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Wealth Creation Manifesto

Saturday, August 26, 2017
Affirmation of Wealth Creation for the Business as Mission Movement

Thankfully much is being written nowadays about the Theology of Work and how God, as the worker God, gives we humans the ability to create wealth (Deuteronomy 8:18). The following “Wealth Creation Manifesto” was created by the Lausanne Movement and BAM Global and it helps us to understand how work is ordained of God and appeals to believers everywhere to embrace wealth creation as central to transformational living.

Larry Sharp, Director of Training, IBEC Ventures

WEALTH CREATION MANIFESTO

Background

The Lausanne Movement and BAM Global organized a Global Consultation on The Role of Wealth Creation for Holistic Transformation, in Chiang Mai, Thailand, in March 2017. About 30 people from 20 nations participated, primarily from the business world, and also from church, missions and academia. The findings will be published in several papers and a book, as well as an educational video. This Manifesto conveys the essentials of our deliberations before and during the Consultation.

Affirmations
  1. Wealth creation is rooted in God the Creator, who created a world that flourishes with abundance and diversity.
  2. We are created in God’s image, to co-create with him and for him, to create products and services for the common good.
  3. Wealth creation is a holy calling, and a God-given gift, which is commended in the Bible.
  4. Wealth creators should be affirmed by the Church, and equipped and deployed to serve in the marketplace among all peoples and nations.
  5. Wealth hoarding is wrong, and wealth sharing should be encouraged, but there is no wealth to be shared unless it has been created.
  6. There is a universal call to generosity, and contentment is a virtue, but material simplicity is a personal choice, and involuntary poverty should be alleviated.
  7. The purpose of wealth creation through business goes beyond giving generously, although that is to be commended; good business has intrinsic value as a means of material provision and can be an agent of positive transformation in society.
  8. Business has a special capacity to create financial wealth, but also has the potential to create different kinds of wealth for many stakeholders, including social, intellectual, physical and spiritual wealth.
  9. Wealth creation through business has proven power to lift people and nations out of poverty.
  10. Wealth creation must always be pursued with justice and a concern for the poor, and should be sensitive to each unique cultural context.
  11. Creation care is not optional. Stewardship of creation and business solutions to environmental challenges should be an integral part of wealth creation through business.
Appeal

We present these affirmations to the Church worldwide, and especially to leaders in business, church, government, and academia.
  • We call the church to embrace wealth creation as central to our mission of holistic transformation of peoples and societies.
  • We call for fresh, ongoing efforts to equip and launch wealth creators to that very end.
  • We call wealth creators to perseverance, diligently using their God-given gifts to serve God and people.
Ad maiorem Dei gloriam – For the greater glory of God


Business as Mission changes lives

Sunday, August 20, 2017
Business as Mission Freedom Business changes lives

This is a true story but the names of the people and the places have been disguised for security reasons.

Charvi is an Indian girl born into the largest red-light district in Asia. Her mother, Aashi, had been “trafficked” as a young woman and had been in the sex trade for many years. As a loving mother, she had done all she could to protect Charvi from the ugly prostitution business in her north India city.

But by the time Charvi was 17 years of age Aashi feared the worst! She felt forced to relinquish her guardianship of Charvi, who was afflicted with one “bad eye” and was thus undesirable as a wife. It seemed time to put her in the “line” (girls on display for prostitution). Besides, Charvi’s mother had no dowry – even if there was any hope of marriage. They seemed to have no choice.

That is when God and His people intervened. An employee of Upstart, a freedom business in her city called the owner of the business who came to the small room were both women were weeping. Jaime from Upstart said “Yes, there is a choice! Charvi can come to work in our business tomorrow!” Again the tears flowed when they realized such a thing was possible.

The next day Charvi began six months of training and became a regular full-time employee. She worked for several years using the skill she had learned. She came to know Jesus and after some years was married to a young Christian Indian man who needed no dowry.

This “story-book ending” would not have happened without this Kingdom business being able to provide this choice. Charvi was able to join over 300 others in this business which rescues similar women and girls who feel they have no choice.

The International Labor Organization estimates that forced labor worldwide is a $150 billion industry and forced sexual exploitation is a $99 billion industry.1 Many people talk about trafficking and exploitation, but the real answer is not more talk but it lies in providing alternatives – real ones which teach a skill and provide a job; and real ones which provide a spiritual solution through the gospel of Christ.

IBEC believes in helping such freedom businesses with consulting and coaching services and we have begun to do so. Yours truly serves on the advisory board of the Freedom Business Alliance (www.freedombusinessalliance.com) which is having its first convention this month in Thailand. Ken and Marcia Leahy (very much a part of IBEC for many years) serve as executives of this alliance, and Bob Bush is consulting with another business in another location in Asia. Business as Mission does change lives!


