Proverbs and other Scripture on the principles of
building wealth.
Proverbs 13:11 Dishonest money
dwindles away, but he who gathers money little by little makes it grow.
(NIV)
When I owned my first rental, it was in
the next county over, and I considered hiring a management firm to
handle the property for me. It would have been a rather odd move,
considering I was a real estate agent and was handling rental properties
nearby. My father gave me a piece of advice that I see reflected
in Proverbs 13:11. "Money is rarely made in large sums.
Wealth is made through many small increments." (paraphrased)
The most often misquoted Bible verse on
money is 1 Timothy 6:10, which actually says, "For the love of
money is a root of all kinds of evil. Some people, eager for money, have
wandered from the faith and pierced themselves with many griefs."
(NIV) It is most often quoted as being, "Money is the root of
all evil." That is neither what it says nor what it
means. It is not a verse against money or wealth but against the
love of money, and even the poor can fall into that trap.
The love of money tempts people to take
dishonest shortcuts. In the short term, you can make more money by
being dishonesty and unethical, however, such money quickly disappears
and brings you to grief. Do not sacrifice the the blessings of God
in the pursuit of wealth. 1 Timothy 6:6 tells us that
"godliness with contentment is great gain". (NIV)
In investing, as with all business, conduct yourself in a godly manner
and be content with the profit earned. Wealth is built in small
sums over time.
Estimate the Cost
Luke 14:28-30 "Suppose one of
you wants to build a tower. Will he not first sit down and estimate the
cost to see if he has enough money to complete it? For if he lays the
foundation and is not able to finish it, everyone who sees it will
ridicule him, saying, 'This fellow began to build and was not able to
finish.'" (NIV)
In the context of teaching the cost of
discipleship, Christ touches on this financial advice: be sure you can
afford to finish what you start. Know the costs and the downside
before you enter into an investment.
It is interesting to note, though, that
the cost of discipleship, is everything. Verse 33 states, "In
the same way, any of you who does not give up everything he has cannot
be my disciple." (NIV)
Matthew 6:24 states, "No one can
serve two masters. Either he will hate the one and love the other, or he
will be devoted to the one and despise the other. You cannot serve both
God and Money." (NIV)
Examine all the costs: money, time,
effort, personal relationships, and service to God. Don't obligate
yourself to more money, time, or effort than you can afford. Don't
invest in areas that will cause martial strife. Don't invest in
ungodly activities or with ungodly people. The people part of it
can be difficult to know, by you can judge a person by the fruit in his
life or, in this case, how he conducts his business. 2 Corinthians
6:14 warns us, "Do not be unequally yoked together with
unbelievers. For what fellowship has righteousness with lawlessness? And
what communion has light with darkness?"
Investing Begins at Home
Proverbs 13: 7 One man
pretends to be rich, yet has nothing; another pretends to be poor,
yet has great wealth. (NIV)
The
world is full of people who live like they're wealthy while they plummet
themselves into debt. Investment starts at home. Spend your
money on appreciating assets (like real estate), not depreciating ones
(like fancy cars).
Besides,
flashing wealth (real or pretend) makes you a target. Live within
your means and in humility. As you gather assets consider
protecting them in trust or corporations that will mask your involvement
in them or even separate them from you.
The Wealth of Sinners
Proverbs 13:22 A
good man leaves an inheritance for his children's children, but a
sinner's wealth is stored up for the righteous. (NIV)
It's
interesting to consider the last half of Proverbs 13:22, "A
sinner's wealth is stored up for the righteous." The first
part of the verse is considered below, under "Biblical
Wealth". Here, though, I want us to consider ethical and
unethical residential real estate investments.
1
Timothy 6:5 warns against those who believe that "godliness is a
means to financial gain". Proverbs 13:22 is not so much a
promise to righteous as a warning to those who are rich but do not know
God.
I see an
application, however, as we consider the way we do business. In some
deals, we will be able to help people in need. One opportunity we
work with selects otherwise stable people who have suffered a unique
crisis in life and as a result face foreclosure. One of the
purposes of this program, in addition to providing a good investment, is
to save these people from the ruin of foreclosure and eventually restore
their homes to them. Such deals have to be craftily chosen,
however.
Trying to save
the home of "deadbeat" homeowners (a sinful use of wealth) would be a
horrible investment and a misspent good dead. In such cases,
though we may be able to purchase the house, we would be foolish to put
the original owners back in the house with a lease/option or anything of
the kind. It would be a worldly example of "casting pearls
before swine". The homeowners would take advantage of the
opportunity and continue in their misuse of their money. The
investors would eventually have to foreclose the property and suffer the
loss of time and wealth.
In such
cases, the home equity lost to foolish spending and lifestyle habits is
an example of "a sinner's wealth [being] stored up for the
righteous". As long as the investors are honest and disclose
their intents, then the profits earned are just.
