Published: August 2022
The Ministry of Commerce, Industry and Investment Promotion recently issued Ministerial Decision 473 of 2022 (“MD”) regulating the operation of businesses conducted at retail premises. The MD creates rules for owners of businesses that are operated “from home” to enhance confidence by assuring consumers are protected against unfair business conduct and fair standards are achieved. All home business owners that are covered by the law are urged to proceed with applying for their licence within 6 months following the publication of the MD.
Which “home” businesses are captured by this law?
It is now prohibited to conduct certain business from home or a retail premise unless the owner obtains the appropriate licence from the Ministry of Commerce, Industry and Investment Promotion (“MOCIIP”). The category of business being conducted from home that requires a licence includes any project undertaken by an owner from their house, details of which is elaborated in the annexure to the MD which includes:
Licence requirements
The law indicates that the categories of home businesses stated in the MD are reserved for Omani nationals only and that such persons do not own any other businesses. The applicant can file an electronic application with the MOCIIP and include documents including the title deed or tenancy agreement of the home in which the business activity is practiced, consent of the homeowner if the house belongs to someone else, identification card or passport copy of the applicant and detailed specification of the business activity. Once approved, the licence is issued for a period of three years. The MD sets out further licensing terms and conditions that the owner must abide by including requirements to comply with the laws and regulations of the practised activity.
How can we help?
Al Tamimi & Company’s Oman office regularly advises on corporate and regulatory matters and advises its clients on business establishment in Oman. We also advise small businesses on how to protect their intellectual property (such as logos and designs) and on the filings that owners will need to undergo to safeguard their business. Only persons holding a commercial licence are able to protect and register their logos and designs with the MOCIIP. As such, this decision will now encourage businesses working from home to register and protect their logos and designs after obtaining the required commercial licence.
If you would like to discuss the above developments in more detail, please contact Arif Mawany.
Key Contacts
Arif Mawany
Head of Corporate Commercial - Oman
a.mawany@tamimi.com
Aida Al Jahdhami
Associate
a.aljahdhami@tamimi.com