Muslims at Madinah, under the guidance of the Holy Prophet, set up as merchants. They prospered and grew rich. Islam also spread fast. The Prophet preached it openly in the Mosque, and prayers were said there everyday. Preachers were sent from Madinah to other cities as .Madinah itself became the centre of the new religion

The Quraish of Makkah, proud of their strength, wealth and position regarded it as a threat to their very existence. The Makkans conspired against Islam and sent a caravan of 1000 men, fully armed, for conflict and giving crushing defeat to Muslims. They even offered reward for killing the Holy Prophet. The inhabitants of Madinah were frightened when they heard the news. They knew the Quraish meant mischief. 300/313 Mujahideen gathered under the Prophet's banner to defend themselves. Though small in number, but imbibed with spirit of Islam, and guided by the Prophet, Mujahideen had solemn belief in their victory. The enemy was led by the Chief Man of Makkah and arch enemy of Holy Prophet, Abu Sufiyan himself. The Prophet displayed magnificent military skill and forced the enemy to fight at Badar, a small village about eleven miles South-West of Madinah in the year 624--the second year of Hejira. The Mujahideen fought very bravely. They swept the Makkans off the field. The Makkans fled giving prisoners and leaving 50 dead, including Abu Jahal, the commander who was slain by two young boys. Muslims suffered negligible losses. The Prophet showed great diplomacy and foresight rejecting vengeful advice and held Makkans to ransom and treated them well.