Ibrahim is an investor and entrepreneur who went from medicine into crypto and now builds and backs companies across tech, AI and the Muslim market. He made the argument on Episode 2 of Camels vs Unicorns (watch the moment at 40:43). Here’s what he said, and what the data says about it.

Why is now the best time to build in the Muslim startup economy?

Now is the most strategic time to build in the Muslim startup economy because the ecosystem is transitioning from its experimental first phase into a mature, highly capitalized “second wave.”

Founders today operate in a de-risked environment where demand is proven, but the standards for winning have evolved.

 By “Muslim startup economy,” Ibrahim means companies building for Muslim customers, with Quran apps as his go-to example. His argument fits in one line:

“The competition is not massive yet, but the opportunity is massive.”

The customer base backs him up. Pew Research counts about 2.0 billion Muslims, 25.6% of the world, up 347 million between 2010 and 2020, which made Islam the fastest-growing major religion of that decade. They also spend: Muslim consumers spent $2.60 trillion across halal-economy consumer sectors in 2024, projected to reach $3.56 trillion by 2029. Those figures cover food, travel, fashion and similar sectors rather than startups specifically, but they show how big the audience and the market is.

Where are the customers, and why do emerging economies matter?

Mostly in Asia’s emerging economies, and founders are building for where those economies will be in 10 to 20 years, not where they are today. Indonesia, Pakistan, India and Bangladesh have massive, fast-growing markets and their purchasing power are expected to grow massively.

Together that’s about 830 million people, and the top three each hold roughly 11–12% of the world’s Muslims. The growth he’s betting on has outside support, too. 

Goldman Sachs expected emerging markets to grow 3.8% against 1.8% for developed markets through the end of this decade, and projected Indonesia as the world’s fourth-largest economy by 2050. It also put Pakistan sixth by 2075, assuming the right policies and institutions are in place. Those are long-range projections, not promises. One more number fits his build-for-the-future logic: the global median age of Muslims is 24, versus 33 for non-Muslims.

Will there really be a halal Netflix and a halal Spotify?

Ibrahim thinks so, and he thinks it will get crowded. It’s all about timing: early movers enjoyed the luxury of capturing a massive, starved market with little effort, but a second wave of highly specialized competitors are already here. To win today, founders can no longer rely on simply being “the halal option”, they must build superior engineering, secure stronger distribution, and prove who the best executor is.

The money points the same way. Muslim consumers spent $276 billion on media and recreation in 2024, projected to reach $364 billion by 2029, with Türkiye, the United States and Indonesia the largest markets. Investors are noticing: the State of the Global Islamic Economy report counted 225 deals worth $5.8 billion in 2023/24, then 346 transactions worth about $13.11 billion in 2024/25. Those totals include M&A and private equity, not only startup rounds, but the direction is clear. 

Early movers have also scaled: Muslim Pro, launched in 2010, says it has passed 190 million downloads. They paved the way alongside other notable pioneers like Alchemiya (streaming to subscribers in over 40 countries since 2015), Durioo+ (a Y Combinator-backed Islamic children’s streaming platform with over a million downloads), and Chaptrs (an exclusively human-narrated Islamic audiobook app that has already crossed over a million users).

Do you need a tech background or a big budget to build one?

No. Ibrahim’s own path is the argument. He studied medicine, says almost nothing from med school helped him directly in finance and tech (professionalism was the exception), and built in both anyway.

“Don’t underestimate your ability to build a startup.”

His method is to start with a pain point from your own life. A Quran teacher can’t be available around the clock, but an app can. And if it solves a real need, he says, people will pay for it.

The Quran-app category shows how that plays out. Tarteel says 15 million+ Muslims use its app, and Qara’a, a Quran-learning app in HASAN.VC’s portfolio, has reached over a million downloads by building around the same kind of need: learning to recite without a teacher on call. Useful first, revenue follows is also the logic behind HASAN.VC’s Camel Manifesto.

The bottom line

Ibrahim’s case holds up on the numbers: a customer base of about 2 billion people, a consumer market heading toward $3.56 trillion, and investment activity that more than doubled in a year. What the data can’t tell you is which company wins yet, and the field will get crowded. The advantage goes to whoever starts while it’s still early and builds something people actually need.

He covers a lot more in the full conversation: how he got into crypto and why he asks a mufti to explain Bitcoin before taking a fatwa, how Muslim startups can exit, and what he looks for in a founder beyond the pitch. Watch the full episode of Camels vs Unicorns below.

Camels vs Unicorns is hosted by Umar Munshi, General Partner at HASAN.VC. The show features conversations with founders and investors building profitable, values-driven businesses across fintech, AI, and impact investing, proving that sustainable growth is the way forward. Subscribe on YouTube to catch every episode.

The post Why Now Is the Time to Build in the Muslim Startup Economy appeared first on HASAN.VC.

What is Venture Capital?

Venture capital explained simply: investors put money into young companies with the potential to grow very large, in exchange for a share of ownership. Most of those companies won’t succeed, but the few that do can return many times the money invested.

At its core, venture capital is a form of private equity that provides financing from investors to early-stage, high-potential startups and small businesses. What makes VC unique is its high-risk, high-reward nature: VCs invest in companies that are often still in their infancy, with no guarantees of success. In return, they receive equity—a stake in the company that could yield enormous wealth if the business thrives.

But VC is not just about writing checks. VCs often play an active role in the company, offering strategic guidance, access to networks, and support with scaling operations. The famous line in Silicon Valley is that venture capitalists bring “smart money”—not just capital but also mentorship, resources, and connections to help startups grow.

How Does Venture Capital Work?

Venture capital generally works in five steps, from raising a fund to returning money to its investors.

1. Investors put money into a fund. A VC fund raises capital from limited partners (LPs), such as pension funds, endowments, family offices and high-net-worth individuals. Angel groups and syndicates also pool their members’ capital to invest in funds. That is how HASAN.VC works: our fund is backed by angels, family offices and Waqf funds from across the world.
2. The fund invests in startups. The general partners (GPs) who manage the fund choose which startups to back and receive equity in return. Most funds call capital from their LPs in tranches as deals come up. Some funds, especially smaller ones, collect commitments at set intervals instead. HASAN.VC’s first fund uses a rolling raise: we raise and collect a portion of our total fund twice a year and invest it in startups within six months.
3. The fund supports its companies. GPs often sit on the boards of the startups they back (in most cases) and help with strategy, hiring, introductions and further fundraising.
4. The fund exits. Over a fund life of typically 7 to 10 years (and sometimes longer), the fund sells its shares through secondary share sales, acquisitions or public listings.
5. Returns are distributed. After direct costs such as professional fees and taxes, proceeds are split between LPs and GPs. Most funds use some version of “2 and 20” in terms of fees: a management fee of around 2% a year of committed capital, and carried interest of 20% of the fund’s profits or exit proceeds going to the GP. For more detail, read our guide What Is an LP (Limited Partner) in Venture Capital?

VC is truly patient risk capital. Investors should plan for and expect their money to be generally illiquid for most of the fund’s life.

The Birth of Modern Venture Capital

To truly appreciate the VC landscape, it helps to know how it began. VC as we know it today didn’t exist before World War II. One pivotal figure in its history is George Doriot, a French-born Harvard Business School professor, often dubbed the “Father of Venture Capital.”

In 1946, Doriot founded the American Research and Development Corporation (ARDC), with the goal of turning innovative wartime technologies into commercial successes. His vision was groundbreaking: instead of backing only large, established companies, ARDC would invest in young startups. In 1957, ARDC made its first big bet on Digital Equipment Corporation (DEC). Their $70,000 investment turned into $355 million when DEC went public—one of the earliest success stories of VC.

Interesting Fact: Doriot’s vision was ahead of its time, and his legacy laid the groundwork for how modern VC firms operate today—by backing bold, innovative entrepreneurs with the potential to disrupt industries.

The Rise of Silicon Valley

The VC industry truly exploded in the late 20th century with the rise of Silicon Valley. In the 1970s and 1980s, as personal computers, semiconductors, and software began to revolutionize industries, investors in Silicon Valley started to take center stage. The world began to witness the rise of iconic companies like Apple, Intel, and Microsoft, which received critical early funding from VCs.

One of the transformative moments for the VC industry was the Employee Retirement Income Security Act (ERISA) in 1979. Before this change, pension funds could not invest in VC due to the high risk. ERISA lifted these restrictions, opening the floodgates for billions of dollars to flow into the VC ecosystem.

Interesting Fact: Some of the first venture-backed companies like Apple and Google have now grown into global powerhouses worth trillions. Had you invested just $1,000 in Apple in 1980, that investment would be worth millions today. VCs who saw this potential early on made astronomical returns.

Key Players in the Venture Capital Ecosystem

To understand how VC works, it’s essential to identify the key players involved.

• Venture Capitalists (VCs): These are the investors who provide funding to startups. They are often organized into firms (like Sequoia Capital, Andreessen Horowitz, or HASAN.VC) that manage large sums of money and distribute it across a portfolio of startups. Venture capitalists don’t just offer money; they offer guidance, mentorship, and industry connections.
• General Partners (GPs): General partners are the individuals who actively manage the VC fund. They are responsible for making investment decisions, managing the fund’s operations, and working closely with startups to drive growth. GPs typically receive a share of the fund’s profits, known as “carried interest.”

• Limited Partners (LPs): These are institutional investors (such as pension funds, endowments, family offices, Waqf funds or wealthy individuals) that invest their money into VC funds. LPs provide the capital that venture capitalists then deploy into startups. Angel groups and syndicates can also pool their members’ capital to invest in a fund as LPs.
• Founders/Entrepreneurs: These are the people building the businesses. Founders like Steve Jobs (Apple), Mudassir Sheikha (Careem), and Elon Musk (Tesla) have all, at some point, relied on VC to turn their ideas into reality.
• Angel Investors: Often the first to fund startups, angel investors are high-net-worth individuals who invest their personal funds into very early-stage companies with a high potential to grow exponentially. They often provide critical support before VCs get involved.

Interesting Fact: Early investors in Google, saw their money multiply hundreds of times over after the company went public in 2004. Google’s IPO created over 1,000 millionaires among its employees and investors.

The Venture Capital Process

The VC process is typically divided into several stages, and each stage reflects the startup’s growth and needs for capital:

• Seed Stage: The very beginning of the journey, where an idea is turned into a product. At this point, there might be little more than a concept or prototype, and funds are needed to test the business model. Some of the world’s biggest companies, like Dropbox and Airbnb, started out in the seed stages with minimal capital. Startups may also join incubators or accelerators at this stage, which provide early funding, mentorship, and resources to help develop the idea.
• Early Stage (Series A & B): This stage involves scaling up. Startups have typically launched a product and are generating early revenues, but they need funding to hire teams, expand operations, and grow the customer base. For example, Uber used Series A funding to move beyond its San Francisco origins and expand to other cities.

• Growth Stage (Series C and beyond): At this point, companies are generating substantial revenues and have proven that their business model works. They raise funds to expand globally, acquire competitors, or develop new products. Grab, for instance, raised large growth rounds to expand its ride-hailing, delivery and payments services across Southeast Asia.
• Late Stage: This stage occurs when companies are nearing an exit event, such as an initial public offering (IPO) or acquisition. Late-stage investors are looking for established companies with a clear path to profitability. Spotify, for example, raised late-stage capital just before its IPO in 2018 to position itself for long-term success.

Interesting Fact: Airbnb was rejected by several VCs during its early stages. Today, the company is worth billions, and the early investors who took a chance on the startup have seen incredible returns.

How Venture Capitalists Evaluate Startups

Venture capitalists look at several factors before deciding to invest. But here’s a little-known secret: most VCs expect that the majority of their investments will fail. In fact, VC is often referred to as a “home run” game. The idea is that a single successful investment (like Google or Airbnb) can more than make up for multiple failed investments.

VC follows a power law distribution, where a small number of investments generate the majority of returns. The idea is that while most startups in a VC’s portfolio may not perform well or even fail, one or two “home runs” can deliver massive returns, far exceeding all the losses combined. This is why VCs are laser-focused on identifying high-potential startups that can become billion-dollar businesses. For instance, Sequoia Capital’s early investment in WhatsApp returned a whopping $3 billion from an initial $60 million investment. In a typical VC fund, around 10% of the companies will account for over 90% of the total returns, underscoring the importance of backing “moonshots.”

So, what are VCs looking for?

• Market Size: The market needs to be large enough to support a billion-dollar business. This is why VCs prefer startups in sectors like healthcare, fintech, and technology, where the potential for disruption and growth is immense.
• Team: This is often the most critical factor. VCs are not just betting on an idea—they’re betting on the people behind the idea. Steve Jobs, for instance, was able to pivot Apple’s business multiple times because of his unique vision and leadership.

