AskImamDarul Iftaa Mahmudiyyah (AskImam)

What is the islamically reasonable percentage of profit that a muslim can charge on his goods and/or services.

Fatwa 4806English
Finance and Commerce

Question

For example a friend of mine has a xerox copy store. A certain service he offers in the store costs him Rupee 1.00. However the charge to the buyer is Rupees 5.00. This is Rupees 4.00 in each such transaction. I am not sure if such high profit can be charged. Can you clarify this isssue, in the light of Quraan/Hadith if possible? JazakAllah

Answer

There is no profit restrictions in Shari'ah. However, it is disliked to exceed double the profit margin of the market.

and Allah Ta'ala Knows Best

Mufti Ebrahim Desai

Answered by
Mufti Ebrahim Desai
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