Kingdom Building Co.

So here's an idea that I've been praying about. I'm not ready to kick it into full gear yet - I don't know if/how I can muster the energy to do it with excellence so I'm looking for God's affirmation or correction. Nonetheless, it's a VERY exciting concept. Maybe this is my "Lion" (reference to Batterson's book "In a Pit with a Lion on a Snowy Day")

KINGDOM
B U I L D I N G C O .


The BIG Idea:
The Kingdom Building Company will spread the Word of God and show His affection for His people by generating financial resources through real estate investment. ALL of the profit generated by EVERY investment will be used to fund needed physical resources for areas stricken with poverty. Delivery of the physical resource will be accompanied by spiritual feeding for all of the beneficiaries.


The Details
Each investment will be a stand alone project, with its own team, and will be focused on meeting a specific need in a specific geography. Each team will have an individual or group of financial investors and several volunteer laborers. Each team member will donate/invest either their time or their money (or both). The only payback they will receive is the satisfaction that their investment will return fantastic dividends in terms of Kingdom growth. In addition to the investment of time or money, each team member will pray for the projet, for the people that will eventually live in the subject home, and for those living in poverty who will receive the physical and spiritual benefit from the project. Prayer will be an important part of every team and every project.

Who We Need
- Financial investors – These individuals or groups will agree to fund the project either with cash or paper. At the end of a project, ALL of the costs incurred in the project will be refunded to its investors before any profit is calculated. ALL profit generated in the project will be used to provide physical blessings (eg. Medicines, food, clothing, shelter, ect.) for people living in poverty.
- Laborers – These individuals will give of their time and talents. Both skilled an non-skilled labor will be utilized to provide such functions as painting, dry-walling, roofing, HVAC, electrical, plumbing, flooring, and general construction.
- Realtor – This individual will donate their skills and services to identify, negotiate, and acquire new properties, and to list, market, and sell completed properties.
- Financing Parner/Underwriter – This individual or company will donate their skills and services to secure any needed borrowing for the investors or potential buyers. All avoidable costs will be donated.
- Auditor – This individual will testify to the financial responsibility of the Kingdom Building Co. They will provide assurance that all of the money is handled in accordance with Company rules. They will make certain that a) Investors are made whole of all costs incurred b) That ALL remaining profit goes toward the financial blessing targeted by the project.
- Partnerships – The Kingdom Building Company will seek partnerships with other like minded organization who are already on the ground in areas of poverty to a) Identify needs and b) to deliver both the physical and spiritual resources.

Who Gets Paid?
The goal will be that no one gets paid from one of our projects, however, there will undoubtedly be some unavoidable expenditures. For example, any borrowed money will have a cost – some financial institution will make a profit on that borrowed money. Also, there will be some skills that we will not be able to employ within our volunteer groups at the birth of this organization. When it makes sense we will hire out those types of skills until we do get those skills on our team. In those cases we will negotiate excellent pricing to maximize value. It will be a goal that all skills on a project will be volunteered.

An Example of a current Opportunity
Today there is an opportunity to buy a property in Canton for either $31,500 cash or $34,900 financed. A contractor has quoted the cost of the needed improvements at $12,000. A realtor has estimated that the property will sell for $69-79,000.

Using the most conservative estimates (which Kingdom Building Co. will always use), As a Kingdom Building Company project it should unfold like this:
Investors acquire the house for 34,900. At closing they provide $8,000 (down payment and closing costs). Over the life of the project they incur another $2,000 of carrying costs. They also provide funding for the materials needed to rehab the property. If we hired out 100% of the work we know the cost would be $12,000, but because this project will be done primarily with volunteers, the expected cost to rehab will be $4,000. So our investor(s) total out of pocket investment in the project will be $14,000.

Our laborers will paint the interior and exterior of the home from top to bottom, clean up some minor electrical and plumbing issues, and do some landscaping outside. A third party will install carpet and a new furnace.

Throughout the project, the team prays for the individuals that will one day live in this house and also for those folks living in poverty whose physical and spiritual needs will be met through this project.

The house sells for $67,000 to a first time home buyer who feels fortunate to have gotten such a good deal on such a nice home in such fantastic condition (new carpet, paint, furnace and a good roof). That buyer will be advised of the Christian team that prayed for them and blessed their home.

Because the person was represented by a non-partner realtor, we must pay their half of the commission on the sale - $2000. We also agreed to pay $2000 of their closing costs, in addition to our own $1000 of closing costs.

Of the 67,000 the reductions are…
(2000) selling agent commission (note that our listing agent deferred their half of the commission)
(3,000) closing costs
(14,000) returned to investors
(27,500) to pay off the investors’ mortgage
=$20,500

This $20,500 will then be used to procure medicine, food, clothing, or shelter for a community of people living in poverty. When those resources are delivered, the people will hear a Gospel message perhaps for the first time. They will know that a team of Americans undertook this project because God is good and loves them deeply and wants them to enjoy His blessings.

Note: $30,000 starts a Compassion Life Saving Station. How many of these might be funded this way?

Not every project will be this profitable. Some will be even more profitable. Every project will be a success.

Will you join me?

If this vision moves you, please share it with others. If you or they are interested in being a part of this ministry, please contact me at 330-854-4579 or by email at dfletcher@sssnet.com.

I look forward to serving with you!



David C. Fletcher