Zayd approaches Umar, and requests him to enter into a partnership deal on an equal profit sharing basis. Umar agrees and Zayd gives him R1000 to invest as he deems fit. Umar invested the money in his own business. The stocks in trade was R9000 before Umar’s investment and R10,000 after the investment.
Answer
The partnership is in the profits from R1000 only. Upon dissolving the partnership, the capital of R1000 must be returned to Umar and 50% profits from the R1000 capital as agreed. Umar is not entitled to one tenth of the profits from R10,000
and Allah Ta’ala Knows Best
Mufti Ebrahim Desai