Chapter 66 – Agreements to Trade in Business
66.1) Do not advance money to another to do business stipulating that the profits and losses are shared equally by both parties.
66.2) To prove that you have lost capital to another, you must have trustworthy testimony from witnesses under oath.
66.3) In a deal, you may stipulate that it is optional to give an investor a fixed sum of money as his share of the profit
66.4) It is forbidden for a trader to purchase unconditionally a share of an investor’s profit at a fixed sum that he would already be obliged to give him.
66.5) A trader who exceeds the time limit on returning money borrowed from another must share his profits with the lender.
66.6) The source has a form to be used for an “agreement to trade on shares.”
66.7) An “agreement to trade on shares” may be verbal if you do not have time to write the agreement out.
66.8) The source has a form for advancing money on merchandise.
66.9) A regular note binds parties even if there is no “agreement to trade on shares.”
66.10) An “agreement to trade on shares” may be invalid in certain instances. (See source for details, or consult a rabbi.)
66.11) If the time to re-pay has arrived and you do not have the money to repay a partner, you may sell some merchandise to the investor to pay for the lack of funds.
66.12) Livestock sharing of profits fall under the same laws as the investment of money for profit.