Debt Reduction
Debt Reduction campaigns share many of the same essential elements that create a successful building expansion project. Capital campaigns for debt reduction require a very distinct approach.
Pastor Rick Gering
“When I moved to Arkansas, we had existing debt at my church that we wanted to eliminate. The first organization that came to mind was Church Growth Services. I reached out to them and explained our scenario. We had about $900,000 of debt that we wanted to eliminate. We did it as a one-year campaign! We could not have done that without Church Growth Services.”
4 Things you need
The following unique elements are also needed:
Put a face on it
Most people are not very motivated to give to a mortgage note, but they are motivated to give to the faces of people who need God. Helping your congregation see the faces of single moms, elderly shut-ins, or troubled youth that are being helped through your ministries will provide incentive. Identifying and relating to these faces will help create strong ownership in a campaign for debt reduction.
Give people hope
If the size of your debt cannot be totally eliminated with one campaign, you must create a financial plan that provides for immediate benefits – you need a quick win! Consider working with your mortgage lender to renegotiate a lower loan payment in exchange for a significant lump sum payment from the proceeds of your campaign.
Make it Real
Help people visualize the tangible ministry benefits of achieving a debt reduction goal. For example, if your annual mortgage payment roughly equates to the cost of a much-needed additional staff person, say so.
Make it Personal
What is good for the church corporately should also be good for individual believers. Use a debt reduction campaign as a catalyst for your congregation to also reduce their personal debt.