1. International Organization of Labor (2014). Profits and Poverty. The Economics of Forced Labour.

Larry Sharp, Director of Training, IBEC Ventures

What you should know before starting your business

Saturday, August 12, 2017


I am teaching an on-line class in innovation and entrepreneurship this summer. While preparing for the class I came upon this article in LinkedIn by Betty Liu, Founder and CEO at Radiate, Inc.. For BAM startups, it seems to be a “must read.”

Larry Sharp, Director of Training, IBEC Ventures

What You Should Know Before Starting Your Business

Betty Liu,Founder/CEO at Radiate, Inc.

Published in LinkedIn on July 17, 2017

Starting a business is very risky. Even though failure rates have steadily come down since the Great Recession, a new business is more likely to go under than thrive. If you're in financial services, your chances of success are as low as 42%. If you're in retail, your chances go up, but just slightly.

It may come as no surprise but the reason behind the failures rarely has to do with neglect or outside disasters. Almost all the time, it's because of managerial incompetence. Reasons range from a founder/CEO going into a business for all the wrong reasons (i.e going into business purely for the money and esteem it supposedly brings) or overspending, or to put it bluntly a total lack of focus.

So how do you make sure you're starting your business on the right foot? Below are five critical things every CEO of a new company needs to know:

1. Better to be alone than hiring the wrong team: When you start a business, you need to have a strong team around you. The problem is founders become so desperate for a team to prove they have a viable idea that they often rush into hiring co-founders. Chances are you're better off staying alone until you find the right people, don't hire the wrong person just to have a warm body next to you. Whatever is bothering you about the person off the bat is going to get even worse, not better. When I talk to founders they often joke about their relationship with their co-founders seeming like a "marriage". And when you are spending an uncomfortable amount of time with people that you trust implicitly, believe me it can seem pretty darn close to it.

2. Sitting on a product too long: Last year I had the chance to host a lunch for Eric Ries, the bestselling author of The Lean Startup, whose basic theory is businesses have to test and test their idea or product before it's fully ready. Conventional wisdom suggests you should research and hone your product before fully launching it; Ries' argument is that you waste valuable time on a product that might not even fit the market. Your best bet is to test the product out first on customers and get their feedback, then use that feedback to refine your product. While his method doesn't guarantee success, he says it will certainly guarantee fewer failures.

3. Know the difference between Overspending and Underspending: Unless you're a Wall Street firm with an outside facing business, you need to forget the fancy office. A few desks in WeWork in the beginning will do. Instead, invest your limited resources in something consumer-facing such as a great looking logo or premium-looking website. CEOs have to understand where to spend and where to keep costs low. Having a fancy foozball table, or that in-house dog-walking service just to make your employees feel like they're working for a cool company? Forget it. Keep it lean for as long as you need to.

4. Keep your board small: This really applies to founders who've sought outside funding. Scott Kurnit, the founder of About.com and Keep.com, says no startup wants to or needs to start off with a big board. You may think it looks impressive but it will inevitably become a headache. Scott's half-kidding but real advice is to find a friend with low net worth and put him or her on the board—that way, if the company one day gets sued, nobody can claim a significant reward from board members. The CEO should always be on the board but not the co-founders; that leads to very awkward and uncomfortable situations later.

5. Establish your culture early: Culture is not a feel-good thing you should do; it's a thing you absolutely have to do. A company culture is vital to the success and well-being of your growing staff. It's critical for hiring talent and it also forms the foundation by which the founders interact. A good culture can be the difference between a successful business and a not-so successful business. As customers/employees/investors we all want to align ourselves with a great business and feel like that company culture mirrors our own. And if we don't feel like that well, try looking for that recently deleted app on your phone, Uber.

Want to become a great leader? Check out Radiate! We deliver curated expert advice from the top CEOs. Try us out for free by joining here.

7 BAM startup principles contemplated while salmon fishing in Alaska

Saturday, August 05, 2017


I recently went fishing with my daughter in the Kenai river of south-central Alaska – first for king salmon, then for the famous sockeye (red) salmon. Fishing was slow so I began to contemplate parallels to the world of Business as Mission (BAM) startups.

1. Love what you are doing.

There were maybe 50 men and women with sockeye gear that day, wearing in hip waders and standing knee deep in the river for as far as we could see. They were loving it, even those who caught nothing. They were out-of-doors, full of anticipation of new fish stories and fresh salmon for dinner.

So too, if you don’t love business, turn your heart and time toward something else. Entrepreneurs love it; and entrepreneurs’ team members love being on board for the ride. If you do not love the hard work, the anticipation of God doing the unexpected or the challenge of the unknown, business startups are not for you.

Jeff started a successful internet website which provided for his family in the USA. He loved the action so much that he decided to start an IT company in an Asian nation to provide jobs, see if he could be profitable there, and be the incarnation of Jesus in a place where He is not known. Even though it is hard going he loves what he is doing.