• Product or Technology: VCs look for startups that are solving big, pressing problems with innovative solutions. They seek companies with strong “moats,” meaning their products are hard for competitors to replicate. Tesla’s success in electric vehicles, for instance, is partly due to its cutting-edge technology and innovative approach to energy storage.
• Traction: Startups with early traction, such as strong user growth or strategic partnerships, are more likely to attract funding. Slack, for example, grew its user base rapidly in its early days, making it an attractive option for VCs.

However, these factors are not exhaustive; VCs consider several additional elements based on the stage of the company, the industry, and market dynamics. Timing is also a critical factor—VCs look for startups that are entering the market at the right moment, ensuring that the product or service is neither too early nor too late to gain traction. Each investment decision is tailored to the unique circumstances of the startup and its potential for growth.

The Risks and Rewards of Venture Capital

VC is high-risk, but the rewards can be enormous. For every success story like Uber or Airbnb, there are hundreds of startups that never make it. Yet the allure of being part of the next transformative technology or billion-dollar company keeps investors coming back.

Example: Webvan, an early online grocery delivery service that raised over $800 million in VC funding, became one of the biggest failures of the dot-com bubble when it went bankrupt in 2001. But for every Webvan, there’s a Zoom—which grew exponentially during the pandemic, turning its early investors into billionaires.

The VC model thrives on the understanding that not all investments will succeed, but those that do can generate significant returns that far outweigh the losses. To mitigate risk, VC firms often diversify their investments across multiple sectors and stages of growth, allowing them to balance potential failures with successes. HASAN.VC exemplifies this strategy by investing in over 40 different halal and ethical companies across various sectors and industries, aiming to balance potential returns with overall portfolio risk.

Interesting Fact: Sequoia Capital, one of Silicon Valley’s most famous VC firms, has invested in companies that now represent over $3 trillion in combined market value, including Apple, and Google.

Venture Capital Tips for Beginners

The right starting point depends on who you are and what you want from venture capital. These tips are grouped by where most beginners are coming from.

Tips for entrepreneurs and small business owners

• Check whether VC fits your business. VC suits companies that can grow very large, very fast. Many good small businesses are not a fit, and that is fine: revenue, grants, angel investors or accelerators may suit you better.
• Know your numbers. Be ready to explain your market size, revenue, growth and how you will use the money.
• Understand what you give up. Every funding round dilutes your ownership. Read the term sheet carefully and get advice before you sign.
• Choose investors, not just money. The right investor brings experience, networks and values that match yours. An accelerator programme is often a good first step.

Tips for developers and technical founders

• Build something people use first. Investors back traction more than technology. Early users, pilots or revenue make your case far stronger.
• Find a commercial co-founder. VCs bet on teams. A founder who can sell, raise funds and manage operations balances a strong technical lead.
• Explain the problem, not just the code. Investors need to understand who pays, why, and how big that market can become.

Tips for students and high schoolers

• Learn the fundamentals. Start with how funds, equity and funding rounds work. This guide and a short online course are enough to begin.
• Study real startups. Pick a company you use and ask how a VC would assess it: market size, team, product and traction.
• Get close to the ecosystem. Attend demo days, join startup communities and look for internships at startups, accelerators or VC firms.

Tips for professionals and new investors

• Learn before you invest. Understand how funds, fees and exits work, and why most startups fail.
• Spread your risk. Because of the power law, returns usually come from a few companies. Backing many startups, or investing through a fund, reduces the chance of missing the winners.
• Invest only what you can lock up. Expect your money to be tied up for 7 to 10 years, sometimes longer.
• Invest alongside experienced people. Angel groups and syndicates let you learn how deals are judged from the inside.
• Check the values behind the deals. If halal investing matters to you, ask how a fund screens its investments and who reviews them.

How to Learn Venture Capital

You don’t need a finance degree to understand venture capital. Most beginners learn it in four steps:

1. Learn the fundamentals of venture capital: how funds raise money, how startups are valued and how investors make returns.
2. Learn the language: equity, valuation, term sheets, dilution, carried interest and exits. The key terms below are a good start.
3. Follow real deals: read funding announcements and ask why investors backed each company.
4. Learn from practitioners: join communities where founders pitch and investors explain their decisions.

HASAN.VC’s Venture Capital Fundamentals course covers VC basics, fund structures and how the halal startup ecosystem works, taught by active practitioners.

How to Invest in Venture Capital

Individuals usually invest in venture capital in one of three ways:

• Angel investing: investing your own money directly into early-stage startups. You choose each company, but you carry the full risk of each deal.
• Angel groups and syndicates: investing alongside experienced members, either deal by deal or by pooling capital to invest in a fund.
• Investing in a VC fund as an LP: committing capital to a fund managed by professional GPs, who build a diversified portfolio of startups.

Most jurisdictions limit who can invest in private funds and startups, usually to investors who meet a wealth, income or professional test. Singapore, Malaysia, the UK and the Gulf each set their own criteria, so check the rules where you live. Importantly: does the focus and objective of the fund align with your own?

Key Terms to Know

To navigate the world of VC, it’s essential to understand some key terms:

• Equity: The ownership stake in a company. VCs receive equity in exchange for their investment, and their returns depend on how much that equity is worth when the company exits.
• Valuation: The estimated worth of the company at different stages of funding. A company’s valuation usually rises across funding rounds as it proves its business model.
• Term Sheet: A document that outlines the terms of the investment. It includes details about the amount invested, the valuation of the company, and the rights of the investors.
• Dilution: As startups raise more funding and issue new shares, the ownership percentage of existing shareholders decreases. For example, when Dropbox raised additional rounds of funding, its early investors experienced dilution but benefited from the company’s overall growth.
• Exit Strategy: The way in which VCs plan to make a return on their investment, either through an IPO (initial public offering) or acquisition. Uber’s US$3.1 billion acquisition of Careem, completed in January 2020, is one of the best-known VC exits in the Middle East.
• Carried Interest (Carry): The share of a fund’s profits or exit proceeds that goes to the GP, commonly 20%.
• Limited Partner (LP): An investor in a VC fund who provides capital but doesn’t manage the fund. The LP’s liability is limited to the amount committed.

Muslims and Venture Capital: The Path to Ethical Innovation

Over the last few years, VC has become a key driver of innovation, entrepreneurship, and economic transformation in the Muslim world. Islamic finance, with its foundation on fairness, risk-sharing, and ethical investing, naturally aligns with most principles of VC. Unlike conventional debt-based financing, VC fosters a model of shared risk and reward, making it an appealing avenue for entrepreneurs and investors who seek to uphold halal and ethical values in their financial dealings.

The growth of halal VC funds like HASAN.VC and other halal investment vehicles has been instrumental in merging ethical finance with the high-energy world of startups. These funds, while operating within the traditional VC framework, introduce rigorous ethical filters—investing in businesses that align with Islamic principles and avoiding industries such as alcohol, gambling, and interest-based financial services. By doing so, they allow Muslim investors to participate in emerging markets without compromising their faith.

Moreover, VC is empowering a new generation of entrepreneurs building for Muslim needs and the wider ethical economy who aim to make a positive impact. Whether through fintech startups providing ethical banking solutions or tech-driven companies addressing global challenges in healthcare, education, and sustainability, these founders are combining their values with entrepreneurial ambition. The result is a flourishing ecosystem that promotes ethical business practices while leveraging cutting-edge innovation.

Fun Fact: The global Islamic fintech market reached an estimated US$198 billion in 2024/25 and is projected to grow to US$341 billion by 2029, according to the Global Islamic Fintech Report 2025/26. This underscores the growing influence of VC in propelling startups that cater to the unique needs of the global Muslim population—especially in offering financial services that align with Shariah principles.

A New Era of Ethical Investing

VC is more than a source of funding; it’s a catalyst for turning ideas into reality. Muslim investors are increasingly recognizing its potential to create positive social and economic impact while staying true to their ethical and religious beliefs. With the right combination of vision, innovation, and support from halal VC funds, startups in the Muslim world are positioned to shape industries and create sustainable, long-term growth. Notably, in the past year, a few unicorns have emerged from the Muslim world, and prominent VC firms have aggressively invested in halal and ethical startups over the last two years, further highlighting the vast potential within the Muslim world.

Did You Know? Some of the world’s most innovative companies—like Google, Tesla, and Airbnb—started out as risky ventures with uncertain futures. With the backing of VC, these companies have grown into industry giants, proving that with the right mix of bold ideas and strategic investment, extraordinary things are possible.

Final Thoughts

VC isn’t just about providing financial backing—it’s about bringing visionary ideas to life. For every company that fails, there’s another poised to change the world. From Apple’s humble garage beginnings to Tesla’s mission to revolutionize energy, venture capitalists have been at the forefront of innovation for decades.

For those just beginning their journey, understanding the fundamentals of VC provides a window into how startups are built and how investors can participate in the creation of future industries. Whether you’re a founder looking for funding or an aspiring investor seeking to make an impact, VC offers incredible opportunities to be part of the next big thing.

The rise of VC in the Muslim world marks the dawn of a new era for ethical investment and entrepreneurship. This growing ecosystem provides a platform for entrepreneurs with groundbreaking ideas and investors seeking to make a meaningful, values-driven impact. As VC continues to expand within the Muslim world, it promises to drive economic growth, solve real-world challenges, and uphold the ethics that guide the community.

At HASAN.VC, our fund is backed by angels, family offices and Waqf funds from across the world, and we invest in halal and ethical startups that come through our virtual accelerator. If you want to understand venture capital from the inside, our Venture Capital Fundamentals course is a good place to start.

Click on the link below and join our thriving HASAN.VC community.

Frequently Asked Questions

1. What is venture capital and how does it work?

Venture capital (VC) is a type of private equity investment provided by firms or individuals to startups and early-stage businesses with high growth potential. In exchange for funding, VCs receive equity or partial ownership in the company. VC firms often offer mentorship, strategic advice, and connections, making them more than just financial backers. A VC fund raises money from limited partners, invests it in startups, supports them as they grow, and returns money to its investors when it sells its shares, usually over 7 to 10 years.

2. Who are the main players in the venture capital ecosystem?

The venture capital ecosystem includes:

• Venture Capitalists (VCs) – Investors who fund startups.
• General Partners (GPs) – Professionals managing VC funds and making investment decisions.
• Limited Partners (LPs) – Institutions or individuals that provide the capital.
• Founders/Entrepreneurs – Individuals building the startups.
• Angel Investors – High-net-worth individuals who invest early in startups.

3. What are the stages of venture capital funding?

VC funding typically follows these stages:

• Seed Stage – Early product or concept development.
• Series A & B (Early Stage) – Scaling product and user base.
• Series C and beyond (Growth Stage) – Market expansion and acquisitions.
• Late Stage – Pre-IPO or acquisition preparation.

4. How do venture capitalists evaluate startups?

VCs assess startups using key criteria:

• Market size – Is the market large and scalable?
• Founding team – Does the team have vision, grit, and expertise?
• Product or technology – Is it innovative and defensible?
• Traction – Are there signs of growth, user interest, or revenue?
• Timing – Is the market ready for this product or service?

5. What is the difference between venture capital and angel investing?

Angel investors are usually individuals investing their personal funds in very early-stage startups, often before VCs get involved. Venture capitalists typically manage funds from multiple sources and invest in startups with more traction or scalability.

6. What are common exit strategies in venture capital?

The most common VC exit strategies are:

• Initial Public Offering (IPO) – The startup goes public on a stock exchange.
• Acquisition – The company is bought by a larger firm.
• Secondary share sale – The fund sells its shares to another investor before an IPO or acquisition.

These exits allow VCs to earn returns on their investment.

7. What are some risks involved in venture capital investing?

VC is a high-risk, high-reward investment strategy. Most startups fail, and VCs rely on a few “home run” investments to generate returns. Losses are common, but a single successful startup (like WhatsApp or Airbnb) can offset multiple failures. Investors should also expect their money to be illiquid for many years.

8. How Is Halal Venture Capital Different?

Halal VC aligns with Shariah principles, avoiding industries like alcohol, gambling, and interest-based finance. It emphasizes fairness, ethical investing, and risk-sharing. Funds like HASAN.VC invest only in companies that meet these ethical criteria, supporting founders of any faith who are building ethical, halal businesses.

9. What is equity and why is it important in VC?

Equity represents ownership in a company. VCs receive equity in exchange for their capital, which entitles them to a portion of the company’s profits and potential exit proceeds. Equity is the primary way VCs make returns on their investments.

