Financing social enterprises through cash waqf: an innovation of business model.

• Main Authors: Mohd. Zain, Nor Razinah, Nur Fauziah, Najim, Zakariyah, Habeebullah, Mohd Noor, Azman
• Format: Book Chapter
• Language: English
• Published: IGI Publisher 2021
• Subjects: BPH Islamic Economics; BPH741 Waqf; HJ1438 Public Finance In Islam; K Law (General)
• Online Access: http://irep.iium.edu.my/89152/9/89152_Financing%20social%20enterprises%20through%20cash%20waqf.pdf; http://irep.iium.edu.my/89152/; https://www.igi-global.com/book/handbook-research-islamic-social-finance/257762
• Institution: Universiti Islam Antarabangsa Malaysia

This research explores potentials of cash Waqf in generating capital revenue in carrying out social-based investment through social enterprises. Looking closely into two different concepts i.e. social enterprises and Waqf, this research appreciates the understanding on the modern business model of social enterprise and the innovative version of religious social finance i.e. cash Waqf. Depending on qualitative methodology and analytical review, the discussion of this research is developed. These approaches are considered suitable and pragmatic for the suggested business model of social enterprise. Here, an innovative business model with a combination of social enterprise operation and cash Waqf is introduced. It has the potential to stimulate further research to innovate religious social finance instruments to current and modern business models. This research proposes a business model of social enterprise that combines cash Waqf in its operation for sake of generating capital revenue. Simultaneously, such business model has potentials to expand the cash Waqf in meeting social objectives of the social enterprise. As research findings, it is found that even though Waqf is derived from a religious traditional philanthropic instrument, its innovative version of cash Waqf can be utilised in generating capital revenue for social enterprises. As long as the required principles of cash Waqf as provided under Islamic law is fulfilled, a combination of cash Waqf in the operation of social enterprise can be carried out.