Lutheran Bible Translators

The information on this page was last updated 7/7/2022. If you see errors or omissions, please email: info@ministrywatch.com


Summary

Lutheran Bible Translators provides translation and literacy partnership to language communities around the world.


Contact information

Mailing address:
Lutheran Bible Translators
PO Box 789
Concordia, MO 64020

Website: www.LBT.org

Phone: 660-225-0810

Email: Info@LBT.org


Organization details

EIN: 952630437

CEO/President: Dr. Michael Rodewald

Chairman: Marlis Norton

Board size: 11

Founder: Rev. Morris Watkins

Ruling year: 1969

Tax deductible: Yes

Fiscal year end: 12/31

Member of ECFA: Yes

Member of ECFA since: 1980


Purpose

Vision: God is transforming the lives of people around the world as they read and use His Word in their heart language.

Bible Translation: Why translate Scripture for every language? Because when we hear God's Word through our own language - not the language of foreigners, colonizers, or overlords - then we understand how much God loves and desires us. Over 1 billion people worldwide do not have the full Bible in a language that touches them deeply. An estimated 165 million do not have a single verse of Scripture.

Deeper Engagement: Why don't we just translate, publish and move on as quickly as possible? Because our goal is impact, not production. We work with either pre-literate or semi-literate peoples. Printed books are not a part of their life. It takes creative and intentional effort to help individuals, families, and even congregations read, hear and interact with Scripture within their daily activities. The Bible has no impact unless the Word engages deeply within.

Greater Capacity: Why invest in the emerging non-Western Christian church and Bible agencies? Because the future of the global Church depends on it. Locally driven outreach is far more effective than expatriate missionary work alone. Building local expertise and appropriate infrastructure empowers the local church to more sustainably engage in mission.


Mission statement

Lutheran Bible Translators makes God's Word accessible to those who do not yet have it in the language of their hearts.


Statement of faith

Lutheran Bible Translators accepts without reservation:

The Scriptures of the Old and the New Testament as the verbally inspired and inerrant Word of God and the only rule and norm of faith and of practice.

All the Symbolical Books of the Evangelical Lutheran Church as a true and unadulterated statement and exposition of the Word of God, to wit: The Ecumenical Creeds (the Apostles' Creed, the Nicene Creed, the Athanasian Creed), the Unaltered Augsburg Confession, the Apology of the Augsburg Confession, the Smalcald Articles, the Large Catechism of Luther, the Small Catechism of Luther, and the Formula of Concord.

Note that the "Symbolical Books of the Evangelical Lutheran Church... to wit:..." is the Book of Concord.

Donor confidence score

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Transparency grade

A

To understand our transparency grade, click here.


Financial efficiency ratings

Sector: Bible Translation Organizations

CategoryRatingOverall rankSector rank
Overall efficiency rating726 of 10318 of 16
Fund acquisition rating335 of 10335 of 16
Resource allocation rating602 of 10337 of 16
Asset utilization rating952 of 103115 of 16

Click here to read Lutheran Bible Translators' response to our ratings


Financial ratios

Funding ratiosSector median20202019201820172016
Return on fundraising efforts Return on fundraising efforts =
Fundraising expense /
Total contributions
8%6%5%7%3%4%
Fundraising cost ratio Fundraising cost ratio =
Fundraising expense /
Total revenue
8%5%5%8%3%4%
Contributions reliance Contributions reliance =
Total contributions /
Total revenue
98%91%92%106%94%87%
Fundraising expense ratio Fundraising expense ratio =
Fundraising expense /
Total expenses
8%6%8%9%5%5%
Other revenue reliance Other revenue reliance =
Total other revenue /
Total revenue
2%9%8%-6%6%13%
 
Operating ratiosSector median20202019201820172016
Program expense ratio Program expense ratio =
Program services /
Total expenses
82%83%80%80%82%83%
Spending ratio Spending ratio =
Total expenses /
Total revenue
90%91%62%93%59%72%
Program output ratio Program output ratio =
Program services /
Total revenue
75%76%50%75%48%60%
Savings ratio Savings ratio =
Surplus (deficit) /
Total revenue
10%9%38%7%41%28%
Reserve accumulation rate Reserve accumulation rate =
Surplus (deficit) /
Net assets
13%4%22%4%37%31%
General and admin ratio General and admin ratio =
Management and general expense /
Total expenses
7%11%12%11%13%12%
 
