Church Planting Fundraising Seminar Presentation

Mission to North America Church Planting Orientation Church Planter Financial Management and Fundraising Webinar Welcome – please note our contact info: Jill Gamez, MNA Financial Analyst [email_address] Fred Marsh, MNA Associate Coordinator [email_address] 404 307 8266 Thursday, December 2 -- 1:00 pm (ET)

MNA Cash Management Services

Cash Management Services provided by MNA
Receiving/receipting donations – all donors receive tax deductible receipt
Cash flow: rather than having to physically wait for funds to be received, MNA will advance funds based on written pledges.
MNA will advance church and presbytery pledges up to a $30,000 deficit in your account; we provide no advances against individual pledges.
Church plant receives 100% of funds raised; MNA charges no fees
MNA accepts cash gifts, stock, and donations via credit card and EFT (electronic funds transfer)
MNA does not accept gifts in-kind

Cash Management Services
MNA offers services to presbytery on behalf of assessment qualified church planters and apprentices.
Financial services may include project expenses and project staff in addition to the church planter

Pledge Cards Per IRS - You MUST use exact wording!
STATEMENT OF PLEDGE TO SUPPORT (NAME OF CHURCH PLANT)
MINISTRY OF CHURCH PLANTER - LOCATION OF CHURCH PLANT
Yes, I would like to express my intent to pledge support to ( Name of Church Plant Project ) and to MNA by:
PRAYER: I would like to pray for the development of this ministry and for the hearts of people to be
touched by the Gospel.  Daily  Weekly
FINANCIAL TAX DEDUCTIBLE GIFTS:
Pledge of $___________ per ____________________________ for ________years
Choose one: M onth, Q uarter, Y ear, or O ne-timeGift 1, 2 or 3
Pledge date range: Start ___________ Month/Year End ______________ Month/Year
Receive Church Planter prayer letters. ( Please DO NOT check if you are currently receiving the prayer letter)
 Agree that funds may be advanced to the church planter based on the above pledge with my understanding
that as I continue to give in fulfillment of my pledge, I am replenishing to MNA the funds MNA has advanced to
( church planter) .
NAME_________________________________________________________________________________________
(Title, Mr., Mrs., Ms.) (First) (Last Name)
ADDRESS _____________________________________________________________________________________
CITY __________________________________ STATE ____________________ ZIP __________________________
TELEPHONE ______________________________ EMAIL _______________________________________________
SIGNATURE ____________________________________________ DATE __________________________________
Please make checks payable and mail to:
Mission to North America  I would like information on Electronic Funds
1700 N. Brown Rd, Suite 101 Transfers through bank draft or credit card
Lawrenceville, GA 30043
This contribution will be made with the understanding that Mission to North America has complete discretion and control over the use of all donated funds, to assure their use for the intended exempt purposes.

Cash Management Services provided by MNA – cont’d
MNA provides donor reports
Report details by donor all funds received
It gives you a snapshot of your total fundraising efforts
MNA provides quarterly review of church planter’s account and of giving compared to amounts pledged
MNA Church Planting Coordinator, Ted Powers provides budget review and consultation
MNA Associate Coordinator, Fred Marsh provides consultation in fundraising

Cash Management Services Agreement
Agreement between Presbytery and General Assembly MNA
Accountability for oversight of the church planter rests entirely with Presbytery
Budget approval
Management of funds
Approval of spending and reimbursement
Fundraising
MNA provides cash to mission church based on budget and schedule of payments determined by church planter and approved by Presbytery
Role of General Assembly MNA is purely advisory; MNA has no authority or responsibility other than to serve Presbytery

Presbytery Agreement
Presbytery must record approval of governance structure of mission church in its minutes; appoint a Commission
Presbytery acknowledges that General Assembly MNA is not the employer of the church planter but that the church planter is an employee of either a mother church, the presbytery, or the mission church.
The Presbytery or sponsoring church will provide the following oversight:
Presbytery will approve church planter’s total project budget and fundraising goals; presbytery will approve the church planter salary and benefits
Presbytery will review fundraising progress and approve timing of move to the field; do not move to the field until 100% of fundraising goal is given or pledged

