Title: Investment

Question: Please clarify my query. I have invested Rs. 100000 in my friend’s business where they rent out machine and some consumable. In return I get Rs. 2250 as my share per month without any deductions or any increase/decrease. Is it permissible?

Answer ID: 43230Posted on: Sep 1, 2020

Bismillah hir-Rahman nir-Rahim !

(Fatwa: 140/140/M=1434) It is not clear what type of machines and goods does your friend give on rent. If your participation in the said business is as per the rules of muzaribah then the fixed amount (Rs. 2250) as profit is against the principles of muzaribah. It is not lawful to fix the profit in this way; rather the profit should be fixed as per the percentage.