Here’s your chance to see if your idea for a start-up has wings. It’s a great opportunity for someone (hopefully one of our readers) to get some seed capital to launch their dream business. The contest is promoting John Maxwell’s (yes, the Christian leadership guru) new book “PUT YOUR DREAM TO THE TEST” and is being sponsored by the book publisher (Thomas Nelson Publishers), SCORE, Success Magazine, and Scribd (a web site where you can publish, discover and discuss original writings and documents).
TO PURCHASE PUT YOUR DREAM TO THE TEST BY JOHN C. MAXWELL, SEE “CHRISTIAN CAPITALISM SUGGESTED READING” IN THE SIDEBAR TO THE RIGHT OF THIS POST
You must submit your best original business proposal to Scribd before 11:59 PM EST on Wednesday April 22nd 2009 (sorry for the late notice but I just saw this today). On April 25th, 10 finalists will be selected and then Scribd users will vote for a grand prize winner. The winner of the $10,000 grand prize will be flown to Atlanta, to be awarded the prize on stage at this year’s Maximum Impact Simulcast conference on Friday May 8th. The interesting back story to this contest, I believe, is the collaboration between the Christian author, Christian publisher (Thomas Nelson), a secular entrepreneurial magazine (Success), and the secular business advisory organization (SCORE). A Christian entrepreneur could not dream up a better contest to be a part of. I love that this contest is being run in a way that is open to anyone no matter their religion. I especially like the prize being awarded at Maximum Impact which is an awesome Christian business leadership seminar which I have attended for the last few years. If you have never heard of Maximum Impact, check out the website it is something that is definitely worth going to if you are a business person. You will get to hear some very impressive people talking about different aspects of business. They have had Hall of Fame football players, best selling authors, tech industry executives, social entrepreneurs, etc. I could go on but you would get a better idea by just visiting the web-site. The simulcasts I have attended have really changed me, and how I do business, and have given me priceless knowledge from top notch business experts. ENTER CONTEST NOW (FYI- Submission rules and submission button are on right hand side of page).
Raising capital for a business can be one of the most (if not THE most) challenging aspect of being an entrepreneur. Especially so for Christian entrepreneurs. The shortage of Christian capital sources makes it a seemingly insurmountable task for Christian startups. Christian startups have fundamentally different goals, needs, marketing and exit strategies than traditional "for-profit" businesses. As a result they need capital sources that understand this, so that the Christian entrepreneur does not have to sacrifice the god-given mission and impetus behind the forming of the business, in order to maximize the ROI for the capital source.
Almost 22 million businesses were started in the U.S. in 2007, according to the SBA's statistics. Out of those, only an estimated 637,000 businesses (2.89%) are "employer firms". Which in plain English means that they have at least one employee other than the owner. The vast majority of new businesses are based out of the home, always with the hope that someday they will break free of the nest and grow into something bigger. Christian start-ups make up only a fraction of the millions of new businesses opened each year. We have no way of knowing what those exact numbers are, since the US Census does not track Christian businesses, but the potential is very large. Lets extrapolate some numbers based on recent studies. According to the American Religious Identity Survey (ARIS) conducted by the City University of NY, Christians make up 76.5% of the population. Obviously, not all who profess to be Christians are practicing their faith, but this large number points out the potential number of Christian start-ups. According to research from the Barna Group, "15% of those who regularly attend a Christian church ranked their relationship with God as the top priority in their life". If we expect these percentages to hold true for business start-ups as they do for the general population, 16,830,000 of start-ups would be started by a Christian entrepreneur, of those 2,524,500 would be businesses that are operated with Kingdom values and goals (see Christian Capitalism). Which would mean that 72,958 of those would fit in the category of Christian employer firms (having more than one employee), that would need a larger amount of start-up capital. This shows that although the greater need seems to be that of micro loans for smaller Christian start-ups, there is also a pressing need for more, than the handful of existing, Christian capital sources. Control over the ability to operate the business as a ministry, the validity of making God-guided business decisions, and the probable dilution of the God-given mission, are major obstacles to overcome when seeking capital and resources from secular sources. The exit strategy can be another possible sticking point, if the existing exit strategy is to "continue until God says to do otherwise". Try explaining that to a secular VC! Can a company truly be a Christian company when it brings in a secular partner, raises capital through a secular source such as a Venture Capital firm, or when it goes public?
