Last week I featured a re-post of a great blog I read called 7 Things I Learned Watching Andy Stanley Teach Junior High Students by Michael Lukaszewski.  The response has been overwhelming!

Therefore, I am having Michael write a new post specifically for this site.  When he asked me what topic I would like, I recommended a post on leading a faith-based or non-profit business.  

Michael and Casey Graham lead The Rocket Company, the organization I work for which serves church leaders.  You will find his thoughts quite insightful.  Michael’s incredible blog can be read by clicking here.  Enjoy!

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I got my first job at a church as a freshman at Florida State University and worked with teenagers for a little over a decade.  Then in 2006, my family and I moved to Atlanta to start a new church.  I had the honor of leading that organization for five years.  For the last couple of years, I’ve been working with The Rocket Company, a faith-based business that helps churches succeed.

Add it all up, and it’s about twenty years of working in non-profit or faith-based businesses.  Armed with wins, losses and experiences, here are four principles about leading a faith-based or non-profit business

1.  You don’t have to be unprofitable.  

Somewhere along the line, people buy into the idea that a faith-based business or a non-profit organization can’t be financially secure.  If they do too well, we start questioning things. If their leaders drive non-beater cars, something must be wrong.  In the business world, we honor leaders that do well, but cross the line into business with a purpose, and the rules change.

I’m not suggesting that leaders of these kind of businesses should be rich, but I am saying we should change our perspective.  Just because you’re leading a non-profit doesn’t mean it doesn’t need to do well.  Just because you’re leading a business with a bigger purpose doesn’t mean you need to go broke.

A struggling faith-based ministry is not more honorable than the successful one.

If you are leading a faith-based or non-profit business, you need to attract top talent and pay them well.  They need benefits and a 401(k) as soon as possible.  You might need office space that wasn’t furnished from a yard sale.

Yes, you will be able to attract some people to work for the cause, but as people get older and have families, they need to provide for them.   No, you don’t need to have luxurious offices, but if you have a meeting, you might need more than a crate.

2.  Don’t buy into the broke mentality.

Too many faith-based or non-profit business approach things with a broke mindset, constantly asking for special treatment or special pricing.

A broke mentality will keep you from investing in your own business.  For-profit organizations know advertising and marketing done right yield tremendous results, sometimes five or ten times the investment.  But a broke mentality will convince you not to spend money on proven strategies to grow the business.  Always looking for the free or cheap alternative can actually hinder your growth.

A broke mentality will keep you from investing in your own leadership. I’ve talked to leaders in this industry who can’t imagine the idea of paying for coaching, when there are so many free resources on the Internet.  So you email people and ask to “pick their brain.”  And that free advice is generally worth what you paid for it.

Pay for coaching.  Attend conferences. Invest in your own leadership.

3.  Pursue profit with a purpose.  

Whether your business is faith-based or not, I believe finding a greater purpose will motivate you and your team to accomplish more.  At The Rocket Company, we have a four word mission statement.  It took a few years for it to bubble up, but it’s clear.  We help churches succeed.  For us, that’s a greater purpose than making money.

I don’t believe stuff will truly satisfy your soul.  And as a person of faith, I believe Jesus when he said that our souls were more important than our stuff.

Success in business ought to lead you to be MORE generous, not less.  Profits ought to allow your company to do MORE good in the world, not less.

Wesley said we should make all we can, save all we can and give all we can.  If you stop at the first part, you’ll miss the greater purpose of money.  But if you work hard to find sustainable success, and stay focused on what you’re becoming and whom you are helping, good things can happen.

No matter whether you make widgets or run a food pantry, I believe every business needs to find their deeper purpose.

4.  Fundamental business principles still apply to you.

A couple of years into it my journey of starting a church, I realized I was starting a business.  I was dealing with government paperwork, hiring people, and contracts.   I found myself looking at cash flow reports and balance sheets.   I got into this because I wanted to lead, speak and run a church.  But I soon found out that those public things required many more private business discussions.

Now a church is more than a business, but it is also a business.   And the rules of business don’t bend because your business has a spiritual or altruistic purpose.

Whether you’re a non-profit, charity or faith-based business, the rules of business still apply to you.  You can’t write “goodwill” on a check and despite what the song says, you can’t live on love.  Not knowing how to read a balance sheet because you were praying for people isn’t a good reason when the creditors come calling.

But take heart!  Because of your unique position, you have the incredible opportunity to learn from both sides of the spectrum.  Bring your faith to your business and bring your business to your mission.  With proper perspective, it’s a powerful combination.

To read more from Michael, check out these popular posts on his blog:

Three Things Pastors Secretly Want

What Church Leaders Can Learn from Infomercials

You’re Talking About Vision TOO Much

The Five Common Struggles of Pastors

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