2. Be prepared.

One should see these fisherman with all their equipment – hip waders; specialized vests with every imaginable fishing gear in the pockets, rods and reels worth hundreds of dollars, a net and a little bonker to kill the 7-8 pound salmon. And the right bait for the fish – wet coho flies for sockeye; lures and eggs for king salmon; and eggs for silver salmon.

Business owners, managers or specialists in startups must be prepared. They need to know their industry, both in North America and abroad, understand the customer and be able to utilize the business model canvas. They have to be prepared to live and function in another culture and language, all the while providing a solution to the customers’ pain point and problem so as to deliver value. And just when one thinks there is a measure of political or economic stability, one must pivot and move toward other markets. Yes, one must be prepared for all of this and more.

IBEC usually recommends being successful in the homeland, or at least learning to do in North America whatever one intends to do overseas. There is no substitute for the preparation accomplished where the waters are calm, before the trouble of the international or overseas sector.

3. Location. Location. Location.

This all-important advice never grows old. For fishermen it means being where the action is. King salmon fishermen learn the patterns of the river, the temperature and the depth because the fish move according to their sensors and experience. Fishing is location driven.

Likewise in business, location is important for many reasons. We provided coaching for an outdoor recreation company in Africa. After much time, funding and experience it was discovered that the location of the kick-off city was poor in relation to the clients’ target destination. It simply took too long to get to the tourist location. The business continues but has had a major pivot.

I coached several micro-enterprises in the Ukraine long ago. One startup hopeful was determined to locate in a section of the city which was low income and poorly trafficked. It took much observation and discussion to convince the owner to move her ideal location to some place more likely to connect with the customer.

4. Study and understand the conditions.

Fishing on the lower Kenai river requires understanding of the tides. Migratory salmon tend to flood into the river on an incoming tide. There is little point in fishing near the end of an ebb tide. The fish are schooled up offshore waiting to come in with the tide.

IBEC uses CIA Factsheets and World Bank sites such as http://www.doingbusiness.org/rankings. This helps the consultant and the owners to understand variables which exist everywhere. Ethics variations must be studied carefully as one balances USA laws, foreign laws and personal ethics with “how we do it here”.

One business in a former Soviet republic came to an abrupt end because of failure to understand cultural nuances related to contract law. The owner of an agriculture project assumed his duly negotiated and signed contract meant his farm product would go to market, but culturally it was only meant to be a suggestion and the business failed as the vegetables rotted in the fields with no transportation to markets in the city some hours away.

5. Timing is critical.

Sockeye salmon return to their Alaskan streams of origin at certain times in the June-August period. Coho salmon return later to the Kenai river and its streams, usually August to October. It is futile to try to catch a coho in June, or a king salmon in September. Timing is everything.

A successful business in western India was marketed to quilters in North America and in the UK. The quilters in these areas meet at specific shows and it is critical to meet them there and provide the specialized tour offerings. The overseas artisans provide an incredible experience for which the client is willing to pay and the client is more likely to take interest in the tour company’s product offering at a show than via other forms of media. Timing is critical to the marketing and sales cycle.

6. Have an end goal.

For some fishermen catching their limit, or a bigger fish is the goal. Interestingly some fishermen meet their goal even if they catch no fish. I came upon a lone fisherman one time on the bank of a river and said casually, “How is fishing?” He immediately replied, “Does it matter?” Every fisherman has some sort of goal for the day.
Startup owners and managers need to know the goal. Are you desiring a long time operational cycle because of the spiritual value of the Triple Bottom Line? Or do you wish to sell and start something elsewhere when the model turns profitable and other challenges emerge?

It is important to keep the Triple Bottom Line as a goal. Owners want a profitable and sustainable company that creates jobs for people in a needy area and a business which allows owners and managers to incarnate who Jesus is.

Owner David Nord had a goal of diversifying into several other countries after a successful parent company in China became self-sustaining. Consequently he is seeing the Triple Bottom Line realized in many countries in central Asia.

7. Know how to close the deal.

I have seen many fishermen hook into fish in the river and even bring them close to the boat or the bank only to lose them due to failure to keep the line taut. There is much more to fishing than simply getting them to bite the bait. The job is not truly done until the fish are safely in the cooler.

So too with business. IBEC only really began to take off when current CEO, Bob Bush came to us with a marketing background. He understands the customer and the value of persistence and various products to offer the client. Business is all about customer wants and once those are discovered it is all about serving those demands. Business includes all elements of the business cycle and marketing is something which every owner must focus upon.

These seven reminders are not new, but when fishing was slow one day it provided an opportunity to reflect and remember some important principles.



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IBEC Ventures -- Consultants for BAM/Business as Mission