Is it permissible for me to distribute the company's future profits between myself and the partners after considering that the capital has been completely lost, given the continuous losses and my failure to achieve profits as an active partner?
A working partner without capital is considered a mudarib (managing trustee), and the mudarabah (commenda) contract is one of the permissible contracts that either party may dissolve. If the mudarabah is dissolved and a loss occurs in the capital, the loss is borne by the capital provider. The mudarib loses only their effort and does not bear any part of the capital loss, even if the capital provider stipulated such a condition, as the condition is void. Therefore, the mudarib is not obliged to continue working without compensation indefinitely, and they have the right to dissolve the mudarabah. If any of the capital remains, they must return it to its owner.
Summarized from the full answer at Ftawy · reviewed Sep 2, 2026
Read the full answer on Ftawyhttps://ftawy.com/en/questions/193989