Investing ratiosSector median20202019201820172016
Total asset turnover Total asset turnover =
Total expenses /
Total assets
0.930.450.360.540.520.76
Degree of long-term investment Degree of long-term investment =
Total assets /
Total current assets
1.283.132.672.062.113.16
Current asset turnover Current asset turnover =
Total expenses /
Total current assets
1.451.410.971.111.092.40
 
Liquidity ratiosSector median20202019201820172016
Current ratio Current ratio =
Total current assets /
Total current liabilities
10.7238.3527.5581.9321.8811.51
Current liabilities ratio Current liabilities ratio =
Total current liabilities /
Total current assets
0.090.030.040.010.050.09
Liquid reserve level Liquid reserve level =
(Total current assets -
Total current liabilities) /
(Total expenses / 12)
5.628.3111.9010.6610.494.56
 
Solvency ratiosSector median20202019201820172016
Liabilities ratio Liabilities ratio =
Total liabilities /
Total assets
13%1%1%1%2%3%
Debt ratio Debt ratio =
Debt /
Total assets
0%0%0%0%0%0%
Reserve coverage ratio Reserve coverage ratio =
Net assets /
Total expenses
80%221%271%184%189%128%

Financials

Balance sheet
 
Assets20202019201820172016
Cash$3,452,926$4,682,843$3,748,712$3,555,425$1,379,731
Receivables, inventories, prepaids$1,013,355$194,235$46,864$47,204$142,556
Short-term investments$0$0$0$0$0
Other current assets$0$0$0$0$0
Total current assets$4,466,281$4,877,078$3,795,576$3,602,629$1,522,287
Long-term investments$7,254,771$6,327,764$3,342,426$3,299,385$2,515,259
Fixed assets$211,330$266,777$326,024$268,917$326,936
Other long-term assets$2,034,645$1,542,452$349,912$439,332$446,167
Total long-term assets$9,500,746$8,136,993$4,018,362$4,007,634$3,288,362
Total assets$13,967,027$13,014,071$7,813,938$7,610,263$4,810,649
 
Liabilities20202019201820172016
Payables and accrued expenses$116,455$176,999$46,325$164,619$132,304
Other current liabilities$0$0$0$0$0
Total current liabilities$116,455$176,999$46,325$164,619$132,304
Debt$0$0$0$0$0
Due to (from) affiliates$0$0$0$0$0
Other long-term liabilities$0$0$0$0$0
Total long-term liabilities$0$0$0$0$0
Total liabilities$116,455$176,999$46,325$164,619$132,304
 
Net assets20202019201820172016
Without donor restrictions$9,438,407$9,040,424$6,596,231$6,116,052$3,564,131
With donor restrictions$4,412,165$3,796,648$1,171,382$1,329,592$1,114,214
Net assets$13,850,572$12,837,072$7,767,613$7,445,644$4,678,345
 
Revenues and expenses
 
Revenue20202019201820172016
Total contributions$6,276,632$7,022,134$4,829,677$6,285,491$4,441,412
Program service revenue$0$0$0$0$0
Membership dues$0$0$0$0$0
Investment income$634,656$627,358($297,452)$333,106$217,997
Other revenue($19,564)($33,804)$8,430$82,108$433,705
Total other revenue$615,092$593,554($289,022)$415,214$651,702
Total revenue$6,891,724$7,615,688$4,540,655$6,700,705$5,093,114
 
Expenses20202019201820172016
Program services$5,239,457$3,775,314$3,394,930$3,232,069$3,056,275
Management and general$684,740$589,948$464,660$511,224$424,272
Fundraising$353,726$373,462$359,096$190,113$179,752
Total expenses$6,277,923$4,738,724$4,218,686$3,933,406$3,660,299
 
Change in net assets20202019201820172016
Surplus (deficit)$613,801$2,876,964$321,969$2,767,299$1,432,815
Other changes in net assets$0$0$0$0$0
Total change in net assets$613,801$2,876,964$321,969$2,767,299$1,432,815

Compensation

NameTitleCompensation
Dr Michael RodewaldExecutive Director$133,427
Tilahun MendedoExecutive Development Offi$97,727
Rev Richard RudowskeChief Operating Officer$86,263
David SnyderDirector of National Progr$82,221

Compensation data as of: 12/31/2020


Response from ministry

Thanks for the opportunity to comment on the rating system as well as the rating received by Lutheran Bible Translators.

Since our rating is in an "acceptable" range, I trust that the following comments will not be construed as merely sour grapes. Rather, they reflect some concerns about procedure and methodology.

