Business Plan for Investors

  • Bank/SBA Business Plan
  • Operational/Strategic Planning Services
  • L1 Visa Business Plan
  • E1 Treaty Trader Visa Business Plan
  • E2 Treaty Investor Visa Business Plan
  • EB-1 Business Plan
  • EB-2 NIW Business Plan
  • EB-5 Business Plan
  • Innovator Founder Visa Business Plan
  • Start-Up Visa Business Plan
  • Expansion Worker Visa Business Plan
  • Manitoba MPNP Visa Business Plan
  • Nova Scotia NSNP Visa Business Plan
  • British Columbia BC PNP Visa Business Plan
  • Self-Employed Visa Business Plan
  • OINP Entrepreneur Stream Business Plan
  • LMIA Owner Operator Business Plan
  • ICT Work Permit Business Plan
  • LMIA Mobility Program – C11 Entrepreneur Business Plan
  • USMCA (ex-NAFTA) Business Plan
  • Franchise Business Plan
  • Landlord business plan
  • Nonprofit Start-Up Business Plan
  • USDA Business Plan
  • Cannabis business plan
  • Ecommerce business plan
  • Online boutique business plan
  • Mobile application business plan
  • Daycare business plan
  • Restaurant business plan
  • Food delivery business plan
  • Real estate business plan
  • Business Continuity Plan
  • Buy Side Due Diligence Services
  • ICO whitepaper
  • ICO consulting services
  • Confidential Information Memorandum
  • Private Placement Memorandum
  • Feasibility study
  • Fractional CFO
  • How it works
  • Business Plan Examples

Funeral Home Business Plan Sample

OCT.03, 2013

Funeral Home Business Plan Sample

Starting Funeral home business plan

Are you looking for how to open funeral home? A funeral home business mortician and burial services for the deceased. The services may include funeral planning, body preparation, transportation, burial, or cremation.

Funeral homes have been in demand from always. However, these days the demand for funeral services has increased due to the sudden rise in death rate because of coronavirus.

While it’s true that the funeral home business is profitable, it’s also correct that running such a business is not easy. You will have to procure protective kits, chemicals, and a lot of other mortuary items on daily basis. Moreover, you will need to ensure that strict protocols and safety rules are being followed throughout the process.

To ensure the successful running of your business, it is essential to first create a business plan. If you don’t know the components of a comprehensive business plan, you can take help from this business plan for a funeral home startup, James Funeral Home.

Executive Summary

2.1 the business.

James Funeral Home will be a licensed and registered funeral home based in San Antonio. The business will aim at performing all the funeral rituals including bathing and enshrouding, burial, cremation, etc. Moreover, the business will also provide catering services and transportation.

2.2 Management of Funeral home

Opening a funeral home is a relatively difficult venture. The funeral process needs to be carried out with great care and attention. Therefore, there must be efficient management and supervision to ensure that all of the sensitive tasks are taken care of properly.

Before exploring how to start a funeral home business you should keep in mind that it is a tough business. Running a funeral home means you have to be on call 365 days a year. Whether it’s Christmas or your wedding anniversary, you’ll have to arrange for the presence at the funeral home. In this sample plan on how to set up a funeral business we will be listing the details of how James Funeral Home will be managed and administered.

2.3 Customers of Funeral home

In your startup business plan for a funeral home, you should identify your customers. So that you can design your services accordingly. The customers of a funeral home are usually families of the deceased. However, in some cases, alive people also plan their funerals before dying.

2.4 Business Target

Our target is to become the number one choice of people of our city whenever they need funeral services. Moreover, we aim at boosting our net profit margin to $24k per month by the end of the three years.

3 Years Profit Forecast - Funeral Home Business Plan

Company Summary

3.1 company owner.

James Ben will be the owner of James Funeral Home. James holds a BS in Mortuary Science from Cincinnati College of Mortuary Science. He has also worked as an embalmer for two years.

3.2 Why the funeral home is being started

After working as an embalmer for two years, James decided to start a funeral home of his own. He entered the business world as he wanted to use his potential to the fullest. And to earn large profits while serving people on a wider scale.

3.3 How the funeral home will be started

Step1: Make Your Business Plan

James had good management skills. However, he didn’t possess the skill set required to make a crematorium business plan. He studied several funeral home business plan examples but eventually decided to hire a professional for it. The marketing analysis, sales strategy, and financial planning done by his business consultant are given in this sample funeral home business plan.

Step2: Get Identified 

The next step is to establish a physical basis for your business and define your business’ services and aims. After this, your customers will start recognizing your presence and the distinct features of yours as compared to your competitors.

Step3: Recruitments

The hiring process is actually a part of the step in which you set up your physical presence. In this phase, you have to organize tests and interviews to find the most skillful and responsible employees for your business.

Step4: A Strong Web Presence

Along with other operations of your funeral home business , it is really important to focus on web development too. Through a website, you will be able to reach a wider audience and leave a positive image of yourself before even interacting with people.

Startup Cost - Funeral Home Business Plan

Before owning a funeral home, it is essential to decide your services. Through this practice, you can make arrangements for equipment and space accordingly. In this business plan template for funeral home, we’re listing the services that James Funeral Home will provide.

  • Funeral Planning

Our primary service will be providing funeral plans. These days, many people have started to purchase funeral plans. So that their families don’t have to stress over their funeral charges after their death. In this service, we’ll also be responsible for informing all the friends/ relatives of the deceased about the death.

  • Body Preparation

We will prepare the dead body to be buried or cremated. This service will include all the relevant tasks such as bathing the deceased, enshrouding, etc. The paperwork required for burial will also be completed by us.

  • Burial/ Cremation

We will provide space for performing eulogies and brief prayers for the dead. Moreover, we’ll also be responsible for burying the dead body. Since in some religions, there is a ritual of cremating the deceased. Thus we’ll be offering cremation services too.

  • Transportation

We’ll also transport dead bodies from one place to another in specialized refrigerated vehicles.

  • Catered Meal

We’ll offer plated dinner to the mourners in a location other than our funeral home. Since funeral homes are generally prohibited to offer food in the same building, we decided to offer it in another building located nearby.

Marketing Analysis of Funeral Home

Accurate marketing analysis is the key to get prominent in the market as soon as you get launched. For doing so it is essential to know the market, direct and indirect competitors, stakeholders, and market fluctuations. An accurate market analysis will enable you

  • To recognize the potential customers
  • To identify the needs and expectations of your target customers
  • To decide a pricing strategy for the business plan that would allow you to meet financial goals while drawing more customers than your competitors

James studied several funeral home business plans to identify potential customers and market trends. However, he ended up realizing that hiring a professional market analyst would be better for him. As that will make him achieve a greater level of accuracy.

5.1 Market Trends

Funeral homes are high in demand especially after the surge in deaths due to coronavirus. According to IBISWorld, there are more than 28k funeral homes running in the United States. Moreover, Statista predicts that the cremation rate in the U.S. would rise to 79.1 percent by 2035 – resulting in a need for more funeral homes.

Thus, it is evident that opening a funeral home will not run you into a loss. You only need to do efficient planning before starting funeral home to ensure success for your business.

5.2 Marketing Segmentation

The detailed marketing segmentation of our target audience is as follows:

Marketing Segmentation - Funeral Home Business Plan

5.2.1 Families of Deceased

Our primary customers will be the families of late. We expect them to avail of our body preparation, burial, and catering services. In San Antonio, the population is quite large and so the death rate. Therefore, we expect to get a considerable number of customers.

Our business values are based on customer care. We totally empathize with the families of the deceased. And therefore, to help the grievers in their misery we are offering body preparation and burial services at relatively lower prices.

5.2.2 Funeral Planners

Our second group of target customers will comprise alive people who purchase funeral planners before they die. These days, many adults and seniors have started to buy funeral plans so that their families and friends do not have to arrange money for their funerals.

5.2.3 Old Homes for Elder Orphans

The third category of our target customers will include the organizations that shelter elder orphans. Elder orphans are the senior people who do not have any friends or family to look after them. The funeral charges of such people are often paid by shelter homes. Thus, we expect them to contact us for our services too.

5.3 Business Target

Setting financial and customers’ related goals before starting a business is a good practice. It allows the business owners to direct the energy and resources towards the company’s goals.

And it is important because how much do funeral home owners make is entirely dependent on how well they could manage their assets.

Our business targets are:

  • To earn a profit margin of $24k per month by the end of the third year
  • To maintain a CSAT score of above 85%

excellent work

excellent work, competent advice. Alex is very friendly, great communication. 100% I recommend CGS capital. Thank you so much for your hard work!

5.4 Product Pricing

The prices of our funeral plans and catered foods are a little higher as compared to our competitors. However, our other services could be availed at lower rates than those of our competitors.

Marketing Strategy

Sales strategy is another component that can decide the future of your business. This part enables you to reach out to your target customers and increase your sales on a monthly and yearly basis.

In this marketing plan for funeral home, we’re providing the sales strategy of James Funeral Home.

6.1 Competitive Analysis

James studied several funeral business ideas to find out the areas where his competitors were lacking. After that analysis, he decided to come up with the following competitive aspects:

  • James Funeral Home will have a user-friendly app so that people can connect to it remotely and conveniently.
  • Secondly, it’s the only funeral home in the whole city that is providing catering meals to the mourners in a separate location.
  • Third, it has extremely responsible employees who’ll always adhere to SOPs and strict protocols.

6.2 Sales Strategy

  • We’ll promote our startup through Google Local ads and local magazines
  • We’ll offer a 50% discount to the first 100 purchasers of our funeral plans
  • We’ll offer a 30% discount on our transport and catered meal services for the first two months of our launch

6.3 Sales Monthly

Sales Monthly - Funeral Home Business Plan

6.4 Sales Yearly

Sales Yearly - Funeral Home Business Plan

6.5 Sales Forecast

Funeral Home Business Plan Sample - Unit Sales

Personnel plan

Before starting a funeral parlor business you should make a list of employees you will need along with their job descriptions.

7.1 Company Staff

James will be the CEO himself. However, he’ll hire the following staff

  • 2 Supervisors to help manage the operations
  • 1 Accountant to maintain financial records
  • 1 Front Desk Officer
  • 8 Morticians to perform funerals
  • 3 Cooks to prepare food
  • 2 Waiters to serve food
  • 8 Cleaners to maintain the facilities
  • 3 General Assistants for routine tasks and paperwork
  • 1 Sales Executive to promote the company
  • 1 Web developer/ App Developer to manage the company’s website and app
  • 2 Drivers to transport dead bodies

7.2 Average Salary of Employees

Financial plan.

Financial planning for a funeral home business is a little complicated. Firstly, because you’ll need to buy and discard certain materials and protective kits off and on. And secondly due to the complexity involved in setting prices of funeral plans. When you sell a funeral plan to a person you don’t know the inflation rate that will prevail at the time of their death. The period may be shorter or longer – resulting in unpredictable losses or profits.

However, there are still many areas through which you can control the financial trajectory of your business. In this build a funeral home business plan, we’re providing the financial plan developed for James Funeral Home. So that you can have an idea of the cash flows, gross margins, and business ratios for this business.

8.1 Important Assumptions

8.2 brake-even analysis.

Brake-even Analysis - Funeral Home Business Plan

8.3 Projected Profit and Loss

8.3.1 profit monthly.

Profit Monthly - Funeral Home Business Plan

8.3.2 Profit Yearly

Profit Yearly - Funeral Home Business Plan

8.3.3 Gross Margin Monthly

Funeral Home Business Plan Sample - Gross Margin Monthly

8.3.4 Gross Margin Yearly

Gross Margin Yearly - Funeral Home Business Plan

8.4 Projected Cash Flow

Projected Cash Flow - Funeral Home Business Plan

8.5 Projected Balance Sheet

8.6 business ratios.