10. What does a term sheet in VC include?

A term sheet is a non-binding document that outlines the terms of a VC investment. It typically includes:

• Investment amount
• Company valuation
• Equity percentage
• Rights and responsibilities of each party

11. What is dilution and how does it affect startup founders?

Dilution occurs when new shares are issued during additional funding rounds, reducing the ownership percentage of existing shareholders. While dilution lowers percentage ownership, the value of shares can still grow if the company increases in value.

12. How can Muslims participate in ethical venture investing?

Muslim investors can invest through halal VC funds like HASAN.VC, which work closely with Adl Advisory to screen companies based on Shariah principles. These platforms allow Muslims to support ethical startups and participate in wealth creation without compromising faith-based values.

13. What Is Venture Capital In Simple Terms?

Venture capital is money invested in young, fast-growing companies in exchange for a share of ownership. Investors accept that most of these companies may fail, because the few that succeed can return many times the money invested.

14. How Can A Beginner Learn Venture Capital?

Start with the fundamentals: how VC funds work, the stages of startup funding and key terms like equity, valuation and dilution. Then study real startups and deals, and learn from practitioners through courses and investor communities.

15. How Do I Invest In Venture Capital?

Individuals usually invest in one of three ways: directly as an angel investor, through an angel group or syndicate, or by committing capital to a VC fund as a limited partner. Most jurisdictions require you to meet a wealth, income or professional test first, so check the rules where you live.

16. Is Venture Capital Right For A Small Business?

Usually only if the business can grow very large, very quickly. VC investors look for companies that could return many times their investment. Many profitable small businesses are better suited to revenue, grants, angel investors or other funding.

The post Understanding Venture Capital: A Beginner’s Guide appeared first on HASAN.VC.

That someone is the LP.

If you’re weighing your first commitment to a venture fund, the term shows up on page one of every document you’ll read. Here’s what it means in practice: what an LP does, what you pay, what you get back, how long your money is tied up, and why the structure sits closer to classical Islamic partnership than most people expect.

What is an LP in venture capital?

A limited partner (LP) is an investor who puts capital into a venture capital fund but doesn’t run it. So when people ask what is LP in venture capital, the short answer is: the money behind the fund.

The fund itself is managed by the general partner (GP). That’s the individuals who find startups, decide where to invest, sit on the boards of investees (in most cases) and eventually sell the stakes they acquired to return capital and profits to LPs.

“Limited” refers to your liability. As an LP, the most you can lose is the amount you committed.

In short: the LP brings the capital, the GP brings the judgment and the work.

What are LPs in venture capital, and who are they?

Large funds draw on pension funds, university endowments, sovereign wealth funds, insurers, foundations and family offices. Smaller and emerging funds tend to lean more on high-net-worth individuals, angel investors and family offices. In the Muslim world, Waqf funds are increasingly part of that mix.

Most jurisdictions limit who can invest in a private fund, usually to investors who meet a wealth, income or professional test. Singapore, Malaysia, the UK and the Gulf each set their own criteria, so check the rules where you live.

How does an LP invest and how do VCs work?

Most venture funds use a commit-and-drawdown model. You sign a binding commitment, say $100,000, and the GP draws it down in tranches called capital calls as deals come up. Most of those calls land in the first three to five years, known as the investment period, so you need the cash ready whenever a call arrives. HASAN.VC adopts a 2.5-years investment period for our first fund, meaning we make all our investments in this initial period.

Some funds, especially many smaller funds, work differently. They secure commitments and collect LP commitments at the same time, sometimes over several tranches, rather than drawing down committed capital as deals appear.

HASAN.VC’s first fund uses such a ‘rolling raise’approach. We raise and collect a portion of our total fund twice a year, then deploy this capital (invest in startups) within six months. LPs know exactly when their capital goes in, and the money goes to work quickly. This gives more certainty to our LPs and GPs, making the process organised and structured. Importantly, money does not sit idle in the fund as they are invested and put to work almost immediately.

Whichever model a fund uses, the fund then runs for 7 to 10 years (and sometimes even longer) while startups grow and exit through secondary share sales, acquisitions or public listings. VC is truly patient risk capital. HASAN.VC’s fund has a 7-year term which started in late 2024, meaning that our fund work on selling the shares we own all the way till our fund closure in 2031. Distributions reach LPs as exits happen, giving investors payouts on an ad-hoc basis.

While this will provide some early cashflow to our LPs, the basic principle is to plan for and expect investments into VCs to be generally illiquidity.

What does an LP pay, and what does an LP get?

Most funds use some version of “2 and 20” in terms of fees:

• Management fee: around 2% a year of committed capital. It pays for the team and the running of the fund.
• Carried interest (“carry”): 20% of the fund’s profits or exit proceeds go to the GP.

Here’s a simplified example. A $10m fund returns 3x, so $30m comes back. There will be some direct costs deducted such as professional fees and any taxes, and the remainder is distributed. Assuming $25m is available for distribution, 80% of this $20m goes to LPs and $5m goes to the GP as carry. 

GPs usually invest alongside you, too. Carta’s 2025 Fund Economics Report, built on data from about 2,000 private funds, found the median venture GP commits 1.7% of the fund from its own pocket.

What rights does an LP have?

You get regular reporting, a share of distributions in proportion to your commitment, and the protections written into the limited partnership agreement (LPA), the contract that governs the fund. Larger LPs sometimes sit on an advisory committee that reviews conflicts of interest.

What you don’t get is a voice or vote on which startups the fund backs. That’s by design. You’re backing the GP’s judgment, so choosing the GP is the biggest decision you make.

LP vs GP vs venture partner: who does what?

The three titles get mixed up, especially in search results.

• LP: provides capital, stays passive, liability capped at the commitment.
• GP: manages the fund, makes the investment decisions, earns fees and carry, and carries legal responsibility for the fund.
• Venture partner: an experienced operator, founder or investor who works with a VC firm part-time or deal by deal. They source startups, run diligence in their field and support portfolio companies. They’re often paid through carry on deals they bring in, and usually aren’t full GPs with a vote on every investment.

So if you’re asking what is a venture partner, they sit on the fund manager’s side of the table. An LP sits on the investor side.

An old partnership in modern clothes

Islamic finance has a contract that looks a lot like the LP and GP split: muḍārabah, a profit-sharing partnership. One party, the rabb al-māl (owner of the capital), provides the money. The other, the muḍārib (working partner), provides the skill and labour.

Profits are shared at a ratio agreed upfront. If the venture loses money, the capital provider bears the financial loss and the manager loses their time and effort, unless the loss came from the manager’s negligence or a breach of the agreed terms. AAOIFI, the standard-setting body for Islamic finance, sets out the contract in its Shariah Standard No. 13.

The logic carries over. Neither side is promised a guaranteed return. The person with the capital and the person with the expertise share the outcome of real, productive work, which is what a well-run venture fund asks of its LPs and GPs.

The match isn’t perfect. A fixed management fee, for example, has no direct equivalent in classical muḍārabah. That’s one reason Shariah-compliant funds put their fee and profit-share terms in front of a Shariah adviser. If you’re evaluating a fund on those grounds, ask to see that review.

Questions to ask before you become an LP

1. Who are the GPs, and what is their track record?
2. What are the fees and the carry?
3. How long is the fund term, and who decides on extensions?
4. For a Shariah-compliant fund: who reviewed the structure, and what screens apply to investments?

Importantly: Does the focus and objective of the fund align with your own?

Where to go from here

At HASAN.VC, our fund is backed by angels, family offices and Waqf funds from across the world, and we invest in startups that come through our virtual accelerator. If you want to understand how a values-driven fund puts the LP model to work, our Venture Capital Fundamentals course is a good place to start.

Capital and entrepreneurship, sharing the outcome. That idea is far older than venture capital.

FAQ block (for FAQPage schema)

What is an LP in venture capital?

An LP, or limited partner, is an investor who provides capital to a venture capital fund but doesn’t manage it. The GP, or general partner runs the fund, and the LP’s liability is limited to the amount committed.

Can an individual be an LP?

Yes, if they meet the investor eligibility rules where they live. Most jurisdictions limit private fund investment to investors who pass a wealth, income or professional test.

How long is an LP’s money tied up?

A typical venture fund runs for 7 to 10 years. LPs either fund their commitment through capital calls over the first few years or pay in directly, sometimes in tranches, and receive distributions as portfolio companies exit. HASAN.VC’s first fund gives distributions from the sale of its shares in startups starting from year 3.

What is a venture partner?

A venture partner is an experienced operator or investor who works with a VC firm part-time or deal by deal, sourcing and supporting startups. They sit on the fund manager’s side.

The post What Is an LP in Venture Capital? A Guide for Investors appeared first on HASAN.VC.

For Muslims who put their faith first, halal income isn’t a lifestyle preference. It’s a boundary.

The internet has made earning easier than ever. It has also blurred the line between what’s permissible, what’s questionable and what quietly compromises your values. Some online income models run on interest, speculation or harmful industries. Others look harmless until you check how the money actually flows.

This guide walks you through the halal ways to make money online that hold up under that check: what halal income means in practice, the best options in 2026, how to start without capital, and how to manage what you earn.

1. What does halal income mean in Islam?

Halal income is money earned through means Islamic law permits. In practice, three principles do most of the work.

• Honest work. Your income should come from a real contribution: a service delivered, a product sold, knowledge shared. Clarity and fairness matter. If a deal feels uncomfortable to explain openly, that discomfort is usually a signal.
• No riba (interest). Islam prohibits earning, paying or facilitating interest, because a contract that guarantees one side its return while pushing all the risk onto the other isn’t a fair partnership. That rules out interest-bearing savings, lending platforms and growth that depends on interest-based debt.
• No prohibited industries. Income tied to alcohol, gambling, pork products, immodest content or lifestyle, conventional interest-based finance, or work that harms society isn’t permissible.

These rules don’t shrink your options much. They tend to steer you toward cleaner, more durable ways of earning.

What online income is haram?

Online income is generally considered haram when it involves:

• Interest-based earnings, such as conventional savings accounts or peer-to-peer lending with interest
• Gambling and betting, including “earning” games where you stake money on chance (as opposed to skill)
• Leveraged trading that charges or pays interest, such as most retail forex and CFD accounts
• Selling or promoting haram products or services
• Pyramid schemes and network marketing where income comes mainly from recruiting people rather than selling real products
• Deception, such as fake reviews, misleading ads or get-rich-quick schemes

When you’re unsure, check where the money comes from and what it pays for. If you’re still unsure, ask a qualified scholar before you start.

2. How should you choose a halal online income path?

Start with what you’re already good at or can pick up. The safest path is to take a skill you have, or are willing to build, and apply it to a problem people will pay to solve.

Skills that translate well online include:

• Writing and editing: freelance articles, blog posts, website copy, proofreading
• Graphic design: logos, social media graphics, branding and marketing materials
• Software and web development: websites, systems, apps and tools for clients
• Teaching and tutoring: academic subjects, languages, Quran and Arabic, or practical skills
• Reviewing and analysing: checking content, data or AI output for quality and accuracy

For most people these skills produce income first, then stability. Over time, some turn into small businesses, products or platforms.

3. The best halal ways to earn money online in 2026

Freelancing

Freelancing is still one of the most reliable halal ways to earn money online. You offer a defined service, agree the terms upfront and get paid for the work you deliver. Freelance marketplaces such as Upwork and Freelancer.com connect you with clients around the world.

Common halal freelance work includes:

• Writing, editing and translation
• Graphic design and web development
• Software development
• Virtual assistance and operations support for businesses
• AI review and data work (more on this below)

The platform is just a tool. What you need to vet is each project. Before you accept work, check what the client sells and what your work will be used for.

Once you have several clients, the admin side grows quickly: tracking leads, sending invoices and keeping an eye on your income. Playgrown, a HASAN.VC portfolio company from Malaysia, is an all-in-one platform built for freelancers and creators. It handles lead management, automated invoicing and income tracking, and includes a bio-link page for your professional brand, so more of your time goes into the work itself.

Is AI-related online work halal?

Yes, AI-related work can be halal when the content is permissible and you’re paid for genuine human effort. AI systems still need people to supply context, cultural understanding and judgment. Common tasks include:

• Reviewing AI-generated text, images or audio
• Labelling and categorising data
• Evaluating search results or translations
• Rating content for quality, relevance or safety

AI training platforms hire for this kind of work. Many roles are about localisation, meaning how content reads in a specific language or culture, so fluent English isn’t always required.

AI has also opened up service work. Some people help businesses automate routine processes. Others build AI workflows and sell them as a service, using builders such as Impresiv, a HASAN.VC portfolio company from Indonesia that lets non-developers build AI-powered automation workflows. Used as a tool rather than a shortcut, AI fits comfortably within a halal framework.

