Concept & Activities
SEYAD SHARIAT FINANCE LIMITED is the first corporate Financial institution functioning as per Islamic Economic System in
Tamil Nadu.
Islamic Banks are common in the Middle East and have spread their wings right from London in the West to Philippines in the East. Islamic countries like Iran and Sudan require their bankers to do all of their business on Islamic guidelines.
The main principle of Islamic Banking is pooling of resources together and distribution of the same on various useful activities like leasing, trading and other businesses which do not have profit motive out of interest earnings. In Malaysia such types of Islamic banks are also in existence.
Rapid growth in the industry has prompted Citi Bank and other major international banks to open Islamic subsidiaries.
Islamic Banks are common in the Middle East and have spread their wings right from London in the West to Philippines in the East. Islamic countries like Iran and Sudan require their bankers to do all of their business on Islamic guidelines.
The main principle of Islamic Banking is pooling of resources together and distribution of the same on various useful activities like leasing, trading and other businesses which do not have profit motive out of interest earnings. In Malaysia such types of Islamic banks are also in existence.
Rapid growth in the industry has prompted Citi Bank and other major international banks to open Islamic subsidiaries.
LEASING
This permits the company to lease automobiles, equipment, machinery and other business assets to a lessee on agreed rentals payable every month.
TRUST FINANCE
A contract in which business capital is provided by the company and the expertise and management effort is the responsibility of the client himself and the profits are shared by the client and the company according to the contractual terms and conditions.
HUMANITARIAN LOAN
Funds are advanced for humanitarian and welfare purposes. Repayments are made over a period agreed to by both parties with no profit accruing to the financing Institution.
COST PLUS FINANCE
A contract in which a client wishing to purchase equipment or goods requests the company to purchase these items and resell them to him at cost plus a reasonable profit (mark-up). Capital cost and the profit are payable on the terms agreed to between the parties.
HOUSING FINANCE
Under this scheme, the Company will provide finance for the construction of houses for the clients on the basis of Rental Sharing Scheme.
VENTURE FINANCE
Under the Joint venture agreement the Company advances funds and participates in the capital. The income is determined as a percentage of turnover.
This scheme is mainly intended for poor people's higher studies.Financially poor students can take the education loans without paying the interest.