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Permissibility of goods murabaha

Q:

Assalamu alaikum,
I am writing to know about , Purchase support ( kind of Goods Murabaha) that i do with my friend’s factory.
He need Raw materials, which is available only for cash,but his finished goods are selling at credit, hence mostly he run out with working capital shortage,

I am giving cash to him ( with the condition that , he will pay to his supplier for the particular goods, when I am giving direct cash to him , making sure that he is only using this cash for said raw materials, and even I am checking invoices, and value) Or Sometimes giving to supplier directly myself. , and putting very nominal profit on raw materials and making sales contract to him.

Examples : Factory need raw materials , cost $50,000, I pay for this and get PDC from factory $ 51000 with 90 days date).

I considered exactly as Goods Murabaha system..
I am taking care that, my cash is used only for agreed purchase , verifying invoices, delivery, and some times even delivery coordination also i am doing..

And we make purchase and sales invoices also..
I just putting cost+profit on the materials ,

I am totally believed as exactly goods murahaba..

But recently I have red an hadees that , for valid sales Materials should take possesion on seller place ( here I am considered as seller for this factory.)
Literally saying this is term not happening, because I dont have any storage space, and some practical difficulties to comply that point . ( ONLY CONCERNS I UNDERSTAND, LITERALLY IT IS NOT COMING TO MY POSSESSION , AS I DONT HAVE ANY STORAGE , GOODS DIRECTLY DELIVERED TO FACTORY ( HERE FACTORY IS MY CUSTOMER))

Can you help me out , is there any haram in this deal?

A:

Wa Alaykumussalam

Thank you for your query.

There is no problem if you buy it in cash yourself and then sell it on credit at a higher price.

For example, you pay $50 to buy these materials on your behalf. That means he will be your wakil(assignee/agent) in buying materials with this $ 50. After buying it, appoint him as your wakil and representative to sell himself, the purchased materials on credit for 90 days for $51.

Or give him the money, he will buy it for you and sell it to himself on credit.

May Allah(swt) grant you success

Wassalam,

Syed Haider