Guidelines for Business Dealings

Utmost care is encouraged to maintain our brotherhood / sisterhood in our community. In terms of implementation, it is best to not discuss business dealings during household meetings, 1-on-1 sessions, and CFC events. This is to avoid members from not attending the assemblies and events. If you have any questions, please consult your unit head or chapter head.

Guidelines for Business Dealings between or among Members

A. General Guidelines

1. Basic Commitment

   • The commitment to love and serve one another takes precedence over the pursuit of profit or economic gain. Our commitment is to be ready to meet one another's need by our personal help and resources and to look upon one another's welfare as our own. (1 Pet. 1:22; Phil. 2:1-4)

2. Righteousness

   • We are committed to a life of righteousness and holiness, not just individually but also as a body. All our business dealings are to be conducted in a righteous and just way, in accordance with Christian tenets and principles pertinent to the particular business situation at hand. (Prov. 16:8, 10:29, 11:28, 15:27; Lk. 16:13; Col.4:1; Eph. 4:24; Rom. 12:17-21; Rom. 13:13)

3. Proper Stewardship

   • We are stewards of the talents and resources entrusted to us by the Lord. It is our duty and responsibility to harness, develop and utilize them properly and to exert our best efforts to preserve the viability and profitability of our business in order to contribute to the common good and continue to serve each other's needs. (Lk. 19:13-27; Col. 3:23; Prov. 10:4. 22:29)Business decisions are to be based on the members' sound judgement and exercise of reasonable discretion in the light of and rooted in Christian teachings, particularly regarding the role of business profit in God's plan. (Prov. 15:22, 19:20, 20:18, 8:12)

4. Guidance in CFC

   • Problems and differences arising from business relations may lead to a breakdown of relationships. Such conflicts not only affect the members'commitment to love and serve one another but also the unity and peace of the body.(Gal. 5:14-15). Business dealings with members should therefore, be shared with one's household head for information and guidance. The household/unit head should handle the situation according to his level of competence. (Heb. 13:17)

5. Household Head's Neutrality / Independence

   • It is wise policy for a household head to generally inhibit himself from entering into business with any of the members under his care in order to safeguard and ensure the freedom of the household head in giving objective input or direction affecting not only the personal life of his men but also their business affairs. (1 Pet. 5:1-3)

6. Spouses

   • Husbands are to be open to their wives in whatever business deals that may participate in or be involved in. A wife is to secure her husband's approval before entering into any business relationship. (Eph. 5:22-31)

7. Speech

   • Sharing by others of any information, particularly those arising from business difficulties, should always be guided by righteous and prudent use of speech. (2 Cor.12:19; 1 Pet. 2:1; Rom. 1:30)

8. Openness and full disclosure

   • We each have the duty to fully disclose the material facts and the attendant risks relative to the proposition. At the same time, there exists the concomitant responsibility of each member to seek answers and clarifications to his questions and other matters he may be unclear about. Misunderstandings should always be avoided to preserve peace and harmony between and among members.

   • Full disclosure must also be made regarding all facts and circumstances surrounding or in connection with the business transaction which might give rise to a possible conflict-of-interest situation or may cause any undue influence or may impair the objectivity or impartiality of one's judgment or decision on any business matter.

   • There may be a tendency for members to take each other for granted. There is also the possibility of a member abusing his relationship with another member. Therefore, as much as possible, put all agreements and other important matters in writing as a record of the commitments and mutual expectations of the members concerned. The spirit of the agreements, written and verbal, is to be honored at all times. When appropriate, regular or periodic reports are to be made to keep members concerned abreast of developments. (Eph. 4:15, 25:29; Ex. 17:14; Mt. 5:33; Gal. 6:10; Rom. 13:8; Prov. 25:9)

9. Working out conflicts

   • Being members of the same body, we are duty bound to exert every effort to resolve any conflict or misunderstanding in an amicable manner to preserve loving personal relationships and to prevent harm or injury to the body. If the controversy cannot be resolved by the members involved, the dispute should be elevated to the Chapter Head or to whomsoever the CFC Council may designate to handle the dispute. The decision of the CFC Council shall be binding. Court litigation should not normally be resorted to, unless clearance is secured from the CFC Council (1 Cor. 6:1-7; Dt. 17:8-11)

B. Specific Business Relationships

1. Corporation, Partnership, Joint Venture, Etc.

   • All possible conflict-of-interest situations are to be avoided and the member concerned has the duty to make full disclosure of all facts and circumstances involved in the business proposition. He must inhibit himself from all deliberations on the matter and he can only proceed with the express consent of the other members.

   • Decisions are to be made by consensus or the majority and need not always be unanimous. But if a member has serious objections and thereby adversely affects the peace in the body, all efforts are to be exhausted to restore that peace even if it means having to buy out the dissenting member to preserve the loving relationships. Having exhausted all efforts yet unable to resolve the issue, the parties may resort to Section A9 of these Guidelines.

2. Supplier / Professional - Customer / Client

   • Profit not being the only consideration and recalling our commitment to meet and serve the needs of our buyers/clients, a supplier of products or services also has the obligation to look after the welfare of his buyer/client. However, the pricing of products and services must be in the light of teachings on proper stewardship in which no member is required or expected to suffer a business loss or to impair the assets of his business enterprise or prejudice the interest of his other partners or investors. Nevertheless, the obligation to be generous to one another remains but need not be limited to business transactions. Assisting a member from one's own personal resources may be called for. (Rom. 16:2; Mt. 22:39, 25:37-40; 1 Jn. 3:17; 2 Cor. 8:13-14; 2 Cor. 9:6-12)

   • It is incumbent also upon the client/customer to clarify himself about the product or service so as not to have false or erroneous expectations.

   • Once agreements are entered into and commitments are made, each member must faithfully comply and be steadfast to his word. (Rom. 13:8; Gal. 6:10)

3. Employer - Employee

   • The employer can expect of a member-employee the same level of performance as he would demand of a non-member, in terms of diligence, faithfulness, loyalty, honesty, etc. in the work environment. On the other hand, the employer must deal with all his employees righteously and fairly, relating to them not as units of work but has human beings deserving love and respect. In the spirit of 1 Tim. 6:2, the employee must strive to serve with greater zeal and efficiency as one serving a brother. The relationship should always reflect and witness to God's love, power, truth, justice, and righteousness. It should be characterized by a spirit of openness. Should there be any conflict, the matter should be submitted to the elders.

4. Borrower - Lender

   • While we are encouraged to help one another with our resources, we are also encouraged to see the growth of our fellow members in all areas of life, i.e., growth in maturity, responsibility, and good order. We should, therefore, see to it all borrowing and lending be done with the knowledge of our household head, or when required by the particular circumstances of the members involved, with the approval of the CFC Council. Such will ensure that the borrower's needs are met or serve as an opportunity for the borrower to grow in the area of putting order into his finances. Openness serves to protect and preserve good personal relationships. (Rom. 12:5; Col. 3:16; 1 Jn. 3:21; Eph. 5:11)

   • Generally, it is prudent for a household head to inhibit himself from borrowing from his subordinates. However, if circumstances dictate that he should borrow, he should do so only with guidance and approval of his Chapter Head.

   • It is advisable to put the loan agreement in writing, including the terms of payment. Punctual payment of the debt should be a primary concern of the borrower. (Rom. 13:8)

5. Borrower - Client

   • A broker is committed to look after the welfare of his fellow member-client and should therefore fully disclose all known available facts, circumstances, risks, etc. Unless otherwise specified, the broker should make it clear and parties should realize that he does not warrant anything. Parties to the transaction must remain good stewards.