Is zakat due on the principal capital of the trade (10,000 EGP) or on the accumulated profit in a joint foreign bakery project?

Zakat (definition) is obligatory on money and goods prepared for sale if they reach the nisab (definition) (minimum threshold) and a hawl (one lunar year) passes over them. Profits are subject to the same zakat ruling as their principal; thus, they are added to the principal and zakat is paid on them when one lunar year has passed over the principal.

There is no zakat on oven equipment and its tools because they are fixed assets that do not grow and are not considered trade goods. This is based on the Prophet Muhammad's (peace be upon him) saying: "A man is not obligated to pay sadaqah (definition) (zakat) on his slave or his horse."

You must calculate your share of the capital with which your partner trades. If it reaches the nisab, even by adding your own money or trade goods, then you must pay zakat on it and the resulting profit at the end of each year.