Islamic Finance has gained global acceptance across the world including the United Kingdom, it is a system of financing that operates in accordance with Islamic law or Shariah. It prohibits the payment or receipt of interest and prohibits investing in businesses that are considered haram or sinful. Instead, Islamic finance relies on profit-sharing arrangements and the use of tangible assets in transactions.

In the commercial finance industry, Islamic finance can play a key role in serving the needs of Muslim business owners and investors. By offering Shariah-compliant financing options, brokers can cater to a growing segment of the population that is seeking ethical and religiously compliant financial services.

However, Islamic finance is not limited to Muslims alone. Anyone can benefit from the ethical and transparent nature of Islamic finance principles, regardless of their faith.

Some common principles of Islamic finance include the prohibition of interest (riba), the prohibition of uncertainty (gharar) and the requirement of shared risk and profit in financial transactions.

Brokers in our networks can serve customers that require compliant finance by accessing specific funders and products from our extensive lending panel. This can help attract new clients who may have faced difficulties obtaining business finance via more traditional routes. By understanding the principles of Islamic finance and partnering with funders that offer Shariah-compliant financing options, you can tap into a growing market of ethically conscious consumers.

Funders that are Shariah-compliant on our Synergy panel include:

  • Gatehouse Bank
  • Offa Bridging

On the asset finance side some transactions have been made possible through the use of a lease product.

The market for Islamic finance is steadily growing as the number of Muslim business owners increases. By adding Islamic finance to their offerings, brokers can differentiate themselves in the market and appeal to a new segment of customers who are increasingly mindful of how they fund their business.

At Synergy Commercial Finance, some of our brokers are already actively offering these services to their clients including MDM Financial Services and Roza Capital Ltd.

If you have what it takes to become a finance broker and can become the next addition for servicing customers with the application of Islamic Finance and other methods, please get in touch today for a confidential chat with a member of our team.

AFS Group, Asset Finance Solutions & AFS Compliance
  • Greenbank Court, Challenge Way, Greenbank Business Park, Blackburn, BB1 5QB
  • Tel: 01254 958777
Synergy Commercial Finance
  • Unit 2, Foxoak Park, Common Road, York, YO19 5RZ
  • Tel: 01904 481786
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