Loans for starting business and financing working capital : borrowing for working capital

السؤال

[Question One] : Assalam Alaikum I am an engineer from……………… Who has established a factory in………, India. The capital assets are free of all encumbrances. I had expected to fund the working capital from my own resources but after three months of production I find that due to credits given to my buyers as per custom of business here, I am short of funds for working capital. I have no means here to get Islamic financing as I would have desired. The state bank of India has already sanctioned me cash credit limits for working based on my financials. If I do not borrow then I may have to sell the factory causing loss of livelihood to my 55 workmen half of whom are Muslims. Of course, Allah is the best provider. Under the circumstances, would taking the CC limit and drawing from it be permissible within the laws of Allah and The Prophet (SAW). Please reply. [Question Two] : Assalam Alaikum. Allow me to thank you for your very clear Fatwa and may Allah shower His choice Blessings on you. I had earlier explored the possibility of having a pertnership but unfortunately the local Muslim community has a very small number of people with capital and they too only understand trading and keep away from organised manufacturing, let alone manufacturing with sophisticated technology. I had resigned from the position of CEO to which I had risen from the bottom level in the Industry, only to set up what I know best, so that job opportunities could be made available to young Muslim men, who were being led into crime and degradation by the abject condition of society here. I was successful in my experiment that a large number of such youth are now reformed and living well and sending their children to school- there was hope for the next generation to come up on a better platform. I never had the intention of making money for myself, due to which I kept ploughing back all my earnings into the support of the community and Allah was so kind to keep me sending his Fazal. But, I cannot do anything which goes in contradiction to the commands of Allah and his Prophet (SAW). Now, I will sell my present factory which would mean giving away a lot of technology created by long years of R and D by me, and try and set up something on a smaller scale so that I can try to be of service to fellow Muslims and will not be on collision course with the Shari’ah or Tariqah of the Prophet (SAW). Please pray that Allah guides me and helps me in my mission. With best regards and many thanks. Yours sincerely

جواب الفتوى

أنقر هنالمشاهدة هذا المحتوى

تاريخ النشر

2006-08-13

التخصصات الرئيسية

العلوم الاقتصادية والمالية وإدارة الأعمال
الدراسات الإسلامية

عدد الصفحات

3

نوع البيانات

فتاوى

لغة النص

الإنجليزية

رقم السجل

BIM-790417

• APA
• MLA
• AMA