The Oman Chamber of Commerce and Industry (OCCI), in a strategic collaboration with the Development Bank, has officially launched “Alama,” a new financing product designed to support and accelerate the growth of the franchising sector in the Sultanate. The initiative aims to empower entrepreneurs and small and medium enterprises (SMEs) by providing them with the necessary capital to acquire franchise rights and leverage established business models.
A Strategic Push For Entrepreneurship
The Alama product is a direct outcome of an agreement signed during the Omani–Saudi Franchise Exhibition, underscoring a commitment to bolstering the national entrepreneurial ecosystem. The initiative aligns with the goals of Oman Vision 2040 by stimulating economic growth, fostering diversification, and reducing the failure rate of new ventures by backing them with proven franchise systems.
This partnership between OCCI’s Franchise Center and the Development Bank aims to create a more supportive environment for SMEs to enter the franchising space, which is recognized as a significant opportunity for sustainable growth.
Leadership On Fueling Franchise Growth
The launch was attended by key figures who highlighted the product’s importance for Oman’s private sector.
H.E. Sheikh Faisal bin Abdullah Al Rawas, Chairman of OCCI, stated, “This financing product to support franchising comes as part of OCCI’s commitment to supporting the private sector and enhancing its role in economic development by providing quality financing opportunities that enable entrepreneurs to enter the franchising sector with confidence and sustainability.”
Eng. Hamoud bin Salem Al Saadi, Second Vice Chairman of OCCI, noted that the program was developed based on studies confirming the growing demand from entrepreneurs to invest in franchising. He added, “The center’s studies highlighted growing demand from entrepreneurs to invest in this sector, which called for the design of a financing program in cooperation with the Development Bank that aligns with the nature and requirements of franchising and contributes to supporting the expansion of Omani brands locally and internationally.”
Inside the Alama Financing Product
The Alama product is structured to provide accessible and flexible financing tailored specifically to the needs of the franchise model.
Hussein bin Ali Al Lawati, CEO of the Development Bank, detailed the product’s terms, confirming a financing ceiling of up to OMR 100,000. The product features a competitive financing return rate of 3%, a repayment period of up to seven years, and a grace period of up to 12 months, offering new ventures a crucial runway before repayments begin. The financing targets entrepreneurs, SMEs looking to acquire a franchise, and existing brand owners seeking capital for expansion.
About Alama
Alama is a specialized financing product launched by the Oman Chamber of Commerce and Industry (OCCI) and the Development Bank to support the franchising sector in Oman. It provides entrepreneurs and SMEs with up to OMR 100,000 in funding to obtain franchise rights or expand existing franchise operations. The product aims to stimulate economic growth, reduce new business failure rates, and support the objectives of Oman Vision 2040 by enabling investment in proven business models.
Source: Zawya
