Budget Module Part 3

Questions for Individual Reflection/Group Discussion: 

This Case Study is a narrative budget project at Bethlehem Lutheran Church, Fargo ND – using its motto, or tag line, for the framework for their narrative budget. 

• Does your congregation have a mission statement, or something like “pillars of mission,” which would serve to organize reflections and illustrations of its budget? 
• Give some thought to what existing documents and/or values could usefully serve as a framework to illustrate your congregation’s values in mission, make a list of your ideas and share them with someone who is responsible for communication at your congregation.

Questions for Individual Reflection/Group Discussion: 

Jim Elrod quotes Woods Bowman’s work when he says: Financial sustainability occurs when a church grows its asset base in inflation adjusted terms; a financially sustainable nonprofit must attain a 3.5% net return on its asset base every year to retain its purchasing power and to position it for future growth. 

• Is this a new idea in your setting? 
• What obstacles do you anticipate related to budgeting for financial sustainability in your congregation? 
• In a nonthreatening environment, discuss strategies and opportunities.

Questions for Individual Reflection/Group Discussion: 

Jim Elrod explains the differences between financial equilibrium, financial capacity, and financial sustainability.

• As you reflect on your community, what practical changes can you take to implement these practices more fully? 
• Who do you need to include in your conversations?
• What strategies will work in your setting?

Finance Fundamentals for Nonprofits: Building Capacity and Sustainability by Woods Bowman 2011 John Wiley and Sons, Inc. publisher