There
are many scam artists, however, whose profits are not just. (It is
not fit to call them investors.) They rob people of their
homes. In the instance above, the equity would have been lost,
period. The question is only who will gain it. Many
homeowners (and investors, too) have been deceived and robbed of what
would have been theirs.
Be wise in
doing good, and be godly in doing business.
Biblical
Wealth
Be Trustworthy
Luke 16:10-12 "Whoever
can be trusted with very little can also be trusted with much, and
whoever is dishonest with very little will also be dishonest with
much. So if you have not been trustworthy in handling worldly
wealth, who will trust you with true riches?
And if you have not been trustworthy with someone else's
property, who will give you property of your own?" (NIV)
Every
business dealing is an audition for future business, treat it as
such. Be faithful and trustworthy in all things.
Beyond
that, how we handle the things of the world reflects how we will handle
the things of God. Even mundane business matters are used by God
for our testing and training for His service.
Prepare
for Your Children (and Grandchildren)
Proverbs 13:22 A
good man leaves an inheritance for his children's children, but a
sinner's wealth is stored up for the righteous. (NIV)
In
Luke 12:16-21, Jesus told the parable of the rich fool.
“The ground of a certain rich man
yielded plentifully. And he thought within himself, saying, ‘What
shall I do, since I have no room to store my crops?’ So he said,
‘I will do this: I will pull down my barns and build greater, and
there I will store all my crops and my goods. And I will say to my
soul, “Soul, you have many goods laid up for many years; take your
ease; eat, drink, and be merry.”’ But God said to him,
‘Fool! This night your soul will be required of you; then whose will
those things be which you have provided?’
“So is he who lays up treasure for himself, and is not rich
toward God.” (NIV)
Consider what kind of riches you are
stowing up and who will gain them when you are gone. Be rich
toward God, for those riches you can take with you. As for worldly
treasures, prepare a will and take care of your family.
Scripture
for the Investor
NIV
Proverbs 27:12
The prudent see danger and take refuge, but the simple keep going and
suffer for it.
Proverbs 24:3-4
By wisdom a house is built, and through understanding it is established;
through knowledge its rooms are filled with rare and beautiful
treasures.
Ecclesiastes 5:13-14 I have seen a
grievous evil under the sun: wealth hoarded to the harm of its owner, or
wealth lost through some misfortune, so that when he has a son there is
nothing left for him.
Psalm 37:7
Be still before the LORD and wait patiently for him; do not fret when
men succeed in their ways, when they carry out their wicked schemes.
Luke
12:15 Then he said to them, "Watch out! Be on your guard
against all kinds of greed; a man's life does not consist in the
abundance of his possessions."
Proverbs
23:4-5 Do not wear yourself out to get rich; have the wisdom
to show restraint. Cast but a glance at riches, and they are gone,
for they will surely sprout wings and fly off to the sky like an eagle.
Proverbs
16:2 All a man's ways seem innocent to him, but motives are
weighed by the Lord.
Proverbs 10:15 The wealth of the rich is
their fortified city, but poverty is the ruin of the poor.
Proverbs 11:28 Whoever trusts in his
riches will fall, but the righteous will thrive like a green leaf.
Proverbs 13:8 A man's riches may ransom
his life, but a poor man hears no threat.
Proverbs 18:11 The wealth of the rich is
their fortified city; they imagine it an unscalable wall.
Proverbs 21:17 He who loves pleasure will
become poor; whoever loves wine and oil will never be rich.
Proverbs 22:1 A good name is more
desirable than great riches; to be esteemed is better than silver or
gold.
Proverbs 22:2 Rich and poor have this in
common: The LORD is the Maker of them all.
Proverbs 22:7 The rich rule over the
poor, and the borrower is servant to the lender.
Proverbs 22:16 He who oppresses the poor
to increase his wealth and he who gives gifts to the rich—both come to
poverty.
Proverbs 27:24 for riches do not endure
forever, and a crown is not secure for all generations.
Proverbs 28:6 Better a poor man whose
walk is blameless than a rich man whose ways are perverse.
Proverbs 28:11 A rich man may be wise in
his own eyes, but a poor man who has discernment sees through him.
Proverbs 28:20 A faithful man will be
richly blessed, but one eager to get rich will not go unpunished.
Proverbs 28:22 A stingy man is eager to
get rich and is unaware that poverty awaits him.
Proverbs 30:8 Keep falsehood and lies far
from me; give me neither poverty nor riches, but give me only my daily
bread.
This is not an exhaustive study of what the
Bible has to say about money, business, and investing. If you have
verses you'd like to see added here, be sure to contact me.
You're due for a touch of Southern Profitability. Southern
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