Capital Campaign Companies - Tips on Hiring One and Services They Provide

There are numerous “capital campaign companies” available for hire by the local church. As with everything else in life, some are good and some are not. The question for each church is, “How can we determine the reliability of any capital stewardship company we might want to consider?” 

Obviously, a track record is significantly important. Often, the best approach is to call the company for references from pastors who have utilized their services. A follow-up call to each pastor on record will enable you to discuss the details of their experience with the company. 

You will want to assess the company’s track record on such items as spiritual growth and any increase in regular giving, which their capital campaign may have produced in other churches. This is in addition to the level of success the church realized in their primary goal of raising the necessary building capital.  Incidentally, and as a rule-of-thumb, the building fund goal is usually two to three times the level of the local church’s regular giving over a three year period.

Example: The Church on the Hill has an annual income of $350,000.00. (Some churches refer to this as “the amount raised for all purposes”). In this scenario, the amount of building fund monies that a successful capital campaign will generate over a three year period is $1,050,000.00. These funds are over and above the general giving monies. 

Nearly all capital stewardship companies break down their program into five phases:

PHASE 1 – The Relationship-Building and Training phase

PHASE 2 – The Planning Phase

PHASE 3 – The Public Phase

PHASE 4 – The Commitment Phase

PHASE 5 - The Follow-up Phase

Biblical stewardship should motivate each believer to know God’s ultimate purpose in serving Him.

Step Three in Building a Church

Step Three:  Stewardship / Capital Campaign

The next question to ask when building a new church building is, “How are we going to pay for our new church construction project?”

The funding task demands the involvement of talented lay and staff people, found within the church body, acting as a task force to raise the funds. Should the church staff and laity do it “in-house?”  Or, should the church call in professional assistance from a firm that specializes in capital funds campaigns?

Jim Sheppard, in the March/April 2003 issue of Your Church Magazine, lists several common concerns shared by a church when considering a capital stewardship campaign. He writes…

“Even though you know that many churches have used the services of professional firms with great success, you are still reluctant. The issues of working with a fundraising firm are very real: (1) their fee involves a lot of money; (2) the church could save the money spent on the fee and use it for other purposes; (3) you are not sure you want to let a stranger into your church family; (4) you wonder whether you can trust him or her; (5) you don’t know if they will do what they say they will do; (6) some people will wonder why the church is spending money to raise money; and (7) this doesn’t seem terribly difficult—won’t the church be just as successful doing it on their own?”

Church finances are always a sensitive arena. Add to that the prospects of starting a Capital Stewardship Campaign and you have increased the level of explosiveness.

This is often the case when the church-at-large does not understand that, aside from generating the required capital, the effort to do so will enhance each individual’s appreciation for the spiritual aspects of giving. An effective capital campaign, therefore, is more about stewardship, the opportunity for the individual believer to participate in building God’s vision and mission for their church, than it is of financial sacrifice.

Forming a Prayer Team

I suggest that you organize a Prayer Team early in the process. Their sole function is to pray for the building program as a whole. No prayers for Aunt Susie or Sister Sue, just prayer for the building committee, the contractor, the sub-contractors, the municipality, etc. 

We have recommended Prayer Teams to churches considering a building program for many years. The miracles that have resulted from the joint prayer effort have been truly amazing. 

I have often told churches the story of a group of believers in Kingsville, Maryland, who had been meeting in a school for several years. They were at the point of looking for property on which to build and came across a prime parcel on US Highway Route 1. They prepared an offer, all they could afford, but substantially under the asking price. Upon receiving it, the owner said that he had received several offers on the property at the higher, asking price.  However, subsequent on-site tests had indicated that the soil would not percolate, making it unsuitable for building purposes.  

 “Regardless”, the owner said, “if the church wanted to go to the expense of another percolation test and, if they could live with the results, he would accept their offer.” 

Guess what happened… It perked! …God had intervened because He wanted a ministry there!  Today a vibrant church is serving that community, in that location, because people had prayed.

How to Form a Church Finance Team

The next team for the typical mid-to larger-sized church to consider is the Finance/Stewardship Team.  This entity represents the “financial face” of the building project.

Some of the legitimate questions this team will seek to answer are:

  • “How much money will we need to generate?”
  • “Can we raise what we need?”
  • “What is the best way to raise money?”
  • “How long will it take?”

Composed of ministry-minded individuals, they should have the last word in recommending the answer to the question of “how to finance”.  Whatever that choice might be … cash, traditional outside financing, bond issues or any combination of these methods… it should be presented to a congregation as the only viable option. 

