liability, providing protection for personal assets. An LLC is the most common choice for business ventures that anticipate growth, need to attract investments, or intend to involve partners.

When Should Expats Choose an LLC in Oman?

Registering a Foreign Owned LLC in Oman is suitable when more than one person is involved. Even if you’re setting up alone, some high-value industries or those requiring more complex structures still recommend or require LLCs.

Why expats still go for LLCs:

• You’re building a scalable business with future growth prospects.
• You have partners or investors you plan to involve.
• You plan to hire employees and expand operations.
• You plan to operate in multiple sectors or activities that require higher capital.

Oman allows full foreign ownership of LLCs in many areas, as stipulated in the Foreign Capital Investment Law. But keep in mind, some sectors (such as banking, insurance, and certain service activities) may still require local participation or higher capital, amounting to OMR 150,000 or more.

An LLC also gives your business more credibility and professionalism. If you’re dealing with larger clients or seeking government contracts, they usually prefer LLC-registered companies.

OPC vs LLC Oman Comparison for Foreigners

Let’s now go deeper into the comparison between company types in Oman, especially if you’re a foreign investor planning your move:

Feature	One-Person Company (OPC)	Limited Liability Company (LLC)
Ownership	100% foreign ownership by one person	100% foreign ownership (by one or more persons)
Capital	No strict minimum (activity-dependent)	No minimum for most activities; OMR 150,000 for some regulated fields
Liability	Limited to invested capital	Limited to invested capital
Structure	Individual, full control	Can include partners, more flexible structure for expansion
Flexibility	Easy to manage and convert to LLC in the future	Designed for expansion, attracting investments, hiring
Regulation	Relatively lower compliance requirements (e.g., Omanisation)	Higher compliance requirements (Omanisation, more detailed financial reporting)
Credibility	Suitable for small and medium-sized projects	Preferred for dealing with large organizations and government contracts

In short, the difference between OPC and LLC in Oman comes down to your project’s size, its future structure, growth plans, and the sector you will operate in.

Benefits of LLC vs One-Person Company for Expats in Oman

If you’re thinking long term and aiming to build a large enterprise, here’s where LLC might feel stronger:

• Attracting Investment: Much easier to raise funds or add new shareholders or investors later.
• Credibility and Reputation: Appears more stable and credible on paper, which is crucial when dealing with banks, financial institutions, and major clients.
• Scope of Business: Broader business activities permitted in some vital sectors that may not be available to a One-Person Company.
• Operational Freedom: Greater freedom in hiring, building an administrative structure, and expanding operations.

But if you’re bootstrapping, testing waters, or want to establish a company in Oman with minimal initial costs, OPC helps you avoid unnecessary burdens and expenses.

So, should expats choose LLC or one-person company in Oman? No single format fits all. The best decision depends on a precise evaluation of your vision, risk appetite, and the sector you wish to invest in.

How Jitendra Consulting Group Makes Business Setup in Oman Easy for Expats

Starting a company in Oman isn’t just about forms and paperwork. It’s about knowing what works best for your business to achieve success and growth.

At Jitendra Consulting Group (JCG), we do more than document filing. We analyze your sector, check legal limits, and advise what suits your growth plan, whether it’s an OPC or LLC. If it’s capital structuring, dealing with the Omani Ministry of Commerce, Industry, and Investment Promotion, or foreign ownership questions under the new Foreign Investment Law, we handle it all.

We don’t give generic advice. We listen, plan, and guide you like a trusted local partner.

So if you’re wondering about the comparison between company types in Oman or which company type is better for foreigners in Oman, let’s talk. Let us guide your next business move with clarity and confidence.

Your business deserves a strong start. Start it with us.

Frequently Asked Questions (FAQs)

Can foreigners own 100% of a company in Oman?

Yes, under the Foreign Capital Investment Law (Law No. 50/2019), foreigners can now own 100% of companies in many commercial and industrial sectors in the Sultanate of Oman without needing a local partner.

What is the main difference between a One-Person Company (OPC) and a Limited Liability Company (LLC) for expats?

The main difference lies in the number of owners and the future growth structure. An OPC is entirely owned and managed by a single individual. In contrast, an LLC can be owned by one or more individuals, and it is more suitable for companies planning to expand, attract partners, or deal with larger entities.

Is there a minimum capital requirement to set up a company in Oman for expats?

For most commercial activities, there is no strict minimum capital required for an OPC or LLC. However, some regulated sectors or activities may require higher capital, such as OMR 150,000 or more.

Do I need an Omani partner to set up a company in Oman?

No, thanks to the new Foreign Capital Investment Law, foreign investors are no longer required to have an Omani partner to own 100% of companies in most sectors, which enhances the flexibility of foreign investment in Oman.

What are Omanisation rules and their impact on new companies?

Omanisation is a government policy aimed at employing and training Omani nationals. Companies must comply with specific Omanisation ratios based on their size and sector, and this is considered an important compliance requirement, especially for larger LLCs.