Business Skills

There is tension for organizations to orient their efforts toward service or profits. If the organization only exists to maximize profits, customers will leave when the transactional relationship no longer benefits them. If an organization only exists to serve, it may be unable to keep the lights on or pay good employees. Churches and other nonprofits will lean into the “we exist to serve” side or the balance scales. Yet, if they are not considering the business aspects of their organization, their reach (or existence) may be limited. Christians are called to trust in the God who provides and also be good stewards of their resources. They are to be as shrewd as snakes yet innocent as doves. One challenge that came up often in my conversations with over fifty pastors this summer was the need for business skills as the church leader. Below, you can hear from them through quotes about what it is like to simultaneously be a pastor and business leader.

Many Hats

Pastors spoke to the various roles that are required of their position.

I have stepped into a horrible budget situation and have been forced to wear many hats, including a CEO, sort of.

Pastors don't have all the training they need to manage teams, negotiate contracts, create spreadsheets, and act as HR.

Pastors need to be the communicator, chief fundraiser, and chief strategy leader.

Budgeting

Funding the ministry is a critical part of a church, but not all pastors are equipped to step into this part of their job description.

Most senior ministers have smaller ministries and do not have the best business backgrounds.

Here in 2023, we have high interest rates, and people are still recovering from the recent pandemic; this climate is especially challenging for ministries.

The giving is down, but the costs are up.

There is a financial strain on everyone right now.

While it is not true for all pastors, many second-career or bi-vocational pastors have business world experience to help them navigate these challenges.

We do not have training on anything not intrinsic to theology, like finances. I had some experience before seminary, and that helped me.

Management

It is not just a challenge for pastors to manage a congregation's finances. The business-world skills of managing people can be even more of a struggle than money questions.

Churches need a ministry coordinator to help with event planning because many pastors are horrible at administration.

Pastors have no idea how to run an organization.

A pastor doesn’t just need to manage other people; they need to manage themselves and their own schedule.

Churches are trying to reinvent the wheel and do too many things. We prioritize what is important but are overwhelmed by the tyranny of the urgent.

Without an outside voice, judging what is realistically possible is hard.

We have a tendency to overestimate what we can do in 1 year but underestimate what we can do in 5 years.

While some pastors desired more business training from the seminary, this pastor had a practical response.

The seminary doesn't equip people for administrative and management skills, but if they did, the seminary would be 8 years instead of 3.

Lack of Training

But just because the scope of training provided by a seminary must be limited, it doesn’t mean such training is unnecessary.

Pastors need training in people management, volunteer development, budgeting, fundraising, and strategic thinking.

There is pressure for pastors to function like CEOs even though they are only given theological training.

They can feel like frauds if they do not receive the training they need.

Many pastors are thrust into a job they don't know how to do, so they're faking it.

Hard Choices

With or without training, pastors are put in difficult situations.

I'm having to learn the business of shutting down a preschool well.

Using the resources from paid staff and congregation members can support pastors with business responsibilities. Choosing to use those resources can free pastors to focus on other priorities.

Not everyone has done this, but I've limited my administrative responsibilities to do more outreach.

Ultimately, leaders in our churches must make the hard decisions and choose well.

The church needs to get clarity about where we want to be in five years.

Closing Thoughts

While pastors may not consider themselves business leaders, some responsibilities overlap with the corporate world. For a long time, CEOs and other C-suite leaders have used executive coaches to support their work and help them grow in their leadership. Good coaches do not provide advice but expand a leader’s understanding and provide other ways forward through powerful questions and a supportive presence. I have a unique collection of skills as a certified coach, long-time church worker with an MDiv, and entrepreneur running a successful real estate business with my wife. If you would like to know more about how my experience could benefit your leadership, please Contact Us.