Download Funeral Home Business Plan Sample in pdf

OGS capital writers specialize in business plan themes such as convenience store business plan , business plan for e-commerce , retail business plan , corner store business plan , book store business plan , retail discount store business plan and many others business plans.

OGSCapital’s team has assisted thousands of entrepreneurs with top-rate business plan development, consultancy and analysis. They’ve helped thousands of SME owners secure more than $1.5 billion in funding, and they can do the same for you.

funeral services business plan

Add comment

E-mail is already registered on the site. Please use the Login form or enter another .

You entered an incorrect username or password

Comments (0)

mentioned in the press:

Search the site:

funeral services business plan

OGScapital website is not supported for your current browser. Please use:

funeral services business plan

Don't bother with copy and paste.

Get this complete sample business plan as a free text document.

Funeral Home Business Plan

Start your own funeral home business plan

Evergreen Life Memorial Center

Executive summary executive summary is a brief introduction to your business plan. it describes your business, the problem that it solves, your target market, and financial highlights.">.

Ceremonial practices around death, as practiced by U.S. funeral homes, are leaving a growing segment of the population feeling poorly served. This plan outlines the strategy by which the Evergreen Life Memorial Center (the Center) will define and dominate a new category of funeral provider in AnyCounty, Oregon. It also details how the financing it acquires will be used toward this end.

The Center will be formed as an LLC in the Anytown metropolitan area. It will be solely owned by Stan Peters, an experienced funeral home director and embalmer, active in nonprofit and community activities.

Establishment of the Evergreen Life Memorial Center will provide Anytown and the surrounding area with a way for people to celebrate the life of the individual when it ends and for the living to gather social support to bring closure and move ahead with their lives.  Its cornerstone will be the use of a reception area for social gatherings after the funeral that will foster human connection and uplifting remembrance. This is the way the aging segment of Baby Boomers is showing it prefers. This facility will also be the basis of its strategy of community involvement to rapidly develop the reputation the Center needs to attract business in a way that benefits the charities it supports as well. Digitized photos will be used for the reception as well as on our website to extend the celebration of the individual’s life beyond the funeral.

Based on recent average prices nationwide, the Center has the potential of attaining its market share of $768,213 within four years. At the Center’s current prices, its market share is worth $841,412. The industry average gross margin for a funeral home is 62.5 percent. The funding of $225,000 requested in this plan is projected to result in an annual net profit of approximately $194,000 in the Center’s fourth year of operation, with subsequent increases annually due to inflation.

With the establishment of the Evergreen Life Memorial Center, those who lose someone to death will for the first time in our era be integrated into the community of life instead of stigmatized and marginalized. There will be a new center for community involvement. And for the first time, the Boomer generation will be able to go out the way it lived.

Funeral home business plan, executive summary chart image

1.1 Objectives

The Evergreen Life Memorial Center provides celebration of an individual’s life and social support to bring closure and move ahead with living. The Center will develop by Year 4, a reputation as the uplifting place for locally prominent persons of the Baby Boom generation to celebrate their lives when they end.

In order to achieve this, the Center will create facilities that bring families and communities together in a way that celebrates the life of the deceased and renews bonds of social support.

Digitized photos and films of the deceased will be available in the reception room and on our website.

These facilities will be available free to a number of nonprofit organizations in which the owner, Stan Peters, will be involved. This will:

  • Tie the Center into the community of the living and develop positive associations.
  • Develop a strong reputation by creating community events in the Center which the local media will want to publicize.
  • Serve the owner’s interest in helping others and improving the community.

Stan Peters will make himself available for a leadership position starting a local chapter of a nonprofit that helps children with life-threatening diseases, such as the Make-A-Wish Foundation.

The Center will provide a funeral planning guide for estate attorneys to give to their clients.

These efforts will be supported by a publicity campaign in order to be the first in people’s minds with this new category of funeral provider. Evergreen Life Memorial Center, “People remembering people.”

1.2 Mission

The mission of the Evergreen Life Memorial Center is to bring people together to celebrate life when it ends and to move on with living. The Center will have facilities that bring families and communities together to remember the life of the deceased and renew bonds of social support. The Center’s facilities will be a focus of nonprofit energies to make the community a better place to live.

1.3 Keys to Success

Since 71 percent of people choose a funeral home on the basis of reputation, the key to success is quickly establishing a reputation for this new category as the uplifting place for Baby Boomers to celebrate life when they die.

The Center’s cornerstone will be its reception facilities, which will promote uplifting interactions with people after the funeral and be used for nonprofit organizations. This will make the Center uplifting, connect it to the community, provide the basis for publicity, and make it a center for the living.

The reception room and website will feature digital photos and films of the persons whose lives are being celebrated. This web presence will increase the Center’s exposure by letting people participate in the celebration of life after the funeral and reception are over.

Providing the greatest choice of quality caskets will make the Center the place to celebrate the lives of locally prominent persons. This will foster publicity and further promote our reputation.

LivePlan Logo

See why 1.2 million entrepreneurs have written their business plans with LivePlan

Company summary company overview ) is an overview of the most important points about your company—your history, management team, location, mission statement and legal structure.">.

Evergreen Life Memorial Center will be a new type of funeral home provider. It will provide a celebration of life when an individual dies and gather social support for the living to bring closure and move on. This will be made possible by providing reception facilities after the funeral where people can gather for refreshments in an uplifting environment surrounded by digitized photos and films of the life being celebrated. The facilities will include intimate gathering areas for people who want to break off from the larger activities, and private meeting rooms with couches and chairs. These facilities will also be available for the use of nonprofits, further integrating the Center into the community.

This combination of life celebration and social support is the way people of the Baby Boom generation are demonstrating they want to go out. Boomers are currently directly involved in making choices about their parents’ funerals, and are in the leading edge of a demographic bulge that is beginning to experience more funerals itself. Funerals for Boomers are expected to increase dramatically until the annual number of funerals by 2040 will nearly double from its current levels.

The Center will be located in a former church building in central Eugene or in a small community closely adjoined to Eugene and unserved by funeral homes. The ideal facility will contain evergreen trees, helping the Center to live up to its name. 

2.1 Company Ownership

Evergreen Life Memorial Center will be a limited liability company (LLC) owned entirely by Stan Peters. Stan Peters is a professional funeral director and embalmer with 10 years experience and a B.S. in funeral science. He chose funeral science because he was interested in the biological sciences and wanted to make a difference to people in time of need. He has been active in a number of nonprofit organizations, including a California chapter of the Make-A-Wish Foundation.

2.2 Start-up Summary

Our start-up requirements come to $216,700, including start-up expenses of $19,700 and assets totaling $197,000. The funding requested of $245,000 plus the owners investment will also provide $90,000 cash for working capital.

The assets to be purchased with this funding include $27,000 of current assets and $80,000 of long-term assets.

Current assets are in the form of $20,000 for display caskets and a $7,000 for display urns, as well as embalming chemicals and supplies.

Long-term capital outlays for which funding is sought are:

A church structure will be sought for purchase in the Anytown area for an estimated price of $400,000. A down payment of $80,000 will be financed directly by the owner’s family and is not included in this business plan. Mortgage payments are included as operating expenses.

Detailed start-up expenses are included in the following table and chart.

Funeral home business plan, company summary chart image

Products and Services

Evergreen Life Memorial Center is a place to celebrate the life of the departed and to bolster support systems for those who must live without them. The Center will provide services that are demanded by the Baby Boom generation who wants to celebrate the life of the individual together, rather than endure a morbid and stilted experience. In order to accomplish this, the Center will offer facilities and services that are for the living and for the community, not marginalized from it.

The Center’s cornerstone product will be use of the Reception Facility. Funerals bring people together who haven’t seen each other in years, even decades. In traditional services, people meet for a few hours and then they’re gone. The Center will capture the opportunity to bring people together, to celebrate life and to re-form the lines of support for those who live. To accomplish this, the Center will offer:

  • A reception hall where meals and refreshments may be catered.
  • Electronic presentation and projection of photos and films of the deceased, also available on our website.
  • Soft background music selected by the family, if requested.
  • Discreet areas where small groups may form for intimate discussions.
  • Two rooms with couches and chairs for private meetings.
  • A children’s playroom, supervised if requested. 
  • Easy wheelchair accessibility.

Use of the Chapel for funeral services.

Professional Services of the Director and staff. There will be one person who will guide the family through the entire process.

Caskets and Urns. The Center will offer the largest selection of caskets and urns of any funeral home in the area. Large funeral homes usually have corporate agreements with one of the top three casket companies:  Batesville, York or Aurora. Many other funeral homes are given incentives to sell only one line of casket, although federal law prohibits funeral homes from not accepting any casket the customer wants. The Center will offer the complete line of Batesville and York caskets, for people who want the industry standard caskets. Batesville alone accounts for 45 percent of caskets sold in the U.S. To differentiate the Center and to bolster its market position as the place for people who want a different kind of funeral, the Center will supplement its offerings with caskets more interesting and diverse than the mass-produced caskets generally offered, including:

  • Legacy Custom Caskets. These are handcrafted caskets made with the finest materials that give an impressive appearance, for those funerals where only the best will do.
  • Cowboy’s Last Ride. Generally an unfinished, pine casket with a denim or horse blanket liner. “A fitting end for someone who spent his life caring for God’s creatures and land.”
  • Specialized metal and fiberglass caskets with emblems painted on the inside for people belonging to firefighting, police, military and fraternal organizations.
  • Other specialty caskets with unique features that emphasize the individuality of the deceased.
  • A selection of low-cost caskets by independent providers.

Remembrance Products, including paper and electronic products to celebrate the life of the deceased. Digital photographs and films will be used during the reception and posted on our website, if desired.

Transportation, including use of hearse. Limousines will be contracted, if desired.

Refrigeration is required for viewing of the body beyond 72 hours after death if there is no embalming. With the growing demand for cremation and increasing environmental sensitivity about the chemicals involved in embalming, we expect a greater use of refrigeration in the future.

Embalming services. Embalming has been a traditionally assumed service, but consumers are mandated by federal law to be advised that it’s not required, except in certain rare cases. Embalming allowed funerals with viewing to take place more than 72 hours after death without noticeable decomposition. It is still the industry standard, and will be available at the Center.

Cremation services. Cremation services are the fastest growing segment of the death care industry.

Market Analysis Summary how to do a market analysis for your business plan.">

Defining who the customer is for a funeral home is complicated. Relatively few people pre-arrange their funerals while they’re alive, leaving most of the decisions to surviving family members. This becomes a complicated decision made by the person’s surviving spouse, if there is one, and the children of the deceased over the age of 30.

We have segmented the market in terms of the four generations that are over age 30 who form the active decision-making market. The four generations are the GI Generation (age 79 or older as of 2003), the Silent Generation (age 58 to 78), the Baby Boomers (age 39-57) and the portion of Generation X (age 23-38) that is over 30.

A new funeral home that was like all the others could not compete effectively for the most active market, the Silent Generation, against the reputations of long-established funeral homes in the area. The Center will be the first to appeal specifically to the tastes of the huge Baby Boom Generation for funerals that are about celebrating life rather than feeling morbid about death.

Targeting this market with this unique offering will not only attract Baby Boomers for their own funerals and those that they choose for their parents, it will also attract a significant percentage of the Silent Generation that has shown a propensity to spend money on itself and that likes to think young. It will further poise the Center for tremendous growth as the mortality rate of Boomers increases over the next 35 years.

4.1 Market Segmentation

The market is divided according to those who make the purchasing decisions regarding funerals. The market segments for the Center are divided by the generations of decision-makers over age 30.