Presbytery Agreement (cont’d)
Presbytery should only permit early move to field if using credible plan for raising additional funds
Presbytery will approve mission church budget on annual basis
Presbytery will review mission church financial records quarterly
Presbytery will review mission church MNA account quarterly
Presbytery will approve all expenditures of mission church and expense reimbursements to church planter prior to submission
Presbytery will approve all exceptions and changes to established budget

Overview of Essentials

Call Letter
Church Planter’s responsibility for formal call
Written by oversight body
Include specific annual dollar amount for salary, housing allowance, and benefits
Proper form/Meet presbytery deadlines
Book of Church Order 20-6

Mission Church Status
Sponsoring Presbytery votes and records in minutes
Arrange to be approved as mission church by motion of Presbytery prior to transferring to begin work

Establishing Church Plant with IRS
1. Employer Identification Number (EIN)
aka: Federal Tax ID Number
aka: Taxpayer Identification Number (TIN)
2. Three options to establish tax exempt status:
Presbytery votes that your church plant is a mission church. You obtain an EIN for the church, and use PCA’s tax exemption as your own (BOC 5-2 and 5-3). Get the tax number from the PCA Administrative Committee.
Church plant is direct ministry of mother church.
Incorporate and seek non-profit status with IRS.

Church Plant Finances
Bank Account
Financial Management
Accounting Services/Software
Accountability
Church Planter Benefits

Preparing the Budget for Your Church Plant

Budget
Oversight body approves
MNA does NOT approve
Include church planter salary and benefits

Principles of Budget Development
Key Factors:
Salary package
Calculate core group giving
Include funds for training and coaching
Budget for staff members

Salary Package Guidelines
Go to the Church Planter Financial Procedures on the MNA website
Consult with the MNA Church Planting Coordinator

MNA Cash Management Services

The Funding of Church Plants Fred Marsh MNA Associate Coordinator

“ 14 And how can they hear without someone preaching to them? 15 And how can they preach Unless they are sent?” Romans 10:14b-15a

Changes in Church Planter Funding 1993 - 2000
Support Raised by Church Planter
1993: $0 (all funds raised by MNA staff or presbyteries)
1995: $35,000 (balance of funds by MNA or presbyteries)
2000: Entire Project raised by church planter.

Reasons
Growing commitment to church planting across the PCA.
Demographic changes in how people give.

Cost of a Typical Suburban/Small Town Church plant. (Total outside support in addition to Launch Team/Core Group giving)
1993: $80, 000
2004: $125,000 - $300,000
$125,000 - $300,000 $80,000

Cost of a Typical Center City Church plant. (Total outside support in addition to Launch Team/Core Group giving)
1993: $125,000
2000: $350,000 - $500,000
$350,000 - $500,000

Result of These Changes
Total support given to church planting is growing rapidly.
For the church planter without a personal network, raising the support can be a significant challenge.
Realistic assessment of total fund raising potential for each project is crucial.

The Long-term View
As your new church gets established, remember what it took to get you there:
Work as creatively as possible to raise funds, so that the church planting church and presbytery can supply a major portion of funding.
Form networks of individuals and churches to support church planting.

MNA Fund Raising Services to Church Planters
Qualification of the church planter through an MNA credentialed assessment.
2. MNA staff actively seek sponsoring churches and
individual donors.
3. MNA will work with each church planter to define the
maximum list of churches.
4. Training and coaching in fund raising is provided to the church planter.
5. Cash Flow management for the project at no cost – next slide illustrates this.

How MNA Assists with Cash Flow $$ Given to Church Planter Over 2- 3 years Pledges Fulfilled to MNA Over 3-4 Years

“ For you know the grace of our Lord Jesus Christ, that though He was rich, yet for your sakes He became poor, so that you through His poverty might become rich.” II Corinthians 8:9

Building Partnerships for Church Planting
Mission to North America
Fred Marsh, Associate Coordinator
fmarsh@pcanet.org • 404-307-8266

In all my prayers for all of you, I always pray with joy because of your partnership in the Gospel from the first day until now.
Philippians 1: 4 – 5

Mission to North America – Fund Raising 101 Checklist
Project:___________________________
Step 1. Define the mission, goals and strategy.
Target Date:________________________________
Date Completed:____________________________
Step 2. Prepare a written proposal for fund raising
purposes.

