Is this transaction permissible, which requires the distribution of profits and losses, with a ceiling set for the maximum profit the capital owner can obtain, such that they waive any excess profits beyond this ceiling to their partner?
Source: FtawySummary from Ftawy's records · added here Sep 2, 2026
This transaction is considered a partnership, whether the capital is entirely from you and the work is from your partner, or the capital is from both of you and the work is solely from him, as stated by Al-Khiraqi and Ibn Qudamah. There is no objection to the condition that if your profit exceeds a certain amount, the excess goes to the partner, as an incentive for him.
Summary from Ftawy's records · added here
Reviewed by El Fatwa's sharia committee.
Read the full answer on Ftawyhttps://ftawy.com/en/questions/187754
Where this answer came from
- Source platform
- Ftawy
- Original fatwa ID
- 187754
- Added here
- . This is when the answer was added to El Fatwa, not the fatwa's date.
- Text
- Summary from Ftawy's records, reviewed by El Fatwa's sharia committee.
- Read the full ruling
- Read the full answer on Ftawy