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Training an apprentice and then making him a partner in the business

Financial Transactions,Company and speculation,Training an apprentice and then making him a partner in the business

Fatwa No :
82930
| Date :
0000-00-00
معاملات / مالی معاوضات / شرکت و مضاربت

Training an apprentice and then making him a partner in the business

I run a small business. I arranged for my brother-in-law’s education and trained him in a technical field (repairing machines). Now that he has learned the work to a reasonable extent, I have made him a partner in the income of my business, giving him an 18.5% share (with his consent). We have mutually agreed on the following terms (he lives with me in my house):
1. For any repair job, whether I do it, he does it, or we do it together, after deducting the expenses incurred for that particular job, he will receive 18.5% of the remaining profit, and the rest will be mine. If a loss occurs, he will also bear 18.5% of that loss, while I will bear the remaining portion.
2. Any parts required for the job will be purchased with my money (as my brother-in-law is financially poor and cannot invest but can contribute his labor according to his capacity). Any leftover parts will remain my property.
3. The rent of the house and shop, electricity bills, bus fares, phone expenses, and all other household expenditures (such as food, etc.) are entirely my responsibility. He lives in my house just like a member of the family, which makes me happy. Also, he is not yet married.
4. All business-related decisions and authority remain solely with me. I have full discretion over everything, including pricing, terms and conditions, etc. I also reserve the right to prevent him from undertaking any specific work if I choose to do so.
Note: We repair factory machines. Are the above-mentioned terms in accordance with Islamic teachings? Kindly guide me in light of the religion.

الجوابُ حامِدا ًو مُصلیِّا ً

In the mentioned case, if the agreement includes only the conditions stated in the question, then this arrangement is Islamically valid and permissible. The profit-sharing between the brother-in-law and the sister’s husband is also permissible in such a case.

مأخَذُ الفَتوی

ففي خلاصة الفتاوى: اذا اقعد الصانع احد في دكانه يطرح عليه العمل بالنصف جاز استحساناً للتعامل اذا اشترك في عمل يتقبلانه من الناس جميعا أو شتى ويعمل كل واحد منها برأيه أو فى عملين مختلفين يعمل أحدهما القصارة والآخر الخياطة جاز استحسانا لأنه توكيل بقبول العمل فاذا تقبلا كان عليهما، وإذا عمل أحدهما أو عملا استحقا الأجر وكان الحامل معينا للآخر وهذا جائز ... ولو شرط الربح في هذا. لأحدهما أكثر مما شرط للآخر جاز عندنا لان العمل متفاوة قد يكون أحدهما احذق اھ (۴/۲۹۸)۔

And Allah knows best
Darulifta Jamia Binoria Aalamia

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