EFFECTIVE MANAGEMENT OF CHURCH FUNDS ON THE GROWTH OF THE CONTEMPORARY CHURCH

1.1 Introduction

Church fund accounting is simply defined as the maintenance of proper stewardship at the area of the management of church financial resources through accounts book keeping and transactions recording, to monitor total income and expenditure, of major capital projects embarked upon by the church and for which finances are being specifically and separately raised through launchings, appeals, donations or any such other method. Example; building acquisitions and/or construction, purchase of generating plant, special programs like power conference, crusades etc. Church accounting mainly consists of fund accounting. This policy is designed to provide guidelines for capital and special projects or programs which are funded through pledges, gifts, donations etc and their accounting treatments (Louis, 2007).

As a prelude to other parts of this study, this chapter will discuss the background upon which this study was initiated, the statement of problems that led to this study, the Aim and Objectives of the study. Others are Significance of the study, Scope of work, Research hypothesis and questions, Limitations of the Study and Definition of technical terms.

---

1.2 Background of Study

In recent decades, Church leaders have frequently made statements in support of peace. The teaching of Christianity which is guided by the dictates of the bible (word of God) has constantly encouraged the members to ensure peace and harmony in the society. Although Churches in Nigeria observe some basic traditional accounting practices, there is still room for improvement. The Christian tradition has made significant contributions to world peace at a number of different levels (Albert, 2011). Among these are public statements by Church leaders, programs of action at local and international levels, organizations dedicated to bringing about commemorative days.

Edward (2001) opined that it is pertinent for churches set up to comply with government regulation and the general wave of globalization. It is also beneficial to members that their place of worship complies with basic standards by obtaining a non-profit status. At the end of the year, members should receive a statement of yearly contribution that they can include their tax returns. To enable churches comply and compile a comprehensive record of contribution from members, accounting software is required to equip the church on this task.

Even before the modern concepts of management came into being, the apostle of Jesus Christ, Paul in the Pastorals lists the qualifications for church management to ensure sustainable growth (Dairo, 2007). These have remained the model for ages. For any church management to steer the ship of the church successfully, these qualities must be imbibed. But contemporary experience in Nigeria has shown a marked departure from this Pauline list of qualifications for church management which has really affected growth of churches. The level of understanding expected from both the management and the followers is missing in most cases. This often results in crises within “the body of Christ. There are some common features in various definitions of management. It will be presumptuous for anyone to attempt a definition that will satisfy the populace especially regarding church management. Management is nothing if not linked to collective purpose; and the effectiveness of management must be judged not by press clippings but by actual social change, measured by intent and by satisfaction of human needs and expectations which on the long term will be visible on the church growth and development.

Oluwasegun (2005) defines management as the ability to gain consensus and commitment to common objectives beyond organizational requirements which are attained with experience or contribution and satisfaction on the part of the working group. Management could also be defined as the relationship in which one person or the management influences others to work together willingly on related tasks to attain that which the management desires. Management is the ability of management to induce the subordinates to work towards a group’s goals with confidence and keenness. It implies that the management accepts responsibility for the achievement of the group objectives and it is, therefore, essential for the trust and cooperation from both sides to be evidence all the time (Oluwasegun, 2005). Church fund management is the key process of influence and the process always includes a number of key components such as management and followers, they interact in situations and means of influence which emerge from the management and from the followers, based on their value system and goals which the management and the followers seek to achieve (Dairo, 2004).

Therefore, in Apostolic Church Nigeria, Ifo, Ogun State where the research was carried out, the activities that was conducted is to know the Effective Management of Church Funds on the Growth of the Contemporary Church.

---

1.3 Statement of Problems

Investigation revealed that many Churches in Nigeria are characterized with false teaching, preconceived ideas and human-formed regulations which have too often undermined the Holy Spirit’s specification and has militated greatly against church growth. According to Apostle Paul, church management must be kind of man that can carry the followers along. All church management may not possess these qualities in the same measure but a management must have these quality attributes to a degree that is noticeable in his life to ensure sustainable growth (Dairo, 2008).

The work of church management is a noble task. Such an office needs the right kind of people to serve and accumulation of material wealth by capitalizing on the “gross ignorance” of the people about the teaching of the Bible on wealth by church management as also limited growth of many churches because of the increased awareness of these dubious strategies. However, the researcher is examining the role of church management in the growth of a church.

---

1.4 Aim and Objectives of Study

The aim of the study is to examine the Effective Management of Church Funds on the Growth of the Contemporary Church using Apostolic Church Nigeria, Ifo, Ogun State as a case study. In achieving this aim, the following specific objectives were laid out as follows:

1. To identify the functions and duties of church management in a church;
2. To investigate the factors militating against church growth; and
3. To examine the role of church management in the growth of a church.

---

1.5 Research Questions

The study came up with research questions so as to be able to ascertain the above stated objectives. The specific research questions for the study are stated below as follows:

• What is the role of church management in the growth of a church?
• What are the factors militating against church growth?
• What are the functions and duties of church management in a church?

---

1.6 Research Hypothesis

In order to pursue the objective of this study, the following generalized statements have been designed to guide and aids in obtaining the result for the experiment to be conducted. For this work, the null hypothesis will be represented with H0 while the alternative hypothesis will be represented with hypothesis H1.

Hypothesis One

• H0: Church management does not have a role in church growth
• H1: Church management does have a role in church growth

---

1.7 Significance of Study

The findings from this study will educate the church authorities and the general public in Nigeria on what the church management need to do or incorporate into the system to ensure growth. This study will be of immense benefit to other researchers who intend to know more on this study and can also be used by non-researchers to build more on their research work. This study contributes to knowledge and could serve as a guide for other study.

---

1.8 Scope of Study

The scope of the research is focused on the Effective Management of Church Funds on the Growth of the Contemporary Church. This research is restricted to the Church Fund Management in Apostolic Church Nigeria, Ifo, Ogun State.

---

1.9 Limitations of the Study

During the course of this study, many things militated against its completion, some of which are:

1. Time Constraint: The time frame given to accomplish this project was very short due to school academic calendar and it was carried out under pressure which made the researcher not to implement some necessary features.
2. Research material: availability of research material is a major setback to the scope of the study.
3. Frequent power failure: This made the researcher append more money on fuel to ensure sustainable power.
4. Financial Constraint: Insufficient fund tends to impede the efficiency of the researcher in sourcing for the relevant materials, literature or information and in the process of data collection (internet, questionnaire and interview).

---

1.10 Definition of Terms

Management: it is the ability to gain consensus and commitment to common objectives beyond organizational requirements which are attained with experience or contribution and satisfaction on the part of the working group (Oluwasegun, 2005).