Fatwa #59402 July 2002Pakistan

Can I accept an ADVANCE payment for an item, though I do NOT have the item in stock. But, I have the raw material to make it.

Answer

This is referred to as Istisnaa.

You may accept payment in advance provided the customer knows exactly what
you are going to manufacture for him and the price is agreed upon.

and Allah Ta'ala Knows Best

Mufti Muhammad Kadwa
FATWA DEPT.

CHECKED AND APPROVED: Mufti Ebrahim Desai

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