Musharakah, Mudarabah : diminishing Musharakah Murabahah agreement

Fatawa Question

Assalaamu Alaykum Sh. Monzer. InShaAllah all is well. Shaykh, there is a commercial property purchase transaction that I am working on right now. The buyer is a physician and Masha Allah is in good financial standing. He banks with a conventional institution here in Edmonton but is extremely reluctant on pursuing conventional financing for his property. He has approached me to either convince his conventional lender to structure an Islamic transaction for him or seek private investment from investors who would be interested in structuring the transaction. As a starting point, I have decided to convince his conventional lender to structure a custom transaction for him. I have met the commercial banker and he is requesting a working copy of an agreement (that may have been implemented in another country) that would be used for this transaction. He would then pass that along to his legal department to ensure that a custom transaction could be structured. Once the come back to us indicating that the transaction could be done then we will formally proceed towards putting a team together (yourself, their legal department, and myself) to start putting the agreement together with specific details. Would you have a working Murabahah or a diminishing Musharakah agreement with you that we could use a sample to show the bank ? You could delete names if you have on it, or watermark it with do not copy, or however you wish. I can't think of a better person to discuss this with other than yourself. I look forward to your advice InShaAllah. Jazaka Allah Khayr, Was-Salaam.

Fatwa

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Publication Date

2011-06-25

Main Subjects

Financial and Accounting Sciences
Islamic Studies

Topics

• Islamic jurisprudence
• Resale on profit
• Partnerships

No. of Pages

1

Data Type

Fatawa

Language

English

Record ID

BIM-734561

• APA
• MLA
• AMA