Executive Board Briefing
Financial State of FOUNT Church | Prepared April 2, 2026 | Confidential
⚑ Board Decisions Required
- Approve payroll restructuring plan — reduce payroll-to-revenue ratio from 55.6% to target ≤45% within 60 days
- Authorize emergency fundraising campaign — 60-day push targeting top 50 donors and 89 at-risk donors before June cash depletion
- Approve AP payment priority schedule — establish which of the $92K outstanding obligations (including $80K legal) get paid and in what order
ACT NOW
June 7 cash-negative deadline
3 items
1
Cash runway 2.1 months — negative by June 7, 2026
CRITICAL
▾
Monthly deficit ~$64K/mo (post venue move). $137K ÷ $64K = 2.1 months. AP obligations of $92K reduce effective runway further — if vendors demand payment, runway shrinks to under 30 days. Payroll alone is $77.8K/month. The venue move (saving $72K/mo) was necessary but insufficient: revenue must grow or costs must fall by another $52K+ monthly to break even.
Board vote required: Approve emergency 60-day giving push targeting lapsed and at-risk top donors. Set monthly cash floor alert at $50K.
3
$80K+ abnormal legal fees outstanding
CRITICAL
▾
Nelson Madden Black: $55,129 outstanding. Dentons: $25,000 outstanding. Includes a $28,465 "Internal Dispute" invoice dated February 2026. Legal fees of this magnitude suggest governance or HR issues requiring full board awareness and resolution. $80K in legal AP represents 59% of cash reserves.
Board decision required: Authorize legal counsel review of all outstanding matters. Full disclosure to board on nature of "Internal Dispute" invoice.
8
Payroll 55.6% of revenue — unsustainable threshold
HIGH
▾
$933,622/year across 11 employees = 55.6% of revenue. Healthy churches target 40–50%. Top 2 salaries (Ps. Josh Kelsey $200K + David Walker $115K = $315K) represent 34% of total payroll. At current revenue, the church cannot sustain this payroll level long-term. A hiring freeze and contractor review are immediate steps. Structural payroll reduction may be necessary within 60 days.
MONITOR
60–90 day horizon
4 items
4
Donor concentration — top 5% provide 45% of giving
MEDIUM
▾
Top 1% (5 donors) provide 19% ($79,897). Top 5% (29 donors) provide 45.2%. Largest single donor: $37,000 (8.8% of total). Loss of any top-5 donor is immediately material. This is manageable but requires proactive stewardship of these relationships — especially during periods of organizational instability.
5
89 at-risk donors — $27,606 YTD at risk of total lapse
HIGH
▾
Pushpay flags 89 donors for: missed 2+ expected gifts, 50%+ giving reduction, or 60+ days inactive. At-risk donors lapse at 4× the rate of healthy donors. Even recovering 30% of these donors ($8K+) meaningfully extends runway. Strategy tab shows full contact list sorted by priority. Personal call from pastor is the single most effective intervention.
6
Venue savings absorbed by deficit — not a surplus
MEDIUM
▾
938 → 574 (-39%) attendance over 13 weeks. February 15: zero Manhattan attendance. The pattern suggests a precipitating event, not seasonal variation. Giving typically lags attendance by 3–6 months — if giving follows, annual giving could fall from $1.63M to ~$1.0M. The venue move reduces annual expenses from $2.95M to $2.08M, improving survivability but not eliminating risk.
9
Top donor erosion risk — giving has not yet declined, watch April/May
MEDIUM
▾
Current $420K YTD is on a $1.63M annualized pace — strong. But this represents Jan–Mar giving from people who attended in Q4 2025 / early Q1. The attendance drop that began in January will likely manifest in giving data by May–June. Monitoring April giving data (available early May) is critical to adjusting forecasts.
POSITIVE
Strengths to build on
3 items
2
Manhattan venue eliminated — $72K/mo saved (effective April 5)
RESOLVED
▾
RESOLVED: Manhattan services relocating to Fount Studios at zero rental cost, saving $72K/month ($864K/year). This was consuming 78% of Manhattan's revenue. Manhattan now nets its full $91.8K/month. Brooklyn remains at $18K/month. Fount Studios shifts from second-largest liability to strategic asset — monthly cost $37,622 vs $72K savings = net improvement of $39.9K/month.
7
63.3% giving participation — 2× industry benchmark
STRONG
▾
595 of ~940 estimated congregation gave in 2026 — a 63.3% participation rate vs. 20-30% industry benchmark. 228 recurring donors (38.3%) provide a $51K/month predictable revenue floor. Per-giver annualized giving of $2,733 is strong. The financial issues are structural (costs exceed revenue), not a generosity problem.
10
341 salvations YTD — mission impact remains strong
STRONG
▾
341 salvations YTD (~26/week) despite 39% attendance decline. This suggests the core congregation is highly engaged and the mission is not compromised by the financial challenges. Communicating this impact is a powerful donor retention and giving motivation tool.