How to Form a Master Planning Team

The Master Planning Team’s mission is to effectively incorporate the Vision Team’s principles within a comprehensive master plan. It will also include such suggestions which are articulated in the Needs Analysis and Feasibility Study.

This team should include five to eight members, with key representation from Worship, Christian Education, Youth, Music and Finance, as well as the Pastorate. 

At the outset, the Master Planning Team should establish an effective mechanism for implementing its decision-making authority. That plan should represent the best thinking of its ministry-minded individuals as well as those of any technocrats who may presently serve the church in finance, Audio/Visual or IT roles.

The Master Planning Team’s mission is to effectively incorporate the Vision Team’s principles within a comprehensive master plan. It will also include such suggestions as are articulated in the Needs Analysis and Feasibility Study..

The Master Planning Team should be led by a recognized leader in the church. This individual should be chosen for the position of respect in which he or she is held by the congregation.  It is important that this person be able to clearly articulate the findings of the team to any audience. 

Forming a Church Vision Team

Vision Team members work closely with the Master Planning Team to insure that the church’s established vision is implemented within the master planning concept designs. This team is the entity responsible for defining, publishing, and communicating the adopted vision to the church body and to the various design personnel. 

The Vision Team will likely be chaired by the pastor. His input is critical because he understands the ministry goals and the pulse of his congregation. 

It is our belief that he should also form the Vision Team. His selections will include key staff members, elders and deacons, or stewards. Ideally, he will seek out a gifted facilitator, as well as other godly individuals who understand and support the church’s mission. The Vision Team members should represent a blend of process and action people.

How to Form a Church Construction Support Team

Construction “support” teams are formed to assist with specific aspects of the construction process. Some examples of “support” teams would be the Interior/Decorating Committee, the Finance Committee or the Facilities Committee, etc.

When looking for construction support team members, look for individuals who love the kind of work they are being asked to do. Be certain, however, that they understand the limitations of their responsibility. It would be helpful if they knew that their self-perceived, limited, responsibilities will only be called upon at certain specific times within the construction process. 

One does not need a team member with talents in finance to become involved in decorating, etc. That individual, in all likelihood, would be a natural in assisting with financial packaging, should financing be required.

How to Form a Church Building Committee

Who serves on the building committee?  Opinions vary throughout the industry. 

My suggestion is that the building committee/team should consist of seven to nine mature church members who possess a strong understanding of the church’s vision. 

These are the people who represent specific ministries of the church, ensuring a comprehensive balance. They are ministry-motivated and will make far better committee members than engineers or other construction-related professionals who don’t share the vision. Unfortunately, “experts” on the committee often create more problems than they solve.

Ideally, all of the members will be committed to expressing their viewpoint honestly and articulately, without offending. The first goal of the committee should be to create an atmosphere which ensures respectful discourse.  

Once the committee is in place and functioning, it will be time to integrate their efforts with the input of experienced professionals (usually from outside the church). Each church, uniquely, establishes its own team format. There is no set rule in this regard.  

Why and how should I form teams?

Why is forming teams an important step when starting a church construction project?

As scripture puts it…

“And if you know of any among them with special ability, put them in charge…”

Genesis 47:6

A frustrated minister once said to his congregation: “Crying babies and disruptive children, like good intentions, should be carried out immediately.”

The right team will guide you through all the necessary steps, from budgeting and scheduling, through actual brick and mortar. 

How do I form a team?

Think of those people in your church who have expertise in certain areas.  If you have a banker, maybe put them on the financial team.  Think of those people who are experts in areas pertaining to your project.  Choose church members that are humble and excited about the vision God has given you.

Later we will look at specific teams and the decisions they will make.  For now, be jotting down those members who may have the knowledge and expertise pertaining to your church construction project.

 

Step Two in Building a Church

You have now recognized your readiness to move forward. You’ve formulated your ‘vision’ and completed your Needs Analysis and Feasibility Study.

The next step?… It’s time to carry out your good intentions. 

Step Two:  Develop and form teams.

Remember that you are not alone!

The right team will guide you through all the necessary steps, from budgeting and scheduling, through actual brick and mortar. 

Two teams are essential to the successful completion of the project. 

The first team is composed of those church members who will comprise the Building Committee, or as some refer to it today, The Task Force or The Building Team. The Building Committee will engage “sub-committees” in supportive roles. For example: Vision Team, Master Planning Team, Finance Team, and Prayer Team. The second essential team is the Contracting Team