Comments on: The Coming Debt Burden for Media Ministries

By: Taylor

Taylor — Wed, 30 Nov -0001 00:00:00 +0000

By chance do you have an example of an old, established Christian organization that got large in the last generation and successfully scaled down out of necessity in recent history?

I would think that when considering these issues, they all go hand-in-hand. No way is the founder that took the organization to it's current large size going to see it through to a successful scale down. New insight, new leadership, new size and new purpose all have to happen at once. In effect, it's a new organization. With that said, you might as well just close up shop (as you suggested) and start a new organization afresh. Just a thought....

By: Anthony Peterson

Anthony Peterson — Wed, 30 Nov -0001 00:00:00 +0000

The worlds economy is changing – no doubt about it. My parents and grandparents generation could buy a block of land for about six months average wages. Today you can add another zero, AND spend about another 3-5 years at university just to earn an average wage, AND spend another hour to get to work, AND pay a few tolls getting to and from work. Many economists believe the post war "boomer generation" was the luckiest generation to ever live. As they die off, the traditional donor base dies with them, and you are left with people struggling under massive mortgages. Ministries will have to adjust to this. Debt can be a real killer for families and churches alike.

By: Bart Breen

Bart Breen — Wed, 30 Nov -0001 00:00:00 +0000

This rings true on several different levels.

One of the more difficult things I had to learn as a younger man in ministry was that rejuevenating old Churches in general didn't work. Organizations, Churches in included, tend to have a life cycle. Beyond a certain point, the effort required to turn around a declining or dying church and organization is more than that of starting a new one.

Sadly, some churches and organizations focus at the peak of their financial success in establishing endowments and investments that provide perpetual operating funds that at the time seems wise and prudent. What happens sometimes is that it keeps alive a ministry or church that effectively died years before maintaining the property and operating expenses and is placed in the hands of caretakers whose motivation to move outside the routine matters can be limited.

It's harder in larger organizations where the assets are greater and the stakes higher. Unless there is perceptive leadership that sees the need for change and adaptation before atrophy sets in the vision of the founder becomes institutionalized and the sea change shifts needed to keep the organization moving with the changing needs of the future may be missed.

Yet another reason to have a strong, changing board that is more than just a rubberstamp for a strong leader.

By: nanny911

nanny911 — Wed, 30 Nov -0001 00:00:00 +0000

The average american family has something like 11 or 17k in credit card debt, then add housing and school debts and most people really can't afford to give…I can't…even people with doctorates and nice salaries are paying as much as 2k a month in debt payments…a lot of students leave college with over 100k in debts, getting a doctorate is not cheap-so where do we go from here. I don't see a way I could ever get out of debt before I die even with a higher ed degree and higher than average salary. It's just not possible to have the expendable income people used to have…

To me starting or operating a donor funded operation would be very daunting…I think a for profit model would be safer in terms of IRS and financially..

By: nanny911

nanny911 — Wed, 30 Nov -0001 00:00:00 +0000

To me starting or operating a donor funded operation would be very daunting…I think a for profit model would be safer in terms of IRS and financially..

By: KRM

KRM — Wed, 30 Nov -0001 00:00:00 +0000

Phil, I appreciate your comments here. However, your comment related to Liberty (I imagine that is who you were referring to) is a little misleading and really doesn't portray the financial situation there accurately. All accounts are that the school is swimming in cash from their Distance Education program (they just hit 20,000 students) and were holding on to that debt with a plan in the next 6 months to pay it off with a business sale of school owned land. NOBODY in the know of that organization had any concerns over money. When Falwell died his life insurance money was a no brainer to pay it off, but it was in no way a necessary act. The fact that the school is pumping more than that into it's endowment from their distance ed profits says..at this time (keyword) cash is not an issue.

The key point of your story is not lost in this. Fiscal responsibility is of the utmost importance to ministries. Especially those who receive tax breaks for what they do. It is our money they are spending.

By: Mary Hutchinson

Mary Hutchinson — Wed, 30 Nov -0001 00:00:00 +0000

The contrast between Liberty and ORU is amazing. LU is not in debt and is built to continue on with or without a well known spokesperson at the helm.

Both schools have wonderful things to offer, but the leadership style for contuning after the leaders has passed at LU is worth studying.

By: Alan Smithee

Alan Smithee — Wed, 30 Nov -0001 00:00:00 +0000

Phil, one of your comments - "Get new insight" - is especially on target. I once worked for a mega church with a large tv ministry that brought in a respected, outside consultant. He examined every level of ministry, talked to lots of people and then created a thorough report. The document made plenty of solid suggestions but also pointed out employee frustrations, communication problems within the church and areas of leadership breakdown and weaknesses. To protect themselves, the church leaders cherry-picked what topics they wanted to address and fix, then "sanitized" the report (wrote their own version) that was less critical of leadership (themselves). This "revised" version was the one handed to church employees and the pastor.

This is a classic case of shaping "new insight" to save your ministry, reputation and job. Self-serving? You bet.

When getting "new insight" make sure it arrives without rose tinted glasses or hasn't been filtered by others. And, btw, a lot of great insight is resident at the mid level and lower level areas of your very own organization. Nobody has asked them, there is no process for idea sharing and many are afraid to speak up out of fear of losing their jobs. Phil, you've written it before that the guy picking you up at the airport or the receptionist in the lobby have a better handle on what's happening and possess great ideas than the leaders up top. Why not listen to the little guy?

By: Phil

Phil — Wed, 30 Nov -0001 00:00:00 +0000

I can report that Liberty University is doing very well. I personally met with Jonathan Falwell and the team since his father’s death, and all indicators are that they are continuing on a positive track. Jonathan is pastor of Thomas Road Baptist Church and the on-camera teacher for the ministry, and his brother Jerry Jr. is President of Liberty University. Church attendance is up, TV response is good, and enrollment continues to grow. I think they’ll do very well and personally like the leadership team very much.

By: AmeriKan, aka Phil

AmeriKan, aka Phil — Wed, 30 Nov -0001 00:00:00 +0000

Nanny 911, I know this is not a popular subject, but ever since I finished undergraduate studies at age 23, I have tithed. Through the years, especially when times were hard and money scarce, my wife and I tithed. We have learned we cannot afford not to tithe. After about ten years of tithing, we were able to start giving above the tithe. For us, it is our financial security through God's Biblical economics. There were times tithing did require an act of our faith but over time it became much easier and a joy. If more Christians would learn this, they would be in a much better financial state. Plus, the added benefit is it provides for and supports the growth of the church.