“No servant can serve two masters; for either he will hate the one and love the other, or else he will be loyal to one and despise the other. You cannot serve God and mammon” (Luke 16:13)
In my opinion when a company gives up any amount of control to outside secular capital sources, it gives up the ability to follow God's will without compromise. To some Christian companies especially those closer to the secular social entrepreneurship end of the spectrum, this may not be as important, but for those who are practicing Business as Mission, serving Christians exclusively, or operating their businesses as a ministry this would be a deal breaker.
God's way is to plant his resources where they can do the most good. Secular businesses invest their capital where it can bring the biggest return on investment. A Christian business may invest in ventures that may not maximize its return on investment, but may provide a good balance of capital return and social good. Secular corporations though, are accountable to their board of directors (BOD), and ultimately shareholders who elect the BOD, and have invested in the corporation for one reason and one reason alone, and that is to make as much money as possible. This highlights the huge need for Christian capital sources. Christian businesses need capital resources such as Venture Capital, Hedge funds, Mutual Funds, and others, that are focused on, and understand their specific needs. 2Corinthians 6:14-16 says "do not be yoked together with unbelievers...". It is of utmost importance that Christian companies be owned by shareholders with Kingdom goals and values, in order that Christian start-ups may form, blossom and become companies that are capable of redefining the business landscape and can accomplish their Godly missions. I believe that as this Christian capital infrastructure grows, we will see an explosion of Christian entrepreneurship and a great movement of God in the business world (see reclaiming the 7 mountains).
PublicData is basically free. Its in the public domain, so you can gather it from the internet, visiting your local public and university libraries, or through other public sources.
Hands OnData is physically gathered. It is collected as you can imagine, by going out and doing some legwork; measuring drive by or foot traffic at possible locations, visiting competitors and scoping out their businesses, or even by conducting polls with potential customers. All of these are forms of this type of data source.
Pay For Data is collected by hiring a company that specializes in doing things such as: marketing focus groups, writing industry reports based on proprietary data, joining a chamber of commerce or industry associations to garner info you will need, etc. The following links are a list of resource sites and pages that will allow you to get started on gathering Public and Pay For data. Hands On data is up to you to go out and gather.
Industry Research Bureau of Labor Statistics- U.S. Industries at a glance Closerware- Non-Profit Market research Crunchbase- Database of tech companies, people, and investors Experts & Think tanks- Find an expert to help find specific information Expert Pages-Mostly for attorneys, but can be used to get specific expertise data
Ibis World- Industry research and reports (pay for data)
Market Trends Comscore- Internet Rankings Alexa- Web Page rankings and visitor info PSFK- Trends and innovation Trendspotting- Internet trends & marketing research
Competitor Research Future now- Article with tools to legally spy on your competition Fuld & Company- Competitive intelligence tools The Deal.com- News on deals occurring in the business world
Writing a business plan can be a hard task for an entrepreneur for many reasons, the biggest one of all being that the majority of entrepreneurs tend to be A type personalities. We subscribe to the “Just do it” mentality. We see an opportunity and are ready to go out and fill the need. “Forget about planning, lets get it done”. Right? We have the idea in our minds of the perfect product, service, or business. We know in our gut that there is a need for it, that people will love it. There are even many documented success stories where entrepreneurs went ahead and did just that. Unfortunately there have been studies done that show that the failure to have an adequate plan in place is a big factor in the failure of many firms. In the previous post I talked about why you need a business plan and what it should accomplish.
