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Is it permissible for us to enter into a business venture, given that we do not possess capital, and we have asked owners of capital to enter into a partnership with us in exchange for 30% of the profits, knowing that they are unaware that we do not possess the money, and we have handed over the project to workers for wages?

1 min readAlso available in العربية

Your taking money for investment in exchange for a percentage of the profit is considered a Mudarabah partnership, and you must inform the owners of the money that you are Mudaribs (managing partners). The capital can be from one of the partners or from others, or one partner can contribute capital and the other labor. If you hand over the project to someone else, it must be with the explicit or customary permission of the capital owners. A condition for Mudarabah is that neither the capital nor the profit is guaranteed; rather, the percentage of profit is taken when it materializes, and any loss is borne by the capital. The multiplicity of workers does not affect the validity of the transaction, and it is permissible to give money to two individuals as Mudarabah in one contract, with the profit divided between them.

Summarized from the full answer at Ftawy · reviewed Sep 2, 2026

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