Last updated 6 November 2026 · Reviewed by Riyadh Financial Services Compliance
Who can apply for Islamic commercial finance?
Selected Ijaar commercial finance is available to:
- individuals;
- companies;
- trusts.
Every application is assessed against credit criteria, and your broker will assess your situation before you apply. Our Islamic commercial finance page lists who can apply and the costs to plan for.
How does a company apply?
When a company applies, all of its directors and shareholders join the application. Your broker also completes a company identity and verification form, and every person on the application verifies their identity.
Your accountant or solicitor can explain what the company's structure means for the finance and for tax. Riyadh Financial Services and your broker can explain how the finance works, but can't give legal or tax advice.
How does a trust apply?
A trust needs to be established before it applies. The trustee applies for the trust and signs on its behalf. Your solicitor or accountant can check that the trust deed allows the trust to buy property and take on finance.
If the trust has a company as its trustee, your broker will confirm who needs to join the application.
Buying or refinancing: what's available?
| Customer | Buying commercial property | Refinancing commercial property |
|---|---|---|
| Individuals | Considered by exception | Streamlined refinance, for eligible customers |
| Companies | Considered by exception | Streamlined refinance, for eligible customers |
| Trusts | Considered by exception | Streamlined refinance, for eligible customers |
| SMSFs | Al-Mustaqbal SMSF finance (purchase only) | Not available |
Buying. A commercial purchase on selected Ijaar finance is considered case by case, so talk to your broker before you commit to a property.
Refinancing. Commercial property is refinanced through a streamlined refinance. It's for customers who have held their current finance for a while and kept up their payments, and eligibility criteria apply. You may be able to release some equity at the same time. Limits apply.
SMSFs. An SMSF can't use selected Ijaar commercial finance. It buys commercial property through Al-Mustaqbal SMSF finance, which is for purchases only. Read how an SMSF can buy commercial property with Shariah-compliant finance.
How does Ijarah work for a company or trust?
Selected Ijaar commercial finance uses Ijarah Muntahia Bittamleek, a Shariah-compliant lease that ends in ownership. It works the same way for a company or trust as for an individual:
- The financier appoints the customer as its agent (wakeel, under a Wakalah agency agreement) to buy the property on its behalf.
- The company or trust becomes the registered owner. The financier holds a registered mortgage and a beneficial interest in the property.
- The customer makes regular rental payments, either Principal and Rental, or Rental Only for a limited period.
- When all payments are made, the mortgage is discharged and the financier's interest passes to the customer.
Commercial finance uses a variable rental rate. The financier earns rent on a real asset rather than interest (riba) on money lent. Our product structures are reviewed by our Shariah adviser, and our Shariah certificate is reviewed regularly. Ask us for a copy and what it covers. Islamic contracts explained has more detail.
What property can be considered?
Selected Ijaar commercial finance can be considered for:
- commercial property, such as offices;
- retail property;
- industrial property.
Some specialised property can be considered with extra conditions, and the property's location matters. Every property is subject to a valuation and credit criteria, so ask your broker to check the property early.
Do consumer credit laws apply to business finance?
Whether consumer credit laws apply depends on who the customer is and what the finance is for. Your broker can explain how this applies to you.
What else should a company or trust plan for?
- Purchasing costs, such as stamp duty, legal fees and government registration fees.
- Fees for the finance, such as valuation, establishment and settlement fees.
- Conventional building insurance for the property. It's required.
- Your own contribution towards the price, if you're buying.
- Advice on structure and tax from your accountant.
We don't publish rates on this website. Ask an accredited broker for the current rates and to compare the total cost, including fees. Is Islamic home finance more expensive? explains what drives the cost.
Why use a broker?
Riyadh Financial Services works through accredited mortgage brokers. Accredited brokers work nationwide and know which finance can suit your structure. Your broker will assess your situation, and your application is assessed against credit criteria.