Tag Archive - money

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Top Posts of 2018 #5 “4 Indicators your Church is Moving in the Wrong Direction”

The “why” behind church growth and decline are always topics that generate a lot of interest here and this year was no different. This post was the 5th most popular post of the year!

You may have heard me tell the story of a church that started years ago in the Phoenix east valley. This church plant grew rapidly. Helping new people meet Jesus, they became one of the first mega churches in the east valley. Eventually the pastor, under whose leadership this growth took place, left and the succession didn’t go very well. Neither did the next succession. Or the next. In fact, that church went through 18 straight years of decline until at the end of that decline they ended up merging with another church.

Today the new campus averages more than 1,000 people in weekend attendance and is helping new people meet, know and follow Jesus.

Unfortunately for most churches in decline there’s no great comeback story. Churches decline for all kinds of reasons and it’s usually more complicated than one simple decision that was made somewhere along the way.

There are a lot of reasons why churches begin to decline and eventually die. Most don’t ever recognize it until they’re really stuck or worse it’s too late to even turn around. But there are some lead indicators that can be early warning signs that things are moving in the wrong direction.

1. A Lot of Money in the Bank

The Unstuck Group recommends that churches have six to eight weeks of cash reserves in the bank. We recently found in our Q1 2018 Unstuck Church Report, that benchmarks trends in U.S. Churches, that a majority of churches have the equivalent of 17 weeks in cash reserves. This suggests that many churches are in a financially healthy position. They’re in a position advance the Kingdom through investing in new initiatives but aren’t. They’re sitting on money in the bank that could be invested to reach more people for Jesus. Too much money in the bank can turn a church from an advancement mentality to a protection mentality.

2. Comfort is the Opposite of Growth

If you don’t have a list of new ideas that you can go to and possibly implement at any given time, then you’re probably spending a lot of energy propping up old methods and programs. And those old methods and programs bring a certain comfort with them, because they keep people who are already in the church happy. Every idea has a shelf life. If your church isn’t constantly evaluating and strategically stopping old things and starting new things, then you’re probably moving towards becoming insider focused. And while that’s comfortable it’s a lead indicator that you’re moving in the wrong direction.

3. Over Structure

One of the most common misunderstandings of strategic planning is that the goal is not order or structure. The goal of strategic planning is to actually accomplish the vision. In a growing church you want planning and management to lag slightly behind the chaos of change and movement. It’s possible to manage and plan your way into losing momentum. Policies and structure can shrink the box of creativity. They set the standard for how we do what we do, every time we do it. It’s possible to policy and structure yourself right into decline. When planning and order become higher priorities than chaos and movement your church will start moving in the wrong direction.

4. Protective of the Past

One of the most difficult things to navigate in a church is change. If you lead in a church long enough, eventually you’ll hear someone say something like, “But we’ve always done it that way.” That way was someone’s good idea and it may have been the best way at one point. But often times that past way becomes a barrier to a future and better way. When a church is busy defending the past instead of building the future it is moving in the wrong direction. When a church becomes risk averse and starts making choices based on who they are going to keep as opposed to who they are going to reach, the church is in trouble. The real danger in playing defense is that it becomes a cultural mindset that actually stands in opposition to the Gospel. You see the Gospel was never meant to be or does it need to be defended its intended to be unleashed.

Church decline can be avoided and even turned around. If your church is stuck or in decline I’d encourage you to start a conversation with the Unstuck Group. They have proven track record of helping churches get unstuck.


Posted in Leadership

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Top Posts of 2018 #6 “4 Ways Churches Misspend Money”

I was a bit surprised that an article about church finances made it into my top 10 for 2018. But it just goes to show that finances are a pressure point for church leaders and when a church’s resources are misaligned it can be lid to growth.

Churches get funny when it comes to money. Generally, churches have a hard time talking about money publicly and few have a clear generosity strategy. When it comes to financial planning and actually spending money in a way that gets them to the vision God’s called them to, the majority of churches I’ve interacted with are all thumbs.

Here are 4 ways I’ve seen churches misspend money and a couple of ideas to hopefully challenge your thinking.

Budget on Hope

I’ve interacted with too many churches that build their budget based on hope. Instead of budgeting based on the previous year’s actual financial performance, they forecast future financial growth on their gut or their version of “faith.” Churches that budget this way often experience little financial margin, budget freezes, hiring freezes, and even layoffs. If this is your church, I’d challenge you to take a wiser approach to money and keep in mind that Proverbs is in the Bible too.

No Cash Reserves

Some churches live hand to mouth financially. There are a lot of reasons this happens. The real danger in living hand to mouth financially and having little cash reserves on hand is that churches unknowingly put themselves in a position that doesn’t allow them to follow Jesus. By not carrying 6-8 weeks of cash reserves on hand not only are you unnecessarily exposing your church to financial risk in lean moments, but you are also not positioning yourself to say yes to opportunity that Jesus may bring your way.

