Does a local church operate like a business? Most churches have employees, generate revenue (tithes and offerings), offer services to the local community, own property, and do business with other entities. One resource reported that religion in the United States is a $1.2 trillion per year business. Therefore, it is disingenuous to say that churches and Christian ministries do not operate in part in the realm of business. I certainly hope someone in each church has some business skills!
That said, Christ’s church doesn’t operate precisely like a business. The goals and the philosophies of leading a congregation differ from for-profit, not-for-profit, or even nonprofit organizations. Here are a few differences:
1. Stakeholders and profits don’t drive church decisions; God’s Word and the Holy Spirit have the final say in the church. Always. At the same time, one could argue that Christian business leaders should defer to the Bible regardless of their type of business.
2. Pastors must be shepherds who lead with Scriptural authority and as servant leaders—not CEOs. The New Testament does specify matters of church governance. “What works” for management in the minds of some churches isn’t always in agreement with the Bible.
3. The church’s goals must be God-centered and not focused upon people’s preferences. Indeed, churches shouldn’t be insensitive to the thoughts and feelings of people. While showing love, the leaders should always point in the direction of the Great Commission and to Christ’s headship of the church.
4. Faith is always a factor in church leadership. In fact, without faith, it is impossible to please God (see Hebrews 11:16). The financial bottom line isn’t the primary concern in the church. Without a doubt, any church could learn from the “triple bottom line” philosophy of leading businesses: people, profits, and the planet. But on the other hand, the church should be able to teach the business world about the importance of truth, biblical ethics, faith, and prayer.
5. The personnel and ministry decisions of the church impact the life of the congregation and local community as in no other organization. A church shouldn’t shrink back from making difficult HR decisions. At the same time, grace and the good of the entire congregation (even individuals at times) must take precedence over quick fixes and expedient financial decisions.
Without a doubt, wise business practices such as financial accountability, effective communication, and a strong sense of mission are helpful to a congregation. The book of Proverbs is an excellent resource for anyone in leadership—inside or outside of the church! Even so, the biblically untrained can steer the church away from its biblical purpose when the differences between the church and a business aren’t considered. Many of these thoughts are concerns that have surfaced in my courses over the past two years. I am one class away from earning my MBA. The concepts I have learned would have been practical much earlier in my ministry.
I encourage anyone studying for ministry to learn foundational business concepts and learn from business professionals in your congregation and community. Whether you like it or not, the government and the community view local pastors as nonprofit business leaders. So, to protect your flock, be wise and prepare yourself with essential business skills!
I admire and appreciate the Christian business leaders who have helped me and blessed the churches I have served. May God bless business professionals as they serve their local churches. God has provided you with the needed skills to help in the ministry and mission of your church. The BMBA is blessed with experienced people who can support you in aspects of ministry related to business.