Al-Barakah Islamic Co-operative

Shared Prosperity, Ethical Foundations.

A Community Built on Trust

The Al-Barakah Islamic Co-operative is more than just a financial institution; it is a family. We operate on the principles of brotherhood, mutual support, and Shariah compliance. Our goal is to create a pool of resources that benefits every member, ensuring that wealth is circulated fairly and ethically.

How We Serve Our Members

Halal Savings & Investment (Mudarabah)

Grow your wealth without compromising your faith through our ethical savings schemes. Our savings plans are based on the Mudarabah model, where profits generated from ethical investments are shared between the cooperative and the members. Your money works for you, the right way.

Members Shares based on Mudarabah Investment Scheme (MIS)

Objective: To provide members with investment opportunities under a profit-sharing arrangement.

  • Structure: Members act as Rabb-ul-Mal (capital providers), Co-operative acts as Mudarib.
  • Profits shared based on pre-agreed ratio (e.g., 50:50).
  • Losses borne by capital provider unless Mudarib is negligent.

Ordinary Savings Scheme (OSS)

Objective: To encourage regular savings and build a sustainable pool of funds.

  • Flexible deposits (daily, weekly, or monthly).
  • Withdrawals allowed per cooperative policies.
  • No interest; potential for annual surplus distribution.

Target Savings Scheme (TSS)

Objective: Save towards specific goals (rent, Hajj, assets, etc.).

  • Goal-based contribution schedule.
  • Locked savings until maturity.
  • Optional automatic deduction.
  • Eligible for matching support or Islamic financing.

Welfare & Mutual Support

We stand by our members in times of joy and difficulty. Our welfare scheme provides financial assistance for emergencies, health issues, and social obligations. It is a safety net built by the community, for the community.

  • Emergency relief funds
  • Benevolent loans (Qard Hasan) for critical needs
  • Social event support

Shariah Compliant Financing

Need to purchase household items, electronics, or business tools? We facilitate these purchases through Murabaha (Cost-Plus Financing). We buy the item and sell it to you at a transparent markup with convenient installment payments..

Mudarabah Financing

  • Member provides business idea/skill; cooperative provides capital.
  • Profit sharing based on pre-agreed ratio.
  • Loss borne by cooperative unless negligence is proven.

Musharakah (Joint Partnership)

  • Both member and cooperative contribute capital.
  • Profit and loss shared based on contribution and terms.
  • Can be permanent or diminishing.

Murabaha (Cost-Plus Sale)

  • Member identifies asset (goods, equipment).
  • Cooperative purchases and sells to member at known profit margin.
  • Payment in installments.

Ijarah (Leasing)

  • Cooperative purchases and leases asset to member.
  • Member pays rental amounts over a period.
  • Ownership remains with cooperative until contract end.

Diminishing Musharakah

  • Joint ownership of asset.
  • Member gradually buys cooperative’s share.
  • Rent paid on portion still owned by cooperative.

Qard Hasan (Benevolent Loan)

  • Interest-free loan for essential needs.
  • Admin fee may apply (fixed, not tied to amount).
  • Flexible and compassionate repayment.

Education & Empowerment

We believe that financial literacy is key to prosperity. We organize regular workshops and seminars on Islamic finance, business management, and investment strategies to help our members make informed decisions.

Membership Benefits

Financial Security

Safe and secure savings with ethical returns.

Democratic Control

Every member has a voice in how the cooperative is run.

Growth Opportunities

Access to capital for business expansion and personal development.

Join Our Cooperative Today

Become part of a growing community dedicated to ethical wealth creation.

Become a Member