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Prohibition Of Pooling Profits In Mudarabah
It is forbidden to pool the profits of working partners, though it is acceptable for individual working partners to share their profits after...
 
Responsibility Of The Working Partner
The working partner accepts the investment capital of the Mudarabah in the capacity of a trustee. Unless the capital is lost due to his...
 
No Profits For Providing Intangible Benefits In Mudarabah
The investor must have invested some form of capital into the Mudarabah; it is forbidden to partake in profit in exchange for something other than...
 
Different Profit Ratios For Different Partners In Mudarabah
It is permissible to agree different ratios of profit for different working partners in a Mudarabah.
 
Promising Additional Profits To Working Partner
It is permissible for the investors to reach such an agreement with the working partner, provided that the division of profits is according to the...
 
Profit Distribution Ratios In Musharakah And Mudarabah
Profit distribution in a Musharakah is between partners who are both providing investment capital, while in a typical Mudarabah one party provides...
 
Categorization Of Profit Rates In Mudarabah Investment
It is permissible to categorize investors in order to have different profit rates for each category of investors. The categories may be made on any...
 
Forfeiture Of Profit Due To Withdrawal Before Maturity
It is permissible to include such a clause in the Mudarabah contract, and in such a case, the investor will be obliged to forfeit all profit earned...
 
Distribution Of Profits Prior To Allocation Of Expenses
It is not permissible to distribute profits before the allocation and net-off of expenses. The amount that remains subsequently will be termed net...
 
Mudarabah Costs
An example of costs strictly related to running a business include direct costs like raw material and direct labor while an example of indirect...
 


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