IslamQA

Sales rep receiving commission

Answered according to Hanafi Fiqh by Muftionline.co.za

Q: I would like to know about Network Marketing. I heard about a company from one of my best friends which sells products like kitchen items, laptops, smart phones, TV’s, Refrigerators, washing machines, sofa sets, CCTV camera solutions and many more use full products. The products are sold at market price and in good quality with a warranty. The company is a government registered company and they pay income tax too.

1. If I purchased a product from them, I can be a dealer (sales rep) if I wish. Is it permissible in Islam?

2. When I recommend this product and start to selling it, I’ll receive a direct sale commission. Is it permissible in Islam.?

3. When I achieved my target as a sales rep, I’ll be promoted as a leader (supervisor). Then we need to help my reps to achieve their targets. If they achieve their targets, I’ll get a group sale commission. If not, I won’t get a commission. Is it permissible in Islam? Usually this is how a marketing commission scheme works. Sales executive, Senior sales executive and more promotions are also there.

Bismillaah

A:

1. Yes.

2. Yes.

3. What type of help will you be giving your reps?

And Allah Ta’ala (الله تعالى) knows best.

 

Answered by:

Mufti Ebrahim Salejee (Isipingo Beach)

This answer was collected from MuftiOnline.co.za, where the questions have been answered by Mufti Zakaria Makada (Hafizahullah), who is currently a senior lecturer in the science of Hadith and Fiqh at Madrasah Ta’leemuddeen, Isipingo Beach, South Africa.

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