Question
I am in a Mudhaarabah partnership. I have invested a sum of money. Whilst the partnership is in progress, I am receiving a monthly payment which is deductable from my share of future profit. I have been told that the monthly payment is not permissible. Should I not be paid in this way?
Answer
It is incorrect for the investor to receive the monthly payment. In accepting the payments he is actually withdrawing his capital investment which is supposed to remain in the business. Even the monthly payment has to be compulsorily invested by the trader to increase profit.
- Source
- themajlis.co.za
- Published in
- The Majlis Vol 21 No 12
- PDF page
- 12
Appears under Questions and Answers (approximate).