  • The GI Generation (born 1901-1924)  This generation is age 79 or older as of 2003. This is the most active market. Its mortality rate is about 12 percent per year but it makes up only 3.9 percent of Lane County. Because the rate of dementia is high among this group, if funeral arrangements haven’t been pre-arranged, it’s likely their Baby Boomer children are making the arrangements.
  • The Silent Generation (born 1925-1945). This is the age segment probably most marketed by existing funeral homes. It’s mortality rate is 2 percent per year, and it’s the generation that generally has the most money. It has been called the Silent Generation because it was sandwiched between the heroic GI Generation that fought World War II (now sometimes called “The Greatest Generation,” and the explosive Baby Boom Generation (also called the “Me Generation”). Many of the Silent Generation have been strongly influenced by the cultural revolution of the Baby Boom Generation. Widows are 67 percent of surviving spouses in this age group because their husbands generally die first. This relatively wealthy generation has always been financially conservative, but at this point, is more willing to splurge. It is currently driving the high-end motorhome market. This generation is 58 to 78 as of 2003 and composes 15.9 percent of the local population.
  • Boomers   (The post World War II “baby boom generation” born 1946 through 1964.)   Members of this generation are increasingly involved in funeral decisions as their parents, spouses or children die. This age cohort is currently age 39-57, as of 2003, and comprises 27.2 percent of the Eugene-Springfield MSA, and over half of the demographic that makes funeral decisions. This is nearly twice the number of the Silent Generation cohort. Its mortality rate is currently only 0.3 percent, but is poised to grow rapidly over the next 35 years. It also makes many of the decisions for older and younger cohorts.
  • Generation X (1965-1980) This is the youngest cohort to make funeral decisions, with only members of this generation age 30 or older included as a market segment. Generation X members over the age of 30 comprise only 7.9 percent of Lane County, its mortality rate is low and it probably has the least input into the decisions about funerals. This generation challenges authority, is environmentally and socially concerned and watches its health. It’s more interested in quality time and peace of mind than in materialism. The members of this cohort age 30 to 38 makes up 7.5 percent of the MSA.

The Eugene-Springfield MSA conforms closely with the geographical boundaries of Lane County. Over two-thirds of the population of Lane County lives in Anytown metropolitan area.

Funeral home business plan, market analysis summary chart image

4.2 Target Market Segment Strategy

The target market for the Center is the Baby Boom generation. It comprises over 50 percent of those of age to make funeral decisions in Lane County. The Silent Generation, for which more traditional funeral homes are competing, comprises 29 percent of the funeral decision makers. The GI Generation is over age 79 and its decisions are likely to be made by younger generations, including Boomers.

Baby Boomers, children of the post-war Baby Boom born 1946 through 1964, have changed business and culture from the time they were born. First the diaper business enjoyed the boom, then schools were rapidly built for them. In the years 1976 to 1980, the price of homes began to dramatically increase as this age cohort began to turn 30 and settled down. Now in middle age, Boomers are increasingly involved in making funeral choices for their elderly parents. As this generation approaches age 60, it is expected to dramatically increase the number of deaths over the next 35 years.

While the Baby Boom generation has been a boon for many businesses because of its numbers, it has also changed popular culture. It has been called the “Me generation” because it honors the individual. The trend toward more individualized funerals has already been widely noted in the industry.

The Baby Boom Generation is demonstrating a demand for more individualized funerals with more of a sense of celebration. Our strategy is to target this generation by appealing to its tastes. Just as Pepsi-Cola experienced in the 1960s when it targeted this generation, we believe we’ll draw more people from the Silent Generation who “think young” than we would by being just another traditional funeral home. The Silent Generation is showing a propensity to splurge, and we’ll offer greater opportunity to splurge on their funerals than more traditional providers.

Some 71 percent of people choose a funeral home by reputation. The Center would not be able to compete on the basis of reputation compared to funeral homes that have operated in the area for generations, or those that used to be run by families but have been bought by chains. In order to create a reputation rapidly, the Center will stimulate community involvement that brings people to the reception facility and generates publicity. It will draw the attention of those who want to celebrate life rather than host a morbid proceeding, and will create a new category of funeral provider which it will dominate.

Capturing this market will also put the Center in position for long-term growth as the Baby Boom Generation experiences mortality. The number of U.S. deaths is expected to increase at a rate of 11.3 percent over the first decade of the 21st century, reaching 2,634,000 deaths for the year 2010. The rate of deaths is projected to increase each subsequent decade until it peaks at 18.1 percent growth for the decade ending 2040. In that year, 4.1 million deaths are projected.

4.3 Service Business Analysis

When someone dies, there are relatively few alternatives available to people to take care of the remains and to bring closure.

  • Funeral homes usually provide the following services:
  • Funeral service, often with viewing because some people need to see the body to psychologically accept that the individual has died.
  • Embalming is necessary if the funeral will take place more than 72 hours after death, especially if there is a viewing, unless it is refrigerated. 
  • Preparation of the remains for viewing.
  • Transportation of the body to the funeral home and to the gravesite.
  • Funeral products, including caskets, urns and remembrance products.
  • Immediate burial, performed without a service.
  • Cremation, with or without a service.
  • Cremation specialists, offering immediate cremation without a service that’s performed by a funeral director. If a service is desired, it may be performed in a church or other spiritual setting, or even outdoors, with or without clergy.

Some 75 percent of people nationwide choose burials that usually involve the services of a funeral home.

4.3.1 Competition and Buying Patterns

According to a 2002 survey by the National Funeral Directors Association, the most common reason for choosing a funeral home are location (78 percent of respondents), reputation (71 percent) and that it previously served the family (70 percent). Only 36 percent cited price, suggesting that for those who choose funeral services, price sensitivity is relatively moderate. Some 23 percent said they selected the funeral home because it was suggested by a friend, and seven percent by clergy, but only 11 percent said it was from advertising.

The survey underscores why the funeral industry is a very staid and conservative one. Location and reputation are everything for people choosing a funeral home. Some of the most successful funeral homes have been operated by the same family for generations. Some chain operations have bought up such funeral homes and have used the family reputation after it is no longer owned by the family. The power of reputation is such that many people appear unaware of the change of ownership, or their perception is unaffected by it.

In metropolitan Anytown, there are ten funeral homes, serving over two-thirds of the population of Lane County. There are four additional funeral homes serving small communities in the county.

There has been a steady growth in the market for cremation. In 1990, 17 percent of deaths resulted in cremations nationwide, according to the Cremation Association of North America. By 2000, the percentage had grown to 26.6 percent. This reflected a 71 percent increase in the number of cremations. In Anytown there are three providers specializing in immediate cremations

Strategy and Implementation Summary

Being staid and traditional has helped funeral homes in this area that have been in the same family for generations to develop solid reputations. The Center cannot compete on the basis of being just another staid, conservative funeral home. It will succeed by quickly developing a reputation for being unique, offering something that a largest segment of the decision-making market is beginning to demand and that traditional funeral homes are not positioned to provide.

Traditional funeral homes have not been structured to meet the need for social support the living need to move forward and to complete the process of grief by coming to acceptance. The Center will be structured around the need that Baby Boomers are expressing to gather social support and to celebrate life.

5.1 Competitive Edge

The Evergreen Life Memorial Center is the first of a new category of funeral providers in the Anytown area. The Center provides celebration of the individual and social support to bring closure and move ahead with life. It will be the place for the Boomer generation to celebrate life when it ends because it will be more uplifting and social than traditional funeral homes. It will thus live up to its slogan, “People remembering people.”

There are three purposes of a funeral:

  • Bringing closure . Sociologists and anthropologists note that death rituals such as wakes, funerals and burials are important ways of of acknowledging that death has really occurred. This is necessary so people can move toward completing the grief process by coming to acceptance.  According to the Batesville Casket Company, “The funeral is about mental health and healing.” 
  • Social support . Sociologists also say that these rituals help resolve guilt, anger and relationships. It’s common for people to have feelings of regrets for what they did or didn’t do during the deceased individual’s life. For those attending the funeral, and especially for those choosing the kind of funeral to have, it’s the last opportunity to do the right thing for the deceased. The funeral is also a time to gather social support for the survivors. Social support can reduce stress and solve practical problems. When someone dies, it leaves a whole in the fabric of a social system that needs to be filled.
  • Celebration. While traditionally funerals have been considered somber affairs, people are increasingly demanding more of a sense of celebration for the life of the departed. The funeral is an acknowledgement that the individual is gone, and may have been all that was needed when families lived close together. Since family’s generally live far apart in modern society, a celebration is an opportunity for people who haven’t seen each other in years to interact. It’s a time for people to lightly reflect on the gift that person gave us by being among us. Refreshments lighten the mood and are a way of sharing. Pictures of the deceased help bring out memories and stories. There is laughter as well as tears, sometimes anger, so private spaces to meet in small groups are important.

These three purposes:  closure, social support and celebration are the ultimate products of the Evergreen Life Memorial Center. Traditional funeral homes have provided the rituals to bring closure, but have not provided the social support that is needed in modern times for the living to move forward and to complete the process of grief by coming to acceptance. The Center will be structured around the need for people to gather social support.

Traditional funeral homes are somber and morbid places people are afraid to go to.  Funeral homes that are staid and conservative will not be preferred by the “Pepsi generation,” which laughed at parodies of such homes in the television series The Munsters. The Center will be a place of celebration actively involved in people’s lives that people will want to go to.

5.2 Marketing Strategy

Because reputation is the key to success of a funeral home, the focus of the Center will be to quickly establish a reputation as the place for celebrating life when it ends in the way baby boomers want to be remembered.

This will be accomplished by hosting nonprofit activities that gather wide publicity. Stan Peters, the owner, will take a leading position in forming a local chapter of an organization like the Make-A-Wish Foundation, which makes dreams come true for children with terminal illnesses. The death of a child is the hardest thing for nearly anyone to take, including funeral directors. The recreation and meeting rooms of the Center will be available for the free use of nonprofit organizations that the owner is personally excited about. A public relations firm will be used to orchestrate the maximum exposure for the Center, its activities and the charities it promotes. This will bring the Center into the life of the community and give it a reputation for caring and for celebrating life.

The choice of location will support this focus. The Center will be sited within the metropolitan area where over two-thirds of the Lane County population lives. The ideal location would be the purchase of a church with a chapel and recreation room, with a stand of Ponderosa pine or Douglas fir in the front and back to bolster its Evergreen brand.

5.3 Sales Strategy

Sales will be accomplished through implementing the sales process and the employment of a full-time sales professional in year three. During the first two years, the sales process will be implemented by the owner who will document procedures and training manuals.

The job of the sales professional will be to:

  • Prospect and Qualify . The professional sales staff will be directly involved in networking the organization through a sales referral group, the Chamber of Commerce, and active participation in nonprofit causes that he or she is excited about. Pre-need business will be promoted though networking and through speech opportunities. Estate attorneys will be networked as well with a pamphlet we will present, How to Plan a Funeral that Celebrates Life. He or she will be a good listener, honing in on what the prospect really wants, including the price the prospect expects to pay.
  • Presentation . How to Plan a Funeral that Celebrates Life will be our outside medium for presentation. Inside, the salesperson will begin the presentation by featuring our chapel and reception areas. Showing how the reception area works will be the most important selling point for letting us help celebrate the life of the deceased. The salesperson will make it clear that the Center is not the least expensive funeral home, but the most unique. The Center will have a room for displaying the most interesting collection of caskets in Oregon. Everything from a pine box with denim liner to top-of-the-line, handcrafted, glossy custom caskets suitable for a state funeral. The salesperson will narrow the choices for the prospect down to three, based on what the prospect indicated he or she wants.
  • Proposal . The salesperson will write up a proposal according to the prospect’s choice that’s within his or her budget. The prospect will already be aware that the Center is not the price leader, and what the reasons are for paying more with us. 
  • Close . The salesperson will give a soft close, gently asking for the business by saying something like, “Why don’t we just do this?” 

