Oman has been one of the favorable options for business investors in due course of time. Setting up a business in Oman turns out to be a flexible option as it offers multiple free trade locations termed as ‘Free Zones’ targeting different industries. One such free zone stands out to be ‘Salalah Free Zone’. This article will take you through Salalah Free Zone and by the end you will be able to figure out as to why it’s an investor’s choice. Let’s first understand…
Key Investment Sectors in Salalah Free Zone
Designed specifically, the Salalah Free Zone focuses on the following sectors:
- Chemical and Material Processing
- Manufacturing and Assembly
- Logistics and Distribution
Moving ahead, let’s have a look at the benefits that an investor can avail by setting up a business in Salalah Free Zone.
Benefits of Setting up a Company in Salalah Free Zone
- Tax exemption at least for a period of 30 years
- 100 percent foreign ownership
- Is under-expansion for both cargo and direct destination links
- Investment of US$15 billion is expected to be met by 2028
- Cost-competitive Market Research along with labor, utilities, and infrastructure
- Offers a large number of Free Trade Agreement (FTA)
By now you must have got an idea as to why this location turns to be investor’s choice. Now, by being an investor you should be aware about the different permits and licenses that the zone offers.
Licenses and Permits
In order to carry out the business activities, SFZ offers the following licenses for investors.
1. General Trading License
The license holder has the flexibility to import, export, distribute, and store the items as per the set regulations of Free Zone Authority
2. Trading License
The holder of trading license has got the flexibility to carry out import, export, distribute, as well as can store items that have been mentioned in the license
3. Industrial License
Allows the holder to setup industries, import of raw materials, carry on the manufacturing and assembling process, and exporting them to various nations
4. Service License
This license gives the privilege to the license holder to carry out specific services within the Free Zone. It should be granted by the parent company and license should be issued by the respective government departments.
In the process of business establishment, certain essentials are to be provided. Below-mentioned are few documents that you need to keep it ready before proceeding ahead for the establishment process.
Documents Required to Setup a Company in Salalah Free Zone
- Summary of the business to be conducted
- Application form needs to be filled along with all the personal and professional details
- Passport of the Shareholders
- Memorandum of Articles (MOA)
- Certificate of Registration
- Bank accounts of at least 6 months
- Appointment letter of an auditor
- Auditor’s letter of acceptance
Once you have got all the essentials, you are set to proceed towards company registration process.
How to Set Up a Company in Salalah Free Zone?
In order to start a business in SFZ, certain processes are to be followed:
1. Submission of Company Essentials
All the necessary documents stated-above needs to be submitted to initiate the process to the next level
2. Obtain No Objection Letter
In the next move, you need to obtain a No Objection Letter from the Salalah Free Zone Authority which states that they have no objection in setting up your business in their free zone premise
3. Company Due Diligence
The third step is to get the due diligence of company performed so as to avoid any kind of offence
4. Plot Selection
Once done, the required plot size needs to be selected
5. Fee Payment
Once selected, you need to move to the next level of fee payment for the premise
6. Licenses and Permits to be Obtained
After payment, the special licenses and permits are to be obtained from the respective authorities so as to carry out the business activities
7. Collect the Certificate of Registration
After obtaining the required licenses and permits, the Certificate of Registration needs to be collected from the Registrar Office.
Now, let’s have a look at the facilities that are offered by the Salalah Free Zone.
Facilities Provided by Salalah Free Zone
- Office space for lease
- Construction facilities
- Warehouse of different sizes
- Good connectivity
In a nutshell, it can be stated that these free zones stands as business-centric and are designed accordingly. Availability of such free zones attracts millions of investors and provides a platform to initiate their business roots. Tax exemption adds another layer to it making business establishment much easier. If you are planning to establish your business in Salalah Free Zone in Oman, do contact us -we’d be glad to assist you.