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Definitions from the Web

Mudaraba

Description:

Mudaraba is an Islamic business contract where one party provides capital, while the other party contributes labor and expertise. The profits generated are shared between the capital provider (rabb-ul-mal) and the entrepreneur/expertise provider (mudarib) according to a pre-agreed ratio, while the losses are solely borne by the capital provider.

Sample Sentences:

1. He entered into a mudaraba agreement with his business partner to set up a halal restaurant.
2. The bank offers mudaraba accounts which allow investors to participate in profit-sharing activities.
3. As an entrepreneur, she sought investors who were willing to engage in a mudaraba partnership.

Usage as a Noun:

In the context of Islamic finance, mudaraba refers to a form of business partnership that operates on the principles of profit and loss sharing.

Usage as a Verb:

Mudaraba is not typically used as a verb.

Local Usage:

Mudaraba is a widely practiced concept in Islamic finance and is not specific to any particular region.

Popular Usage:

Due to its alignment with Islamic principles, mudaraba is commonly utilized in the Middle East and other regions heavily influenced by Islamic banking.

Related Products:

• Mudaraba Books on Amazon
• Islamic Finance Books on Amazon
• Halal Restaurants on Amazon