Will We Be Taking on Long-Term Debt?
Our hope is that we will be able to fund the initiative entirely through the contributions made by our church family. However, even if we do reach our goal, at a minimum, we will need to secure bridge funding to enable us to begin the project while the monies committed come in. In order to be good stewards of our financial resources, it is imperative that we begin construction ASAP. This will reduce the impact of inflation or the labor and materials that are likely to increase during the two-year initiative. If more funds are needed to accomplish our goal, the elders are not averse to procuring an additional amount, provided that any debt realized is paid off within five years following the end of construction. We believe we have been prudent by implementing forecasting and a strategy to minimize debt and accelerate debt retirement.
As we count the costs, we realize interest will be paid on borrowed funds, but we truly believe the cost of not borrowing is greater – – lives that will be lost for eternity if we do not expand our capacity for reaching them.