This post will show you how to begin taking the two most important first steps when building your Christian business plan: establishing an appropriate framework, and filling in the blanks by doing the research needed. In this stage you will solidify your ideas and back up what you feel in your gut, with hard facts and data. Ideally the data will support your original assumptions and maybe even give you some ideas to add value or depth. It is very important though, to be honest with yourself and look at what your findings are telling you, because sometimes the data tells us things we may not want to hear. It may tell you that you have to tweak or change a few things. Then again it may tell you that your original idea needs a major overhaul, or that it won’t work in its current format. Unfortunately I have been faced with this scenario on at least one occasion, and although disappointing at the time, it saved me a lot of wasted time, money, and future heartache. Looking at the situation and data I had collected, in an honest way, helped me to see that I needed to look into starting up my business in a different part of the country. The location I was looking at, would just not support the amount of revenue I was looking for. I’m not saying to quit your dream if the data is not supporting your idea. What I am saying is to use the data to reformulate things to give yourself the greatest chance to succeed. The frame work for a business plan is generally agreed upon. What is up for discussion is how long it should be, what areas you should spend more time on, etc… I believe that you have to adjust your business plan to what you will be using it for. The plan should start off with a section called the Executive Summary. This part should summarize the most important points that you want to communicate. It’s like an elevator pitch for your business plan. An investor should be able to have a general idea of what you want to do and how you are going to do it. If they are interested they can dive into the details by continuing to read on. You will follow the Executive Summary with specific areas that address the overview of the company, products and services, marketing, management, operations, financials, legal, and (for Christian companies) social benefit. Here are some sites that have templates or advice on how to put this framework together. SCORE Business Plan TemplateSCRIBD Business Plan TemplateFree Sample Business PlansBusiness Plan Resources I find these links particularly useful. The sections that you use in your specific business plan depend on your business type and your purpose for putting together a plan in the first place. Is this to get yourself organized and focused or is it targeted towards raising capital? What kind of investors are you looking to target? Are they VCs that expect you to make it succinct and to the point, or are they family and friends, that will take the time to read through and understand your plan? Think about what you want the plan to accomplish. Guy Kawasaki’s book “The Art of the Start” is a good source of info for getting a new business off the ground. There are also some good resource links on his venture capital page. Once you have decided on your framework, its time to fill it in with the information you will need, make sure to leave the Executive Summary for last. It will summarize your plan, so leave it blank until you have input all your info and research. First you will fill in the parts you know. Fill in the Business Description and Company Background. Summarize your Business Strategy and describe your Products and Services. Make sure you also fill in information on any Competitive Advantages your company may have; unique or proprietary technology, processes, or expertise. Social Benefitand Exit Strategy would also be sections you may be able to fill out before doing research, but as with everything you are doing at this point these may change once you start doing more in-depth research. Once you have filled in what you can with your existing knowledge, you should start the important work of doing research to flesh out and back up your plan. Two good places to start for general information and resources are SCORE and the SBA. There are also many local entrepreneur centers and university small business resources that you could tap into, close to where you live. In the next post I will talk more about research types and sources. I will also list some sites where you can get statistics and information that targets Christian business specifically. I welcome your comments regarding whether this post has helped you to put together your business plan, or if you have other resources links that could help others to put together their plan.
There may be many reasons behind why people start their own business, but people become entrepreneurs because of two driving forces: desire or fear. Most entrepreneurs start their own business because they desire something better. They may want more control, more money, more flexibility, or a better quality of life.
A few though, start a business out of fear. They may have lost their job for an extended period of time and see no other options, they may be afraid of how they will feel if someone else beats them to market with a similar idea, or even be fearful of being trapped in a dead-end job for the rest of their lives. Christians are not immune to these desires and fears, after all we are living in the same 21st century world, and are exposed to the same pulls and tugs of culture, the same difficult situations, and the constant consumer minded advertising driving us to want more than we have. That is why it is so important to seek the Lord’s will in these situations.
We should never do something out of fear or greed, but out of love. When considering starting your own enterprise you must ask Him: “Lord is this what you want? Is this the outcome you would like for this situation, or are you trying to teach me something else?”.
