ANSWER:

If this is a loan, this is clear riba and one of the major 7 sins in Islam. 

If he is a partner or investor, he should also be liable for loss and ready to lose his money if anything goes wrong in the business. 

A loan can only be given and taken back as it is without any interest. 

QUESTION: Imagine two individuals, X, and Y. Person X lent 1 lakh (100,000) to Y to help start a business. X wants to receive a specific percentage of the profits Y earns from that 1 lakh after a certain period. Will the profit that X receives be halal?

Islamic economy, Loans | January 16, 2025 8:09 pm
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QUESTION: Over the years I have accumulated a lot of debts. Some of credit cards and some of phone companies. Some of the companies have even been closed. But I know that debt has still to be given in charity. I want to know if I have to pay the interest or the other fines that the companies had imposed on me or just the principal amount..