Financial Mismanagement practices in Pentecostal-Charismatic Churches

Abstract

The emergence of Pentecostal-charismatic churches has led to the blossoming of the gospel of prosperity. The challenge that has been faced by such churches is the lack of capability in financial management practices. Poor financial management practices have led to illicit financial flows, as well as the demise of the church due to financial probity by the church leaders. The main aim of this study was to explore and evaluate the financial management practices of Pentecostal-charismatic churches and how such practices affected their sustainability. It was found that there is lack of clear governance structures and that financial record keeping was done by volunteers instead of hiring professionals and skilled members within or outsiders such Churches. A semi-structured interview was developed from existing literature and completed during face-to-face with participants from Pentecostal-charismatic churches in Bulawayo. The study followed a qualitative methodology as the aim of the research was to highlight how such churches managed their finances while the use of multiple case studies approach was to gather explanations from questions concerning “how”,” what” and “why”. Using purposive sampling, data was collected from church leaders who were responsible for the finances. Data collected was analysed using thematic analysis and coded into meaningful themes. The main findings of the research showed that Pentecostal-charismatic churches were mainly anchored and influenced by the charismatic leaders who have an overall control of the finances, despite lack of proper financial management practices. The study concluded that Pentecostal-charismatic churches should adopt corporate governance style of management when dealing with finances.