Ministry News

Bankrupt Churches

Details: Saturday, 07 May 2011 18:45

Cornerstone World Outreach Center, a Sioux City, Iowa, church, has filed for bankruptcy, three years after completing a new $8 million building program. An Ohio contracting company won a lawsuit against the church in an attempt to recover $3.6 million the church had failed to repay after the building was completed.

In a statement announcing the bankruptcy, Cornerstone's pastor, Cary Gordon, cited "complications arising from an inability to achieve funding during the economic climate" and a breakdown of negotiations between the church and the contractor.

Cornerstone's plight is only the most recent of financial woes for churches attempting to weather the economic recession.

The Orange County Register reported that several members of the orchestra hired to perform at the Crystal Cathedral's Easter Sunday services walked out and refused to play after they realized that the church had paid them half of what was promised to them. The Southern California megachurch, pastored by Robert Schuller, filed for bankruptcy protection in October 2010, following the revelation that it owed $7.5 million to unsecured creditors.

In December 2010, Minneapolis area Mighty Fortress Church filed for bankruptcy with nearly $7 million in liabilities related to its new sanctuary, training center and K-12 Christian school.

But not all financial struggles are related to ambitious building projects. New Christian Life Church, a congregation in Boynton Beach, Fla., is facing foreclosure that the pastor, Richard Butler attributes to church repairs and a shrinking congregation.

"When they (church members) leave, they take their money with them," Butler said. "So we've been financially strapped for about a year."

— Sioux City Journal, Orange County Register, WPBF-TV

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Comments

+1 #9 Pastor Prince Ubi 2011-08-31 04:23

to those who started building and are in debt be strong because God shows up in dieing minute. we don't need a 'holier than thou attitude' but prayer for the body of christ and our brethren. 'A bruised reed he will not break, and smoking flax he will not quench,' if you started building and ran into bankrupt repent of where you missed it, prayerfully trust him to send the fish in whose mouth is the gold. I'm building for God and it's not an easy task because all hell is going to be loosed stop you but remember, it's better to try and fail than not to try at all.

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0 #8 Jay Miller 2011-05-31 05:15

Interesting article

Bro 'P'

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+6 #7 Pastor Curt 2011-05-11 01:28

I have prayed for many years and did not let the world lead me as hard as it was. To build a church and go financially in debt not knowing the outcome, or to wait and let GOD lead me to do His will in His time. I recently bought a church and by God’s will, paid for it in full. He made me work to find the money first then He showed me where to go. I made an offer for what I had, several ten thousand less than the asking. I was told it would not happen, but it did. GOD made me wait and be patient for His will to move my ministry and not to jump into a financial dilemma. If GOD wants a church to expand he will provide the means for the project. If you jump ahead of His time frame you may be left with the burden. I do have more work to do and some repairs left but God is providing as they go. I have seen several churches in trouble by undertaking expensive projects without the funds in place. If you pray and ask GOD for help it will come.
Thanks and GOD Bless
Pastor Curt

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+3 #6 Pat Barrow 2011-05-10 12:14

Building are being built on feeling & personal want rather then being led by the Spirit. I truly beleive we do not know how to truly wait to hear from God & what we think we hear is only the imagination. God said in all your getting get WISDOM.. The Word of God and the use of WISDOM has been watered down today. We have failed to evangelize first and build only when necessary. Buildings have taken priority over the needs of people. We have a watered down gospel and un-convited genuine coversion of people running to the alter, therefore with no genuine conversion there is no commitment to Christ how can there be. Where is the in-filling of the Holy Spirit? Gone! and the new church still laughts at the old church where they hooped and hollored! but then they had genuine conversation., even though they lack understanding, they sought to love, help & care for their neighbor and feared God. There is no fear today. So we build buildings with shallow christians :zzz

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+2 #5 jim kinney 2011-05-10 05:08

"If you build it they will come" is a secular, not a Scriptural model for church growth. I commend churches like North Point in Atlanta, GA and their pastor Andy Stanley for finding innovative ways to grow without borrowing to build. North Point began as a church plant just a few years ago and now worship 1000s each week in multiple services at multiple sites in great facilities. I don't know how they are doing financially is this tough economy...but I do know they are debt free!

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+1 #4 MarkDeckard 2011-05-10 05:04

Jesus taught on building programs. remember when he told about the guy who built the tower half way and ran out of money? Count the cost. Line up enough money to finish the project based on cash flow worst case scenarios....duh.

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+1 #3 C.E. Hensley 2011-05-10 03:07

Biblical principles cannot be violated, even by well meaning and sincere Pastors. We cannot "boast" against tomorrow. The easy money via loans and the egocentric building projects must stop, for we are blaspheming the name of the Lord among the Nations and are allowing the world to reproach our Lord and Savior. Build as the Lord provides, not as the negotiations provide. I had to lay off staff, downsize and receive no salary for a time because of unemployment in my congregation. But God is faithful as we repent and admit our mistakes, and yes He will provide. Blessings to all who are struggling!

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0 #2 B.J.Stone 2011-05-10 02:09

If anyone sues thee under the law, and is awarded thy 'cloak' under lawful circumstances, give over to them thy complete coverings, they 'coat' as well to cover their expenses and other losses. But if the award was gained unlawfully, or under oathtakings in 'untruths', in 'deceptions', or in non-justice seeking courtrooms? Then take them into bankruptcy (based upon excesses in usuary, other laws attached once to Nation of Israel) and if fortunate, one may keep their 'coat', but NEVER expect to recover thy 'cloak' as well.

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0 #1 Dr.Marietta Brown 2011-05-10 01:21

We still believe The Lord will provide for us in time of Famine as the Word of God promises. In time of Famine Gods People will have plenty. As a Senior Pastor myself we have to Obey Gods Word & seek him for Divine Wisdom.

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