Maximizing the Impact of BAM

Steve Rundle, Ph.D. Biola University

Crowell School of Business

•  Economic •  Social •  Environmental •  Spiritual

The Four Bottom Lines of BAM

“Shalom” “Holistic Transformation”

Missionary Sending Orgs • Donor supported

• Spiritual fruit is the only thing that matters

• Business can distract from “ministry”

Business as Mission Spectrum

“Regular” Business People • Self-supported

• Mission is much more than “just” evangelism

• Business itself can be pleasing to God

Hypotheses Hypothesis #1:

BAM practitioners who draw salary entirely from the business will have a greater (more beneficial) economic impact than their donor-supported peers.

Hypothesis #2:

Donor supported BAM practitioners will be more “effective” in producing spiritual fruit than their business-supported peers.

Controls for •  Business size •  Business location •  Business type

Respondants (N = 119)

Salary from Donors

Salary from Business

38 35 46

Combination donor support & income from the business

Average age = 41

88.5% male 61.4% US citizens

73.3% Caucasian

85% College degree

% in 10/40 Window

81.5% 77.1%

Survey Results

Donor Business Supported Supported

Measurable goals? Economic performance 71.4% 94.3% Social impact 45.7% 80.0% Spiritual impact 62.9% 62.9% Environmental impact 2.9% 17.1% No measurable goals 11.4% 0.0% Who holds you accountable to those goals? Board of directors/advisors 24.3% 65.7% Sending agency 24.3% 0.0% Team leader/team members 37.8% 28.6% Home church 0.0% 0.0% Nobody (other than God) 13.5% 5.7%

Goals and Accountability

Survey Results

Donor Business Supported Supported

Economic Impact L

Impact over the last 3 years

Economic incentives matter

Gross Revenue (3 years) $282,000 $11.4 mil.

40X 74% < $150,000

75% > $1.2 mil.

79% fewer than 10

0% employ more than 50

83% employ 10 or more 40% employ more than 50

Survey Results

Donor Business Supported Supported

Economic Impact L

Social Impact L

Environmental Impact L L Spiritual Impact Hypothesis #1: Strongly Supported Hypothesis #2: Not supported

Impact over the last 3 years

Economic incentives matter

Other Key Findings Strongly correlated with impact

Governance – having an independent board of directors Intentionality – having measurable goals Missional orientation – your theology of mission

Negative correlation – business as “entry strategy”

Thank you!

Economic Justice in a Flat World: Christian Perspectives on Globalization

Great Commission Companies: The Emerging Role of Business in Missions

steve.rundle@biola.edu