Broker in Trading Contract with different Currency
I need an advice for I am not a knowledgeable one..
I plan to start a business of women’s bags, wallets, and watches, by showing a catalogue / website link of the goods owner and giving a 10% discount from the written price for the buyers. I don’t have the goods yet, but the goods owner said that they’ll give a 20% discount for me, thus the profit for me from the transaction will be 10%. Is it lawful to have this kind of business? For your information, I currently live in Qatar. If I sell the goods here in Qatar Riyal, while the exchange rate between Rupiah-Dollar/Riyal is unstable, how can I determine an appropriate and lawful exchange rate for me?
May Allah reward you with goodness.
All praises be to Allah, peace and prayer of Allah be upon Prophet Muhammad, his family, and his companions.
The type of business that you ask is one type of the broker, or intermediary. And the intermediary process that you described on your question is free from unlawful things, thus it is lawful, inshaa Allah, for you to carry on this business.
There is nothing to be worried about in the exchange rate between rupiah and dollar or riyal. If you sell it in Qatar, simply specify the price by Qatar riyal, and explain to the goods owner that you’re going to sell the goods, bag for example, for 100 Riyal, and that you wish to get the 10% profit from that price. If the goods owner agree, there’s no more problem. By this, you don’t need to think about the ever changing exchange rate of rupiah to riyal or dollar. If the goods owner disagree with the price, he or she may raise the price and you just follow his or her desire; of course with a new price to apply to the new customer/consumer. As for the customer who already paid the previous price, shall be allowed to pay it that way based on the agreement before, even though you or the goods owner will be disadvantaged. That is the dynamic of inter countries trading, hence you and the goods owner shall be ready to face it.
And Allah knows best.
Ustadz Dr. Muhammad Arifin Badri, M.A.