In June 2017, I was asked to make a presentation for the Southern California Nevada Conference of the United Church of Christ during their Annual Gathering. The video below is a recreation of my presentation. The presentation title is Five Common Mistakes Churches Makes with Money and the Policies to Avoid Them. In my presentation, I address the five areas of church finance I find most problems during Financial Controls & Procedure Audits.
The top five mistakes are presented in a countdown format leading to the most severe issue. We begin with Vendors, Favoritism & Overspending; discussing the challenge of having inexperienced volunteers responsible for securing contractors to do work around the church. Next we move to Property Rental and Tax Consequences; touching on issues beyond the basic question of for profits renting church space. We next move to Endowments, Quasi-Endowments and Fundraising. This is one of the most challenging areas in church finance. Lets get a grip on the language and who can do what. Next, we move to segregation of duties. This is an increasingly challenging area for churches as staffs and volunteers are fewer than in the past. How do we maintain controls with fewer people? Finally, the biggest issue I find: Outdated or nonexistent financial policies and procedures. Is it time to update? Do we need a financial audit?
This presentation, while just over an hour long, is extremely brief considering the content discussed. We can’t go into great detail on any of the subjects, much less all of them in one hour. I encourage questions in the comments section below.
If you have question, add them to the comments below. If you are interested in scheduling a Financial Controls & Procedures Audit for your organization, please contact me at Keith@ChiKiTransformation.com or (626) 657-0146.
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“Keith brought knowledge, experience, and a lot of heart which resulted in a clearer understanding and unified approach to UCCLM’s financial policies and procedures. With his ability to speak so others could hear transformation resulted. What a blessing! What a gift!”