So, to add a scientific advisor to a company, there has to be an operating agreement that stipulates among other things how the company will handle its finances and how they’ll be paid. The operating agreement a lawyer or associate gave me is about 70 pages and includes things like if the company takes it loan it will pay the principal and interest or the company’s funds will be kept in an interest-bearing account. And other things more or less complicated than that the implicate dealing with interest. Of course I could modify it and say the company will never take a loan or never take a loan with interest for instance. But I don’t technically know that, especially if for some reason I lose ownership or controlling interest in the company. So what do I do? Is there any way to make such an agreement halal or do I just use it anyway since the formation of a company, in the states at least, necessarily involves some interest (in the form of missed deadline fees)? For context, this is a healthcare company so a scientific/medical advisor is technically necessary/would have to happen at some point down the line.
May Allah bless you.
If you can avoid having any form of ‘interest’ clauses mentioned in the contract, then that would be best. However, if it cannot be removed for any legal reasons, then you should of course avoid being in the position where you have to pay or take any interest. Even if you must keep the company’s fund in an interest bearing account, you should give the interest earned to a charity, without any intention of being rewarded.
And Allah knows best!