Too Much Cash Reserves

You may have just read that and thought to yourself, “This guy is crazy, I’m never reading this blog again!” How could a church possibly have too much cash in the bank? When churches choose financial security over taking risks and following Jesus…It may be time to take some of that money out of the bank and fuel somethings that could reach some new people for Jesus.

Build the Budget Based on the Past

I’ve found that many churches keep the same basic financial line items year over year with little change throughout the years. Carrying those line items forward consistently and allocating based on the past instead of aligning money to new vision can be dangerous. Great budgeting starts with vision clarity. Once you have clarity about where you’re going building a calendar that reflects your strategy about how you’re going to get there is next. Once that’s complete, budgeting becomes fairly easy because money is just the fuel that funds the strategy that gets you to your vision.


Posted in Leadership

0

10 Articles that will Help your Church Make Vision Real

Each month I curate the top 10 most popular blog posts I’ve shared recently. These are the articles that got had the greatest engagement in the past month. They were the most visited, shared, helpful or disagreed with. At any rate, thanks for staying in contact with me through engaging in the content on this site, I hope it’s been helpful to you! In case you missed any of them here they are all in one nice tidy place for you!

Why Video Teaching Will Work in Your Town Too

When I consult with churches that are considering going multisite one of the key exercises I facilitate with their team centers around how they are going to approach preaching in their weekend worship services. It’s a big conversation and a decision that has significant implications to the model and approach that churches take when it comes to multisite.

How to Make Guests Feel Uncomfortable at your Church

It’s uncomfortable for a person who’s unfamiliar with God and church to go to church for the first time. Often times they feel as though they’re taking a huge risk by even showing up. Unfortunately, there are a lot of things that churches do to make guests feel even more uncomfortable when they go to church for the first time. Here are just a few…

[Repost] How to get Easter Guests to Come Back to your Church

A couple of years ago I wrote a post on how to get guests who come to Easter services at your church to come back to your church. It went on to be one of the top 10 most popular posts on my blog that year. With Easter weekend coming up I thought I’d share it with you again in an effort to help you think through any last minute opportunities to leverage Easter to its fullest at your church and help guests come back.

The Difference between Preparation and Planning

Do great organizations prepare for the future or do they plan for it? The answer is, “yes.” To be clear preparation and planning are not the same thing, and great organizations become great by doing both.

4 Ways Churches Misspend Money

Churches get funny when it comes to money. Generally, churches have a hard time talking about money publicly and few have a clear generosity strategy. When it comes to financial planning and actually spending money in a way that gets them to the vision God’s called them to, the majority of churches I’ve interacted with are all thumbs.

8 Reasons Why People Don’t Volunteer at your Church 

I’ve never worked with a church that has said they don’t need more volunteers. But I’ve worked with a bunch of churches that have trouble getting people to volunteer and stay engaged volunteering.

6 Signs that you’re Leading a Healthy Church

Jesus is into results. I know I’m going to lose a lot of readers at those 4 little words. But I really believe it’s true. Read the scriptures and Jesus actually has a plan that He’s working to make everything new and fix what we broke. Both Jesus and the Apostle Paul talk about it in terms of producing “fruit.” That’s the Biblical language ascribed to producing results.

How to Choose the Next Board Members at your Church

If you’ve led in a church for any length of time you can probably tell some stories of experiences you’ve had with dysfunctional Church Boards. Church Board become dysfunctional for a variety of reasons and there are some basic steps you can take to avoid a dysfunctional Board. The first step is to avoid inviting the wrong people to the Board. In writing this post I’m assuming that you’re already vetting potential Board Members based on the letters the Apostle Paul wrote to Timothy and Titus about selecting church leaders. 

What do you do when you Don’t Agree with your Pastor?

If you work on staff at a church, chances are at some point you’re going to disagree with your pastor. That’s okay, you’re human, it would be naive to think you’re always going to agree with your pastor. But what you do with that disagreement is where things can get really messy. Messy for you, and messy for the church.

Building a Winning Culture at your Church

In a day where everyone gets participation trophies the idea of winning or losing when it comes to church has become a foreign concept. In fact, I think most churches have become afraid to win. I’m not talking about a game. Church isn’t a game. It’s about something far bigger than that. Much more is on the line. It’s about heaven and hell. The fact is people are dying and going to hell and that’s simply unacceptable.


Posted in Leadership

1

4 Ways Churches Misspend Money

Churches get funny when it comes to money. Generally, churches have a hard time talking about money publicly and few have a clear generosity strategy. When it comes to financial planning and actually spending money in a way that gets them to the vision God’s called them to, the majority of churches I’ve interacted with are all thumbs.

Here are 4 ways I’ve seen churches misspend money and a couple of ideas to hopefully challenge your thinking.

