May 7, 2026

Business by the Book

Luke 14:28 For which of you, intending to build a tower, sitteth not down first, and counteth the cost, whether he have sufficient to finish it?

Most new businesses fail because they are undercapitalized. They do not have sufficient capital to grow the business to profitability. Well-built products are wonderful, a better idea is magnificent, knowledgeable customer service is delightful, but these are not enough. The business must have sufficient capital.

The Lord said as much. He followed up today’s verse with Lest haply, after he hath laid the foundation, and is not able to finish it, all that behold it begin to mock him. There are many today with well-built products, a better idea, and superb customer service, but they do not have enough financial capital to gain enough business to become financially sound. Therefore, many times, they fail after just a few years.

Having enough to complete the task of building a business, or expanding a business is a matter of management. Management is responsible for making sure sufficient capital is on hand. Too often business failures are blamed on the rank and file employees, market conditions, or other light and transient issues. But face it; the real problem is a capital problem. It is within the purview of top management to make sure that capital is raised, wisely utilized, and placed in reserve for future requirements.

Sufficient capital is needed for every business. Jesus knew this and he used it as an illustration of discipleship. He used the physical to teach a spiritual truth. We focus on the spiritual mostly, but let’s not overlook the physical truth. That truth is that businesses must be capitalized and recapitalized over and over again, for capital is a foundational requirement of all successful organizations.

Remember, when your outgo exceeds your income, your upkeep becomes your downfall. Keep sufficient capital on hand, and count the cost before investing that capital into new or expanded business opportunities.

Dr. William Howe