Phase One Project Expenses
Phase One Cash Flow Projections
Debt Rationale and Management
Our objective is to build as much as we can right now. The success of our capital campaign will dictate how big the building will be. By 2019, our rent obligation will grow to $19,200 a month for our current facilities. At an annual interest rate of 5%, we are currently making payments equal to the initial interest payment on a loan of $4.6 million dollars.
As the elders sought wisdom to distinguish between faith and foolishness, they settled on a borrowing cap of $6,000,000 based on our current and past giving patterns. This would increase our monthly obligation by $5,800 initially.
The plan is to fund the monthly interest on the long-term loan from the budget. This would make it possible to apply 100% of money given to GROW TOGETHER to the principle amount on the loan. It would also steadily decrease the amount of budget money allocated to facilities, making it available for other budget priorities.