Articles

June 27, 2022

How Does Pre-need Add Value to Your Funeral Home?

Spoiler alert! There is no Easter Bunny, Tooth Fairy, and please don’t make me talk about Sasquatch. I am the person who has been saying for four decades, preneed is not an asset. I am not reversing my stance on this. You can’t argue against the existence of gravity and that pre-need is a liability. You can put cushions on the ground so when gravity takes your body from the tree limb you have a chance to walk away. By the same token, you can make good decisions in the administration of your preneed program to protect this liability from being too large of a liability. I will explain in this article. However, the theme of this article is that pre-need can add value to your business. I will explain that as well. Math Doesn’t Lie In the worlds of […]
June 27, 2022

Have FUN with Your Marketing

Get Cohesive, Get Practical, Get Going! Generally speaking, when someone tells you to “have fun,” one cannot help but wonder if that is a genuine expression or some type of passive-aggressive warning. Think of when a woman says it to her boyfriend or spouse when he wants to have a “guy’s night” or a day of golf with his buddies. Yes, ladies, we have all been there! But I am here to tell you wholeheartedly that when it comes to marketing your funeral home or cemetery business, I want you to have F.U.N.— Functional, Unique, and Neat marketing elements. F for Functional Marketing Every business, regardless of its industry and vertical, needs a cohesive marketing strategy to engage with its audience enough so that they will buy the product or services offered. This is where functional marketing comes into play. […]
June 26, 2022

Legal Check: Who Is Entitled to Preneed Growth?

Scenario: Rico Funeral Home & Cremations has been successfully growing market share since it first started serving the community in southern Ohio over six years ago. Owner/operator Bernardo (“Bernie”) Rico had primarily focused on serving at-need calls because of his operational growth strategy and because of its immediate impact on cash flow. However, Bernie’s families had been inquiring more and more about preplanning and preneed, so Bernie partnered with a third-party preneed insurance provider a little less than two years ago. Bernie’s strategy was to actively sell preneed to areas of town or zip codes where his business was not already drawing at-need business and more passively to parts of the community where the at-need business was already coming from. Results have been pretty good, with Rico Funeral Home & Cremations building up a solid backlog of its preneed book […]
June 26, 2022

Defining Your Legacy

How to Maximize the Three Major Business Life Events As people, we all go through various life events that can shape the course of how we live our lives in the present and what that will mean for our legacies in the future. These can range from what college you go to, the profession you choose for your career, all the way to where you decide to live and raise a family. Funeral home and cemetery owners go through various life events as well, but the common three that shape and define legacies are: how/when you decide to become an owner, how you decide to own and operate your business financially, and ultimately how you plan the succession/sale of your business. As a funeral business owner, it is important to align yourself with tailored companies who understand the opportunities and […]
June 26, 2022

Finance 301: Chapter 6: The Truth About Compensation

The single largest cost of running a funeral home comprises salaries, benefits and employment taxes. Together, they make up employee compensation. In the 1980s, when some casket companies spent $250,000 on their NFDA booth build-out and another million dollars on an extravagant cocktail party during the convention, the cost of goods was about 20% to 25% of revenue while compensation typically ranged from 26% to 40%. Yep, you could eat and drink for free in those days thanks to the casket companies, but the people paid to run the businesses were getting the bulk of the revenue! As noted above, compensation consists of three key components: Salaries This includes those you employ, full and part time, licensed or non-licensed, as well as any third parties you pay to supplement your staff for removals and body prep. It also includes the […]
Call Now Button