Re-development Project
Fund-raising Progress
as by 20 April 2006
This article has been written to help keep everyone in the picture with our fund-raising progress to date. For the previous report (February 2006), click HERE.
1. INTERNAL FUND-RAISING
Progress on our Internal Fund Raising as at 20 April 2006 is as follows:-
This is a very good situation to be in at this stage in the overall project timescale - where we are only now starting the building work - and has enabled us to exceed the interim financial target of '50% of local funding' set by Methodist Property in Manchester. Methodist Property has therefore now given us formal approval to carry out the Redevelopment.
2. EXTERNAL FUND-RAISING
We are still waiting to hear from Biffaward Landfill Tax. Our first application to Biffa was rejected, but we were encouraged to apply for a second time. This application will be considered at the June Board-Meeting of Biffa.
3. ADDITIONAL FUND-RAISING TO REDUCE THE SHORTFALL
Apart from our application to Biffa (which has only a small chance of success) it now looks as though we will have to fund this shortfall ourselves, as the chances of receiving any further grants from our External Fund-Raising efforts look slight.
Therefore our Internal Fund-Raising efforts will need to continue to reduce this shortfall.
4. METHODIST CHAPEL AID LOAN
5. INTEREST-FREE LOANS
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Our Internal Fund-Raising is proceeding very well - although we do still have some way to go to achieve our overall fund-raising target.
As Chairman of the Finance Committee, I would first of all like to thank very much indeed all those many people in our congregation who have made Donations and/or taken out Standing Orders during the last 18 months. Also, thanks to those groups within the Church who have organised local fund-raising efforts, and to those planning future events.
Taking all the above into account, our Internal Fund-Raising (including 3-year standing orders up to the end of 2007) is currently projected to raise around £400,000.
So far we have been successful in raising £81,500 from external sources as follows:-
The overall response to our External Fund Raising has been somewhat less successful than we had hoped - with many of the Charities we have approached being unable to help us. From their replies it seems that they consider Knutsford Methodist Church to be a 'wealthy church in a wealthy town', and as a result they have 'allocated their funds to more deserving priority cases' (as they see it).
The Redevelopment Project approved by the Church Council is set to cost in the region of £600,000, which means that we still have a shortfall of some £120,000 between the total projected funding so far received or promised of around £480,000 and the total cost of the Redevelopment.
It is now very likely that we will continue to have a shortfall in our funding at the point of time when we will need to pay the contractor's invoices - and of course the standing orders will not be fully received until December 2007. Therefore I now have the authority of the Church Council to negotiate a 4-Year Methodist Chapel Aid Loan to bridge this gap. This loan will be arranged on the best possible terms, with a flexible repayment facility should we be in a position to pay the loan back quicker than the 4-year period.
I have recently been asked by a number of people whether it would be helpful for members of the congregation to provide interest-free loans to the Church in order to reduce the amount of money that we need to borrow from Methodist Chapel Aid. I will happily discuss the necessary arrangements with all those who would like to help in this way.