Question ID: 28633
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A man buys some cloth for example and he labours over it, i.e. he washes it and removes dirt from it, or he dyes it, or he embroides on it, thereby increasing it in value. Or he purchases food and carries it to his house, or he pays someone to deliver it, or he spins silk into the edge of a cloth etc. How is one to charge a profit in any of these instances?

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Asked on June 18, 2008 12:00 am
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Murabaha is permissible in these cases. However, when charging someone else for it, one must not say “I bought it for so much,” or he must say “It has landed me so much”.

[NB: Nowadays business people tend to say “This is my cost price”, whereas there is some profit therein, albeit little - this is Haraam] (Kitaabul Buyoo).

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Answered on June 18, 2008 12:00 am