An interesting press release recently came across my desk. It contained news of a story that had not been in the forefront of my mind for some time. Several years ago an influential church-planting mission in our circles, Baptist Mission of North America (BMNA), experienced a financial collapse in an investment program to which many people in our churches contributed. The Lord’s work is worthy of the treasures He has so generously loaned to usThose were days of double-digit interest rates. Investors poured large sums of money into the fund, assuming they would get hefty returns. The rapid growth of the fund provided the opportunity to make many church loans. At the same time some high-risk investments of the available fund capital were made in an attempt to keep ahead of the pressure of the lofty interest rates. Like dominoes in a line, one failure pushed the next, and the fund was flattened.

The initial report sent shock waves through the family of investors, as well as through the constituency of churches participating in the program and through the larger fellowshipping network of churches. Optimistic churches had borrowed money in good faith to expand their ministries. Enthusiastic people, many on limited incomes, deposited their funds in an investment plan they believed would contribute to the Lord’s work and earn them a net financial gain. The original dream of the fund’s great possibilities became a nightmare.

The BMNA Council appointed a committee whose task it was to meet the outstanding fund obligations. With the assistance of wise legal and financial counsel, a plan was devised to see that the church loans were repaid and the promised money was returned to investors.

After seventeen years of diligent effort, the goal of an equitable financial settlement was achieved this July. The final report indicated that all of the church loans were repaid. The remaining investors (some had forgiven their investments; others died and had not requested payment) were all repaid in the amount of $1.21 on every $1.00 invested. While the committee did not provide everything promoted by the fund originally, the investors did receive a modest net gain on their money.

While acknowledging my lack of knowledge of the specifics that transpired, I share a few lessons as an observer of this situation:

  • Investment fund management requires a high level of expertise. Well-intentioned people can easily get in over their heads in investment plans. The management of funds requires sophisticated expertise. A wise investor will check to make sure that a fund has competent leadership before making a deposit. The stewardship principle, “God’s money given by God’s people deserves the utmost care,” comes from divine origin.
  • The outcome of one failed investment fund does not imply that all other ministry investment funds are suspect. The adage, “Investor Beware,” is true. It is always prudent to be cautious when placing money in investments. However, this caution must be balanced by a realization that the Lord’s work would be detrimentally affected if believers refused to use their money to enable ministry to go forward. Trustworthy ministries provide an investor the opportunity to further the Lord’s work while also netting a modest return. These types of funds deserve cautious consideration in one’s investment portfolio.
  • Church planting needs to return to a priority position in the vision of our fellowship of churches. The large amount of money that was initially invested in this fund indicated an equally large burden for seeing Baptist churches planted across our country. Hundreds of churches were planted within our GARBC network. Once shared by so many, the church-planting passion needs to be rekindled in our Association. Our country is not over-churched; our country needs more of our churches, a lot more. We need to invest our work, our time, and our money in the important pursuit of church planting. A huge amount of investment capital, energy, and expertise will be available in the next years as Baby Boomers near retirement. With these resources coupled with the vision and strength of younger men and women, a potential increase for church planting exists. The Lord’s work is worthy of the treasures He has so generously loaned to us.
  • The men who assumed responsibility for resolving the financial repayment of the original investments deserve to be thanked. Their tireless efforts resulted in an equitable settlement. Given the circumstances, the strong feelings of frustration and disappointment generated by the original news of the collapse were understandable. When people’s money is at stake, emotions are stretched. Angry words may have been spoken. If the outcome had been known, those words would not have been necessary. The caustic reaction of some investors serves as a reminder to us of the need to guard our tongues. Hastily spoken words are usually regrettable words. To the investment trustees, I extend my thanks for your perseverance and integrity.

A wise person learns from both successes and failures.