Online teaching and tutoring

Teaching is one of the most straightforward halal income streams: you exchange knowledge for an agreed fee. You can teach academic subjects, languages, professional skills or religious knowledge, including Quran and Arabic.

For live, one-to-one tutoring, a video call and a simple booking page are often enough to start. Once you run regular classes or sell courses on subscription, though, chasing monthly fees by message and bank transfer gets messy. Akal, a HASAN.VC portfolio company from Indonesia, gives you one place to manage, follow up and track recurring payments.

E-commerce and digital products

Selling online is a solid halal path when you stay in control of what you sell and are honest about it. Online marketplaces and store builders make it easy to set up shop. You can sell:

• Physical products: handmade goods, modest clothing, niche items
• Digital products: e-books, templates, printables, courses or software tools

Two checks keep e-commerce halal. First, the products themselves must be permissible. Second, the way you sell matters. Typical dropshipping, where you sell an item you don’t own or control, raises a well-known concern: in Islamic commercial law you generally can’t sell what you don’t yet possess. Some sellers restructure it so they act as an agent on commission, or take ownership before the sale. Check your model with a scholar before you scale it.

The e-commerce businesses that last tend to focus on healthy margins, repeat customers and control over their operations, not sheer volume.

Content creation: blogging, affiliate marketing and video

Content lets you earn by sharing knowledge or experience.

• Blogging and affiliate marketing. You earn a commission when readers buy through your links. Affiliate income is generally treated as a permissible brokerage fee, provided the product is halal and you promote it honestly.
• Video content. You can earn from sponsorships, memberships and ads. Choose topics that align with your values. Because you don’t fully control which ads appear, many creators lean on sponsorships and their own products instead.
• Niche media. Newsletters or podcasts built on long-term trust with a specific audience.

Content businesses are rarely built overnight. They reward consistency and credibility more than clever tactics. AI can speed up production, but the creators who last use it as a tool, not as their voice.

Halal investing for passive income

Once your income is stable, investing is how you put surplus money to work without a salary attached. Halal options include Shariah-screened stocks and funds, sukuk (Islamic bonds structured around real assets rather than interest), property, and private businesses, either directly or through fintech and alternative investment platforms.

Angel investing, backing early-stage companies, can be highly attractive. But as with any investment, you need to understand and be comfortable with the risks involved.

Islam also encourages you to keep surplus wealth circulating rather than hoard it: by giving to charity, lending it out without interest, or investing it. Wealth is an amanah, a trust you’re responsible for, not something to sit on.

What these options share is that your return comes from owning part of something real, not from lending at interest. If you’d like to compare them, read Where Can Muslims Invest Money? Halal Investment Options Explained.

4. Halal ways to earn money online without investment

You don’t need capital to start. Most halal side hustles run on time and skill, which makes them a good fit for students too.

• Freelance services: writing, design, translation or virtual assistance
• Tutoring: help younger students with subjects you’re strong in, or teach Quran and Arabic
• AI review work: rating and checking AI output on training platforms
• Digital products: templates, notes or guides you create once and sell many times
• Content: a blog, newsletter or channel built around what you know

Be careful with “earning apps” that promise money for watching ads, playing games or signing up friends. Many are built on chance, deception or recruitment rather than real work. Before you join one, ask the same question as always: what am I actually being paid for?

5. The camel principle: why sustainability matters more than speed

At HASAN.VC, we back sustainable halal startups we call camels, not unicorns. Camels move steadily, survive harsh conditions and don’t depend on outside funding to subsidise their products or business models.

Halal income with barakah (blessing) works the same way. The goal isn’t explosive growth funded by debt or hype. It’s resilience: service-based earning, disciplined margins and gradual growth that can survive a downturn.

Income comes first. Stability follows. Once your expenses are covered and you have surplus, a new question appears: what should this money do? For many people that’s where investments, starting a small business, spending on new skills and knowledge, or backing other founders comes in. The patience you learned while earning is the same discipline you need to build lasting wealth.

6. How should you set up your online presence?

A halal online presence should be simple, transparent and built on trust. People should see quickly what you do and how to work with you.

• Create a website or portfolio with your services, work samples and contact details.
• Use social media deliberately. LinkedIn, TikTok and others work best when you share useful content consistently, not constantly.
• Build a personal brand that reflects your values and expertise, and keep delivering quality work.
• Connect with professionals in your field. Relationships open doors to collaborations, referrals and better clients.

Reliability compounds over time. So does the willingness to say no to work that doesn’t sit right.

7. How do you manage money ethically once you earn it?

How you manage income matters as much as how you earn it.

• Use Islamic or interest-free banking and payment tools wherever they are available.
• Check any investment platform is Shariah-compliant before you put money in.
• Keep accurate records of income and expenses.
• Set money aside for taxes from every payment, and calculate zakat on savings that stay above the nisab threshold for a year.
• Grow at a pace your income can carry, without borrowing at interest to fund it.

This stage is rarely glamorous. It’s what decides whether earning turns into stability or stress.

8. Common challenges, and how to navigate them

• Finding Shariah-compliant work. Vet clients and platforms upfront, and use Muslim professional networks to find opportunities that fit.
• Standing out from the competition. Specialise, deliver quality and look after your clients.
• Balancing work and life. Set working hours and protect them, especially if online income starts as a side hustle.

Four habits help with all three:

1. Surround yourself with the right people. Progress compounds faster around people who share your values. For example, HASAN.VC’s community brings together angels, family offices and Waqf funds from across the world who support halal and Muslim-led startups.
2. Be in the right rooms. Online and in-person events let you learn how experienced founders and investors think, decide and handle real constraints.
3. Keep learning. Tools and markets change quickly. Courses, reading and hands-on practice keep your skills current.
4. Protect your focus. Halal income is built through consistency more than intensity. Set clear goals and ignore short-term noise.

Conclusion

Earning halal money online starts with real work: a skill people value, delivered honestly, outside what Islam prohibits. Choose your path carefully, build a presence people trust and manage what you earn with the same care.

Over time, stable income creates options. Eventually the question changes from “How do I earn?” to “Where should this money go?” If you want to explore that next step, our Venture Capital Fundamentals course and angel community are good places to start learning how halal capital can back businesses that do good.

Frequently asked questions

What does halal income mean in Islam?

Halal income is money earned through means Islamic law permits. It must be free from riba (interest), deception and gambling, and must not come from prohibited industries such as alcohol, pork, or immodest entertainment or lifestyle. It should come from honest, fair work.

How can I earn halal money online?

Use a skill people will pay for. The most common halal options are freelancing (writing, design, development, virtual assistance), online teaching, AI review work, selling halal physical or digital products, and content creation with honest affiliate partnerships. Once your income is stable, halal investing can add passive income.

What types of online income are haram?

Income is haram when it comes from interest, gambling or betting, leveraged trading that charges or pays interest, promoting haram products, pyramid-style recruitment schemes, or deception such as fake reviews and get-rich-quick scams.

Is affiliate marketing halal?

Affiliate marketing is generally considered halal when the product or service is permissible and you promote it honestly. The commission is treated as a brokerage fee for connecting a buyer with a seller. Avoid promoting interest-based financial products, gambling or anything else Islam prohibits.

Is earning from YouTube and other video platforms halal?

Earning from video content can be halal if the content itself is permissible. Scholars differ on ad revenue, because creators don’t fully control which ads appear. Sponsorships, memberships and selling your own products avoid that issue.

Is dropshipping halal?

Typical dropshipping raises a concern because you sell items you don’t yet own or possess. Many scholars allow it when it’s restructured, for example by acting as an agent who earns a commission, or by taking ownership before you sell. Check your specific model with a scholar.

Are online earning apps halal?

It depends on what the app pays you for. Apps that pay for real tasks, such as surveys, freelance gigs or tutoring, can be halal. Apps that reward chance, betting or recruiting other users usually aren’t. Check how the app makes its money before you sign up.

Can I earn halal money online without investing some money first?

Yes. Freelancing, tutoring, AI review work, content writing and virtual assistance need skill and time, not capital. That makes them good halal options for students and anyone starting from zero.

What are halal freelance opportunities?

Writing and editing, translation, graphic and web design, software development, virtual assistance and AI review work are all halal when the client and content are permissible. Marketplaces like Upwork and Freelancer.com are useful starting points, but vet each project you accept.

Can I earn passive halal income online?

Yes. Digital products like e-books and courses can keep selling after you’ve made them, and Shariah-screened stocks, funds, sukuk, property or private investments can produce returns from real assets. Make sure every platform and business you invest in is screened for Shariah compliance.

How do I set up a halal online business?

Choose a halal product or service, build a website or online store, avoid interest-based financing, market honestly, keep accurate records, and use Islamic or interest-free banking and payment tools.

How do I avoid haram earnings while working online?

Research clients and projects before you accept them, read platform terms, and look at how any business you join is financed. If its survival depends on interest-based borrowing or penalties, that’s a warning sign. When you’re unsure, ask a scholar.

When does it make sense to move from earning to investing?

After your income is stable, your obligations are covered and you have surplus you can commit for the long term. Investing from stability creates options. Investing under pressure creates risk.

Where can I connect with others pursuing halal income?

Muslim professional and entrepreneur networks, Islamic finance groups on LinkedIn, and halal investing events are good places to start. HASAN.VC’s angel community also meets online and in person.

The post How to Earn Halal Money Online: Practical Tips and Strategies appeared first on HASAN.VC.

The launch comes at a tight moment for Indonesian founders. Startup funding in Indonesia fell to US$355.7m across 91 deals in 2025, down from roughly US$6.9bn at the 2021 peak, according to DiscoveryShift’s Indonesia Startup Report 2026. Economic think tank Celios estimates that only about 10% of venture capital in the country’s digital economy comes from domestic sources, leaving founders reliant on foreign investors.

Demand is moving the other way. Muslim consumer spending across six real-economy sectors reached US$2.6T in 2024 and is projected to hit US$3.56T by 2029, according to the State of the Global Islamic Economy Report 2025/2026, which ranks Indonesia fourth globally. Bank Indonesia reports that the country’s halal value chain grew 5.5% year on year in Q2 2026, faster than the wider economy. With the phase-in period for mandatory halal certification of small businesses having ended on 17 October 2026, demand for compliance, traceability and supply-chain technology is set to rise.

I-HIVE is designed as a catalyst for Indonesia’s startup economy to revive itself from the ground up, built on the strength of unity: regulators, local and foreign investors, and founders working together.

I-HIVE organises the ecosystem along a single pipeline that takes startups from innovation and venture formation through incubation, halal and investment readiness, financing and market access, to scale. It connects eight groups of actors: policymakers and regulators, halal and Sharia assurance bodies, universities and research institutes, incubators and accelerators, investors, Islamic social finance institutions, industry players, and community and international networks.

I-HIVE will also run a sandbox for halal innovation and halal startups, in line with KNEKS’ roadmap for the halal startup ecosystem, which targets acceleration in 2026 and 2027 and scale by 2030.

“Indonesia’s halal startups already have products people want and a market of more than 200 million Muslim consumers. What holds many back is access to investors who understand Sharia-compliant business and will stay with them as they grow,” said Helma Agustiawan, Deputy Director of Islamic Business Incubation at KNEKS.

“I-HIVE puts regulators, investors and founders on one platform, so local, regional and Gulf capital can reach Indonesian innovators faster.”

HASAN.VC, an early-stage venture capital fund, is a founding collaborator and investment partner of I-HIVE. Its Labuan-domiciled fund is backed by a private group of angel investors, family offices and waqf (Islamic endowment) funds across Southeast Asia, the Gulf and North America. That model, many investors backing founders as one, reflects the collaboration and unity I-HIVE is built on.

With 15 Indonesian startups backed over the past two years, HASAN.VC is among the most active venture investors in the country, in a market that recorded 91 disclosed startup deals in all of 2025.

In 2024, HASAN.VC held its Jakarta Demo Day jointly with KNEKS’ Halal Startup Demo Day, drawing more than 200 potential investors to 18 halal startups from Indonesia, Malaysia and Singapore. HASAN.VC was the sole investor behind the Rp3.4bn in deals closed that year. As more investors have joined, deal value at the event rose to Rp21.1bn in 2025 and about Rp35bn (around US$2m) in 2026, a tenfold increase in two years, spanning investment and trade.

HASAN.VC aims to invest in two more Indonesian startups before the end of 2026 and plans to scale up its Indonesian investments in 2027.

“Indonesia has the founders, the market and now a more coordinated ecosystem,” said Umar Munshi, General Partner of HASAN.VC. “What its startups need most is patient capital that shares the risk with them. Through I-HIVE, we expect to bring more capital to Indonesian startups, and open doors to investors and the support they need to grow.”

