Islam and Business Finance

Image courtesy of suphakit73 at FreeDigitalPhotos.net This article can add value to government officials for the purpose of attracting foreign investments, however, I will be focusing on entrepreneurs. The Porter's Diamond model will be used to let you know what factors to consider when you want to open a branch of your business in another country. According to this model, there are four factors which are: -The Factor Conditions - Firm Strategy, Structure and Rilvary - Related and Supporting Industries - The Demand Conditions The Factor Conditions This relates to the nature of the country, as such you must consider the natural resources of the country, the availability of cheaper labour, the availability of lowly skilled staff as well as a well educated work force. That way you can be sure that a percentage of the population possess the skills required to execute the tasks needed for the achievement of your business goals. The weather condition, the secu...

Image courtesy of ahmet guler at FreeDigitalPhotos.net The way you lay your bed is the way you lie on it. Those words are popular. Today, I will be talking about your financial bed. So how do you lay your financial bed so you are able to lie on it comfortably? I will give you some tips to abide by - Always give out zakat when its due. It is obligatory. - Always give out regular charity. This is because Allah loves charity and He multiplies it in reward for you. Its called  sadaqa (its not obligatory but its really good for you) - Always save 30% of your income (halal account). - Always save first and spend after. - Always have more than one source of income. -  Make sure you build or buy a house  - Have a well diversified investment portfolio - Make sure you tackle a challenge immediately it occurs, the longer you take to react the longer it takes you to effectively overcome the challenge. - You should spend and invest your ...

Image courtesy of Stuart Miles at FreeDigitalPhotos.net While money is a necessary tool that can help you achieve your goals and help you survive as a human. It should not define who you are, as such your self worth should not be embedded in money. How the way a rich man is treated is the same way a poor man should be treated. I say treat everyone with respect just because they are humans. We humans are all equal in front of Allah but we were created in ranks, as such we have leaders. Allah is the only God. There is absolutely no one like Him and He has no partner. Your self worth should be built on the love of God. The money is a blessing  from Allah that you might have worked hard for or might have  be given to you by a human (which is still from Allah) but it could also be taken away from you by Allah. What will you do then if that happens since all you are about is the money in your pocket. The source(s) of your income should be halal. I have not said do ...

Image courtesy of Stuart Miles at FreeDigitalPhotos.net *First of all, make sure you do not deal with interest, it is bad for you. Allah hates interest. Some debtors are difficult, they will not make any attempt to talk to their creditors, some will do whatever they can to avoid creditors. When you have a debtor, for example when a payment is due and the debtor has not made payments.  * Call him/her politely to remind him/her about the payment cause it might have skipped their mind. *After few days if the payment is not made call the person during condusive hours, that is after 8am and before 9pm. Ask for your money clearly, politely and firmly.  *Do not abuse or threaten your debtor, just make sure you are firm.  * If no payment is made, ask your debtor  why they have not paid and be sympathetic with their reason(s). Showing that you understand their reason(s) will motivate them to pay up if you offer them a less stringent way of paying...