New nonprofit model means big goals and greater empowerment in giving to important faith-based causes

Family Christian Stores has long been a staple in the Christian retail arena, but while its commitment to offering quality products remains intact, big changes are going on behind the scenes. In November 2012, Family Christian Stores was purchased by three Christian businessmen who had a unique vision for the company, a vision that has quickly become a reality.

“From a customer experience standpoint, everything will remain the same in terms of, hopefully, getting the great quality and selection of Christian resources that help people find, grow and celebrate their faith in Jesus Christ,” Family Christian CEO Cliff Bartow said of the shift to nonprofit status.

The main difference, he said, is that the new owners “have a very strong desire to create a kingdom giving engine.”

“Their heart is to be able to take the earnings from Family Christian and give those earnings away to Christian charities and Christian organizations,” Bartow added of the three Atlanta businessmen who invested in the company.

Family Christian Ministries, the parent company of Family Christian Stores that also includes the chain’s ministry arms and digital platforms, has officially made the shift to nonprofit, though elements are still moving into place to maximize the effectiveness of the giving model.

Although Family will now be giving away 100% of its corporate profits, the company has been a strong proponent of Christian charity for years.

“Family Christian was already tithing 10% of our profits to our James Fund to help widows and orphans,” Bartow said. “They also saw the child sponsorship program, where last year alone we had 33,000 children sponsored through our stores, that the reoccurring revenue when you see that raises about $40 million a year for World Vision.”

This history of corporate generosity was key to bringing together Family and the new owners.

“God brought us these three businessmen in our path who are very aligned with us,” Bartow added. “The businessmen saw the generosity of our customer base already and just felt like this was something they were called to do.”

The company is focusing on this spirit of generosity in every facet of their operations.

“We’re not looking at what we can get or what we want from our customer, but more what can we do for our customer,” Bartow said.

He said the company is looking at what they can do to serve and communicate with their customers “on a personal level and engaging them that helps them feel good about themselves and about their relationship with Jesus Christ.”

“We have a written document that the three stewards signed along with myself, committing and dedicating this company to God,” Bartow said. “We are simply stewards of its resources and assets.”

The not-for-profit shift also gives customers extra incentive to shop at the chain.

“We think that it’s a pretty compelling reason to shop at Family Christian, knowing that 100% of [our] earnings are going to go to be given away to Christian charities,” Bartow said. “And so we think it’s a pretty compelling reason to spend, if not 100% of your wallet share with us, more than maybe you have in the past.”

Even though the traditional profit motive is now gone from Family’s corporate structure, it hasn’t hindered leadership’s drive to bring in revenue. If anything, the new model and its potential kingdom impact has increased that incentive.

“I think it’s important to state that not-for-profit simply means you’re not going to pay any federal income tax,” Bartow said. “It doesn’t mean you don’t want to create earnings that allow you to do something in that not-for-profit that impacts the kingdom.”

“We have a goal here in the next five years to be able to be giving away $100 million a year,” Bartow added. “We really believe that’s a realistic goal that could be achieved, and that’s some pretty significant kingdom impact.”