Here are three hidden costs to not charging for what you offer:
1) Support
If you are offering a free service you can only provide limited support. And poor service has it's own costs, as the word gets around that you are not "user friendly". Rather, give people prompt and effective support, and charge what is necessary to do so.2) Development
To keep your ministry on the cutting-edge requires constant research and development. New tools. New materials. New training. All that takes time. And money. Without revenue coming in, it is difficult to invest in these, and your ministry can stagnate.3) Focus
If your ministry is not generating enough income to keep things going, those expenses have to be covered from some other source, whether it is fundraising, a second job, or some other for-profit business. Either way, your focus is divided. Your community may be better off with you 100% engaged in mission.You can probably think of more hidden costs: Not being able to hire the staff you need. Not being able to promote your ministry (advertising). Second best equipment, facilities, etc. Having to say no to opportunities because funds are not available. Not having reserves for emergencies. Or to support special projects that are important to you.
If you have been trying, but unable to take your ministry to the next level, it may be because you are giving away too much for free. Make sure you have a viable and sustainable financial model that allows you to provide the best service possible to your people.
And after all, that's what ministry is all about, isn't it? Providing the best possible service to the people you are reaching out to?
Comments
So what do you think about giving too much away for free? Does it hurt or help a ministry?![]() |
Posted by Dan Vis on 11/01/16 - Coach | ||
You are exactly right Dan. We've noticed that as well. Thanks for point that out! | |||
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Posted by Berith Bermejo on 10/18/16 | ||
I understand the desire to give for free. This article raises very valid points. Thanks for sharing. | |||
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