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How can the dispute between the two partners be resolved regarding the agreed-upon 15% ratio: is it ownership in the project or a percentage of the profits? What are the permissible forms of partnership contracts, with a clarification of their conditions? And does the matter depend on the agreement of the two parties, or is it subject to specific Sharia texts?

1 min readAlso available in العربية

If two individuals agree to a partnership, one contributing capital and the other labor, this is a Mudarabah (profit-sharing partnership) and a partnership in profit only. This is unless the working partner contributes something of financial value, such as a study or an idea, in which case it is appraised, and he becomes a partner through both his capital and his labor. If the joint capital is invested in a trade name, a license, a building, or equipment, then they are partners in ownership according to their shares, and in profit according to their agreement. In the scenario mentioned, you would be a partner in the profits only, according to the agreed-upon percentage. We recommend clarifying the type of partnership now: if you will only contribute your labor, then you are a Mudarib (working partner) and entitled to a share of the profit. If you will contribute capital or something of financial value other than your expertise, then what you contribute should be appraised, and if it is invested in a fixed asset, a license, or a commercial register, you would be a partner in it to the extent of your capital.

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

Read the full answer on Ftawy