For Christians there may be a different set of desires in starting up a business, and these desires should be driven by love. The Christian entrepreneur may want a workplace where they can feel free to be the person God desires them to be, including to express their Christian beliefs and to put God first in their lives and business (loving God). They may want to use a business model balanced more toward doing God’s work instead of focusing solely on profits (loving your customers), or to have a business that provides jobs and a functional, stable workplace for other Christians (loving your employees), or even to use their business as a mission to minister to people in areas that are hostile to Christians but welcome foreign business investment (loving the lost). Whatever our desires may be, the most important point here is to seek God’s will. He wants us to be a light to the world. "No one lights a lamp and hides it in a jar or puts it under a bed. Instead, he puts it on a stand, so that those who come in can see the light” Luke 8:16. Whether we shine our light at a job working for someone else, or in our own business doesn’t matter, just as long as we are where He wants us to be. In a previous post I talk about using a business as your ministry. In the post I talk about my own personal experience starting a Christian business based on a God-given mission, but one size does not fit all. God’s kingdom is full of endless variety, and there are many types of businesses that can be considered Christian. They can be tailored to the Christian marketplace, or not. They can state publicly that they are Christian, or they can keep these motives in the back office leaving customers to think to themselves “there’s something different about this company”. Different people have different preferences, and I hate to repeat myself but, foremost in this is going to be what the Lord desires to accomplish through your business. Whatever the format, or target market, a Christian business should be a light shining in the darkness; to the community, its customers, and employees. It should be run in a Christian way, based on biblical principles. In 1Timothy 6:9, Paul gives us a warning “People who want to get rich fall into temptation and a trap and into many foolish and harmful desires that plunge men into ruin and destruction.” So we should not be motivated by the love of money, but for the desire to be a faithful servant though our business. Many Christians run their own business but are not following biblical principles. They say things like: “business is business”, “business is war”, “all is fair in love and business”, and a myriad of other sayings aimed at separating their business lives from their spiritual lives, and making themselves feel better about the sins they are committing for the love of money. The Bible says: “Out of the same mouth come praise and cursing. My brothers, this should not be. Can both fresh water and salt water flow from the same spring? My brothers, can a fig tree bear olives, or a grapevine bear figs? Neither can a salt spring produce fresh water”James 3:10-12. So, as Christian businesspeople, we must strive to not be contradictory, but to do everything with one purpose in mind.
“Whatever you do, work at it with all your heart, as working for the Lord, not for men, since you know that you will receive an inheritance from the Lord as a reward. It is the Lord Christ you are serving”Colossians 3:23-24.
Starting up and operating a Christian business is not the easiest thing to do, not only must you be profitable so that you can continue serving the needs of your customers, and providing a stable job for your employees, but you must put God first in everything you do.
There are constant tests, challenges, and temptations in this, especially when our competitors are not abiding by the same standards, but the reward is the great satisfaction in allowing God to work through your business and seeing the good that comes out of it. There is much peace in knowing that you are operating in God’s will. “For my yoke is easy and my burden is light”Matthew 11:30. If you think that you can walk along this narrow path then a Christian start up may be right for you.
As I was mentioning in the first part of this post. When God created you, he had a purpose in mind for you. He designed you to fulfill a mission tailor made for you.
If you know what your mission in life is, congratulations! If you don't, keep praying and continue to build a personal relationship with Him. Let the Holy Spirit minister to you, press in and meditate on Him. He will make it very clear to you what your purpose is, but in His time. If this is a subject matter you would like to know more about, let me know in the comments section and I can cover it in a future post. This post has to do with going forward once God puts that mission in your heart. To revisit part 1 of this post, I believe Nehemiah can be used as a blueprint to go forward and successfully establish that mission. The first five steps had to do with identifying your mission, and the preparation needed for success. These next steps have to do with the task of getting "the wall" built.
Build relationships and surround yourself with trusted people- People must buy into your vision. You can't do this on your own. You need other faithful people, and their talents, to help you complete your project. In Nehemiah 2:17-18 Nehemiah says: Then I said to them, "You see the trouble we are in: Jerusalem lies in ruins, and its gates have been burned with fire. Come, let us rebuild the wall of Jerusalem, and we will no longer be in disgrace." I also told them about the gracious hand of my God upon me and what the king had said to me. They replied, "Let us start rebuilding." So they began this good work. He identifies their problem, he provides the solution, calls them to action, and shows them the reward. He then tells them about God's calling on him and the backing of the king. In the end he gets their buy in, and they begin the work.
Organize and delegate- In order to succeed you must divide the project into smaller more manageable pieces. In Nehemiah 3 the circumference of the wall is divided up into portions and the work is carried out, each group working on their assigned segment. Nehemiah organizes the groups and delegates the work so that each group is in charge of building their piece. When broken up into smaller sections a project's massiveness does not become overwhelming and every finished piece brings a sense of accomplishment. What once seemed unattainable is now achievable.