Speaking on stage at the launch, Munshi also urged Indonesian investors to take part, noting that local participation gives investors abroad the confidence to commit. With only about 10% of venture capital in Indonesia’s digital economy coming from domestic sources, that local base still has room to grow.

Moria Ventures bridges Saudi and Indonesian capital

Fellow I-HIVE collaborator Moria Ventures, a Jakarta-based Islamic investment firm and KNEKS partner, connects investors in Saudi Arabia and the wider Gulf with Indonesian companies. After completing multiple project financing deals in Indonesia, Moria began venture investing six months ago and has already made two investments. HASAN.VC also invested in Moria Fund, Moria Ventures’ fintech business, an early sign of how I-HIVE’s partners are already building together.

“Saudi Arabia has the resources and the Vision 2030 mandate to deploy it. Indonesia has the world’s largest Muslim population and a fast-digitising economy,” said Husni M. Bajamal, Managing Partner of Moria Ventures. “I-HIVE gives us a stakeholder-backed structure to move capital, technology and talent in both directions.”

Speaking on stage at the launch, Moria Ventures founder Musab Bin Nosair said closer cultural understanding and alignment between the Gulf and Indonesia would make cross-border business smoother and more impactful.

From Europe, I-HIVE partner PUM Netherlands, founded in 1978 by the Dutch Ministry of Foreign Affairs and employers’ federation VNO-NCW, brings 1,200 volunteer experts who advise small and medium enterprises in more than 30 countries, opening European networks to I-HIVE’s founders.

ISEF 2026, Bank Indonesia’s annual Sharia economy festival, ran from 14 to 18 October at the Jakarta International Convention Center with more than 1,000 halal industry participants and over 100 activities.

About I-HIVE

The Indonesia Halal Innovation and Venture Ecosystem (I-HIVE) is a platform that strengthens Indonesian halal and Sharia-compliant startups at home by connecting them with local and global investors, incubation, halal certification support and market partners, so they grow into high-impact businesses in Indonesia and, from there, regionally and globally.

I-HIVE was launched on 14 October 2026 at the 13th Indonesia Sharia Economic Festival in Jakarta. Its 26 partners are Bank Indonesia; KNEKS; Bappenas; the Financial Services Authority (OJK); the National Research and Innovation Agency (BRIN); the Ministries of MSMEs, Industry, Creative Economy, Communication and Digital Affairs, and Foreign Affairs; Bank Syariah Indonesia; HASAN.VC; Moria Ventures; Founder+; Angin Advisory; the Indonesian Sharia Fintech Association (AFSI); the Indonesian Venture Capital and Startup Association (AMVESINDO); the Indonesian Business Incubator Association (AIBI); MIKTI; HIPMI Syariah; KPMI; Forum Wakaf Produktif; PUM Netherlands; Rahmania Foundation; Universitas Islam Internasional Indonesia (UIII); and FISIP Universitas Pasundan.

About HASAN.VC

HASAN.VC is a founder-focused venture capital fund dedicated to a better tomorrow by investing in Camel startups that are resilient and impactful. By identifying, nurturing, and investing in startup graduates of its Accelerator Program, HASAN.VC supports and amplifies ethical and halal business for humanity. Funded by an active community of angel investors, family offices and waqf funds spanning multiple continents, HASAN.VC’s mission is to uplift humanity by democratizing venture capital investment and channeling funds to halal or ethical tech startups from Southeast Asia and beyond.

Its Sharia advisor, Adl Advisory, supports the firm’s commitment to ethical and Sharia-compliant investment practices across its portfolio. For more information, visit www.hasan.vc.

About Moria Ventures

Moria Ventures is a Jakarta-based Islamic investment firm connecting Indonesia and the Gulf through venture capital, short-cycle project financing and venture building. For more information, visit moriaventures.com.

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For some investors, that may mean buying shares in screened companies. For others, it could mean investing in a fund, purchasing property, participating in a business partnership, or exploring sukuk. Each option has different requirements, risks, and levels of accessibility.

The challenge is knowing which options are available, how to evaluate them, and how to make informed decisions without compromising your financial goals or Shariah requirements.

This guide explains the principles of halal investing, compares the main investment options, outlines how to evaluate an opportunity, and explores how to build and maintain a portfolio. It also examines the role of private businesses and startups in the broader halal economy.

This article is for educational purposes only. It is not personal financial advice or a religious ruling. Consult a qualified financial adviser and, where appropriate, a qualified Shariah scholar before making investment decisions.

1. What Is Halal Investing?

Halal investing means allocating money to assets and businesses in accordance with Islamic finance principles. These principles influence which activities investors can support, how financial transactions are structured, and how returns are generated.

Several core principles provide the foundation.

Avoiding interest (riba). Islamic finance prohibits riba. Conventional interest-bearing loans and bonds therefore raise Shariah concerns. Returns from permissible commercial activities, such as rental income or business profits, are assessed according to the underlying contracts and their implementation.

Avoiding excessive uncertainty (gharar). Contracts should clearly establish the essential terms of a transaction, including the rights and obligations of the parties. Ordinary business uncertainty is not automatically prohibited; the concern is excessive uncertainty within the contract.

Avoiding gambling (maysir). Islamic finance prohibits gambling. Certain speculative transactions may raise Shariah concerns depending on their structure, including conventional derivatives and short selling under many scholarly approaches.

Avoiding prohibited business activities. Investments in businesses principally engaged in prohibited activities, such as gambling, alcohol, and conventional interest-based finance, generally fail the relevant business-activity screening criteria. The treatment of other sectors depends on the applicable methodology.

Respecting ownership and contractual obligations. Investors should understand what they own, what rights they receive, and how risks and returns are allocated. For example, musharakah is a partnership arrangement, while mudarabah involves one party providing capital and another managing the business, subject to the applicable contractual rules.

These principles do not mean every halal investment must have the same structure. Shares, property, sukuk, investment accounts, and private business investments involve different rights, obligations, and risk profiles.

Halal investing can also overlap with ethical and impact investing, but the concepts are not identical. Shariah compliance does not automatically mean an investment has a positive social impact, and an investment with positive social outcomes may still raise Shariah concerns.

One final distinction matters: an investment can meet a Shariah screening methodology without being financially suitable for every investor. Its risk, liquidity, fees, and potential for loss must also be assessed.

2. Start With Your Financial Goals

Before choosing an investment, determine what you want your money to achieve, when you may need it, and how much financial risk you can reasonably accept.

Your goals help determine which investment options are worth considering.

• Emergency savings and near-term expenses: Money needed for essential expenses or foreseeable commitments generally requires a strong focus on liquidity and capital preservation. An investment that is difficult to sell may not be appropriate for this purpose.
• Medium-term goals: Saving for a home deposit, education, or another planned expense requires balancing the time available against the possibility of losses and changes in investment value.
• Long-term wealth accumulation: Retirement savings and other long-term goals may allow greater exposure to investments whose values fluctuate. A longer investment horizon, however, does not eliminate the risk of loss.

Your financial position matters just as much. Consider your income stability, existing savings, outstanding obligations, investment experience, and ability to absorb losses.

It is also worth distinguishing between money you can afford to invest for several years and money you may need to access at short notice.

Once these boundaries are clear, you can compare halal investment options based on their actual characteristics rather than choosing an investment simply because it is popular or promises attractive returns.

3. What Are the Main Halal Investment Options?

There is no single investment that suits every halal investor. Available options differ in minimum investment amounts, accessibility, liquidity, risk, and the expertise required to evaluate them.

The main categories include the following.

Stocks and shares

Buying shares gives you an ownership interest in a company. Investors may benefit from increases in share prices and, where declared, dividends.

Stocks can provide exposure to business growth and are often accessible through regulated brokerage platforms. However, their prices can fluctuate significantly, and individual companies can lose substantial value.

For a stock to qualify under a particular Shariah screening methodology, its business activities and financial position must meet the applicable criteria. The transaction used to purchase and hold the shares must also be assessed appropriately.

Stocks may be suitable for investors who want exposure to publicly traded businesses and are willing to monitor their investments or use a screening service.

Halal mutual funds and exchange-traded funds (ETFs)

Funds pool money from multiple investors and invest according to a defined strategy. Shariah-screened funds can simplify investing by applying a stated screening methodology to their holdings.

A fund may provide exposure to multiple companies, reducing dependence on any single business. However, diversification does not eliminate market risk.

Before investing, examine the fund’s holdings, fees, screening methodology, Shariah oversight, purification policy, and risk disclosures. Also confirm that the product is available to you and understand any minimum investment requirements.

For many beginners, a screened fund may be a more manageable starting point than selecting and monitoring individual stocks.

Sukuk

Sukuk are investment certificates structured in accordance with Islamic finance principles. Depending on the structure, they may represent ownership interests or rights associated with assets, services, or investment activities.

Governments and corporations commonly issue sukuk to raise capital. Investors receive returns according to the underlying contractual arrangements, which differ from conventional interest-bearing bonds.

However, sukuk are not exclusively for large institutional investors, nor are all sukuk accessible to ordinary individuals.

Many issuances are designed for institutional or professional investors and may have large minimum denominations or restrictions on participation. Other issuances are designed for retail investors. For example, the UAE introduced a sovereign retail Treasury Sukuk programme in 2026 that allowed eligible individuals to participate with a minimum subscription of AED 1,000. Access and terms depend on the particular programme and issuance.

Before considering sukuk, check the minimum investment, investor eligibility, underlying structure, credit and market risks, fees, and available exit options. Some sukuk are traded in secondary markets, while others may be difficult to sell when you need your money.

A sukuk’s Shariah structure does not automatically make it risk-free, liquid, or suitable for every investor.

Real estate

Property can generate rental income and may appreciate in value. Its Shariah assessment depends on factors such as the property’s use, financing arrangement, and the contracts governing the investment.

Conventional interest-based mortgages raise riba concerns. Structures such as ijarah and diminishing musharakah may be used in Shariah-compliant property financing when properly structured and implemented.

Property ownership also involves practical challenges. Purchasing a property can require substantial capital, and maintenance, taxes, vacancies, and transaction costs can affect returns. Selling property may take considerable time.

Investors who cannot afford direct ownership may encounter other property investment structures, but these should be evaluated according to their actual legal, financial, and Shariah characteristics.

Islamic investment accounts

Some Islamic financial institutions offer investment accounts based on mudarabah or other structures. Returns depend on the contractual arrangement and the performance of the underlying investments.

These accounts should not automatically be treated as equivalent to conventional savings accounts paying guaranteed interest. Investors should understand how profits are calculated, how losses are allocated, whether any capital protection applies, and what conditions govern withdrawals.

Availability, minimum deposits, and product terms differ between providers and jurisdictions.

Private businesses and startups

Investing in a private business means participating in a company that is not publicly traded. This may involve buying equity directly, entering a partnership, investing through an angel network, or participating through a professionally managed investment vehicle.

For halal investors, private businesses can provide a way to support companies developing products and services for the halal economy. Examples may include healthcare, education, consumer technology, and financial services.

However, private investments can be difficult to sell, require a long holding period, and result in a complete loss of capital. Investors may also have limited information and influence over the company’s decisions.

The Shariah assessment depends on the business activities, financing arrangements, contractual structure, and applicable screening requirements.

Private-market investing is therefore not simply another substitute for a publicly traded stock or fund. It requires a different approach to due diligence and risk management.

Comparing the main investment options

This comparison is a starting point rather than a universal ranking. The actual characteristics of a product depend on its structure and the market in which it is offered.

For a broader introduction to investment choices, see HASAN.VC’s guide, Where Can Muslims Invest Money? Halal Investment Options Explained.

4. How to Evaluate a Halal Investment

Although different investments require different technical assessments, a common evaluation framework can help you make more informed decisions.

Step 1: Understand the underlying business or asset

Start by identifying what the investment actually represents.

If you are buying shares, examine the company’s business activities, sources of revenue, and financial position.

If you are considering property, understand the asset, its intended use, financing arrangement, and associated costs.

If you are evaluating a fund, review its mandate, holdings, fees, and investment process.

For a private business, examine its business model, customers, revenue sources, financing arrangements, and investment documentation.

Do not rely solely on the product name or the description used by a broker or investment platform.

Step 2: Review the contractual structure

Understand the rights and obligations attached to your investment.

What do you own? How are returns generated? Who bears particular risks? What happens if the business underperforms? Can you exit, and under what conditions?

These questions are especially important for sukuk, investment accounts, private partnerships, and other products where the contractual structure determines the investor’s rights.

Step 3: Apply the relevant Shariah criteria

Determine which methodology or scholarly guidance applies to the investment.

For listed stocks, this usually involves business-activity screening and financial-ratio screening. For other investments, the analysis may focus more heavily on the underlying contracts, financing arrangements, assets, and permissible uses of funds.