The sales professional will not be commissioned in order to avoid hard sells, but will be compensated with a base pay that would be considered moderate for salary plus commissions of a good salesperson in this market. In addition, he or she may receive profit sharing based on the overall growth of the business.

5.3.1 Sales Forecast

Sales forecasts are conservatively based on market share projections and the standard business growth curve.

There were 2,859 deaths in the Anytown MSA (closely equivalent to Lane County) in 2004. About 75 percent of deaths result in funerals nationwide. At the average 2003 price of $5,374, this means the funeral market in Lane County is worth  $11,523,200.

Since there are currently 14 funeral homes in Lane County, and there will be 15 when the Center opens, the average market share will be $768,213 in 2003 dollars. The average price of funerals at the Center will be a little higher. We project the average funeral at Evergreen Memorial Center will be $5,884, broken down as follows:

  • Professional Services  $1249
  • Staff  $140
  • Use of Reception Room  $495
  • Use of Chapel  $375
  • Dressing & Grooming  $115
  • Casket  $1590
  • Burial Vault  $250
  • Remembrance Products  $330
  • Transportation  $915
  • Total Avg. Funeral  $5884

The average market share measured in the number of funerals per year will be 143 funerals a year. Our total sales for the first year are projected at one-fifth of the average market share, or about 29 funerals at our average funeral price of $5,884. Businesses start slowly and, if they capture a niche, will then grow quickly. The sales projections are based on sales of one funeral for each of the first four months, followed by two funerals a month for two months. After that, one additional funeral is added each month for the first year. 

For the second year, sales grow to one-third market share with 48 funerals for the year. In year three, it becomes 3/5 of average market share at 86 funerals. In the fourth year, we acquire our full market share and our optimal level of sales with 143 funerals based on our current prices and death statistics. The 12 percent growth shown in FY 2010 merely shows revenues on optimal sales of 143 funerals catching up with inflation from the previous four-year period, assumed at three percent per year.

The Cost of Goods Sold percentage of 35 percent is based on industry averages according to trade literature.

Sales of Immediate Cremations are projected according to market share of Lane County deaths that do not result in funerals (25 percent) multiplied times our average price. Our average price of an immediate cremation is as follows:

  • Cremation  $1250
  • Remembrance Products  $370
  • Bronze Urn  $155
  • Total Cremation  $1775

In order to secure these goals, the Center will develop publicity that will draw Baby Boomers because of its leadership in nonprofit causes and its unique reception facilities, offering individualized celebration and social support. A public relations firm will be retained to promote the Center. The sales staff will network and become involved in the community to bring in business. Finally, the sales program will effectively capture the business these activities bring in.

Funeral home business plan, strategy and implementation summary chart image

5.4 Milestones

The following table lists important program milestones, with dates and managers in charge, and budgets for each. The milestone schedule indicates our emphasis on planning for implementation. The most important programs are nonprofit activities to quickly establish our reputation as part of the community. These efforts were described in detail in previous sections.

Funeral home business plan, strategy and implementation summary chart image

Web Plan Summary

Our website will be an integral part of our market effort to the computer savvy Baby Boom generation. It will also help fulfill our mission in celebrating the life of the individual online as well as in person, and by promoting our nonprofit work that ties us into the life of the community. These uses of the website will bring more people to the site and increase its marketing potential.

6.1 Website Marketing Strategy

Our target market is active on the Internet, and this fact will be fully employed in the strategy to attract Baby Boomers. The Center’s website will be used in a number of ways that both add value to the client and the community and increase the number of people seeking the website. These are described in detail in the following section.

Digitized pictures and films of the life being celebrated will be offered on our website as well as in the reception room. This will allow people who are unable to attend the funeral to share in the remembrance and celebration of the individual’s life. The website will solicit memories about the individual to be added to the site. The use of the website will allow the social support gathered in person during the funeral and reception to carry on after the ceremonies are over and expanded to people who couldn’t come.

Our website will be a most effective marketing tool by also serving as an intrinsic part of the Center’s activities. The website will host photos and memories of people whose families use our facilities. The website will also host our nonprofit activities and copies of articles about the Center and an online newsletter produced by our public relations firm. This will give exposure, not only to the nonprofits we support, but also the Center itself.

6.2 Development Requirements

The Evergreen Life Memorial Center’s website will be initially developed and hosted by our public relations firm, which will host the site and provide the technical back end. The firm will then train the owner and staff in how to add content on a regular basis.

The website will be an integral part of the function of the Center. The Center’s competitive edge is celebration of life, and the use of digitized photos and films will be used in the reception room for this purpose. But these photos and films will also be available on our website if the family wishes. People will be asked to write their remembrances during the reception, and these may be posted on the website. The family will be given the free use of a portion of our website for a year. The family may also choose to make some or all of this part of the website available only to people with a code in order to maintain privacy.

Providing this capability on the website will allow the family to:

  • Keep the remembrance celebration going beyond the funeral
  • Allow people to participate who were unable to attend the funeral
  • Allow people to download images they don’t have
  • Allow people to continue to share remembrances by email
  • Allow the family to continue to gather social support.

Providing this capability will also aid in marketing the Center because it will cause people to actively seek out our website.

The nonprofit causes that the Center supports will also be hosted on our website. In a later phase, a directory of websites of community nonprofit organizations will be maintained on the website as well. This will make the Center a virtual as well as actual charitable center of the community.

The website will show illustrations of our facility and will motivate people who come across the website, because of a funeral or a nonprofit purpose, to want to use the Center in time of need

Management Summary management summary will include information about who's on your team and why they're the right people for the job, as well as your future hiring plans.">

The Center’s management is comprised of an experienced funeral director and embalmer who has been active in the management of funeral homes for 10 years.

A policy manual and job descriptions have been developed and are ready for implementation. It is assumed that during the first two years of operation, sales will be low as the Center builds its reputation. The personnel plan calls for the owner to perform sales and administrative functions personally, with some help from family members who are also experienced in the funeral home industry. Staffing is ready to be implemented as soon as sales demand it.

This business is designed to be responsive to client’s needs while running lean and simply.

7.1 Personnel Plan

The personnel plan is as follows:

  • The owner will be the funeral director,embalmer and cremator. During the first two years, he will also serve as salesperson and administrator. His needs are $60,000 per year. After the first fiscal year, all salaries will increase three percent per year.
  • The salesperson will fulfill the marketing and sales plan and will be actively involved in nonprofit activities. Salary will begin at $31,830 in year three, increasing annually at three percent.
  • The administrative assistant will work half-time beginning year three at $13.42 per hour, taking care of bookkeeping, invoicing, bill paying, payroll and other administrative matters. Beginning July 2007 these hours will double to a full-time position.
  • Beginning with one half-time staff member July 2007 and expanding in July 2008 to two, the staff members will drive the hearse for pick-ups and for caravans to burial locations. They will assist in funerals and help the funeral director and clients as needed. The first staff position will begin half-time at $13,200 annually, increasing to full-time in July 2008 with at three percent annual raise. The second staff position will begin July 2008 at $25,750, increasing three percent per year.

Financial Plan investor-ready personnel plan .">

This financial plan is based on acquiring a loan for $225,000 secured by the owner’s home. The owner will provide $20,000 of start-up investment personally as well as $80,000 down payment for purchasing a church or similar building.

The Center will achieve profitability in just over two years and reach annual net profit of approximately $196,000 in the Center’s fourth year of operation, with subsequent increases annually due to inflation. These figures are conservative because they anticipate a slow market penetration as the Center builds its reputation and reaches full market share in year four.

8.1 Start-up Funding

Our start-up expenses of $19,700 and asset purchases of $197,000 are to be financed partially by the direct owner investment of $20,000 and financing in the amount of $225,000. The details are included in the following table and chart.

8.2 Important Assumptions

The financial plan assumes interest rates at eight percent raising to 10 percent by 2010. The key underlying assumptions are:

  • The Baby Boom Generation will continue the trend of demanding more personalized funerals.
  • The competition will begin offering more personalized services as they see our success, but by then we will have positioned ourselves as the personalized services market leader.

8.3 Break-even Analysis

For our break-even analysis, we assume first-year fixed expenses of $13,606 per month, which includes our full payroll, mortgage payments, utilities and an estimation of other running costs. Payroll alone, during the first year, is only $5,000 per month.

Industry standard margins of 65 percent are assumed.

The initial break-even point is realized in March of 2006 with sales of only four funerals a month.

Funeral home business plan, financial plan chart image

8.4 Projected Profit and Loss

While profitability is realized in March 2006, the second fiscal year shows a slight profit margin because of the need to hire staff and train them ahead of the growth curve. When first hiring staff, it is anticipated that for the first few months, the time it takes to train each employee may exceed the amount of time it would take for the owner to just “do it himself.”  However, having staff in place and ready to make good on the promises of service we make in all our marketing efforts is critical to our growth strategy.

Month-by-month assumptions for profit and loss are included in the appendix.

Funeral home business plan, financial plan chart image

8.5 Projected Cash Flow

A cash reserve is built into the plan to allow for unforeseen contingencies. Our minimum credit line available projected during this five-year period is over $45,000. 

The company’s estimated cash flow analysis is outlined in the following table.

Funeral home business plan, financial plan chart image

8.6 Projected Balance Sheet

The table below presents the balance sheet for the Evergreen Life Memorial Center. This table reflects dramatic growth in net worth, reaching nearly $425,000 in FY 2010. Our Projected Balance Sheet shows we will not have any difficulty meeting our debt obligations so long as our revenue projections are met.

8.7 Business Ratios

This is a more profitably run business than average in its industry because of our value-added services, slightly higher prices and lean operation.

Sales expenses are constant throughout the five-year period. While they are a high percentage in the early years against lower sales, they are low after maturity because nonprofit activities will provide more than adequate publicity that will reduce advertising expenses.

The ratios for long-term liabilities do not reflect the loan for real estate purchase, which is not included as part of this plan.

The company’s projected business ratios are provided in the table below. The final column, Industry Profile, shows significant ratios for the funeral service industry for comparison.

8.8 Long-term Plan

The long-term plan is for the Evergreen Life Memorial Center to achieve market share and hold it. This will be an expanding market over the next 35 years as the Baby Boom generation nearly doubles mortality rates from 11 percent per decade to over 18 percent by 2040. Keeping up with this growth, plus population increases in the Lane County area, will provide plenty of business for the Center for generations to come.

Start your own business plan

Your business plan can look as polished and professional as this sample plan. It's fast and easy, with LivePlan.

Garrett's Bike Shop

The quickest way to turn a business idea into a business plan

Fill-in-the-blanks and automatic financials make it easy.

No thanks, I prefer writing 40-page documents.

LivePlan pitch example

Discover the world’s #1 plan building software

funeral services business plan

Funeral Mavericks Logo Design

How To Write a Winning Funeral Home Business Plan + Template

Business Plan-TB

Creating a business plan is essential for any business, but it can be especially helpful for funeral home s wanting to improve their strategy or raise funding.

A well-crafted business plan not only outlines the vision for your company but also documents a step-by-step roadmap of how you will accomplish it. To create an effective business plan, you must first understand the components essential to its success.

This article provides an overview of the key elements that every funeral home owner should include in their business plan.

Download the Ultimate Business Plan Template

What is a funeral home business plan.

A funeral home business plan is a formal written document describing your company’s business strategy and feasibility. It documents the reasons you will be successful, and your areas of competitive advantage, and it includes information about your team members. Your business plan is a key document that will convince investors and lenders (if needed) that you are positioned to become a successful venture.