Be ready to fight for your dream- You will have to multi-task too. In Nehemiah 4, the Jews learn of a plan by their enemies to attack and kill them in an attempt to thwart their mission to rebuild the wall. At first these people had ridiculed them and had not taken the attempt at building the wall seriously, but as the wall neared the halfway point of completion, they became angry and decided to attack. Nehemiah 4:16-17 says the following: From that day on, half of my men did the work, while the other half were equipped with spears, shields, bows and armor. The officers posted themselves behind all the people of Judah who were building the wall. Those who carried materials did their work with one hand and held a weapon in the other. Remember that you are moving the battlefront forward against the enemy of your soul. You are advancing God's cause. Do you think he won't try to undermine you? To attack you? You are in a war, and you should expect spiritual warfare. At first things may move smoothly, but once he realizes you are serious about achieving your mission, he will try to attack you. The attacks on Nehemiah continued even after the wall was finished. The "enemies of the wall" and surrounding dignitaries, those who had exerted control over the Jewish people, are not so ready to give up their power, so they keep attempting to derail Nehemiah's efforts using every trick in the book. Nehemiah 6 is a great resource on fighting off these attacks. Keep your guard up and always be in prayer, for God is your covering.
Once your goal is met, celebrate!- Give God the glory for the accomplishment. Jerusalem threw a party. It wasn't focused on debauchery. It was focused on God. They read the word, feasted and rejoiced. And on that day they offered great sacrifices, rejoicing because God had given them great joy.The women and children also rejoiced. The sound of rejoicing in Jerusalem could be heard far away.
Establish your mandate- Now that you have reached your goal, the work isn't finished yet. It's important to make sure that your vision is on course to accomplish its final purpose. Sure, Nehemiah got the wall built, but what was the purpose of building the wall? The main purpose of the wall was for protection, but it also established a place (Jerusalem) that the Jews could call their own. The gates could now be closed to keep out merchants on the Sabbath. When evening shadows fell on the gates of Jerusalem before the Sabbath, I ordered the doors to be shut and not opened until the Sabbath was over. I stationed some of my own men at the gates so that no load could be brought in on the Sabbath day. Once or twice the merchants and sellers of all kinds of goods spent the night outside Jerusalem. But I warned them and said, "Why do you spend the night by the wall? If you do this again, I will lay hands on you." From that time on they no longer came on the Sabbath. Nehemiah uses this time of victory to make sure that Jerusalem's house is in order, so to speak. You must clean house, and make sure the enemy has not crept in the back door and set up shop in your storeroom (see Tobiah). He does this in order that all the hard work they did and the dangers they faced would not be in vain. If he had left the people of Jerusalem entrenched in their ways with their enemies within the city walls, Nehemiah knew that the whole purpose of the wall would be defeated within a few years, maybe sooner.
Which brings us to the end. The last lesson we learn from Nehemiah talks about what's next. Nehemiah not only accomplishes the original vision given to him by God, of building the wall of Jerusalem, but he also takes it to the next level and turns Jerusalem away from sin, and helps the people to establish a lifestyle focused on God. That is a testament to all of us to take our successes and use them as a stepping stone to greater things. If Nehemiah didn't use that moment to get Jerusalem back on track and into God's will it would have been much harder later on, once people became complacent again. He took the completion of the wall and used it to accomplish a much greater feat. This is a great inspiration to keep taking things to the next level. Keep praying and remain in God's will. His word and guidance will get you where you need to go next.
The bible gives us many examples of God's projects being accomplished by obedient and faithful people. I'm going to focus onNehemiahin this post, but there are many instances, includingNoah, Moses, David, Solomon,and a few more that I'm not going to mention for lack of space and readability. All of them have differences but they all have two recurring similarities: they listened to God's call on their lives, and they obeyed. Yes, I have to admit sometimes argumentatively, or bewildered, but in the end they obeyed God's will.I'm going to talk about Nehemiah today because I believe that through this passage God has given us a blueprint on how to complete a successful project, be it a start-up, new product launch, etc. Out of Nehemiah we get 10 steps for successfully lauching and continuing your God-given mission.
