- - - Rejoice in the Lord always ... again I say Rejoice !!! - - -

                               TO:  Interested Ministries                                                                                 FROM: Jim Bramer, Retired Auditor-CPA
                                                                                                                                                               FILE:  0096-01/all

                                RE:  Working Capital Issues                                                                          Originated:   March 1992                         

I S S U E:

        Some Ministries must carry Accounts Receivable and/or Inventory in order to meet the unique needs of their Ministry.

        Often they do not have the Surplus, yea working capital, in order to function properly.

        Further, they likely DO NOT have the wherewithal to qualify for a loan from a Financial Institution.

P O S S I B L E    S O L U T I O N:

        Seek "Working Capital Loans" from your constituency and care for "two birds with one stone" The applicable constituent needs to make an investment that carries an adequate yield ...... the Ministry needs working capital.

        Well,  plus maybe a "third bird"  - - -  these type of loans could be short or long term, but could function as a type of Quasi-Gift/Revocable Trust.  Please   Click here for more info on this topic.

   Such instruments could:

•     Be paid back when the Ministry has an excess of Income over expenses and builds up a Surplus;
•     Become all or part Estate Income to the Ministry upon the loaner - grantor's death;
•     Be an installment obligation under the agreed circumstances.

        Regardless, such a private loan (deferred gift) is not as stringent as required by a Financial Institution.

       The bulk of this Publication originated in March 1992 and was  .UPTD: January 03, 2010  

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        (1) An Onliner Document, or WRIT (Writing), may be applicable to all Ministries, or it may be designed for just groups like: Evangelical Church, School, Missionary Agency or Organization, Christian Camp / Conference, or other named group.
        (2) WRIT formats include the perspective of   Jim@bcidot.org   via IOMs (Inter-Office Memos) to the Ministry Finance Team (MFTeam); THRDs, a hypothetical Online conversation with members of the MFTeam; GLEANINGS, or Scripture within context of the MFTeam; FWIW; A periodic editorial (For What it is Worth); TRUISM, or believed Ministry Finance principles; and FAQ, response to Frequently Asked Questions