The Arabic word for business is which comes from the root word

which means oustretched hand. In a business deal, the buyer

and seller both put their hands forward for a hand shake in
agreement.
The legal defnition -
A contract for the echange of commodities !maal" based upon
mutual consent.
In Islaam maal has two defnitions # it depends on which contet you
are looking at !in $akaah wealth is anything that is tangible
!physical, measureable, weighable etc" but in business fnance it is
anything tangible or untangible # such as the brand %Apple& would
ha'e no $akaah on it but it can be used in business fnance".
There has got to be a mutual agreement or the contract is maw(ud
!on hold" or in'alid. If someone takes your phone and sells it without
your knowledge this contract is in'alid but if your father takes
anything from you without you knowing then according to the 'ast
ma)ority of scholars this is allowed. The hanaf madhab say that is it
maw(uf !on hold".
*ecurity deposits, loans, charity and guarantee are four types of
contracts that you are not allowed to take any payment for these #
All+h has said that they always ha'e to be fulflled.
If you gi'e someone ,--./0 and they repay you in the e(ui'alent of
1upees then this contract is in'alid unless the seller says that and
the buyer
2'ery contract is hall until pro'en haram
There are three things money, meat and women that are all haram
until pro'en halaal !because All+h starts of with a negati'e before
talking about the positi'e" due to this imam nawawi says in his
ma)moo that if you are suckled from a woman and she suckled other
women then she passed away # you should not marry anyone from
that 'illage. If you fnd some money if your account or anywhere
then it is haram until you pro'e it halaal.
There is a *aheeh 3+d4th They buyer and seller ha'e choice as long
as they ha'e not separated. %Abdullah ibn %5mar would make a
business deal and they go out of the room and come back to
conclude the deal. *o if you buy a watch from someone and pay him
and walk around with him for 6 hours whilst wearing his watch,
islamically
The study of in the shariah entrails the study of ,- di7erent matters
,. 0illars of a business transaction
8. The goals and purposes of shariah in business transactions
9. :ommodities and its type
6. Trading competence
;. :onditions of business transactions
<. :onditions in business transactions
=. :hoice in contracts
>. :ontracts and its types
?. @efects in contracts
,-. 0roft and what is permissible from it
Pillars of a business transaction
The buyer
The seller
The commodity and its echange
Islamically you can ha'e a contract o'er skype, on the internet,
phone, sms, t', etc and also when both buyer and seller are
physically present and agree 'erbally, a silent transaction !such as
picking up a ;-p sweet and paying ;-p without speaking to the
person at the till".
Aou can ha'e unlimited ser'ice for a fee but not an unlimited
product for a fee.
The goals and purposes of shariah in business transactions
All business contracts are permissible unless it is pro'en
haram
0re'ention of oppression !hence some shuookh say that a
product that says 99B free !for eample" is haram since it is
oppressing other similar products. *haykh Tawf(ue ga'e an
eample that AlCauthar are not allowed Islamically to reduce
their prices to stop another organisation from selling their
course".
0re'ention of conDicts and disputes !hence you are not
allowed to propose on the proposal of a brother"
Abu ayoob al ansari Aisha !1A" felt an earth(uake in medinah
e'eryone got scared but she said that that noise is the cara'an of
abu ayoob al ansaari. There were ,8 thousand camels coming to
medinah from *yria and said wallaahi may All+h ha'e mercy on abu
ayoob al ansari crawling into )annah due to the massi'e (uestioning
on his wealth. Abu ayoob al ansaari heard this and said all ,8
thousand of these are now sada(ah. Ee then said oh All+h please
let me enter )annah walking
%5mar ibn al khattaab would stop anyone who doesn&t know the
ruling of business transcarions from entering the market place.
Al-Easan Al-/asri said oh people work for the akhirah for 'erily I
ha'e found in my life that anyone who works for the akhirah All+h
also gi'es him the dunya but I ha'e ne'er found anyone who works
for the dunya and gets the akhirah.
If something is haram then it cannot be considered a 'alid
commodity in Islaam.
When the hand changes then the ruling changes an
eample of this if your aunty works in a bank and she buys you a
gift then you can accept the gift and this is okay in Islaam. !it is
haram for her but not for you"
If your father sells alcohol and dies then Islamically you can inherit
his money !e'en if he doesn&t repent" the proof for this is that the
prophet !*AF" use to eat in the house of the Gews and the Gews use
to always deal in riba.
:ertain things are halaal in and of them self !alcohol"
In shariah if you burn money then the ruling is you cut the persons
hand o7 should be cut o7 !
It is still permissible for a wife to stay and sleep with a husband who
works in a bank though she should try to con'ince him to stop that.
Any income earned during the hour of )umuah is haram.
%5mar use to gi'e ;-B of his money as $akaah, the sahaaba would
gi'e 8-B !and write in their waseeyah !will" that they want to gi'e
8-B of their wealth as $akaah" and Abu /akr would gi'e ,--B of his
wealth as $akaah.
Islamically you can not sell your house unless you frst o7er it to
your neighbours this is called shuf&aa. Hn any wealth there are 9
ha((s ," yours, 8" Allahs 9" the community.
If you sell your house without telling them, the neighbours can
forcefully purchase the house at your price !only the frst time they
hear it"
0uberty is defned by hair under the arms, hair under the pri'ate
parts, a wet dream !either gender", pregnancy or the age of ,;
@ue to the 3+d4th of Abdullah ibn %Amr saying I was presented to the
prophet !*AF" at the age of ,6 and he did not let me battle a year
later I was presented to the prophet !*AF" at the age of ,; and he
let me battle. The ahnaaf say the age is ,>, the malikiyya say ,=.
Age of di7erentiation is the age of = !scholars say it is the end of the
= not the beginning of ="
Iu&aad ibn )abal became bankcrupt and the prophet !*AF" applied
the laws of ha)ar !stay awayJboycott" to him. The prophet !*AF"
boycotted him for one whole month.