Where a recognized standard or screening service is available, understand its criteria and limitations. If the investment does not fit a standard framework, qualified Shariah guidance may be necessary.

Step 4: Assess financial suitability

Shariah permissibility and financial suitability are separate questions.

Evaluate the potential for loss, liquidity, fees, concentration risk, and the investment’s compatibility with your goals.

A business may be permissible to invest in but financially weak. A sukuk may meet Shariah requirements but still carry credit risk. A fund may be diversified but unsuitable for money you need next month.

Make the decision using both assessments.

Step 5: Understand the monitoring requirements

Find out how frequently the investment’s status is reviewed, what information is available, and what happens if circumstances change.

For listed stocks, this may include periodic financial screening and purification guidance. For funds, review the manager’s reporting and oversight arrangements. For private businesses, understand the reporting rights and ongoing obligations established in the investment documents.

A sound investment process accounts for changes after the initial purchase, not just the conditions on the day you invest.

5. Screening Investments for Halal Compliance

Stock screening deserves particular attention because listed companies may combine permissible business activities with interest-bearing debt, interest income, or revenue from activities outside the criteria of a particular Shariah methodology.

Business activity screening

The first stage examines what the company does.

Companies principally engaged in prohibited activities generally fail the relevant business-activity screen. Depending on the methodology, mixed business activities and particular industries may require additional analysis.

Financial screening

The second stage evaluates financial ratios. These may examine interest-bearing debt, cash and interest-bearing securities, and income from non-permissible sources.

AAOIFI’s Shariah Standard No. 21 is a widely referenced standard for shares. Other providers, including global index providers, publish their own screening methodologies.

The thresholds, denominators, and calculation methods are not identical across all frameworks. As a result, the same company can receive different screening classifications depending on the methodology and data used.

Investors should consult the relevant standard or provider rather than treating a single ratio as a universal rule.

Official reference: AAOIFI Shariah Standards.

A practical stock-screening process

1. Choose a screening methodology that you understand and intend to follow.
2. Review the company’s main business activities and revenue sources.
3. Check its financial ratios using the chosen methodology.
4. Use a screening tool or published index constituents where appropriate, and verify which standard the tool follows.
5. Understand the trading arrangements you intend to use. Margin borrowing, short selling, and conventional options raise Shariah concerns under many scholarly approaches.
6. Follow the applicable guidance on purification of non-permissible income, where required.
7. Recheck the investment periodically, especially when financial results or business activities change.

Financial ratios can change even when the company’s business model remains broadly similar. For example, a ratio measured against market capitalization may rise if the share price falls while debt remains unchanged.

Screening tools can make this process easier, but their results should be understood in the context of their methodology and review schedule.

6. Build a Portfolio That Fits Your Circumstances

Once you understand the available options, consider how they fit together.

Diversification can reduce dependence on a single company, sector, or asset class, although it does not eliminate risk. A suitable portfolio should reflect your financial goals, time horizon, liquidity needs, and capacity to absorb losses.

Some investors may prefer screened funds because they offer exposure to multiple listed companies. Others may combine stocks with sukuk or property, where appropriate products are available and their risks fit the investor’s needs.

Private-market investments require particular caution. Investing in startups can provide exposure to business growth, but it is fundamentally different from holding a diversified portfolio of publicly traded securities. Investors may have limited liquidity, limited control, and a long wait before an investment produces a return, if it does at all.

For that reason, private investments should be evaluated in the context of the investor’s overall financial position rather than included simply to make a portfolio appear more diversified.

There is no universal allocation that every halal investor should follow. The right approach depends on the investor and the actual investments available.

7. Know When to Seek Professional Guidance

Financial and Shariah guidance can help resolve different types of questions.

A licensed financial adviser can assess investment suitability, financial objectives, risk tolerance, and portfolio construction within the scope of their authorization.

A qualified Shariah scholar or supervisory board can advise on the permissibility of investment structures, contracts, and business activities within the relevant scholarly framework.

These roles complement one another. A Shariah assessment does not establish that an investment is financially suitable, and financial advice alone does not establish Shariah permissibility.

When evaluating an adviser or investment provider, consider their qualifications, the standards they follow, fees, potential conflicts of interest, reporting practices, and the clarity of their explanations.

For unfamiliar private investments or products with complex contractual arrangements, seek appropriate guidance before committing capital.

8. Monitor Your Investments Over Time

Halal investing is an ongoing process. A company’s activities may change, a financial ratio may move outside a screening threshold, or a fund may change its holdings or methodology.

Your review should cover four areas:

• Shariah status: Check whether the investment continues to meet the applicable criteria and follow relevant purification guidance.
• Financial performance: Assess whether the investment continues to fit your goals and whether its risk profile has changed.
• Portfolio balance: Review diversification, liquidity, and your ability to meet upcoming financial obligations.
• Provider reporting: If you invest through a fund or other managed product, understand what information the provider supplies about performance, risks, holdings, and Shariah oversight.

The appropriate review schedule depends on the investment. Listed securities may be reviewed using updated screening data, while private businesses require attention to financial reporting, business developments, and the rights established in the investment documents.

The objective is to remain informed and respond appropriately to material changes, rather than reacting to every market movement.

9. Continue Learning About Halal Investing

Halal investing brings together financial analysis, contractual understanding, and Shariah principles. Continued learning can help you evaluate opportunities more carefully and ask better questions.

Useful resources include:

• Shariah standards: Review AAOIFI’s published standards to understand the framework relevant to your investment.
• Investment methodologies: Read the published screening rules of the provider behind any halal index or fund you use.
• Venture capital education: HASAN.VC’s Venture Capital Fundamentals course introduces the mechanics of early-stage investing.
• Islamic economic history: Read The Islamic Economy in History: What It Can Teach Us About Venture Capital to explore the relationship between commercial principles and contemporary venture capital.

Choose resources according to the decisions you need to make. Understanding the terms of a particular investment or the methodology used to screen it may be more valuable than reading another general introduction.

Frequently Asked Questions About Halal Investing

What is halal investing?

Halal investing means allocating money to assets and businesses in accordance with Islamic finance principles. It requires evaluating business activities, contractual arrangements, and applicable Shariah criteria.

What are the main halal investment options?

Common options include screened stocks, halal mutual funds and ETFs, sukuk, appropriately structured real estate investments, Islamic investment accounts, and private businesses or startups. Their availability, accessibility, risks, and minimum investment requirements vary.

Are sukuk only for institutional investors?

No. Many sukuk issuances target institutional or professional investors, but some governments and other issuers offer products designed for retail investors. Minimum investments, eligibility requirements, and liquidity depend on the specific issuance and jurisdiction.

How do I know if a stock is halal?

Evaluate the company’s business activities and financial ratios against a recognized screening methodology. Understand the applicable thresholds, calculation methods, and review schedule. Different methodologies may produce different results.

Are halal investments risk-free?

No. Shariah compliance does not eliminate financial risk. Stocks can lose value, sukuk can involve credit and market risk, property can be difficult to sell, and private businesses can fail. Both permissibility and financial suitability must be considered.

Do I need to purify dividends from halal stocks?

Some screening methodologies require purification when a company earns a limited amount of non-permissible income but remains eligible for investment. Follow the relevant methodology and qualified guidance rather than assuming the same calculation applies to every investment.

Is investing in startups a halal option?

Startup investing can be permissible when the business activities, investment contracts, financing arrangements, and other relevant conditions meet the applicable Shariah requirements. Each opportunity must be assessed individually. Startup investments also carry substantial financial risk and may be difficult to sell.

Is halal investing the same as ethical investing?

No. Halal investing follows principles rooted in Islamic finance, while ethical investing is a broader category that may use different values and screening criteria. The two can overlap, but neither automatically guarantees the other.

Conclusion: Make Informed Halal Investment Decisions

Investing in a halal way begins with understanding what you are investing in, how the investment works, and which Shariah criteria apply. It also requires considering whether the investment fits your financial goals, liquidity needs, and capacity for risk.

There is no single investment option that suits everyone. Stocks and funds may provide access to publicly traded businesses, sukuk may be available to institutional or retail investors depending on the issuance, property requires attention to financing and liquidity, and private businesses offer a different set of opportunities and risks.

For investors interested in private markets, venture capital provides a way to participate in the development of businesses, including companies serving the halal economy. It is not a substitute for every other investment type, and it requires careful due diligence and a willingness to accept substantial risk.

HASAN.VC operates at the intersection of venture capital, entrepreneurship, and the halal economy. If you want to learn more about the firm’s investor community and activities, explore the HASAN.VC Angel Network and review the relevant participation requirements and investment information.

For founders building halal and ethical businesses, our guide to funding and scaling a halal startup explores the other side of the relationship between capital and entrepreneurship.

Ultimately, a sound halal investment decision should answer three questions: Does the investment meet the Shariah framework I follow? Does it suit my financial circumstances and risk tolerance? And do I understand the rights, obligations, and risks involved?

Answering all three provides a stronger foundation for informed investing than relying on a label alone.

The post How to Invest in a Halal Way: A Step-by-Step Guide appeared first on HASAN.VC.

HASAN.VC’s first-ever Impact Report reveals a radically different approach to early-stage investing, one that’s producing remarkable results across Southeast Asia and beyond. 

As the #1 Most Active VC in Southeast Asia and #3 globally in the Islamic Digital Economy (per Salaam Gateway’s 2024 ranking of the most active VCs in the Islamic digital economy), we’re here to prove that ethical investing and strong performance aren’t mutually exclusive.

The Camel Manifesto: A Different Philosophy

Inspired by the camel’s ability to survive harsh, uncertain conditions, we invest in resilient and sustainable early-stage startups over wannabe unicorns chasing hyper-growth. This isn’t just philosophy, it’s producing measurable outcomes:

• 91% of our alumni startups remain active: a remarkable survival rate in an environment where early-stage startups failure rates are high
• 71% are in active growth phase, scaling operations sustainably
• 16% have crossed $100k in annual revenue, with outliers reaching $700k

But what’s most telling? Our founders report an average score of 4.25/5 for feeling “at peace” and “aligned” after adopting the halal worldview and Camel-based approach. That’s the power of building with purpose.

From Singapore to Saudi Arabia: A Global Movement

Our accelerator program has supported 120+ startups across 3 cohorts, with founders from 14 different countries. From Malaysia and Indonesia to Saudi Arabia, Canada, and beyond, this is truly a global movement of values-aligned entrepreneurship.

Behind these founders stands an equally diverse investor community: 60+ angel investors from 16 countries who bring capital, domain expertise in technology, finance, healthcare, and more. This is smart money that opens doors, builds relationships, and provides strategic guidance.

Portfolio Impact: Where Values Meet Value

This report features these case studies of portfolio startups delivering both social impact and financial returns:

• Qara’a: Over 1.6 million students learning Qur’an through AI-powered feedback
• HealthPro: 50+ health facilities empowered, 500,000+ patients served with improved care
• GoTechUp: 50,000+ students gaining hands-on STEM skills through gamified learning

Each represents a different approach to solving real problems for underserved communities, and each is building sustainable revenue models from day one.

Why This Report Matters

Whether you’re:

• A founder considering applying to our accelerator
• An investor looking to align your portfolio with your values
• An ecosystem builder curious about alternative models for startup building
• A researcher studying Islamic finance and ethical investing

This report offers unique insights from our lived experience.

What You’ll Find in the Full Report:

 ✓ Operational health metrics and financial performance data
✓ Geographic breakdown of startups and investors
✓ Portfolio startups’ impact stories with hard numbers
✓ Founder testimonials on their transformation journey
✓ Investor perspectives on ethical venture investing
✓ Our Camel Manifesto and investment philosophy

Join the Movement

This is only the beginning. We’re building an ecosystem that prioritizes integrity and purpose, always. Whether you’re ready to start a company, back a founder, or simply want to learn more about our work and community, we’d love to connect.

Explore opportunities:

• Apply to Join Our Private Angel Group
• Join The Halal Startups Open Community Group Chat

Together, we build a legacy. Invest in the future, for eternity.

The post Building Camels, Not Unicorns: HASAN.VC’s 2024-2025 Impact Report appeared first on HASAN.VC.

In this article, we dive intoHalal VC, an emerging area in Islamic finance and a highly impactful form of Shariah-compliant investing. Halal VC has fast become relevant for practicing Muslims and the broader ethical economy movement, and what the digital AI future holds.

