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Fatwa CenterAccepting a Gift in Lieu of a Share of Profit in Muḍarabah
Question
I invested 3 million dirhams with my brother n he agreed to give 25 percent profit on the business. But after one year I Recived my capital in installments n never received any promised profit. Instead in later part he has given me gift. This can substituted as my share of profit. As I still Claim my share. Pls adv me.Jazakhallh
Answer
All perfect praise be to Allah, The Lord of the Worlds. I testify that there is none worthy of worship except Allah, and that Muhammad 
is His slave and Messenger.
Giving money to someone to invest in a lawful venture in exchange for a share of the profit is permissible and considered as Muḍārabah (profit-sharing partnership). If no profit is made, the investor is only entitled to the original capital, provided there was no loss. The investor has no right to demand a profit that was not realized.
Accordingly, if your brother did not make any profit from the investment, you have no right to ask him for anything. In this case, any gift he gives you would be considered a voluntary donation.
However, if he did make a profit, you are entitled to the agreed-upon share and may request it from him.
If the value of the gift equals or is less than your share of the profit and you wish to consider it as part of your return, there is no issue with that. The matter is up to you. You may also claim any remaining amount if there is still a balance owed to you, based on what we have explained above.
Allah knows best.
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