Investing is an effective method of gaining wealth, especially if you have the resources to do so. Admit it, in this hectic world we live in, sometimes even doing two jobs at the same time cannot afford you the comfortable life you always dreamed of. Plus, investing can get you a lot of revenue very quickly if you’re smart enough to pick the proper stocks. And one form of investment that has recently seen a spike nowadays is shariah-compliant investments. You probably heard these terms in the realm of Islam but let me tell you that these forms of investment are not just limited to believers in the Muslim faith.

Halal investment is not only a business practice but an ethical and efficient way to generate wealth. With its adherence to the works of charity laid out in the Quran, it benefits everyone. That’s why middle eastern countries have become a symbol of power and wealth on the world stage thanks to this method. In this article, we will show you how to start your business using shariah-compliant investment. 

Sukuks: since shariah law prohibits the use of interests, halal stocks rely on obtaining profits from business revenues instead. Traditional business ventures get revenue from interest-based debts, but halal stocks do not tolerate such practices. Sukuks usually collect money that they invest in a particular business or industry; they receive a fixed percentage from the profits generated by that business, and once it flourishes, they receive the original amount they invested from the very beginning, benefiting both them and the business owners they invested in.

Real Estate: Halal investments believe in the principle of spending your money on things that can matter to you, and what better way to spend your money than on your home? Investing money in property is encouraged under sharia law, so long as housing loans do not carry interest rates. The best part about this is that low-income families can take mortgage loans from Islamic financial institutions to purchase their homes without having to worry about huge interest rates.

Venture Capital and Crowdfunding: true to its mission to be socially responsible business owners, halal stocks are mostly handed to aspiring business ventures like startups, small businesses, and medium-sized industries if there is equity. Since they funded these businesses, they become semi-owners and gain profit from the revenue generated by them, and thus this is considered adhering to halal. Furthermore, projects and charities are also worthy investments for halal stocks through crowdfunding since they help the community.

In Conclusion,

With the moral and ethical obligations of halal investments, it’s no wonder this type of business practice has seen a spike in recent years. It becomes a lifesaver for those who are struggling financially. If you are in a very vulnerable place in your business right now, halal stocks might be your best option; if not, here are several tips for you to manage your business in uncertain times.