Why Write a Funeral Home Business Plan?

A funeral home business plan is required for banks and investors. The document is a clear and concise guide to your business idea and the steps you will take to make it profitable.

Entrepreneurs can also use this as a roadmap when starting their new company or venture, especially if they are inexperienced in starting a business.

Writing an Effective Funeral Home Business Plan

The following are the key components of a successful funeral home business plan:

Executive Summary

The executive summary of a funeral home business plan is a one- to two-page overview of your entire business plan. It should summarize the main points, which will be presented in full in the rest of your business plan.

  • Start with a one-line description of your funeral home company
  • Provide a short summary of the key points in each section of your business plan, which includes information about your company’s management team, industry analysis, competitive analysis, and financial forecast, among others.

Company Description

This section should include a brief history of your company. Include a short description of how your company started and provide a timeline of milestones your company has achieved.

If you are just starting your funeral home , you may not have a long company history. Instead, you can include information about your professional experience in this industry and how and why you conceived your new venture. If you have worked for a similar company before or have been involved in an entrepreneurial venture before starting your funeral home firm, mention this.

You will also include information about your chosen funeral home business model and how, if applicable, it is different from other companies in your industry.

Industry Analysis

The industry or market analysis is an important component of a funeral home business plan. Conduct thorough market research to determine industry trends and document the size of your market. 

Questions to answer include:

  • What part of the funeral home industry are you targeting?
  • How big is the market?
  • What trends are happening in the industry right now (and if applicable, how do these trends support the success of your company)?

You should also include sources for the information you provide, such as published research reports and expert opinions.

Customer Analysis

This section should include a list of your target audience(s) with demographic and psychographic profiles (e.g., age, gender, income level, profession, job titles, interests). You will need to provide a profile of each customer segment separately, including their needs and wants.

For example, a funeral home business’ customers may include families who have recently lost a loved one, individuals who are making funeral arrangements in advance, and businesses that contract with funeral homes to provide services for their employees.

You can include information about how your customers make the decision to buy from you as well as what keeps them buying from you.

Develop a strategy for targeting those customers who are most likely to buy from you, as well as those that might be influenced to buy your products or funeral home services with the right marketing.

Competitive Analysis

The competitive analysis helps you determine how your product or service will be different from competitors and what your unique selling proposition (USP) might be that will set you apart in this industry.

For each competitor, list their strengths and weaknesses. Next, determine your areas of competitive differentiation or advantage; that is, in what ways are you different from and ideally better than your competitors.

Marketing Plan

This part of the business plan is where you determine and document your marketing plan. . Your plan should be laid out, including the following 4 Ps.

  • Product/Service : Detail your product/service offerings here. Document their features and benefits.
  • Price : Document your pricing strategy here. In addition to stating the prices for your products/services, mention how your pricing compares to your competition.
  • Place : Where will your customers find you? What channels of distribution (e.g., partnerships) will you use to reach them if applicable?
  • Promotion : How will you reach your target customers? For example, you may use social media, write blog posts, create an email marketing campaign, use pay-per-click advertising, or launch a direct mail campaign. You might also consider promoting your funeral home business via PR or word-of-mouth marketing.

Operations Plan

This part of your funeral home business plan should include the following information:

  • How will you deliver your product/service to customers? For example, will you do it in person or over the phone only?
  • What infrastructure, equipment, and resources are needed to operate successfully? How can you meet those requirements within budget constraints?

The operations plan is where you also need to include your company’s business policies. You will want to establish policies related to everything from customer service to pricing to the overall brand image you are trying to present.

Finally, and most importantly, in your Operations Plan, you will outline the milestones your company hopes to achieve within the next five years. Create a chart that shows the key milestone(s) you hope to achieve each quarter for the next four quarters and then each year for the following four years. Examples of milestones for a funeral home include reaching $X in sales. Other examples include adding new locations, launching new products/services, and hiring additional staff.

Management Team

List your team members here, including their names and titles, as well as their expertise and experience relevant to your industry. Include brief biography sketches for each team member.

Particularly if you are seeking funding, the goal of this section is to convince investors and lenders that your team has the expertise and experience to execute on your plan. If you are missing key team members, document the roles and responsibilities you plan to hire for in the future.

Financial Plan

Here you will include a summary of your complete and detailed financial plan (your full financial projections go in the Appendix). 

This includes the following three financial statements:

Income Statement

Your income statement should include:

  • Revenue : how much revenue you generate.
  • Cost of Goods Sold : These are your direct costs associated with generating revenue. This includes labor costs, as well as the cost of any equipment and supplies used to deliver the product/service offering.
  • Net Income (or loss) : Once expenses and revenue are totaled and deducted from each other, this is the net income or loss.

Sample Income Statement for a Startup Funeral Home

Balance sheet.

Include a balance sheet that shows your assets, liabilities, and equity. Your balance sheet should include:

  • Assets : All of the things you own (including cash).
  • Liabilities : This is what you owe against your company’s assets, such as accounts payable or loans.
  • Equity : The worth of your business after all liabilities and assets are totaled and deducted from each other.

Sample Balance Sheet for a Startup Funeral Home

Cash flow statement.

Include a cash flow statement showing how much cash comes in, how much cash goes out and a net cash flow for each year. The cash flow statement should include:

  • Cash Flow From Operations
  • Cash Flow From Investments
  • Cash Flow From Financing

Below is a sample of a projected cash flow statement for a startup funeral home .

Sample Cash Flow Statement for a Startup Funeral Home

You will also want to include an appendix section which will include:

  • Your complete financial projections
  • A complete list of your company’s business policies and procedures related to the rest of the business plan (marketing, operations, etc.)
  • Any other documentation which supports what you included in the body of your business plan.

Writing a good business plan gives you the advantage of being fully prepared to launch and/or grow your funeral home . It not only outlines your business vision but also provides a step-by-step process of how you will accomplish it.

Now that you have read about the key components of a funeral home business plan, it’s time to get started on your own. If you are seeking funding, be sure to include detailed financial projections in your appendix section. 

Remember to be clear and concise when writing your business plan and make sure to highlight your team’s expertise and experience. Finally, always keep in mind that your business plan is a living document and should be updated as your business grows and changes.  

Finish Your Funeral Home Business Plan in 1 Day!

Other helpful articles.

How To Develop Your Funeral Home’s Mission Statement

How To Write a Winning Crematorium Business Plan + Template

Funeral Home Business Plan Template & Guidebook

Starting a funeral home can be daunting due to a variety of factors, from the sensitive nature of the business to the need for substantial financial planning. To help take the guesswork out of this important endeavor, this guidebook provides a #1 Funeral Home Business Plan Template that is tailored for success. With easy-to-follow instructions, this resource will help aspiring funeral home owners craft a plan of action that will ensure their institution succeeds.

Nick

Get worry-free services and support to launch your business starting at $0 plus state fees.

  • How to Start a Profitable Funeral Home Business [11 Steps]

How to Write a Funeral Home Business Plan in 7 Steps:

1. describe the purpose of your funeral home business..

The first step to writing your business plan is to describe the purpose of your funeral home business. This includes describing why you are starting this type of business, and what problems it will solve for customers. This is a quick way to get your mind thinking about the customers’ problems. It also helps you identify what makes your business different from others in its industry.

It also helps to include a vision statement so that readers can understand what type of company you want to build.

Here is an example of a purpose mission statement for a funeral home business:

Our mission is to provide compassionate, professional and affordable funeral services to families in our community, while creating a dignified and respectful experience that honors their loved ones in a caring and meaningful way.

Image of Zenbusiness business formation

2. Products & Services Offered by Your Funeral Home Business.

The next step is to outline your products and services for your funeral home business. 

When you think about the products and services that you offer, it's helpful to ask yourself the following questions:

  • What is my business?
  • What are the products and/or services that I offer?
  • Why am I offering these particular products and/or services?
  • How do I differentiate myself from competitors with similar offerings?
  • How will I market my products and services?

You may want to do a comparison of your business plan against those of other competitors in the area, or even with online reviews. This way, you can find out what people like about them and what they don’t like, so that you can either improve upon their offerings or avoid doing so altogether.

Image of Zenbusiness business formation

3. Build a Creative Marketing Stratgey.

If you don't have a marketing plan for your funeral home business, it's time to write one. Your marketing plan should be part of your business plan and be a roadmap to your goals. 

A good marketing plan for your funeral home business includes the following elements:

Target market

  • Who is your target market?
  • What do these customers have in common?
  • How many of them are there?
  • How can you best reach them with your message or product?

Customer base 

  • Who are your current customers? 
  • Where did they come from (i.e., referrals)?
  • How can their experience with your funeral home business help make them repeat customers, consumers, visitors, subscribers, or advocates for other people in their network or industry who might also benefit from using this service, product, or brand?

Product or service description

  • How does it work, what features does it have, and what are its benefits?
  • Can anyone use this product or service regardless of age or gender?
  • Can anyone visually see themselves using this product or service?
  • How will they feel when they do so? If so, how long will the feeling last after purchasing (or trying) the product/service for the first time?

Competitive analysis

  • Which companies are competing with yours today (and why)? 
  • Which ones may enter into competition with yours tomorrow if they find out about it now through word-of-mouth advertising; social media networks; friends' recommendations; etc.)
  • What specific advantages does each competitor offer over yours currently?

Marketing channels

  • Which marketing channel do you intend to leverage to attract new customers?
  • What is your estimated marketing budget needed?
  • What is the projected cost to acquire a new customer?
  • How many of your customers do you instead will return?

Form an LLC in your state!

funeral services business plan

4. Write Your Operational Plan.

Next, you'll need to build your operational plan. This section describes the type of business you'll be running, and includes the steps involved in your operations. 

In it, you should list:

  • The equipment and facilities needed
  • Who will be involved in the business (employees, contractors)
  • Financial requirements for each step
  • Milestones & KPIs
  • Location of your business
  • Zoning & permits required for the business

What equipment, supplies, or permits are needed to run a funeral home business?

  • Funeral home building and property
  • Equipment: caskets, catafalques, hearse, flower cars, etc.
  • Office supplies: desks, chairs, computers, printers, and other office needs
  • Pre-need funeral contracts
  • Funeral service contracts
  • Permits: business license, death certificate filing permit, embalming license, etc.

5. Management & Organization of Your Funeral Home Business.

The second part of your funeral home business plan is to develop a management and organization section.

This section will cover all of the following:

  • How many employees you need in order to run your funeral home business. This should include the roles they will play (for example, one person may be responsible for managing administrative duties while another might be in charge of customer service).
  • The structure of your management team. The higher-ups like yourself should be able to delegate tasks through lower-level managers who are directly responsible for their given department (inventory and sales, etc.).
  • How you’re going to make sure that everyone on board is doing their job well. You’ll want check-ins with employees regularly so they have time to ask questions or voice concerns if needed; this also gives you time to offer support where necessary while staying informed on how things are going within individual departments too!

6. Funeral Home Business Startup Expenses & Captial Needed.

This section should be broken down by month and year. If you are still in the planning stage of your business, it may be helpful to estimate how much money will be needed each month until you reach profitability.

Typically, expenses for your business can be broken into a few basic categories:

Startup Costs

Startup costs are typically the first expenses you will incur when beginning an enterprise. These include legal fees, accounting expenses, and other costs associated with getting your business off the ground. The amount of money needed to start a funeral home business varies based on many different variables, but below are a few different types of startup costs for a funeral home business.

Running & Operating Costs

Running costs refer to ongoing expenses related directly with operating your business over time like electricity bills or salaries paid out each month. These types of expenses will vary greatly depending on multiple variables such as location, team size, utility costs, etc.

