Fatwa No : 83715
The Ruling on Online Drop Shipping Business

The Ruling on Online Drop Shipping Business

What do the esteemed Islamic scholars and honorable muftis say regarding the online drop shipping business? In this type of business, the seller does not possess the product at the time of sale. Instead, once an order is placed by the customer, the seller purchases the product from another source and has it shipped directly to the buyer's address. That means the seller does not have direct ownership or possession of the product at the time of the transaction. However, the seller does give the buyer assurance, such as a return policy allowing the buyer to return the product within a specified number of days if unsatisfied. My question is: In this situation, where the seller does not own or possess the product at the time of sale, is engaging in such a business and earning profit from it permissible according to Islamic law?

الجوابُ حامِدا ًو مُصلیِّا ً

If an item is not yet in one's ownership, its sale and purchase are not permissible in Shari‘ah. However, a promise to provide such an item can be made. Therefore, in the situation described, the agreement is considered a promise to sell according to Islamic law. Thus, even if the seller (questioner) does not currently possess the product, but after receiving an order, promises to provide the item and then delivers it to the customer at the time of fulfillment—such a transaction will be deemed valid in Shari‘ah. There is no objection to conducting business in this manner.

مأخَذُ الفَتوی

كما في فقه البيوع للعثماني : الوعد والمواعدة بالبيع ليس بيعاً ولا يترتب عليه آثار البيع من نقل ملكية المبيع ولا وجوب الثمن، واذا وقع الوعد أو المواعدة على شراء شئی أو بیعه بصیغة جازمة وجب علی الواعد دیانة أن یقی به ، ویعقد البیع حسب وعده ولکنه لا یجبر علی ذلك قضاءً اھ(1137/2)۔