Budget on Hope

I’ve interacted with too many churches that build their budget based on hope. Instead of budgeting based on the previous year’s actual financial performance, they forecast future financial growth on their gut or their version of “faith.” Churches that budget this way often experience little financial margin, budget freezes, hiring freezes, and even layoffs. If this is your church, I’d challenge you to take a wiser approach to money and keep in mind that Proverbs is in the Bible too.

No Cash Reserves

Some churches live hand to mouth financially. There are a lot of reasons this happens. The real danger in living hand to mouth financially and having little cash reserves on hand is that churches unknowingly put themselves in a position that doesn’t allow them to follow Jesus. By not carrying 6-8 weeks of cash reserves on hand not only are you unnecessarily exposing your church to financial risk in lean moments, but you are also not positioning yourself to say yes to opportunity that Jesus may bring your way.

Too Much Cash Reserves

You may have just read that and thought to yourself, “This guy is crazy, I’m never reading this blog again!” How could a church possibly have too much cash in the bank? When churches choose financial security over taking risks and following Jesus…It may be time to take some of that money out of the bank and fuel somethings that could reach some new people for Jesus.

Build the Budget Based on the Past

I’ve found that many churches keep the same basic financial line items year over year with little change throughout the years. Carrying those line items forward consistently and allocating based on the past instead of aligning money to new vision can be dangerous. Great budgeting starts with vision clarity. Once you have clarity about where you’re going building a calendar that reflects your strategy about how you’re going to get there is next. Once that’s complete, budgeting becomes fairly easy because money is just the fuel that funds the strategy that gets you to your vision.


Posted in Leadership

2

4 Indicators your Church is Moving in the Wrong Direction

You may have heard me tell the story of a church that started years ago in the Phoenix east valley. This church plant grew rapidly. Helping new people meet Jesus, they became one of the first mega churches in the east valley. Eventually the pastor, under whose leadership this growth took place, left and the succession didn’t go very well. Neither did the next succession. Or the next. In fact, that church went through 18 straight years of decline until at the end of that decline they ended up merging with another church.

Today the new campus averages more than 1,000 people in weekend attendance and is helping new people meet, know and follow Jesus.

Unfortunately for most churches in decline there’s no great comeback story. Churches decline for all kinds of reasons and it’s usually more complicated than one simple decision that was made somewhere along the way.

There are a lot of reasons why churches begin to decline and eventually die. Most don’t ever recognize it until they’re really stuck or worse it’s too late to even turn around. But there are some lead indicators that can be early warning signs that things are moving in the wrong direction.

1. A Lot of Money in the Bank

The Unstuck Group recommends that churches have six to eight weeks of cash reserves in the bank. We recently found in our Q1 2018 Unstuck Church Report, that benchmarks trends in U.S. Churches, that a majority of churches have the equivalent of 17 weeks in cash reserves. This suggests that many churches are in a financially healthy position. They’re in a position advance the Kingdom through investing in new initiatives but aren’t. They’re sitting on money in the bank that could be invested to reach more people for Jesus. Too much money in the bank can turn a church from an advancement mentality to a protection mentality.

2. Comfort is the Opposite of Growth

If you don’t have a list of new ideas that you can go to and possibly implement at any given time, then you’re probably spending a lot of energy propping up old methods and programs. And those old methods and programs bring a certain comfort with them, because they keep people who are already in the church happy. Every idea has a shelf life. If your church isn’t constantly evaluating and strategically stopping old things and starting new things, then you’re probably moving towards becoming insider focused. And while that’s comfortable it’s a lead indicator that you’re moving in the wrong direction.

3. Over Structure

One of the most common misunderstandings of strategic planning is that the goal is not order or structure. The goal of strategic planning is to actually accomplish the vision. In a growing church you want planning and management to lag slightly behind the chaos of change and movement. It’s possible to manage and plan your way into losing momentum. Policies and structure can shrink the box of creativity. They set the standard for how we do what we do, every time we do it. It’s possible to policy and structure yourself right into decline. When planning and order become higher priorities than chaos and movement your church will start moving in the wrong direction.

4. Protective of the Past

One of the most difficult things to navigate in a church is change. If you lead in a church long enough, eventually you’ll hear someone say something like, “But we’ve always done it that way.” That way was someone’s good idea and it may have been the best way at one point. But often times that past way becomes a barrier to a future and better way. When a church is busy defending the past instead of building the future it is moving in the wrong direction. When a church becomes risk averse and starts making choices based on who they are going to keep as opposed to who they are going to reach, the church is in trouble. The real danger in playing defense is that it becomes a cultural mindset that actually stands in opposition to the Gospel. You see the Gospel was never meant to be or does it need to be defended its intended to be unleashed.

Church decline can be avoided and even turned around. If your church is stuck or in decline I’d encourage you to start a conversation with the Unstuck Group. They have proven track record of helping churches get unstuck.


Posted in Leadership
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