Marketing & Sales Expenses

You should include any costs associated with marketing and sales, such as advertising and promotions, website design or maintenance. Also, consider any additional expenses that may be incurred if you decide to launch a new product or service line. For example, if your funeral home business has an existing website that needs an upgrade in order to sell more products or services, then this should be listed here.

7. Financial Plan & Projections

A financial plan is an important part of any business plan, as it outlines how the business will generate revenue and profit, and how it will use that profit to grow and sustain itself. To devise a financial plan for your funeral home business, you will need to consider a number of factors, including your start-up costs, operating costs, projected revenue, and expenses. 

Here are some steps you can follow to devise a financial plan for your funeral home business plan:

  • Determine your start-up costs: This will include the cost of purchasing or leasing the space where you will operate your business, as well as the cost of buying or leasing any equipment or supplies that you need to start the business.
  • Estimate your operating costs: Operating costs will include utilities, such as electricity, gas, and water, as well as labor costs for employees, if any, and the cost of purchasing any materials or supplies that you will need to run your business.
  • Project your revenue: To project your revenue, you will need to consider the number of customers you expect to have and the average amount they will spend on each visit. You can use this information to estimate how much money you will make from selling your products or services.
  • Estimate your expenses: In addition to your operating costs, you will need to consider other expenses, such as insurance, marketing, and maintenance. You will also need to set aside money for taxes and other fees.
  • Create a budget: Once you have estimated your start-up costs, operating costs, revenue, and expenses, you can use this information to create a budget for your business. This will help you to see how much money you will need to start the business, and how much profit you can expect to make.
  • Develop a plan for using your profit: Finally, you will need to decide how you will use your profit to grow and sustain your business. This might include investing in new equipment, expanding the business, or saving for a rainy day.

funeral services business plan

Frequently Asked Questions About Funeral Home Business Plans:

Why do you need a business plan for a funeral home business.

A business plan is an essential document for a funeral home business because it outlines the goals of the business, how those goals will be achieved, and how they will be funded. The plan also includes important information such as market analysis and marketing strategies, strategies for managing finances and resources, risk management plans, and strategies for dealing with competition. Having a comprehensive business plan in place provides clarity for both the owners and potential investors, enabling them to make informed decisions about their investments.

Who should you ask for help with your funeral home business plan?

It is recommended to consult with a professional financial advisor or accountant well-versed in the funeral home industry who can help you create a comprehensive business plan specific to your needs. Additionally, local small business specialists, advisors, and mentors may be able to provide valuable guidance.

Can you write a funeral home business plan yourself?

Yes, it is possible to write a funeral home business plan. A funeral home business plan should include detailed sections about the business' goals, financial projections, service offerings, marketing strategy, operating procedures and personnel plans. It is also important to include research into the local market conditions and competitive landscape, which will inform key elements of the plan. Taking the time to complete each section accurately and thoroughly can help ensure success for your funeral home business.

Related Business Plans

image of Home Inventory

Home Inventory Business Plan Template & Guidebook

image of Home Inspection

Home Inspection Business Plan Template & Guidebook

image of Home Decor

Home Decor Business Plan Template & Guidebook

image of Health And Wellness

Health And Wellness Business Plan Template & Guidebook

image of Hauling

Hauling Business Plan Template & Guidebook

image of Hardware

Hardware Business Plan Template & Guidebook

image of Handyman

Handyman Business Plan Template & Guidebook

image of Hair Extension

Hair Extension Business Plan Template & Guidebook

image of Handbag

Handbag Business Plan Template & Guidebook

I'm Nick, co-founder of newfoundr.com, dedicated to helping aspiring entrepreneurs succeed. As a small business owner with over five years of experience, I have garnered valuable knowledge and insights across a diverse range of industries. My passion for entrepreneurship drives me to share my expertise with aspiring entrepreneurs, empowering them to turn their business dreams into reality.

Through meticulous research and firsthand experience, I uncover the essential steps, software, tools, and costs associated with launching and maintaining a successful business. By demystifying the complexities of entrepreneurship, I provide the guidance and support needed for others to embark on their journey with confidence.

From assessing market viability and formulating business plans to selecting the right technology and navigating the financial landscape, I am dedicated to helping fellow entrepreneurs overcome challenges and unlock their full potential. As a steadfast advocate for small business success, my mission is to pave the way for a new generation of innovative and driven entrepreneurs who are ready to make their mark on the world.

How to Start a Funeral Home

A funeral home business handles funeral services for those who have died.  Funeral home businesses provide burial, cremation and memorial services for those who have passed away. These businesses play an important role in providing families of the deceased with much-needed closure.

Learn how to start your own Funeral Home and whether it is the right fit for you.

Ready to form your LLC? Check out the Top LLC Formation Services .

Funeral Home Image

Start a funeral home by following these 10 steps:

  • Plan your Funeral Home
  • Form your Funeral Home into a Legal Entity
  • Register your Funeral Home for Taxes
  • Open a Business Bank Account & Credit Card
  • Set up Accounting for your Funeral Home
  • Get the Necessary Permits & Licenses for your Funeral Home
  • Get Funeral Home Insurance
  • Define your Funeral Home Brand
  • Create your Funeral Home Website
  • Set up your Business Phone System

We have put together this simple guide to starting your funeral home. These steps will ensure that your new business is well planned out, registered properly and legally compliant.

Exploring your options? Check out other small business ideas .

STEP 1: Plan your business

A clear plan is essential for success as an entrepreneur. It will help you map out the specifics of your business and discover some unknowns. A few important topics to consider are:

What will you name your business?

  • What are the startup and ongoing costs?
  • Who is your target market?

How much can you charge customers?

Luckily we have done a lot of this research for you.

Choosing the right name is important and challenging. If you don’t already have a name in mind, visit our How to Name a Business guide or get help brainstorming a name with our Funeral Home Name Generator

If you operate a sole proprietorship , you might want to operate under a business name other than your own name. Visit our DBA guide to learn more.

When registering a business name , we recommend researching your business name by checking:

  • Your state's business records
  • Federal and state trademark records
  • Social media platforms
  • Web domain availability .

It's very important to secure your domain name before someone else does.

Want some help naming your funeral home?

Business name generator, what are the costs involved in opening a funeral home.

A funeral home business requires equipment for embalming and cremation. A cremation table, cremation system, hydraulic lifts, refrigerated storage, computer, printer and filing system are necessary. Caskets must be purchased along with clothing and additional convenience items. The business requires laborers, insurance, operating space and a parking lot. The viewing area will require tables and couches. A hearse is also necessary.

What are the ongoing expenses for a funeral home?

A funeral home must pay for its operating space, labor, utilities, marketing, caskets and equipment for embalming and cremation. Embalming machines do not last forever. A single embalming machine costs around $3,000 or more. Add in the costs of hydraulic lifts, refrigerated storage, an embalming table, embalming fluid, caskets, makeup, clothing and urns and you should budget in at least $5,000 to $10,000 per year for equipment.

Consider contacting a real estate agent to find an affordable building to rent where you can operate your funeral home business. Rent will likely run between $700 and a couple thousand dollars per month depending on the building's size and location. Budget at least a couple hundred dollars per month for marketing. Utilities including high-speed Internet will cost between $100 and $200 per month.

Your funeral home business manager will command a salary between $35,000 and $65,000 per year. A marketing guru will require an annual salary of $35,000 to $55,000. An accountant will command an annual salary in the range of $35,000 to $75,000.   A funeral home receptionist will earn around $10 to $12 per hour.  Additional support staff will likely earn $10 to $15 per hour.

Who is the target market?

The ideal customer is willing to spend top-dollar on funeral services.

How does a funeral home make money?

A funeral service makes money by selling caskets, cremation services, funeral services, flowers, urns and other items/services related to death.

The typical funeral costs around $6,000 to $7,000. This cost includes embalming, cosmetics, viewings, transportation expenses and professional charges.  However, it is possible to charge more if your funeral home business offers extra services.

How much profit can a funeral home make?

A funeral home business located in the right area with plenty of senior citizens has the potential to make hundreds of thousands of dollars per year. However, it will likely take several years for the funeral home business to reach this point of profitability.

How can you make your business more profitable?

Additional charges can be applied for cremation services, obituary announcements, graveside funerals and online memorial programs. It is also possible to charge for providing assistance in the procurement of paperwork like burial permits and death certificates.

Want a more guided approach? Access TRUiC's free Small Business Startup Guide - a step-by-step course for turning your business idea into reality. Get started today!

STEP 2: Form a legal entity

The most common business structure types are the sole proprietorship , partnership , limited liability company (LLC) , and corporation .

Establishing a legal business entity such as an LLC or corporation protects you from being held personally liable if your funeral home is sued.

Form Your LLC

Read our Guide to Form Your Own LLC

Have a Professional Service Form your LLC for You

Two such reliable services:

You can form an LLC yourself and pay only the minimal state LLC costs or hire one of the Best LLC Services for a small, additional fee.

Recommended: You will need to elect a registered agent for your LLC. LLC formation packages usually include a free year of registered agent services . You can choose to hire a registered agent or act as your own.

STEP 3: Register for taxes

You will need to register for a variety of state and federal taxes before you can open for business.

In order to register for taxes you will need to apply for an EIN. It's really easy and free!

You can acquire your EIN through the IRS website . If you would like to learn more about EINs, read our article, What is an EIN?

There are specific state taxes that might apply to your business. Learn more about state sales tax and franchise taxes in our state sales tax guides.

STEP 4: Open a business bank account & credit card

Using dedicated business banking and credit accounts is essential for personal asset protection.

When your personal and business accounts are mixed, your personal assets (your home, car, and other valuables) are at risk in the event your business is sued. In business law, this is referred to as piercing your corporate veil .

Open a business bank account

Besides being a requirement when applying for business loans, opening a business bank account:

  • Separates your personal assets from your company's assets, which is necessary for personal asset protection.
  • Makes accounting and tax filing easier.

Recommended: Read our Best Banks for Small Business review to find the best national bank or credit union.

Get a business credit card

Getting a business credit card helps you:

  • Separate personal and business expenses by putting your business' expenses all in one place.
  • Build your company's credit history , which can be useful to raise money later on.

Recommended: Apply for an easy approval business credit card from BILL and build your business credit quickly.

STEP 5: Set up business accounting

Recording your various expenses and sources of income is critical to understanding the financial performance of your business. Keeping accurate and detailed accounts also greatly simplifies your annual tax filing.

Make LLC accounting easy with our LLC Expenses Cheat Sheet.

STEP 6: Obtain necessary permits and licenses

Failure to acquire necessary permits and licenses can result in hefty fines, or even cause your business to be shut down.

State & Local Business Licensing Requirements

Certain state permits and licenses may be needed to operate a funeral home. Learn more about licensing requirements in your state by visiting SBA’s reference to state licenses and permits .

For information about local licenses and permits:

  • Check with your town, city or county clerk’s office
  • Get assistance from one of the local associations listed in  US Small Business Associations directory of local business resources .

Most businesses are required to collect sales tax on the goods or services they provide. To learn more about how sales tax will affect your business, read our article, Sales Tax for Small Businesses .

Service Agreement

Funeral home businesses should consider requiring clients to sign a service agreement before starting a new project. This agreement should clarify client expectations and minimize risk of legal disputes by setting out payment terms and conditions, service level expectations, and intellectual property ownership. Here is an example service agreement.

Recommended: Rocket Lawyer makes it easy to create a professional service agreement for your funeral home business when you sign up for their premium membership. For $39.95 per month, members receive access to hundreds of legal agreements and on call attorneys to get complimentary legal advice.

