RSSShould I go into Debt to Grow my Business?
Dec 27
General, The Bible & Money No Comments
This is a very commonly asked question. One of the reasons this question even arises is because sometimes we like to operate on a different set of principles when it comes to our personal finances and our business finances. However, we should use the same good sense we use at home, at work as well. I’ll just touch on a few of the issues here, and you can watch me ramble on for a few minutes about it in the accompanying video.
1. The borrower is still slave to the lender in business, like he is in your personal life. (Prov. 22:7)
2. Slow down, don’t be in such a hurry to grow your business. Proverbs 21:5 says, “The plans of the diligent lead surely to abundance, but everyone who is hasty comes only to poverty.” Take your time and do it the right way.
3. I know everyone is telling you that you NEED to borrow money to succeed in business, but remember that “No wisdom, no understanding, no counsel can avail against the Lord.” (Prov 21:30) And His wisdom, understanding, and counsel NEVER advised anyone to borrow to grow a business. (I already know those two arguments from Exodus and 2 Kings. Check the context of those stories and original languages before you make negative comments.)
3b. “…and my God shall supply all your need, according to His riches in glory in Christ Jesus.” (Philipians 4:19) If you really NEED additional capital, God will handle that as well. And some will say, “He’ll handle it through a loan.” I say rubbish. God owns everything, He doesn’t have to borrow to get His work done.
4. “But I have to feed my family.” Get a job. You may have to stay at your 9 to 5 a little longer while you raise the funds, or you might need to deliver some pizzas at night to make the difference. Keep your overhead and expenses low at the beginning, and do the extra dirty work. It will pay off in the long run. By the way, “The Lord does not let the righteous go hungry…” (Proverbs 10:3)
5. If you borrow now, you will grow faster. That’s almost guaranteed. However, there’s this little regarded factor called RISK. 100% of the companies who ever went into bankruptcy, signed for loans. That will NEVER happen to me. Bankruptcy-Proof-Living…Gotta Love That.
Life Without Loans!