Target Date:_________________________________
Date Completed:_____________________________

Step 3. Identify prospective donors. Work through
board members and other key leaders
Target Date:________________________________
Date Completed:____________________________
Step 4. Make estimates of what each of your
prospective donors might give. If your prospective gifts do not significantly exceed your goal, keep developing more prospects.

Target Date:_________________________________
Date Completed:_____________________________

Step 5. Define a structured process for approaching
and following up donors.
Target Date:________________________________
Date Completed:____________________________
Step 6. Personalize your approach to each donor

Target Date:_________________________________
Date Completed:_____________________________
Step 7. Make it easy to respond. If seeking pledges
use the MNA pledge card format.

Step 8. Communicate, communicate, communicate!
Faithfully follow up with your donors and
prayer supporters. Send regular newsletters.
Keep your web site up to date.

II. GET READY TO ENLIST YOUR SUPPORT TEAM
Begin With a Philosophy of Biblical Stewardship
The Lord has declared, “You are His people, His treasured possession…” Deuteronomy 26:18
Your calling: to be used of the Lord to lead in planting a Gospel-centered, Gospel-driven, Kingdom-advancing church, whose purpose is to grow into a church multiplying movement
This context keeps your role in perspective.
This context also keeps the role of the other members of the Body of Christ in perspective. ...without those who send, we cannot go .

I TIMOTHY 6:17-18 YOUR PLENTY MEETS THEIR NEEDS “ Command those who are rich in this present world not to be arrogant nor to put their hope in wealth, which is so uncertain, but to put their hope in God, who richly provides us with everything for our enjoyment. Command them to do good, to be rich in good deeds, and to be generous and willing to share.”
Resources
Christian Stewards
HAVING OPTIONS
Lack of Resources
People Lacking Gospel
Saints in Need
The Poor
LACKING IN OPTIONS
I Timothy 6:19 Reward in the coming age “ In this way they will lay up treasure for themselves as a firm foundation for the coming age, so that they may take hold of the life that is truly life.” Sin and fallenness

Philippians 2: 6 - 11
“ Who, being in the very nature God, did not consider equality with God something to be grasped, but made himself nothing, taking the very nature of a servant, being made in human likeness. And being found in appearance as a man, he humbled himself and became obedient to death --- even death on a cross! Therefore God exalted him to the highest place and gave him the name above every name, that at the name of Jesus every knee should bow, in heaven and on earth and under the earth, and every tongue confess that Jesus Christ is Lord, to the glory of God the Father.”
Person and work of C H R I S T
STEWARDSHIP
Paradigm
Power
Principles

Mission to North America How Your Partnership Completes the Lord’s Work
Lives Transformed By the Gospel
Future Members of Christ’s Kingdom-the Church
Armed Services Personnel
College & University Students
Gospel Ministry Leadership
Church Planters
Chaplains
Campus Ministers
Your Partnership bridges the gap, bringing ministers Of the Gospel to those in need of the Gospel In all my prayers for all of you, I always pray with joy because of your partnership in the Gospel from the first day until now. Philippians 1: 4 - 5

“ There are three irrefutable rules which will assure you success as a fund raiser. Unfortunately, no one has ever discovered what they are.” ---John Russell, Born to Raise

In fact, there are at least three qualities that are found in every successful fund raising project:
Character expressed in a vision
Imagination and creativity
Personal focus, recognizing that people give to people.

When it Comes to Effective Fund Raising --- Character is What Counts These competencies are listed in order of priority, as identified by donors in a secular context. In other words, these are the qualities that donors to non-sectarian organizations rated as priority for those organization’s leadership.

Impeccable Integrity
A Good Listener
Ability to Motivate
Love to Work
Concern for People
Hard Working
High Expectations
High Energy
Quality of Leadership
Has Perseverance
Self-Confidence
Common Sense
Here’s one you can use, free of charge in your next sermon: “ MENE MENE TIKEL PARSIN”

III. WHO DOES WHAT IN FUND RAISING
Current MNA Services Related to Church Plant Project Funding
Qualification of the church planter through assessment : Regardless of the church planter’s funding sources or cash flow management, the term, “MNA project” may be applied to any project in which the church planter is assessment qualified by an MNA credentialed assessment center (and by virtue of that approved by the MNA Committee), or approved for church planting by the MNA Committee based on previous church planting experience.

