# Joint (General) Partnership in Oman: Rules, Liability & Registration

> A joint (general) partnership is a company of two or more partners who are jointly and personally liable for all of its debts. It suits small family or professional businesses built on trust.

URL: https://omanregister.com/company-types/joint-partnership/
Updated: 2026-10-24
Publisher: Oman Register (omanregister.com) — company registration and residency services in Oman. Contact: +968 7733 3556, info@omanregister.com

## At a glance

- **Owners:** Two or more individuals (and other registered entities)
- **Minimum partners:** 2
- **Capital:** No fixed legal minimum
- **Liability:** Unlimited, joint and several for all partners
- **Foreign ownership:** Permitted subject to FCIL licence
- **Registration via:** Oman Business Platform (MOCIIP)

A joint partnership — known in law as a general partnership (*sharikat tadamun*) — is a company formed by at least two partners who run the business together and are jointly and personally liable for all its debts. It needs no minimum capital, but the unlimited liability means it is mainly used by family members or long-standing partners.

## What is a joint partnership?

Under the Commercial Companies Law (Royal Decree 18/2019), a general partnership trades under a name that usually includes the names of one or more partners. It has its own commercial registration, but creditors can pursue every partner's personal assets if the partnership cannot pay.

## Who can be a partner?

- Omani individuals (a minor needs the legal guardian's consent)
- GCC and US nationals
- Other foreign individuals, subject to the Foreign Capital Investment Law
- Omani or foreign companies, with the documents listed below

### When foreign investment rules apply

The Oman Business Platform treats the partnership as a foreign investment project when:

- any partner is a foreign person who is not a GCC or US national; or
- there are no ordinary foreign partners, but the partners come from more than one privileged group at once (for example GCC and US partners together, or Omani, GCC and US partners together).

You then add a project description, and the investment licence is issued under Article 8 of the FCIL Executive Regulations.

## Partners, capital and liability

| Item | Rule |
|---|---|
| Partners | Minimum 2 |
| Capital | No fixed minimum |
| Liability | Unlimited, joint and several |
| Share transfer | Usually requires consent of the other partners |

## Required documents

- Passport copy of each foreign partner and foreign signatory
- No-objection letter from the sponsor/employer for partners resident in Oman
- Legal guardian consent for underage Omani partners
- Board minutes for an Omani corporate partner
- For a foreign corporate partner: registration certificate, articles of association and board minutes (legalised and translated)
- Authorised Signatories Form
- Project description when foreign investment rules apply

## Registration steps

1. Select activities and the legal form on the [Oman Business Platform](https://www.business.gov.om/).
2. Reserve the trade name.
3. Add partners, shares and signatories; each partner signs electronically or via a representative.
4. Obtain the investment licence if required.
5. Approve the partnership contract and pay the fees.
6. Receive the CR, then complete Chamber of Commerce and municipality licensing.

## Timeline and costs

For Omani partners and standard activities, registration is typically completed in a few working days. MOCIIP gives typical government fees for a standard company of **OMR 50–150** and total mandatory costs for a small company of about **OMR 200–300** (December 2025). Add rent, municipality renewal and any translation or legalisation.

## Pros and cons

**Advantages**
- Simple structure, no minimum capital
- Strong credibility with creditors because partners stand behind the debts

**Disadvantages**
- Unlimited personal liability for every partner
- Harder to admit or replace partners
- Few foreign investors use it — an LLC gives the same flexibility with limited liability

## Compare with alternatives

- [Limited Liability Company (LLC)](https://omanregister.com/company-types/limited-liability-company-llc/) — same minimum of two partners, but liability is limited. The default choice for most partners.
- [Limited Partnership](https://omanregister.com/company-types/limited-partnership/) — some partners can limit their liability, while at least one general partner stays fully liable.

See all structures on [types of companies in Oman](https://omanregister.com/company-types/).

## Does it help with residency?

The partnership's CR is not linked to the investor residence permit, which has separate conditions. See [company registration and residency](https://omanregister.com/register-company-oman-residency/).

## Who is a joint partnership best for?

- **Family businesses** where relatives already trust each other and want a simple contract.
- **Professional practices** where clients value the partners' personal responsibility.
- **Small Omani-owned trading or service businesses** that want a company name and contract without the formalities of a manager-led LLC.

It is a poor fit for foreign investors entering Oman for the first time, for anyone bringing in passive investors, and for activities with high risk of claims (contracting, transport, food), because one partner's mistake can reach every partner's personal assets.

## How decisions and profits are shared

The partnership contract sets each partner's share of capital, profit and loss, and names the manager or managers. If the contract is silent, partners share in proportion to their contributions. A partner usually cannot transfer their share to an outsider, or compete with the partnership, without the other partners' consent. Changes to partners, capital or managers are made by amending the contract on the platform.

## Ongoing obligations after registration

- Renew the CR, Chamber of Commerce membership and municipality licence on time.
- Keep accounts and file corporate income tax returns with the Tax Authority (15%, or 3% if the business qualifies as a small business).
- Register for VAT once annual supplies exceed OMR 38,500.
- Register staff with the Ministry of Labour and, for Omani employees, with social insurance.
- If foreign investment rules apply, employ at least one Omani within a year of registration.

## Relevant laws

- Commercial Companies Law — Royal Decree 18/2019
- Commercial Register Law — Royal Decree 3/74; Executive Regulations — Ministerial Decision 121/86
- Commercial Agencies Law — Royal Decree 26/77
- Provisions regulating Gulf investments — Royal Decree 57/93
- Foreign Capital Investment Law — Royal Decree 50/2019
- FCIL Executive Regulations — Ministerial Decisions 72/2020 and 306/2022

## FAQ

**What is a joint partnership in Oman?**

It is the Oman Business Platform's name for a general partnership: a company of at least two partners who share the business and are jointly and personally liable for its debts.

**Are partners in a joint partnership personally liable?**

Yes. Each partner is liable for the partnership's debts with their own assets, jointly with the other partners. This is the main reason most investors choose an LLC instead.

**Can foreigners be partners in a joint partnership?**

Yes, subject to the foreign investment rules. If any partner is a foreign national who is not from a GCC state or the US, the partnership needs an investment licence and a project description.

**Is there a minimum capital for a joint partnership?**

No fixed legal minimum applies, although activity-specific licences can impose their own capital requirements.

## Sources

- [KPMG — Doing Business in Oman (2024)](https://assets.kpmg.com/content/dam/kpmg/om/pdf-2024/10/doing-business-in-oman.pdf)
- [MOCIIP — Oman as an investment destination (fees, Dec 2025)](https://tejarah.gov.om/en/media/news/kapdeds6capkqqvm4ufoayp1)