Certificate of Occupancy

A funeral home is generally run out of a storefront. Businesses operating out of a physical location typically require a Certificate of Occupancy (CO).  A CO confirms that all building codes, zoning laws and government regulations have been met.

  • If you plan to lease a location :
  • It is generally the landlord’s responsibility to obtain a CO.
  • Before leasing, confirm that your landlord has or can obtain a valid CO that is applicable to a funeral home.
  • After a major renovation, a new CO often needs to be issued. If your place of business will be renovated before opening, it is recommended to include language in your lease agreement stating that lease payments will not commence until a valid CO is issued.
  • If you plan to purchase or build a location :
  • You will be responsible for obtaining a valid CO from a local government authority.
  • Review all building codes and zoning requirements for your business’ location to ensure your funeral home will be in compliance and able to obtain a CO.

STEP 7: Get business insurance

Just as with licenses and permits, your business needs insurance in order to operate safely and lawfully. Business Insurance protects your company’s financial wellbeing in the event of a covered loss.

There are several types of insurance policies created for different types of businesses with different risks. If you’re unsure of the types of risks that your business may face, begin with General Liability Insurance . This is the most common coverage that small businesses need, so it’s a great place to start for your business.

Another notable insurance policy that many businesses need is Workers’ Compensation Insurance . If your business will have employees, it’s a good chance that your state will require you to carry Workers' Compensation Coverage.

FInd out what types of insurance your Funeral Home needs and how much it will cost you by reading our guide Business Insurance for Funeral Home.

STEP 8: Define your brand

Your brand is what your company stands for, as well as how your business is perceived by the public. A strong brand will help your business stand out from competitors.

If you aren't feeling confident about designing your small business logo, then check out our Design Guides for Beginners , we'll give you helpful tips and advice for creating the best unique logo for your business.

Recommended : Get a logo using Truic's free logo Generator no email or sign up required, or use a Premium Logo Maker .

If you already have a logo, you can also add it to a QR code with our Free QR Code Generator . Choose from 13 QR code types to create a code for your business cards and publications, or to help spread awareness for your new website.

How to promote & market a funeral home

Market to those who are located close to your business through flyers, leaflets, local radio/TV advertisements and social media. Be sure to advertise in the local newspaper. Your target clientele is the elderly. Senior citizens are inclined to read tangible newspapers rather than online news websites. Focus on optimizing your online content so locals can find it with ease. This is referred to as search engine optimization (SEO). Use keywords, especially those that are relevant to those in your community such as the town/city name, the names of local streets and even the names of neighborhoods. Though senior citizens might not use the web at a high frequency, their offspring and grandchildren do. If you make a positive impression on a senior's relative, there is a good chance that individual will pass on the information gleaned from your funeral home's website to their elderly parent or grandparent.

How to keep customers coming back

Word of mouth advertising is important to this type of business. This means pleasing current customers is essential to growing your business across posterity. Exceed current customers' expectations and they will speak highly of you to friends, family and co-workers in the community.

STEP 9: Create your business website

After defining your brand and creating your logo the next step is to create a website for your business .

While creating a website is an essential step, some may fear that it’s out of their reach because they don’t have any website-building experience. While this may have been a reasonable fear back in 2015, web technology has seen huge advancements in the past few years that makes the lives of small business owners much simpler.

Here are the main reasons why you shouldn’t delay building your website:

  • All legitimate businesses have websites - full stop. The size or industry of your business does not matter when it comes to getting your business online.
  • Social media accounts like Facebook pages or LinkedIn business profiles are not a replacement for a business website that you own.
  • Website builder tools like the GoDaddy Website Builder have made creating a basic website extremely simple. You don’t need to hire a web developer or designer to create a website that you can be proud of.

Recommended : Get started today using our recommended website builder or check out our review of the Best Website Builders .

Other popular website builders are: WordPress , WIX , Weebly , Squarespace , and Shopify .

STEP 10: Set up your business phone system

Getting a phone set up for your business is one of the best ways to help keep your personal life and business life separate and private. That’s not the only benefit; it also helps you make your business more automated, gives your business legitimacy, and makes it easier for potential customers to find and contact you.

There are many services available to entrepreneurs who want to set up a business phone system. We’ve reviewed the top companies and rated them based on price, features, and ease of use. Check out our review of the Best Business Phone Systems 2024 to find the best phone service for your small business.

Recommended Business Phone Service: Phone.com

Phone.com is our top choice for small business phone numbers because of all the features it offers for small businesses and it's fair pricing.

TRUiC's Startup Podcast

Welcome to the Startup Savant podcast , where we interview real startup founders at every stage of the entrepreneurial journey, from launch to scale.

Is this Business Right For You?

If you are interested in helping people cope with the death of loved ones, friends and colleagues, the funeral home business is for you.

Want to know if you are cut out to be an entrepreneur?

Take our Entrepreneurship Quiz to find out!

Entrepreneurship Quiz

What happens during a typical day at a funeral home?

The average funeral home business owner meets with prospective clients, handles the demands of existing clients, performs research on funeral-related equipment such as caskets, steers marketing efforts and delegates work to employees.

What are some skills and experiences that will help you build a successful funeral home?

A funeral home business owner who has solid people skills, an aptitude for marketing and the ability to console those who are grieving will succeed in this industry. The key is to get to know the community. Develop a rapport with locals and market your funeral home business in a tasteful manner, and you will gradually acquire new clients.

What is the growth potential for a funeral home?

This business is poised to grow quite rapidly as the baby boomer age cohort passes through their golden years. A considerable portion of the population is reaching its 60s and 70s, and a funeral home business owner will benefit from this demographic trend.

TRUiC's YouTube Channel

For fun informative videos about starting a business visit the TRUiC YouTube Channel or subscribe to view later.

Take the Next Step

Find a business mentor.

One of the greatest resources an entrepreneur can have is quality mentorship. As you start planning your business, connect with a free business resource near you to get the help you need.

Having a support network in place to turn to during tough times is a major factor of success for new business owners.

Learn from other business owners

Want to learn more about starting a business from entrepreneurs themselves? Visit Startup Savant’s startup founder series to gain entrepreneurial insights, lessons, and advice from founders themselves.

Resources to Help Women in Business

There are many resources out there specifically for women entrepreneurs. We’ve gathered necessary and useful information to help you succeed both professionally and personally:

If you’re a woman looking for some guidance in entrepreneurship, check out this great new series Women in Business created by the women of our partner Startup Savant.

What are some insider tips for jump starting a funeral home?

Relationships are at the foundation of this business. Funeral home business owners who establish a flawless reputation within their local community will win the business of locals for generations. Be sure to market your business in a respectful manner. Always be there to console those who have lost a loved one. If you do not provide such support, customers will speak negatively about you to others in the community. Do not lose sight of the fact that your role as a funeral home business owner is to provide funeral services as well as emotional support in the aftermath of death.

It is important to note the federal government requires funeral homes to have specific amenities. The embalming room must be located in the basement and secluded from the remainder of the business. This room must have the proper ventilation of two vents on the outside wall along with drains installed in the floor with plumbing that is distinct from the central pipes. Your casket and burial vault display section must be on the main level. Do not forget to make your establishment handicap-accessible. Every funeral home must have a concrete room void of windows with flame-resistant files and a flame-resistant door. Furthermore, you must file a general price list with your state government each year to ensure fairness in prices.

How and when to build a team

Build your team right away. Every funeral home requires an array of employees to handle funeral services. You will need a funeral home manager, a receptionist, an administrator, a marketing professional, an accountant, and general support staff.

Useful Links

Industry opportunities.

  • National Funeral Directors Association
  • National Funeral Directors and Morticians Association
  • Sereni Care Funeral Home Franchise

Real World Examples

  • Michigan C&H Community Home for Funerals
  • Atlanta Atlanta Willie A. Watkins Funeral Home, Inc.
  • NYC BENTA'S Funeral Home, Inc.

Further Reading

  • Find more  Business Ideas  perfect for Small Towns!
  • Profile on a Successful Business

Have a Question? Leave a Comment!

Growthink logo white

How to Start a Funeral Home

how to start funeral business

On This Page:

11 Steps to Start Your Own Funeral Home

How big is the funeral homes industry, what are the types of funeral homes, who are the key competitors in the funeral industry, what are the typical startup costs for a new funeral home, is owning a funeral home profitable, what are the keys to launching a new funeral home, how to start a funeral home faqs, other helpful business plan articles & templates.

Starting a funeral home business can be very profitable. With proper planning, execution and hard work, you can enjoy great success. Below you will learn the keys to launching and running a successful Funeral Home.

Importantly, a critical step in starting a funeral home is to complete your business plan. To help you out, you should download Growthink’s Ultimate Business Plan Template here .

Download our Ultimate Business Plan Template here

There are 11 steps to starting a funeral home as follows.

Step 1: Do Your Research

The most important part of starting a funeral home is doing your research. 

If you’ve never run a funeral home before, start by reading industry magazines and websites to learn more about the industry. The more you know about the industry, the better you can design your business and the more prepared you will be to launch and grow your funeral home.

Step 2: Develop a Funeral Home Business Plan

A business plan is one of the most important steps in starting any business. Developing the funeral home business plan forces you to think through your business concept and other aspects to help you make your business a success including the following sections:

  • Company Analysis – you will document the type of funeral home you plan to launch. 
  • Marketing Plan – you will document your pricing and how you will attract new customers. 
  • Management Team – you will detail your company’s staffing needs. 
  • Financial Plan – you will identify key expenditures you need, staffing and other costs, and projected revenues. This will help in forecasting the future of your funeral home and in determining if you need to raise outside funding.

Step 3: Determine Your Location & Space Requirements

Before you start a funeral home, it is important to have a location in mind if  you are not purchasing an existing funeral home.

Your location doesn’t need to be one in which there is a lot of foot traffic (such locations are very expensive), but it can’t be inconvenient to get to either. Think about the services you’d like to offer in your funeral home when thinking about the size of the space you need.

Incorporate Your Business at the Guaranteed Lowest Price

We are proud to have partnered with Business Rocket to help you incorporate your business at the lowest price, guaranteed.

Not only does BusinessRocket have a 4.9 out of 5 rating on TrustPilot (with over 1,000 reviews) because of their amazing quality…but they also guarantee the most affordable incorporation packages and the fastest processing time in the industry.

Step 4: Equipment Needed

To start a funeral home, there are many supplies and equipment that you will need. Below are the main supply and equipment categories to consider:

  • Prep Room Equipment & Supplies
  • Chapel, Selection Room Equipment & Furnishings
  • Funeral Service Items
  • Flower Equipment & Supplies
  • Emergency Pouches & Body Bags
  • Removal Equipment & Transport Supplies

Step 5: Licensing Requirements

In most states, you cannot start a funeral home without having the right licenses and permits in place. Be sure to check your state’s rules regarding starting a funeral home.

Finish Your Business Plan Today!

Step 6: business insurance.

Once all the above steps are completed, it is time for you to get insured. There are many insurance companies that offer different policies that can suit your needs including workers’ compensation and general liability. 

Step 7: Market Your Business

Once you get all the necessary approvals and licenses, it is time for you to market your funeral business. There are many marketing strategies you can employ such as referrals, partnerships, social media marketing, pay-per-click advertising and public relations among others. 

Step 8: Hire Employees

Depending on how busy your funeral home is, you probably need to hire additional staff including a licensed Funeral Director who will lead the final funeral arrangements. 

Here are some things to consider when hiring employees for your funeral home:

  • look for people who are honest and have a good reputation in their work
  • check how organized they are to make sure they won’t miss anything important
  • make it clear whether you require permanent employees or on-call staff
  • check the person’s work history and past employment references before hiring them

Treat your employees fairly and ensure that your business is a safe place to work and that there are no safety hazards.