Recommended Timeline
Week 1–2
Emergency cost review; launch major donor personal outreach
Week 3–4
Present restructuring options to full board; finalize AP payment priority schedule
Month 2
Launch giving campaign; implement payroll restructuring decisions
Month 3
Review results and adjust strategy; assess April/May giving data against projections
Overview
April 2, 2026 | YTD 2026 through March
Cash Runway — 14-Week Outlook
Weekly ending cash balance | Turns negative at Week 12 (June 7)
Healthy
Warning
Critical
1
Apr 5
Apr 5
2
3
4
5
6
7
8
9
10
11
12
Jun 7
Jun 7
13
14
Jul 12
Jul 12
Now:$136,855
Wk 6:$67,186
Wk 11:$12,489
Wk 12 (Jun 7):−$67,580
Financial Danger Zone
⚠ Cash on Hand
$136,855
As of April 2, 2026
⚠ Monthly Shortfall
−$52K
Revenue covers 72.8%
⚠ Cash Runway
~9 wks
Negative by June 7
Church Metrics
Total Donors
596
595 gave in 2026
YTD Giving
$420,436
$1.63M annualized pace
Attendance
574
−39% from peak (938)
AT RISK: Donors flagged by Pushpay's algorithm when their giving pattern deviates significantly from their historical baseline. Triggers include: missed 2+ expected gifts, reduced gift amounts by 50%+, or no activity in 60+ days for previously active givers. These donors are likely to lapse entirely without intervention.
At-Risk Donors ⓘ
89
$27,606 YTD at risk
⚠ Immediate Action Required
Approve cost reduction plan
Church is spending $52K/month more than it receives. Without cuts, cash hits zero by June 7. A board-approved cost reduction plan must be in place within days, not weeks.
Schedule major donor meetings
Top 5 donors provide 19% of all giving. Personal outreach from senior leadership to the top 10–15 donors could close the runway gap materially. Time is running out.
Commission financial audit
$80K+ in outstanding legal fees including an "Internal Dispute" invoice. Board and congregation trust requires an independent audit before any major giving campaign.
Monthly Revenue vs. Expenses
Revenue
$140K
Expenses
$192K
Coverage ratio:
72.8%
| Post venue move (Apr 5). Was $106K/mo deficit before.
Attendance
Latest Count
574
Starting Count
938
Change
-39%
Salvations YTD
341
~26 per week
Brooklyn Average
202
Manhattan Average
423
Weekly Attendance by Location
Brooklyn
Manhattan
Giving
YTD 2026 through March 2026
YTD Total
$420,436
$1.63M annualized pace
Unrestricted
$408,225
97.1% of total
Lifetime Giving
$5.8M
Giving Channel
99.5%
Digital (Pushpay)
Giving Velocity
Monthly giving trajectory Jan–Mar 2026. Est. Jan: $148K → Feb: $137K → Mar: $135K. Slight deceleration consistent with Q1 seasonal patterns and attendance decline lag. Watch for Apr/May — that's when attendance drop (starting Jan) typically appears in giving.
▼ Decelerating
−2% MoM (Feb→Mar)
est. from YTD pace
est. from YTD pace
$148K
Jan
$137K
Feb
$135K
Mar
~$132K?
Apr (est)
April estimate extrapolated from current trend. Actual figures will be available early May.
Fund Breakdown
Participation Rate
595 of ~940 estimated congregation
0%
20% benchmark
30% benchmark
100%
63.3% participation — 2× the industry benchmark of 20-30%. Exceptional engagement.
Average vs. Median Gap — Giving Inequality Story
A 5.4× gap means a small number of large donors inflate the average. The "typical" giver gives far less than the average suggests.
MEDIAN (typical giver)
$130
→
AVERAGE (all givers)
$707
→
GAP RATIO
5.4×
Median
Average
Interpretation: 80% of giving comes from ~20% of donors. Losing 5–10 top donors would materially reduce totals. Median giver is giving $130/yr — space to grow with mid-tier engagement.
Recurring Giving — Expense Coverage
Recurring Donors
228
38.3% of givers
Recurring YTD
$199,861
47.5% of total
Monthly Recurring
$51,244
Annualized
$614,930
Monthly Recurring vs. Monthly Expenses
Recurring giving ($51,244/mo) covers 26.6% of monthly expenses ($192,356). A healthy church aims for 50-60% expense coverage from recurring alone.
To cover 50% of expenses with recurring, monthly recurring needs to reach $96,178 — nearly 2× current. Converting 100 regular givers to recurring at their current pace would add ~$30K/mo.
Donors
596 total donors — sorted by YTD giving
Top Donors
▲ giving above lifetime avg ▼ below — on track
| # | Name | YTD | Trend | Largest | Status |
|---|
Tier Analysis
Concentration Risk
Donor Segments
At-Risk Donors
89 donors
$27,606 YTD giving at risk
All-Time Top Donors — Retention Analysis
Lifetime giving vs. 2026 YTD pace. Flags donors whose YTD giving is significantly below their historical rate.
| # | Name | Lifetime | YTD 2026 | YTD % | Stage | Status |
|---|
Critical Insight: Silent Donor Erosion
Locations
Brooklyn
Est. YTD Revenue$135,885
Avg Attendance202
Monthly Revenue$43,834
Venue Cost/mo$18,000
Venue % of Revenue41%
Cost per Attendee$22
Net Monthly$25,834
Manhattan
Est. YTD Revenue$284,551
Avg Attendance423
Monthly Revenue$91,791
Venue Cost/mo$0 (Fount Studios, eff. Apr 5)
Venue % of Revenue0%
Cost per Attendee$0
Net Monthly$91,791
Venue Cost as % of Revenue
With Manhattan moving to Fount Studios (zero rental), Manhattan now nets its full $91.8K/month — 3.6x Brooklyn's $25.8K. This was previously the single largest financial constraint. Brooklyn's $18K venue remains the only rental cost.