The Summary Overview lists four basic principles.

#1-The system rates financial efficiency not programmatic efficiency. However, the summary statement clearly places a programmatic value on financial efficiency ("the most mission-related activity for the least amount of financial resources"). It is probably impossible to avoid, but the rating system clearly implies programmatic judgements without programmatic review.

#2- The system claims objectivity. That may be accurate for organizations that file IRS Form 990 if Wall Watchers consistently uses that information to calculate ratios. If, however, some organizational ratios are calculated from the audited financial statements, there may be a lack of consistency which results in a lack of objectivity. While auditors follow certain broad principles of consistency, there are allowable exceptions. Does Wall Watchers reclassify audit lines so that organizations will be treated consistently and, therefore, objectively? Or is the audit accepted "as is" resulting in some inconsistencies and, therefore some lack of objectivity?

#3 - The ratings are relative. That may be an accurate statement, but is it desirable? Very large organizations with a larger revenue and asset base are compared with smaller organizations. Economies of scale may adversely effect the smaller organization suggesting diminished efficiency. In fact, the smaller organization may be far more efficient because they are forced to "count their pennies" more aggressively. The ratios, however, may still appear to project lesser efficiency.

#4 - The ratio categories seem appropriate. There is a question about the Risk/Return motif. While business ratios use this language, does it really apply to nonprofit ministry organizations? The Contributions Reliance Ratio is "higher is better" if there is greater reliance on contributions. That means organizations with active endowments would rate lower because endowment return is not a contribution. That conclusion would seem to be a value judgement not an objective ratio analysis.

Calculating the Rating

On a methodology level, I have some concerns about the whole issue of averaging ratios. Tyran, in "The Vest-Pocket Guide to Business Ratios", speaks about the "deviation method" for determining the Mean of a distribution. Interestingly, his example is the calculation of the arithmetic mean for a distribution of Current Ratios. In his algebraic mean calculation, however, he does not illustrate with averaging a distribution of ratios. While Tyran is not the only resource, calculating the average of a distribution of ratios poses some problems. While it is "technically" possible, does it result in logical or useful product? Is it possible that such a calculation creates the illusion of meaning without actually producing a meaningful answer?

Step 4 is based on subtracting the risk score from the return score (based, I assume, on the fact that the Return ratio should be larger than the Risk ratio). My concern, however, is that steps three and four are based on averaging and dividing ratios of individual organizations from averaged ratios based on a distribution of ratios. Is it possible that this rather convoluted process gives the illusion of precision while actually yielding little valuable information? The average donor may well be persuaded to a conclusion without actually understanding the process involved.

Step 6 presents an interesting distribution of Stars. Given the calculation process based on individual organizations compared to the distribution, I would assume that there are very few 5 Stars and that the end result was heavily loaded to 3 Star.

The final computation is based on an average of percentile ranks. Again, we question the mathematical validity of averaging percentiles. The result "looks like a number" but is the number meaningful from a mathematical standpoint?

Assume for a moment that 3 Stars is just average - a "C" on the Ministry Watch Efficiency scale. I'm not a mathematician, but my strong impression is that the system tends to force a mid-range result. The repeated averaging of ratios and percentiles tends to force the end product of the calculation to the middle, creating the impression that the organization is inefficient and, by extrapolation, ineffective.

While our overall rating was above average by the ranking methodology and more-or-less average by the rating methodology, my concerns remain. It appears that Wall Watchers has an admirable motivation but a system with significant methodological flaws. In addition, the focus on financial efficiency will not be clear to most donors who will read the numbers and make some assumptions about the organization that Wall Watchers did not intend but which are reinforced by the methodology.


Sincerely,
Marshall R. Gillam


The information below was provided to MinistryWatch by the ministry itself. It was last updated 7/7/2022. To update the information below, please email: info@ministrywatch.com


History

Lutheran Bible Translators was founded in 1964 by Rev. Morris Watkins. LBT is an independent mission group, founded in 1964, and is the only Lutheran organization totally devoted to this specialized ministry.


Program accomplishments

Over 20 million impacted
Partnerships with over 100 language communities
55 active missionaries
45 publications
Member of Illuminations - A Collective Impact Alliance for Bible Translation.


Needs

Because the ministry of Lutheran Bible Translators is supported by the prayers and contributions of fellow Christians, LBT is always in need of both prayers and financial contributions. In addition, missionaries are needed to fill the open translation, literacy, and vernacular media positions around the world.