What “Halal VC” Means

Halal literally means “permissible” under Islamic law or the Shariah, which is derived from the holy Quran and Hadith.. In financial terms, Halal venture capital refers to investing in startups in ways that do not violate key Islamic finance principles. These include:

• No interest (riba): Investments should not have any lending with interest.
• Excessive uncertainty or speculation (gharar): business models or contracts should avoid high ambiguity or gambling-like dynamics.
• Avoiding haram industries: underlying business in sectors involved with alcohol, gambling, conventional financial services (due to interest), tobacco, weapons, or anything clearly prohibited under Shariah.
• Profit-and-loss sharing: Participation-based partnership models ( mudarabah, musharakah) are preferred over debt-based ones.
• Ethical operations include honesty, transparency, fairness, stewardship, social welfare, not causing harm to people or the environment, and treating workers fairly.

Halal VC is more than a filter; it’s a holistic approach. It’s an ethical paradigm. It involves choosing how to invest, who to invest in, and how the contracts are structured so that the returns are acceptable under faith and ethics, not just profits.

How It Differs from Conventional Venture Capital

Here are some key contrasts between conventional VC and Halal VC:

Why Halal VC Is More Important Now

The desire to invest is driven by high inflation and better education. At the same time, public stock trading has seen a decline in demand and sentiment due to the perception that it is manipulated (See Oxford Study: Retail investors are amateurs in a high-stakes market: they cannot win) and due to the involvement of Bigtechs in various issues and scandals.

Additionally, several forces are pushing growth in the VC and startup space. There is a rising demand for ethical, sustainable, faith-aligned investing in Muslim-majority economies and globally. Here are some of the drivers and recent data:

• Growth of Islamic finance globally: The global Islamic finance market had about US$4 trillion in assets in 2024, expected to exceed US$7.7 trillion by 2033.
• Shariah-compliant investment products are multiplying: fintech apps and platforms, Web3 apps, alternative finance, real estate, , sukuk, takaful, and ethical funds are expanding. 
• Startup and VC activity in Muslim markets is rising in some places, although unevenly:
• In MENA, total startup investment dropped about 42% in 2024 compared to 2023, but the number of deals remained stable and equity-based deals (excluding debt) dropped less sharply. Finance Middle East
• UAE regained its lead in 2024 with about US$1.1 billion invested across ~207 deals. Saudi Arabia followed with US$700 million in ~186 deals. Egypt raised US$334 million across 84 deals.
• Türkiye’s startup investment volume surged about fivefold in 2024 to US$2.6 billion, up from around US$500 million in 2023. Fintech, biotech, and AI were among the leading sectors. muslimnetwork.tv
• Ethical & impact investing is trending globally, especially after COVID, climate pressures and rising inequality. Investors are more aware that financial returns aren’t the only measure; environment, social governance (ESG) factors, halal and ethical alignment are equally or even more important for many. 
• The Islamic digital economy observed strong activity among startups in 2024-2025: hundreds of deals and investments, mostly in the early stages. Sectors like halal e-commerce, Islamic fintech, edtech, healthtech and AI-driven halal products are getting funded.

These trends show an upward trajectory for both supply and demand as more entrepreneurs build startups that meet ethical or Halal criteria, and more investors looking for such opportunities.

Examples

Here are some examples that illustrate Halal VC and Muslim countries:

• Takadao: A Halal Singapore-Saudi fintech that is building Web3 community-owned alternatives to traditional finance. The startup recently secured US$1.5 million in seed funding from HASAN.VC and investors from France, the UK, Japan, Saudi Arabia, and the US, bringing its total funding to US$3.1 million. With products like The LifeDAO and the newly launched LifeCard bridging stablecoin wealth with real-world spending, Takadao demonstrates how ethically aligned, halal-first innovation continues to attract international capital and validate the global demand for “Muslim-friendly” and halal financial solutions.
• Saudi Arabia: In April 2025, Saudi startups raised US$158.5 million across eight deals, more than two-thirds of all startup funding in MENA that month. The strong performance signals investor confidence in Saudi’s startup ecosystem.

How Halal VC Supports Social & Economic Value

Halal VC isn’t just about avoiding what’s wrong, but about proactively doing good. Here’s how:

1. Community & social impact built in: Startups that serve Muslim consumers often tackle real needs—halal food supply chains, faith-tech, education, community services, ethical lifestyle platforms, etc. These tend to have built-in positive social externalities.
2. Encouraging fairness and equity: Because of the profit-loss sharing model, there is often more alignment between founders and investors (less “debt burden”). Also, ethical constraints push toward transparency in operations.
3. Financial inclusion: In many Muslim countries large parts of the population are underserved by conventional banking/finance due to lack of Shariah-compliant options. Halal VC, halal fintech, sukuk, etc., can help bring access to capital and financial services in ways people feel comfortable with.
4. Sustainable/ethical business models: Given the constraints (avoidance of harmful industries, risk of wrongdoing etc.), many halal-aligned businesses tend to factor in environmental, social governance (ESG) type concerns more naturally.
5. Building trustworthy brand & consumer loyalty: In Muslim markets, products and services perceived as halal and ethically sound can win consumer trust and loyalty in a way that purely profit-driven products may not. That can translate into durable long-term businesses.

Challenges & What Needs Careful Attention

It’s not all smooth sailing. These are some of the challenges the Halal VC space faces:

• Clarity & standardization of Shariah compliance: Different scholars / advisory boards may interpret rules differently. What’s “acceptable debt level,” or what’s “haram business involvement indirectly” can vary. Investors and startups need clear, trusted certification or advisory mechanisms. For example, the popular SAFE note used for early-stage investing has potential Shariah issues due to its debt-like nature.
• Returns vs constraints trade-off: Because certain business models, industries, or instruments are off limits, the investment universe is narrower. That can limit diversification in those acceptable sectors.
• Product structures & legal nuance: Some conventional VC terms (convertible notes, preference shares, liquidation preferences, guaranteed minimum returns) may conflict with Shariah principles. Structuring deals that satisfy both investor expectations and religious/ethical constraints requires creativity, legal work, and sometimes compromise.
• Regulatory & tax environments: In many Muslim majority countries, the legal and regulatory frameworks for Islamic finance may be more mature for banking and sukuk and less so for VC / startup funding. There may be tax disadvantages, foreign investment restrictions, or legal uncertainties. In some countries, there may be tax benefits.
• Awareness & capacity: Founders may not always understand what makes an investment Halal; investors outside the community may not fully appreciate or demand the specific structures. Talent and capital for halal-aligned startups can be harder to access if the ecosystem is underdeveloped.

The Future of Halal VC: Opportunities & Why Global Investors Are Paying Attention

So where is this going? And why should global investors (not just those in Muslim markets) be watching this space?

1. Growing markets + population dynamics
   The Muslim population is large and young. Consumer demand in Muslim-majority countries (in Southeast Asia, South Asia, the Middle East, and Africa) is expanding quickly. As incomes rise, more people seek products and services that align with both modernity and their faith/values.
   
2. Ethical finance is becoming mainstream.
   ESG, impact investing, ethical finance, etc., are no longer fringe ideas. Institutional investors, sovereign wealth funds, and pension funds in the West are increasingly incorporating values, sustainability, and impact. Halal VC fits into that paradigm neatly.
   
3. Innovation & fintech to unlock new models
   Technology (fintech, blockchain, digital platforms) can lower costs, improve transparency, allow for new deal structures that align with Shariah. Tools for screening, for certification, for profit-sharing contracts over smart contracts etc.
   
4. Cross-border investment potential
   Investors in non-Muslim majority countries are interested in halal or ethical funds, both for faith-based investors and for general ethical/inclusion appeals. That means capital flows from outside the Muslim world into halal-aligned startups will likely increase.
   
5. Regulations & institutional support catching up
   Governments in several countries are pushing to strengthen their Islamic finance sectors, harmonise standards, and provide incentives. This helps reduce friction for Halal VC.

Conclusion: Where We Might Be Headed

Halal VC stands at an intersection of faith, ethics, and growth. As more entrepreneurs build startups that not only aim to scale fast but also to do good both for their communities and for the planet Halal VC offers a framework for investing that feels more aligned, more responsible, and with its own kind of long-term value.

Global investors are waking up to the opportunity: there is demand, there is value, and there is increasing clarity on how to do it properly. For Halal VC to thrive, though, the ecosystem needs stronger standards, better deal structures, more awareness, and legal/regulatory support.

If you’re an entrepreneur, investor, or simply someone who cares about values in finance, this moment is exciting. Halal VC isn’t just a niche for Muslims, it’s part of the future of ethical capitalism itself.

The post What Is Halal Venture Capital? The Future of Ethical Investing in Muslim Markets appeared first on HASAN.VC.

Do early-stage startups actually need to invest in branding?

Yes, but “invest” doesn’t mean “spend big.” Hassan is direct about this on Episode 1 of Camels vs Unicorns: branding is crucial at every stage, but the scale of the exercise should match the scale of the business. A two-person startup with one simple product doesn’t need the same branding process as a funded company managing multiple product lines.

How much should a startup spend on branding, based on budget?

Hassan’s framework is scaled directly to what a founder actually has to spend:

• $0 budget: Find a friend of a friend who’s a brand strategist and work out a deal. It could be equity, a favor, or a trade, rather than walking away with no brand direction at all.
• A modest budget (a few hundred to a few thousand dollars): Spend what you have on a basic, focused exercise – audience, name, logo, core messaging – nothing more elaborate than the business currently needs.
• A serious budget (tens of thousands and up): Bring in a more experienced brand strategist and go deeper – full brand identity, positioning, and messaging built to scale with the company.
• A corporate budget (six or seven figures): Spend accordingly, with a full agency engagement and a brand architecture built for multiple product lines or sub-brands.

As Hassan puts it: “If your budget is a million dollars, spend a million.” The size of the spend should follow the size of the business, not the other way around.

How long should a branding discovery session actually take?

Anywhere from one hour to one week, depending on what’s being built. A very simple product with a narrow, easy-to-define audience might only need a single, quick discovery session. A larger company with multiple audience segments and a more complex product can justify a much longer process, up to a full week of discovery work before any logo gets designed.

The mistake most startup founders end up making isn’t spending too little time on branding at the earliest stage, it’s skipping the basic discovery questions altogether and jumping straight to a logo.

When should a startup rebrand?

The clearest signal is a mismatch between how the brand looks and what the business has actually become. Hassan describes it as still wearing “the mask of how it was when it was just two people and one product” long after the company has outgrown that stage. When a startup reaches that point, particularly one managing multiple products or lines, it may need more than a refresh: a full brand architecture, with a main brand and defined sub-brands underneath it.

What should founders actually get out of a basic branding exercise?

At minimum, clarity on the audience and their pain points, not necessarily a polished visual identity. Hassan’s example is a Shariah-compliant fintech startup targeting a technical audience in Pakistan: the wrong branding move would be soft colors and decorative script, because that visual language doesn’t match a technically minded audience that relates to the UX/UI conventions and tone it already knows. 

The basic questions (who’s the audience, what’s the pain point, how do they talk) determine the visual direction far more than personal taste does.

The bottom line

There’s no universal branding budget. The right spend is whatever matches your current stage which could be a solo founder finding a friend willing to help, a small startup doing a focused one-hour session, or a funded company running a full week of discovery work. 

What stays constant at every budget level is the same starting question: who is this actually for, and what do they need to hear?

Once you’ve locked in your budget and direction, the harder branding question is often how explicit that identity should be. Check out should your Muslim startup’s brand be Islamic or neutral? for that. 

And for the broader philosophy behind spending lean and building for survival, see HASAN.VC’s Camel Manifesto.

This is one idea from a much wider conversation, watch the full episode above for Mohammed Hassan’s take on Islamic design principles, personal branding, and how AI is changing the creative industry.

Camels vs Unicorns, hosted by Umar Munshi, features conversations with founders and investors building profitable, values-driven businesses across fintech, AI, and impact investing, proving that sustainable growth is the way forward. Subscribe to listen today.

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The caravan merchant needed financing for a journey across the desert. A merchant in a marketplace needed working capital to purchase goods. An industrialist needed capital to build a factory. Today, an entrepreneur may need millions of dollars to develop software, build a biotechnology platform, or scale a global marketplace.

The instruments change.
The technologies change.
The institutions change.

But the fundamental questions do not.

Who owns the capital? Who bears the risk? What gives someone a legitimate claim to a return? What obligations arise between the parties? What constitutes a fair contract? And what happens when financial activity becomes detached from the productive activity it is supposed to serve?

These are not questions invented by modern finance. They have accompanied human commerce for centuries.

This is what makes the Islamic economy in history particularly relevant to the conversation around venture capital today. Not because Muslims in the past possessed an early version of modern capitalism or venture capital. They did not. Nor is the purpose of looking back to find historical equivalents for every modern financial instrument.

The deeper value lies in something else. Islam established principles governing economic activity that remain relevant even as the circumstances of economic life changed. Markets evolve. New businesses emerge. Different contracts can develop. Technology will transform commerce.