Expenses
Revenue vs Expenses
Monthly Revenue
$140,000
Monthly Expenses
$192,356
Was $246.6K before venue move
Monthly Gap
-$63,808
75% expense coverage
Expense Breakdown
Payroll
| Name | Type | Bi-Weekly | Annual |
|---|---|---|---|
| Joshua J Kelsey | Clergy | $7,692.31 | $200,000 |
| David M Walker | Staff | $4,423.08 | $115,000 |
| Amy L Perez | Clergy | $3,846.15 | $100,000 |
| Olusegun Olujide | Clergy | $2,834.04 | $73,685 |
| Kevin D Myers | Clergy | $2,250.00 | $58,500 |
| Rachel A Ruha | Staff | $2,500.00 | $65,000 |
| Brittany A Smigielski | Staff | $2,500.00 | $65,000 |
| Tameeka Walker | Staff | $2,307.46 | $59,994 |
| Samantha A Slezak | Staff | $2,000.00 | $52,000 |
| Robert M Oaks | Staff | $960.00 | $24,960 |
| Chantel Z Corley | Staff | $800.00 | $20,800 |
Accounts Payable — Aging
| Vendor | Amount |
|---|---|
| Nelson Madden Black (legal) | $55,129 |
| Dentons (legal) | $25,000 |
| Ministry Advance (consulting) | $8,639 |
| Fowlstone (PR) | $3,500 |
| PR Agency | $3,500 |
| Total AP | $92,268 |
Current
66%
31-60 Days
25%
61-90 Days
11%
Financial Health
Benchmark comparisons — green = healthy, yellow = elevated, red = critical
Critical Metrics
4
of 9 indicators
Warning Metrics
3
of 9 indicators
On Target
2
of 9 indicators
Overall Status
CRITICAL
Cash Position
Cash Runway
2.1 mo
CRITICAL
0 mo≥3 mo = ok≥6 mo = good12 mo
Cash-negative by June 7. AP obligations of $92K reduce effective runway further.
AP / Monthly Revenue
80.4%
CRITICAL
0%≤20% = healthy≤50%100%
$92,268 outstanding. $55K legal (Nelson Madden Black) + $25K legal (Dentons) = $80K in legal fees alone.
Expense Coverage Ratio
72.8%
CRITICAL
0%≤85% = critical≤95%100%+
Revenue $140K covers only 72.8% of $192K monthly expenses. Gap: $52,356/mo.
Revenue Health
Per Giver Annualized
$2,733
ON TARGET
$0≥$2,500 = good$5,000
$420,436 YTD / 154 weeks × 52 ÷ 596 donors. Strong per-giver generosity. Issue is scale, not depth.
Annualized Giving Pace
$1.63M
TRACKING
$0≥$1.5M = ok≥$2M$2.5M
Giving holding steady. If attendance decline (−39%) flows through, pace could drop to ~$1.0M by Q4.
Median / Average Gap
5.4×
HIGH
1×≤3× = low conc.≤5×8×+
Avg $707 vs median $130. Top givers inflate the average. Middle-tier giving is thin.
Cost Structure
Payroll / Revenue
55.6%
HIGH
0%≤40% = healthy≤50%100%
$933,622/yr across 11 staff. Top 2 salaries ($315K) = 34% of total payroll. Target is ≤50%.
Venue Cost / Attendee (Brooklyn)
$89/Sun
ELEVATED
$0≤$50 = good≤$100$200+
Brooklyn: $18K/mo ÷ 202 avg = $89/attender/Sunday. Manhattan now $0 (Fount Studios). Was $144/Sun combined.
Total Cost / Attendee
$335/Sun
CRITICAL
$0≤$100 = efficient≤$200$500+
$192K/mo ÷ 574 attenders. NYC costs are elevated but ratio is unsustainable. Industry benchmark: $75–150.
4 of 9 metrics are at critical levels. The structural issue: revenue (~$1.68M annualized) vs expenses (~$2.31M annualized) = $630K/yr gap. The venue move saves $864K/yr, narrowing the gap to ~$0 if giving holds. The risk is that giving follows attendance downward.
Donor Engagement Strategy
Personalized engagement recommendations based on giving pattern, lifetime history, at-risk status, and donor stage.
Urgency Timeline
Who needs contact when. Click a filter to see full list below.
This Week
—
AT RISK donors
→ Personal call from pastor, 7 days
This Month
—
HIGH PRIORITY donors
→ 1-on-1 with senior leadership
This Quarter
—
PRIORITY donors
→ Thank-you letter + vision dinner