Some clients feel a bank merely provides funds and should receive only a small fixed return. Others fear that disclosing real profit may increase tax exposure. In genuine partnership, however, the financier accepts business risk and therefore may receive the agreed share of actual profit. Tax-policy problems should be addressed lawfully rather than by concealing profit.
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Objection 4: Clients Do Not Want to Share Real Profit
Partnership Financing (مشاركة): Practical Objections
Some clients feel a bank merely provides funds and should receive only a small fixed return. Others fear that disclosing real profit may increase tax exposure. In genuine partnership, however, the financier accepts business risk and therefore may receive the agreed share of actual profit. Tax-policy problems should be addressed lawfully rather than by concealing profit.