The Majlis Archive

Finance - Banking - Business The Majlis Vol 24 No 08, p.4

The company pays me commission of 1% of the total sale.

Question

The company pays me commission of 1% of the total sale. I have agreed with the company if someone (call him the referee) refers me a client who buys the company's products I can give the referee commission of 0.5%. This 0.5 % I can claim from the company to pay the referee. Thus the company pays me 1.5% for a referral sale and I then pay the 0.5% to the referee. Please comment. Is this arrangement permissible?

Answer

Payment for a mere referral is not permissible. Neither is tangible commodity nor valid work / services given in exchange for the money, hence this type of payment is not permissible. A referral is an act of Ihsaan (favour), the reward of which is in the Aakhirat.

You may ask the company to pay you any sum for your services. But you may not make an arrangement with others to pay them a fee for referrals.

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Published in
The Majlis Vol 24 No 08
PDF page
4

Appears under FORKED TONGUE VAGUENESS (approximate).

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