Q:
1. I sell products from my business website. My supplier has 200 products. I stock 100 items but list all 200 items on the website stating 'available on order'. The customer purchases and pays for the item and I then order and ship it to the customer. Is this permissible?
2. I post items on my WhatsApp for sale... Customers know I don't have the product. The supplier has numerous agents like myself who advertise and purchase according to order. Customers place orders and once I receive the item, they pick up and pay. Is this permissible or how can this be structured in a permissible manner?
A: 1. In order for a business transaction to be valid in shariah, one should own the items one sells as well as have possession of it. If one purchases an item from his supplier but does not take possession of it, then it will not be permissible for him to sell it to his customer.
As for the items that you have in stock, it will be permissible as you are selling what you own and have in your possession.
As for the items that you do not have in stock, then you should make it known to the customer that you do not have these items in stock, but after you purchase them from your supplier, you will sell them to him. If you are paying the shipping company for delivering it to your customer after you purchase it from your supplier, then this will be regarded as though you had taken possession of the item as the shipping company will be acting on your behalf.
However, if your supplier will be paying the shipping company to ship the item, then it will not be permissible for you to sell it to your customer as you will not be taking possession of it. In this case, one alternative is that you inform the customer that you do not have the item in stock, but you will arrange it for him from your supplier and charge him a commission for your service. In this situation, since you are not the seller, if your supplier ships it directly to your customer, it will be permissible.
3. You should conclude the sale with your customers only after you purchase and receive the item from your supplier.
And Allah Ta'ala (الله تعالى) knows best.
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