Current MNA Services Related to Church Plant Project Funding
MNA staff actively seek sponsoring churches and individual donors.
MNA will work with each church planter to define the maximum list of churches.
Training and coaching in fund raising is provided to the church planter .

Cash flow management for the project at no cost. Benefits of this service:
Provides “up front” funding based on written commitments.
Financial accountability to the donor.
Receipts and thank you letters are sent promptly.
What MNA will not do: MNA makes no commitment to provide any funds for any project, except as MNA staff are able to identify churches and individual donors who wish to commit specific giving to that project. MNA will not commit to raising specified sums for a project.

MNA STAFF WILL ASSIST YOU AT LEAST IN THESE WAYS
Review your total goal for outside funding:
Church Planting Coordinator: expenses and total budget.
Development Staff: fund raising goals.
Review network of contacts: for $130,000 goal, possible distribution:
$30,000 by the presbytery in which church to be planted
$25,000 by church currently serving
$35,000 by individuals you know
$40,000 by churches

MNA STAFF WILL ASSIST YOU AT LEAST IN THESE WAYS
Coach you on the approach for each potential donor:
Whom do you approach alone?
What amounts/how do you ask various potential donors?
From whom cover letters or recommendations helpful?
Contacts with whom MNA staff would make difference?
As you formulate your plan and make contacts, please keep in touch with Development Staff until the process is complete.

YOUR PARTICIPATION IN THE FUND RAISING PROCESS IS A KEY INGREDIENT IN YOUR SUCCESS
More churches are planted. Far more dollars and prayers are going into church plants today than were in the days when “MNA raised it all.” The level of church planting used to be good. Now it’s truly exciting.
You enlist your very own support team for:
Prayer
Encouragement
Financial Support
Participation

YOUR PARTICIPATION IN THE FUND RAISING PROCESS IS A KEY INGREDIENT IN YOUR SUCCESS
As you lead in the planting of a church, it is not just a church plant. It is the beginning of a movement of churches planting churches . Every movement has to have resources. As you build the resource base for this first church plant, you are establishing a resource base for the future movement. In addition, the skills you gain in developing these resources now will equip you to continue that development for the movement in the future.

IV. FROM RELATIONSHIP TO SUPPORT— HOW TO GET GOING IN SUPPORT RAISING
“ Timing is Everything” – the Timing of Your Fund Raising is Important
Duty
Present Excitement
Anticipation

THE FUND RAISING PROCESS
Participate in assessment and approval by the MNA Committee.
Identify every potential donor.
Determine church plant assignment.
Determine Budget.
Prepare Project Proposal.
Develop a Leadership list to open doors for you.

THE FUND RAISING PROCESS
Develop the full prospective donor list.
Build your strategy and time line/plan
Launch your asking process. Mail letters and proposals, followed by telephone calls and personal visits. Continue this process until funding is complete. Where visits to potential donors are helpful, MNA will advance the funds necessary to cover expenses. In all cases in which the church planter does ultimately begin a church plant, all of these funds must be reimbursed to MNA, regardless of how the church planter’s project is financed.

V. PROJECT PROPOSAL
PURPOSE: The Project Proposal is the basic presentation of your project and your key fund raising tool.
The process of preparing your Project Proposal is opportunity to:
Think through how you will unite around vision
Strengthen your vision
Force hard questions and clear thinking.
Project Proposal is marketing piece:
Focus on mission, not financial goal.
Proposal will guide your work in fund raising.
Fund raising without Proposal is like running
business without business plan.

