By Dan Mikes Throughout my 27 years of providing financing for religious institutions, I have seen a number of instances in which all the financial and other factors were right, but the loan could not be made because the collateral (the land and buildings) was unacceptable due to environmental contamination. While this is a […]Read More >
A true ministry banker understands that business administrators at religious institutions might only undertake a major commercial construction project once or twice in their careers.
A lender with specialized expertise in financing religious institutions will not expect you to intimately understand or fully anticipate the commercial construction and related borrowing processes. Rather, a lender with a depth of experience banking this segment can provide consultation and guide you through the process.
Nevertheless, the ministry will be best served when adequately prepared about what to expect.Read More >
Long-term interest rates appear to have bottomed out and are projected to increase by year-end. So, now is the time to consider borrowing funds to undertake important building initiatives or refinancing existing debt.Read More >
As unemployment has declined and consumer confidence has grown, it appears that the post-meltdown reluctance to solicit donors for capital pledges for religious institution expansion is abating.
This is giving way to pent-up demand for worship space.Read More >
The loan underwriting process is centered on determining the level of risk associated with each ministry. As a part of that risk management process, we inquire about the amount of debt, cash reserves, as well as the limits and type of insurance coverage the ministry maintains.Read More >
If you haven’t already heard while listening to the evening news, the 15-year historic graphs indicate that while interest rates are still relatively low, they might have bottomed and be on their way up. While many think rates are likely to increase in the future, no one knows how much they will rise or when. Now might prove to be a good time to refinance existing debt and secure a long-term fixed rate if possible.Read More >
As the business administrator of a religious institution, you don’t need to be an experienced commercial developer to get a construction loan — you just need an expert ministry bank.Read More >
This summer — at the National Association of Church Business Administration (NACBA) annual conference — Church Executive hosted a live roundtable on two top-of-mind topics for church leaders: lending and finance.Read More >
To approve a loan, the bank wants to know the project’s cost. But, to get the cost from a builder, you need a design. And to get a design, you need an architect. And to pay an architect, you need money from the bank!
So, who do you call first? And does it matter which builder, architect or bank you call?