Pray for your ministry-Nehemiah 1:4says the following: When I heard these things, I sat down and wept. For some days I mourned and fasted and prayed before the God of heaven. Nehemiah heard the state that the Jewish people, and Jerusalem were in. It touched him profoundly.Nehemiah 1:5-11is his prayer to God for the Jewish people. God has put a cause in your heart. It's up to you to uncover it through prayer and communion with Him. You will know when the time is right to go forward with it. Keep praying and open your mind and heart to what God wants to show you. Notice your reactions to things. What has really touched you profoundly? Do you get riled up over injustice? Does your heart break for abused people or animals? Maybe your ministry is there. Pray about it and don't give up. Be determined. He'll tell you. Remember what it says inLuke 11:9-10: So I say to you: Ask and it will be given to you; seek and you will find; knock and the door will be opened to you. For everyone who asks receives; he who seeks finds; and to him who knocks, the door will be opened.
Seek confirmation and listen-Make sure you know the mission is from Him. It says in Nehemiah 1:4 that for some days he mourned, fasted, and prayed. Nehemiah says that he recieved the news about Jerusalem's dire straits in the month of Kislev(the 9th month in theHebrew calendar), and that he finally approached King Artaxerxes in the month ofNisan(the 1st month). That means that at least 4 months went by from the time he heard the news until he approached the King. He spent that time fasting and praying; listening for God's will. Don't get discouraged if you don't hear from him right away. Remember it's all in his time, not yours. Sometimes he will use other people and situations to confirm or discredit. Ask for discernment.
Move forward-Once God has placed a mission or a command in your heart. Go after it with everything you have. Nehemiah although scared stepped forward and asked the King for permission to go to Jerusalem. "so the king asked me, "Why does your face look so sad when you are not ill? This can be nothing but sadness of heart." I was very much afraid, but I said to the king, "May the king live forever! Why should my face not look sad when the city where my fathers are buried lies in ruins, and its gates have been destroyed by fire?" The king said to me, "What is it you want?" Then I prayed to the God of heaven, and I answered the king, "If it pleases the king and if your servant has found favor in his sight, let him send me to the city in Judah where my fathers are buried so that I can rebuild it." Notice that before he answers the King's question, he prays to God.
Seek a champion-Nehemiah had King Artaxerxes. Who will be your king, your protector, your source of capital, your encourager? You need someone who can grease the wheels. Nehemiah asks the King for his protection, backing and resources. " I also said to him, "If it pleases the king, may I have letters to the governors of Trans-Euphrates, so that they will provide me safe-conduct until I arrive in Judah? And may I have a letter to Asaph, keeper of the king's forest, so he will give me timber to make beams for the gates of the citadel by the temple and for the city wall and for the residence I will occupy?" And because the gracious hand of my God was upon me, the king granted my requests". As a result of God's favor on him, not only does Nehemiah receive what he asks for, but also the King sends with him officers and calvary.
Scout out the lay of the land, quietly- Keep the vision and mission to yourself, until you have evaluated the risks and can formulate a plan to get started and then complete your mission. InNehemiah 2:11-16, Nehemiah goes out in the middle of the night with just a few men to inspect the wall. He says "I had not told anyone what my God had put in my heart to do for Jerusalem". "The officials did not know where I had gone or what I was doing, because as yet I had said nothing to the Jews or the priests or nobles or officials or any others who would be doing the work".
I'll end this post on that note and continue with the last 5 steps in the next post. The next steps will deal with what to do once you start the work on "your wall".
BLDNG THE WALL is a non-denominational Christian blog focused on raising up Christian businesses. It is meant to provide support, encouragement, and knowledge to other Christian businesspeople entering, or presently doing business in the Christian economy.
Yours, O Lord, is the greatness and the power and the glory and the majesty and the splendor, for everything in heaven and earth is yours. Yours, O Lord, is the kingdom; you are exalted as head over all. Wealth and honor come from you; you are the ruler of all things. In your hands are strength and power to exalt and give strength to all. Now, our God, we give you thanks, and praise your glorious name. "But who am I, and who are my people, that we should be able to give as generously as this? Everything comes from you, and we have given you only what comes from your hand.
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