church lending

All posts tagged church lending

CONSTRUCTION ADMINISTRATION

How many churches have you heard of giving all their money to the contractor and then the contractor running off? Or how many projects have you seen the church accept this wonderfully low bid only to have, during construction, the contractor rack up change order after change order after change order? This happens all the time and I feel Continue Reading

CONSTRUCTION DOCUMENTS

How many churches have you dealt with that had construction documents prepared for a facility that is much larger than they can afford or justify?  This happens every day.  The lack of communication or understanding between the architect and the church about their financial ability concerning the project budget is the cause.  I have been asked, but I strongly urge against starting the construction document process until the capital funds campaign (CFC) has ended its pledge drive and a financial lender has met with the church to give them an idea of their borrowing potential.  I have had churches want to jump the gun for the sake of the “schedule” and request me to prepare detailed construction drawing for a phase one scope of work prior to knowing what the phase one financial resources will be.  Many churches and architects fall into this trap which leads to frustration, finger-pointing, delays and expensive drawing revisions.

On the other hand I have met with churches that Continue Reading

BUDGETING

How many churches have you met with that have never spoken with their architect about their financial ability? How many churches have you met with that do not understand the difference between construction costs and project costs? Too many times I am faced with a committee that does not want to share their finances with me or for that matter has never even discussed their financial ability with the finance officer of their church. How is an architect supposed to design a feasible solution to meet their needs if no one knows how much money there will be to build with? Or for that matter Continue Reading

PHASING

How many churches have you seen that have started the construction of their facility without the financial resources in place to complete that facility. They will tell you, “the contractor is in the midst of building phase one of our facility”, and you find that what they are calling phase one is the foundation and hopefully the slab of the new building. Phase two is proposed as being the structural walls, then hopefully the roof of the new facility, and so on and so on…

This is not the proper way to phase construction of a building. This is the result of Continue Reading