Strengthening your church’s financial picture.

In “Building Cash Reserves,” Michael E. Batts writes, “A church that intends to maintain a healthy financial position cannot, by definition, do so without cash flow surpluses. Many church leaders express their desire to maintain healthy cash reserves and financial position, but then operate in a manner that doesn’t support that objective. For example, if a church spends all of its cash revenue each year, that church cannot improve its liquidity or cash reserves no matter how much its leaders may say they want to. Improving a church’s liquidity and cash reserves requires intentional effort as an essential part of the planning and budgeting process. That effort must include planning to spend less than what the church receives in cash revenues.”