Just Start Writing! The format can be very simple or more elaborate. Simple formats are very acceptable; we have seen no evidence that color or other “slick print” formats make any difference in end result. From the human perspective, results depend on your vision, your network of contacts, and how thorough you are in conveying your vision to your network of contacts. CONTENT RECOMMENDATIONS

Theme: summarize your mission statement
Need of the Community
Mission: “Why church planting, specifically in this community and region?”
Your Call: Articulate your call to this project
Goals: What are the long‑term results you envision
Program to carry out mission
Accomplishments/Impact
YOUR PROPOSAL SHOULD INCLUDE :

8 . Vision for the Future:
Where do you see “the plant” headed over the long‑term?
What is the leadership's overall vision?
9. Development Plan:
Avoid the term “need.” Use: goal, challenge, opportunity.
Indicate only funding required from sources outside the launch team, for the total life of the project. Do not include any giving by the emerging new church.
Do not indicate the total budget or any expenses.
Indicate the span of time in which outside support is required.
YOUR PROPOSAL SHOULD INCLUDE (CONTINUED):

YOUR PROPOSAL SHOULD INCLUDE (CONTINUED):
10. Gift Plans: What levels of giving over what period of time?
11. Prayer, referrals and other involvement
12. Profile:
Who are the key players leading your organization and programs?
Who is in this with you? MNA, name of presbytery, mother churches, etc.
How can you be reached? (Make sure you include email.)
Where do they send gifts and commitments to give?

STANDARD PROJECT PROPOSAL FORMAT (8.5 X 11)
Length: 3 pages are usually sufficient
Keep it clean – visually attractive
Keep it simple to send by email easily
Photocopy friendly
Use color if cheap
Graphic design volunteer helpful
Add pictures, if can be emailed over regular phone lines
Samples in the appendices

OTHER MEDIA / COMPONENTS
Cover letters: good place to include:
A new highlight about the target community
Personal stories about any contacts
Some personal update about you and your family
Progress report on your fund raising efforts thus far
Tailored support request for the church or individual
Invitation for prayer support and contacts/referrals

Pledge cards and return envelopes: make it easy to respond . Contact Jill Gamez, Financial Analyst, at 678-825-1253 or jgamez@pcanet.org for a sample pledge card and wording. Use the content of the samples, whether or not MNA is handling your cash management. The samples have been reviewed carefully to meet IRS and accounting standards.

Web site: establish a web site as early as possible.

Other possible media.
PLEDGE CARDS AND RETURN ENVELOPES

A SAMPLE GIFT PLAN MIGHT LOOK LIKE THIS: Number of Churches or Individuals (Giving is over a 4 year period) TOTAL 2 churches or individuals giving $50,000 each provides $100,000 2 churches or individuals giving $25,000 each provides $ 50,000 5 churches or individuals giving $10,000 each provides $ 50,000 10 churches or individuals giving $5,000 each provides $ 50,000 30 churches or individuals giving Under $5,000 provides $ 50,000 TOTAL giving over 4 years $300,000

HIGHLIGHTING THE FINANCIAL GOAL
Partnership Funds to Complete this Project

$60,000 – Year One
$45,000 – Year Two
$30,000 – Year Three
$135,000 – TOTAL

This is the total of all giving required for this church planting project, in addition to giving by the new congregation. Please prayerfully consider whether you can join as a partner with us in this challenging work.
Please note that your commitment to give and actual giving can extend over three years.

WE ARE PRAYING FOR THE FOLLOWING PARTNERSHIPS
$ 25,000 – Name the presbytery in which the church
is planted
$ 30,000 – Name of church you currently serve
$ 40,000 – Individuals whom we know personally
$ 40,000 – PCA churches outside the presbytery
$135,000 – Total commitments to this project
Another alternative to the latter set of figures above is to list gifts by size: 2 gifts of $25,000 each, 5 gifts of $10,000 each, etc., to form the total goal

THE IMPACT OF GIFT SIZE
If you receive…
1 gift of $10,000 = $10,000
2 gifts of $5,000 = $10,000
40 gifts of $250 = $10,000
It takes… 43 donors to give a total of $30,000 Compare… If all gifts are $250 each, 120 donors to give a total of $30,000

THINK OF OTHERS WHO MAY MULTIPLY YOUR EFFORTS :
The Effect of Enlisting the Help of Others if …
One helper raises $10,000 Another helper raises $5,000 Another helper raises $2,500 Another helper raises $2,500 And you raise only $10,000 directly, For a total of $30,000… Compare the Number of Contacts You Would Have to Make to Raise All $30,000 BY Yourself.

