Islamic concept of society’s welfare is basically based on how to distribute the wealth and economic resources in a just and more equitable way. Islamic economic system recognizes two mechanisms in the distribution of income and wealth; first, functional distribution of income and wealth and second income redistribution through transfer payment institutions both obligatory and voluntary. One of the mechanisms is the distribution through various instruments such as zakat, infaq, sadaqah, and waqf. The objective of Waqf to the society at large includes the provision of religious services, education, socio-economic relief to the needy and other purposes.Cash-Waqf as a financial instrument is, indeed, a new product in the history of Islamic banking. It is far more important since it is more productive compared to properties, as it is testified by the existing research studies and have been found profitable in the practices of modern Islamic financial system. The main objective of this study is to examine application of cash waqf as an acceptable equity financing mode for small business. In order to achieve the stated objectives, to examine application of cash waqf as an acceptable equity financing modes for small business. The outcomes of the survey reveal the fact that some of the views expressed in the literature are contrary to our findings.