The forms can change.
The principles endure.

That distinction offers a useful way to think about capital, entrepreneurship and venture investing today.

A Commercial World, Not an Economic Blank Slate

The Arabia in which Islam emerged was already commercially active.

Mecca was connected to regional trade networks, and Quraysh merchants participated in caravan commerce. The Prophet Muhammad ﷺ himself had experience in trade before his prophethood. Historical scholarship also identifies forms of commercial partnerships in which capital and entrepreneurial agency could be separated, practices that were subsequently developed within Islamic jurisprudence.

Islam therefore did not arrive to eliminate commerce or replace an economic vacuum with an entirely new system. It did not condemn the pursuit of wealth.

The Qur’an speaks extensively about trade, property, contracts, debts, inheritance and commercial exchange. It permits trade while prohibiting riba (usury or interest), and it prohibits consuming one another’s wealth unjustly while recognizing legitimate trade by mutual consent.

The point was not to eliminate markets, it was to govern them.

That distinction matters.

A market can allocate resources efficiently while still permitting deception. A contract can be legally sophisticated while still producing an unjust outcome. An investment can generate a financial return while contributing little to productive economic activity.

Islamic economic thought therefore places commerce within a broader moral and legal framework.

Profit, ownership and wealth creation are encouraged, with conditions – how wealth is created, exchanged and deployed matters.

Justice, honesty, consent, contractual responsibility, legitimate ownership and avoidance of exploitation are not external considerations added after the economic transaction. They are part of the framework within which the transaction is judged.

Principles, Not Fixed Forms

This is where Islamic commercial law becomes particularly interesting.

Islamic economic thought does not require every legitimate transaction to have existed in precisely the same form in the past. The world of commerce changes. New goods appear, new technologies emerge and new ways of organizing businesses and capital become possible.

A well-known juristic maxim in Islam captures this flexibility:

الأصل في المعاملات الإباحة 

Al-aṣl fī al-muʿāmalāt al-ibāḥah — the basic principle concerning transactions is permissibility.

The maxim appears in different formulations within the juristic tradition, and scholars have discussed its scope and evidentiary basis. But its broader significance is important: ordinary commercial transactions are fundamentally open to human arrangement unless a valid basis establishes prohibition.

That means Islamic law does not need to predict every future business model in advance.

Human beings can innovate. They can establish new businesses, create new contractual arrangements, develop new technologies and organize capital in new ways.

The question is not:

“Did Muslims in the past have this exact financial instrument?”

The real question is:

“What is this transaction, economically and legally, and does it conform to the principles governing permissible economic activity?”

This distinction is essential.

A modern startup did not exist in the form we know it today in classical Muslim societies. Neither did a venture capital fund, a preferred equity round, a SAFE or a digital investment platform.

That does not make innovation inherently incompatible with Islamic finance. It means the innovation must be examined according to its substance, contracts, rights, obligations, incentives and economic consequences.

• Is the underlying activity permissible?
• Are the parties genuinely consenting?
• Are ownership rights clear?
• Are contractual obligations understood?
• Is there deception?
• Does the arrangement involve prohibited riba or excessive gharar (uncertainty/ lack of clarity)?
• Are the risks appropriately allocated?
• Does the financial structure support legitimate economic activity?

These questions allow economic innovation without abandoning ethical boundaries. Hence, in this sense, Islamic finance need not be a search for historical replicas. It can be a framework for evaluating the future.

Capital, Ownership and Enterprise

One of the most revealing examples from Islamic commercial history is muḍārabah, also associated with qirāḍ or muqāraḍah in different contexts.

Its basic structure separates two contributions: One party provides capital while another provides entrepreneurial effort and management.

The parties agree how profits will be divided. In the standard structure, financial loss is borne by the capital provider, while the entrepreneur loses the value of the effort invested, unless the loss results from negligence, misconduct or breach of the agreed terms.

Calling muḍārabah “venture capital” would misstate the historical record. There were no venture funds, startup cap tables, preferred shares, or modern corporate governance structures in it, only a contractual institution in which one party supplied capital and another supplied entrepreneurial effort and management.

Still, the historical institution illustrates an important principle: capital and entrepreneurial effort can be different contributions to the same economic enterprise.

That principle remains highly relevant.

Modern venture capital addresses a similar economic problem. If you’re the entrepreneur, you may have the expertise, vision, network, and determination to build a company, just not the capital to do it. If you’re the investor, you may have the capital, just not the time, network, or ability to deploy it effectively yourself.

Venture capital brings these different contributions together.

The investor accepts the uncertainty of the venture in exchange for an ownership interest and exposure to the potential future value of the company. The founder contributes time, expertise, and execution. Both parties are connected to the outcome of the enterprise, although their contributions, rights, risks, and returns may differ depending on the investment structure.

Again, this does not make venture capital automatically Shariah-compliant. Modern investment structures contain complex terms, rights, preferences, and financial arrangements that require careful examination. Equity ownership alone does not settle every Shariah question.

The point is more fundamental. Venture capital raises questions about capital, entrepreneurial effort, ownership, risk, and profit that Islamic commercial jurisprudence has long taken seriously.

• What does each party actually own?
• What has each party contributed, capital or effort?
• What exactly has been promised, and to whom?
• Who absorbs the downside if the venture fails?
• Who shares in the upside if it succeeds?
• What real economic activity stands behind the financial claim?

They are investment questions as much as historical ones.

Risk Is Part of the Enterprise

Venture capital exists because the future is uncertain. The entrepreneur does not know whether customers will adopt the product. The investor does not know whether the company will reach scale. Technology can change, competitors can emerge and assumptions can prove wrong.

The investor commits capital despite this uncertainty because the potential upside can justify the risk.

Islamic commercial principles do not seek to eliminate uncertainty from economic life. Commerce itself necessarily involves uncertainty. What Islamic jurisprudence addresses is gharar: problematic or excessive uncertainty and ambiguity that can undermine the fairness and clarity of a transaction.

That distinction is important. A startup cannot provide certainty about its future, nor should it be expected to. The relevant question is whether the parties understand the nature of the transaction, and whether the uncertainty is an inherent part of legitimate entrepreneurial activity or instead arises from an unfair or excessively ambiguous contractual arrangement.

This creates an important distinction between entrepreneurial risk and problematic contractual uncertainty. As an investor, that distinction is what tells you whether a risk is worth taking, or whether the uncertainty comes from an unfair or poorly structured deal.

The goal is to understand risk, allocate it appropriately, and make sure the financial relationship reflects the underlying economic reality.

Trust Is Part of the Economics

The same principle applies to trust.

The Prophet ﷺ emphasized honesty and disclosure in commercial transactions, warning against concealing defects in goods. The Qur’an repeatedly emphasizes fulfilling contracts and provides detailed guidance concerning financial obligations and their documentation.

These teachings are not merely matters of personal morality. They have economic consequences.

Every investment involves information asymmetry. A founder knows things an investor does not. An investor may possess information or expertise that a founder lacks. A company’s management knows more about the business than many of its shareholders.

Contracts can reduce some of these problems, but they cannot replace the need for trust. That makes amanah (trustworthiness) as much an economic principle as a moral one.

For venture investors, this has practical implications. Due diligence does more than protect the investor: it protects the quality of the investment relationship. Clear documentation does more than offer legal protection: it creates clarity around expectations. Aligned incentives go beyond financial engineering: they can determine whether founders and investors are genuinely building toward the same long-term outcome.

In other words, ethical principles and sound investing do not necessarily compete with one another. Sometimes they reinforce one another.

What Is Capital For?

Perhaps the deeper question is not simply how capital earns a return, but what capital is for.

Islam recognizes private ownership and the legitimate pursuit of profit. At the same time, wealth exists within a broader social and ethical order. The Qur’an’s discussion of wealth distribution articulates an important principle: wealth should not merely circulate among the wealthy. As the Qur’an states, wealth is to be distributed “so that it does not merely circulate among the rich among you” (Qur’an 59:7):

…كَيْ لَا يَكُونَ دُولَةً بَيْنَ الْأَغْنِيَاءِ مِنْكُمْ…

Read against modern venture capital, the verse still points toward an important conception of capital: wealth as a means of enabling productive economic activity, not an end detached from it.

That distinction matters for investors.

When capital is deployed into a startup, it can finance engineers, researchers, factories, software, intellectual property, distribution and new products. It can enable people to build something that did not previously exist.

The financial instrument is one thing. The economic activity underneath it is another. And that leads to a question that every capital allocator should take seriously: What exactly is our capital enabling?

Two investments can produce the same financial return while representing very different forms of economic activity. One may finance innovation, employment and useful products. Another may generate returns primarily through financial extraction or the exploitation of information asymmetry.

The return is a financial measurement. It is not, by itself, a complete account of economic value. This is where values-driven investing becomes more than an exercise in screening prohibited industries. It becomes a question of what kind of economy capital helps build.

What This Means for Venture Capital

The relevance of Islamic economic principles to venture capital therefore does not depend on proving that historical Islamic partnerships were equivalent to modern investment structures.

They weren’t, and the relevance lies in the principles underneath them.

Ownership matters.

An investor should understand what it owns and what rights accompany that ownership.

Risk matters.

Entrepreneurial capital is exposed to uncertainty, and financial structures should not obscure who bears which risks.

Contracts matter.

The parties should understand their rights and obligations, with transparency rather than ambiguity at the center of the relationship.

Productive activity matters.

Capital should ultimately be connected to legitimate economic value rather than becoming detached from the enterprise that supposedly generates its return.

Ethical boundaries matter.

Financial innovation can create new possibilities, but innovation does not remove the need to consider whether its structure and substance are permissible.

These principles don’t prescribe a single model of venture capital so much as a framework for thinking about it, which is precisely why the principle of permissibility in muʿāmalāt matters so much.

Islamic finance can look forward instead of searching backward for a historical version of every modern instrument.

Carrying the Principles Forward

This is where the conversation around Islamic venture capital becomes particularly compelling.

The future of Islamic finance does not depend on recreating the economic institutions of another era.

The caravan has become the global supply chain. The merchant has become the founder. The physical marketplace has become the digital platform. Capital that once travelled with a caravan can now cross borders in seconds. The economic environment has transformed. The underlying questions have not.

• Who owns the enterprise?
• Who supplies the capital?
• Who supplies the work?
• Who carries the risk?
• What was disclosed, and what was left unsaid?
• What actually generates the return?
• And what responsibilities ride along with the pursuit of wealth?

The answers will necessarily evolve as economic life evolves. The principles used to evaluate those answers can endure.

Islamic finance offers more than a set of restrictions placed around conventional finance: a framework for thinking about how capital should participate in economic life while leaving room for human creativity and innovation.

For venture capital, that opens an important possibility. Islamic principles do not need to be “modernized” in order to become relevant. The instruments of finance can modernize. The technology can modernize. The business models can modernize.

But principles such as justice, trust, legitimate ownership, contractual responsibility, productive enterprise and ethical limits remain meaningful precisely because the questions they address are not tied to a particular century.

That is the opportunity for Islamic venture capital: to carry its principles forward, not recreate the past.

Why This Matters to HASAN.VC

This is the perspective that makes the intersection of Islamic finance and venture capital worth exploring.

HASAN.VC’s opportunity goes beyond putting a Halal or Islamic label on a conventional venture model. It is about joining a broader conversation on what entrepreneurial capital can look like when investment is weighed through the lenses of ownership, responsibility, productive enterprise and ethical purpose.

For founders, that means building businesses where value creation is more than financial engineering. Take Qara’a (alquran.ai), one of HASAN.VC’s portfolio companies: its distribution partnership with Telkomsel landed during the recent Hajj season, putting a Quran-engagement product in front of exactly the audience primed to use it. That’s capital funding real access, not just manufacturing a return.

For investors, it means considering not only where capital can generate a return, but what that capital enables.

And for the broader ecosystem, it means demonstrating that Islamic principles can engage confidently with entrepreneurship, technology and financial innovation without abandoning their foundations.

Modern finance does not need to resemble the past to stay faithful to it. The task is to build the future without losing sight of the principles that should govern it.

Islamic economic history, then, is more than a record of how Muslims traded centuries ago. It shows how enduring principles were applied to the economic circumstances of their time, and invites us to consider how those same principles might guide ours.

The forms of capital will continue to change. Entrepreneurs will continue to innovate. Markets will continue to evolve. What matters is which principles we carry with us as they do. That is the conversation HASAN.VC exists to advance.

Interested in being part of that conversation?

HASAN.VC is a private, global angel group. It’s people, not an institution, pooling capital behind founders building with these principles in mind. If this way of thinking about capital resonates, explore the HASAN.VC community and the conversations happening inside it.

Click here to learn more about venture investing.

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