VII. PROSPECT DEVELOPMENT
Why do people give?
There are a variety of motivations,
even among Christian people.

SUPPORTING A CHURCH PLANT PROJECT IS VERY ATTRACTIVE TO TODAY’S DONORS
Today’s Demographics And Their
Effect on Fund Raising
Today’s individual donors as well as the rising generation of church leadership is a people who prefer to give to (1) short-term projects, (2) in which they take a direct personal interest, (3) anticipating quick and (4) highly visible results. This is decidedly to your advantage as you seek one-time support for your project. Keynote text: “ Each man should give what he has decided in his heart to give, not reluctantly or under compulsion, for God loves a cheerful giver.”  II Corinthians 9:7

“ Timing is Everything” – the Timing of Your Fund Raising is Important
Duty
Present Excitement
Anticipation
TIMING IS EVERYTHING

“ ...God has arranged the parts in the body, every one of them, just as He wanted them to be. If they were all one part, where would the body be? As it is, there are many parts, but one body.” “The eye cannot say to the hand, ‘I don’t need you!’ And the head cannot say to the feet, ‘I don’t need you!’ On the contrary, those parts of the body that seem to be weaker are indispensable.”
I Corinthians 12:18-22

HOW TO IDENTIFY GOOD PROSPECTS
Utilize the Funding Sources Worksheet in the Appendices.

Step One: Identify everyone you know.
Step Two: Identify third parties.
Step Three: Identify people and churches supporting movement you are part of.
Step Four: Evaluate based on three key factors:
They have a connection to you, and your church plant.
They have resources to give.
They are givers.
Step Five: Speak with MNA Development Staff;
prioritize your list.

IX. HOW TO ASK FOR MONEY – FOCUS ON INDIVIDUALS
Letter/Phone Strategy
Send your proposal, cover letter, and an endorsing letter.
Follow up within 7 days with a phone call
Follow up as much as you can.
Face-to-Face Strategy
For any individual who has the potential of giving $10,000 or more, always talk with MNA Development Staff before approaching that individual, to talk through the best approach. The same applies to all churches capable of giving $10,000 or more, unless you have a very close personal relationship with that church.

A major commitment usually requires an in-person visit
The contact is often a two-step process with individuals
Personalize your request for support, tailoring it
“ Return on investment” is a major motivation today
Recognize every church and individual is unique
Love them
Treat them with respect
Honor them as stewards. See The Seven Faces of Philanthropy
THESE GENERAL GUIDELINES APPLY TO ASKING FOR LARGE GIFTS:

FOCUS ON CHURCHES: A CHURCH IS A GROUP OF INDIVIDUALS
Start with the senior pastor, missions pastor, or chair of the missions committee
Send your proposal, cover letter, and an endorsing letter
Follow up in 7 days
Persist: typically, a minimum of 5-7 contacts required

COMMON QUESTIONS
What does a meeting with a potential donor look like?
Step One: Listening
Step Two: Telling Your Story

Step Three: Asking THE Question
Step Four: The Follow-Up

When should you ask for specific amounts of support?

Persist. Don’t Give Up.

X. THE ART OF COMMUNICATION—FOLLOW-UP
Track Your Contacts carefully
Keep in Close Touch with Donors Forever!
This is important because:
They have given generously to this ministry and deserve accountability and enjoyment of results
You most likely will invite involvement in future projects
They may be regular participants with other church plants

XI. CONCLUSION: HOW GREAT IS YOUR FAITH?
Think of the great ways in which the Lord has blessed. You are seeing just the beginning of that blessing! This manual has focused on a lot of action
steps, a lot of issues that have to do
with very human stuff. Above all else,
be sure that you walk in faith, with the
assurance of the Lord’s presence and
success in His calling. This is His work.
Rejoice in that! Rest in that!

Now to him who is able to do immeasurably more than all we ask or imagine, according to his power that is at work within us, to him be glory in the church and in Christ Jesus throughout all generations, for ever and ever! Amen. Ephesians 3:20-21

Mission to North America Fred Marsh Associate Coordinator (404) 307-8266 • fmarsh@pcanet.org

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Church Planting Fundraising Seminar Presentation

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