Does the managing partner bear the full repayment of the loan and losses, or is it equally shared between the two partners, based on the company's founding agreement, knowing that his salary exceeds 40% of the company's losses?
Losses in a company are distributed among the partners in proportion to each partner's share in its capital, as stipulated by the Islamic Fiqh Academy. Therefore, the managing partner does not bear the loss alone, nor does his receiving a salary from the company alter this ruling. In the event of a dispute among partners, the judiciary or arbitrators shall resolve it.
Summarized from the full answer at Ftawy · reviewed Sep 2, 2026
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