Step 9: Set up a Business Bank Account

You must set up a bank account for your business and set up credit card processing so you can accept credit cards as a form of payment (along with cash and checks).

Step 10: Record-Keeping Requirements

With any kind of business, keeping proper records is very important because it will help with tax filing, budgeting, and other things. A funeral home is no different.

Step 11: Review & Adapt Your Business Plans

Once your funeral home is up and running, it is time to review operations and make changes where necessary. For instance, if the demand for funerals was higher than expected, consider hiring additional staff to meet client needs. You might also need to change or increase your equipment if the need arises.

According to IBIS World, the funeral homes industry in the US reached $16 billion in annual revenue and is anticipated to continue growing at a rate of 0.6%.

There are various types of funeral homes, but the most common ones include:

Traditional Funeral Home

This type of funeral home offers all types of services including funerals and wakes; traditional funerals, burial services, memorial services, cremation, and more.

Cremation Funeral Home

This is the type of business that focuses mainly on cremation services which are typically less expensive than traditional funeral homes. Cremations have become very popular lately since they are cheaper while still providing similar benefits to traditional funerals. It is important to note, however, that cremation services are usually provided by other types of funeral homes.

Religious Funeral Providers

This is a business that provides funeral services to people of the same religion. For example, it could be an Islamic funeral home or a Catholic funeral home. This type of funeral home only provides the services required by their religion.

While there are many funeral homes in the US, only a few of them are considered the biggest competitors. These competitors include:

Service Corporation International (SCI)

One of the oldest and largest providers of funeral, cremation, and cemetery services in North America, Service Corporation International (SCI) was founded in 1962 and is based in Houston. SCI has 16,503 employees and last reported $3.5 billion in total revenue.

Carriage Services Inc.

Carriage Services Inc. is a Houston-based firm that was formed in 1991. The business went public in 1996, and current operates 178 funeral homes in 26 states as well as 32 cemeteries in 12 states.

StoneMor Partners LP

StoneMor is based in Pennsylvania and is the nation’s second-largest cemetery owner, with operations in 27 states and Puerto Rico.

There may be other locally-owned funeral homes in your target market. It is important to conduct research on how big they are and how people view them before you start your own funeral home.

The typical startup costs for a funeral home will depend on how much money the owner has to spend. It can probably land somewhere between $150,000 and $300,000.

If funeral homes want a luxurious set-up that includes all of the latest technologies, then they will have to spend more money in order to acquire these resources.

The common startup business expenses for a funeral home include:

  • Equipment & Furnishings – This category includes all of the necessary equipment that funeral homes use during embalming, like disinfectants and chemicals. They will also need to pay for furniture like caskets, chairs, sofas, etc., as well as office supplies and items for everyday life.
  • Marketing & Advertising – Funeral homes will have to spread the word about their business, so they will need to pay for marketing strategies. They should also invest in a website and other online platforms that can help them reach a wider customer base.
  • Insurance – There are going to be insurance premiums that funeral homes have to pay on a monthly basis. This is necessary for legal requirements and it will take up a chunk of the startup costs.
  • Licenses – There are some licenses that funeral homes will need to acquire, which can also take up a lot of money during the startup phase. This includes operational permits and those that relate to the industry as a whole.
  • Hiring and Onboarding –  New funeral homes will have to hire new staff members and they will also need help from employees during the startup phase. This will obviously take up some of their funds, but it can be beneficial because once other businesses see how great your business is, they may want to invest in you themselves.
  • Rent – It is recommended to own a funeral home building rather than renting one. This is a better option because funeral homes will receive tax benefits if they own the building, but they will also have more flexibility when it comes to adapting their funeral home as the industry changes.

Yes, funeral homes can be highly profitable businesses if they have a lot of customers and loyal employees. While there are a few challenges funeral homes need to face when it comes to making a profit, once these issues are resolved, they will definitely see some return on investment.

The average funeral home in the United States makes a profit of $80,000 to $120,000 per year.

In order to launch a successful funeral home and make it profitable, you need to keep in mind the following:

Build Loyalty

This is one of the most important factors when trying to make a profit with your funeral home. You want customers who are willing to come back again and again, whether they be family members of the deceased, or people who are planning to eventually pass away themselves.

Offer Competitive Prices

Funeral homes need to offer lower prices than other funeral homes in order to attract customers. They should also offer customized services and packages that will help them save money as well as give the customer what they want.

Market Your Business Online

This is one of the best ways to market your funeral home today. You should definitely invest in social media platforms like Facebook. It would also be beneficial to set up a website where customers can receive information about your business as well as look at price lists and other necessary materials.

Additional Resources

Funeral Mavericks

How to Finish Your Ultimate Business Plan in 1 Day!

Don’t you wish there was a faster, easier way to finish your funeral home business plan?

With Growthink’s Ultimate Business Plan Template you can finish your plan in just 8 hours or less!

What are the necessary permits for starting a funeral home?

To start a funeral home you need to acquire the necessary permits and licenses. You will not only need to get a business license but also special licenses/certifications depending on your state laws.

For instance:

  • If you live in California you will need to acquire a license from the Board of Funeral Directors and Embalmers
  • If you live in New York you will need a funeral home license from the Department of Health, and so forth.

How do you market a funeral home?

Marketing a funeral home needs to be done with care, as this is one of the steps that can determine if your business will succeed or fail. Marketing a funeral home usually includes advertising in local newspapers and magazines, building a website, creating business cards and brochures, and networking with funeral service providers in your area.

However, among those advertising options, building a website is the one that will definitely help your business grow. Since almost everything is operated online these days, it is important to have a website that clearly presents your business and the services you offer.

What equipment and supplies do I need to get a funeral business off the ground?

The first thing you will need to start a funeral home is to rent or purchase office space if it's available. If not, make sure to check for possible spaces that are fit for starting your funeral business.

Equipment and supplies such as caskets, urns, clothing, and automobiles will also need to be bought so you can offer the needed services for clients that need them.

How do I grow my customer base once the funeral home is open?

One of the most important steps in growing your funeral home business is to offer quality services.

Offering quality service can make or break your funeral home business, so make sure to only hire the best personnel available. Once you have trained them well, they will be able to serve clients with utmost care and respect which is what all customers want in the end.

Keeping your customers happy will eventually result in them increasing word-of-mouth recommendations to family and friends, which can help grow your base of customers.

Having an online presence is another way to increase the customer base by using social media platforms to promote your business. You can also use websites like Yelp or Google Places to attract local customers.

Business Plan Template & Guide For Small Businesses

Breaking Down the Funeral Business Lifecycle

Apr 26, 2022 | Business Management , Business Tips

Breaking Down the Funeral Business Lifecycle

No matter how successful your funeral home, and no matter how much passion you pour into it, there will come a time where you must exit your role as its director and/or owner. Whether you sell the business or bequeath it to your child, it’s important to begin planning your exit strategy as soon as possible to ensure a smooth transition. 

Before even taking the reins of ownership, you should begin charting your business lifecycle, one that guides you from purchase through operation, growth, and the eventual sale. While no plan can account for absolutely everything, having a rough guideline will help you make strategic decisions along the way. Most importantly, it puts each of your actions in perspective.

When planning to purchase a funeral home, it’s tempting first to consider the region; however, just because a funeral home is nearby does not mean that it’s a good fit for you. Apart from the location, facilities, and equipment, you’ll want to consider where the funeral home currently stands. This includes its employees, market positioning, and current financials.   

Remember, buying a funeral home includes inheriting its current business structure, and while a fledgling business might be a savvy investment––depending on your experience level––it will also require more work to turn it around. Again, the key is to plan strategically.

Funeral Home Business Plan

In any industry, purchasing a business requires careful consideration of budgets, staffing, and growth initiatives. In addition to these concerns, the death care industry comes with the challenge of serving populations in times of emotional duress. Because of this, customer service should be at the forefront of your funeral home business plan .

Take the time to focus on every family touchpoint––from initial call to after care––and determine how you can optimize the client experience. Undoubtedly, this issue will bring staffing into question. You’ll want to take stock of existing employees, their roles, and their skillsets, ultimately determining where to make changes to better serve families.

Another vital component of your business plan will be your financial management. In tandem with plans for growth, you’ll need to develop a system to accurately track and report both profits and losses. The best option here is to hire an accountant with funeral-specific experience . A skilled death care bookkeeper can not only track your financial performance but also provide suggestions related to pricing and planning.

To succeed in your first year of owning a funeral home , you’ll want to start with human connections. First and foremost, this means reaching out to the families who have booked services with your funeral home. Consider sending them a handwritten letter in which you announce your new role as the director and your commitment to continuing to provide the exceptional service they’ve received in the past. 

You should take the time to understand how each team member performs. Consider hosting an introductory meeting where you introduce yourself and clearly articulate your values as a funeral director. Once you’ve learned a bit more about how this team performs, you can assess where additional training is needed. 

To sustain growth through your first year and beyond, here are some additional areas to focus on.

Conduct Surveys

Look to patrons to learn more about the funeral home. They can likely provide valuable insight related to pain points and how to improve them. 

For example, by sending a feedback survey to former families who have used your funeral home’s services, you can learn what parts of your funeral home excel and which stand to be improved. 

Since a large portion of your staff and facilities will likely be the same, many prior problems will still exist. By soliciting feedback, you can better determine where to focus your improvement efforts.

Expand Your Preneed Services

A surefire way to increase your bottom line is through the expansion of preneed services . Often, many families are not aware that they can book funeral arrangements in advance, so one facet of this expansion will be raising awareness as part of your after care program.

Start by educating your staff on how to sell these services and begin to set goals each month. This is a great way to add value to your funeral home.

Diversify Revenue Streams

With the rates of traditional burial on the decline and alternative arrangements growing in popularity, there has never been a better time to invest in multiple ways to honor the deceased. Building a cremation facility or contracting with a local crematorium is one way to keep up with these trends. 

Alternatively, if you don’t want to spend so much on capital improvements, you might consider offering keepsakes or alternative celebration services. These will allow you to supplement any fluctuations of revenue from traditional burials.

Create Strategic Partnerships

While relationships with employees and families are the most important when it comes to running a funeral home, building community partnerships can also be a boon to your business. 

Partnering with local florists and cemeteries can secure you favorable pricing for services, while informal partnerships with other organizations––hospice centers, police forces, and Lions Clubs––can help ingratiate your funeral home as part of the community and keep you top of mind when families are in need.

While it might sound counterintuitive, after your first year, you should start looking into the value of your funeral home and start planning for an exit strategy. Even if you plan to run it for several decades, it’s good to conduct a valuation every year , as it provides valuable insight related to your progress and growth. 

While you can perform an in-house valuation on your own, the most reliable measures involve hiring an independent professional familiar with the funeral space. By assessing your funeral home’s cash flow, risks, and potential growth, a professional valuation will give you the most realistic idea of your business’s worth and aid with tax concerns.

Knowing When to Sell

Regardless of what you anticipate in terms of timing your exit, there may come a time when selling your funeral home makes the most sense. For example, as we emerge from the pandemic, and in-person gatherings are once again feasible, many funeral homes have seen a spike in their value, making now an optimal time to sell.

Alternatively, if you receive a low valuation, you can take adequate measures to ensure you reach your goal numbers by the time you wish to sell your business. This is why it’s important to evaluate your funeral home with regularity. A valuation functions as a tangible metric of your funeral home’s progress.

When the time comes, and you’re ready to exit your funeral home, you’ll have two main options:

  • Handing over directorial duties while maintaining ownership
  • Selling your business and moving on to other ventures

While passing on your funeral home to a relative is certainly an option, it’s important to make sure you treat this as a formal sale, rather than a gift. As you’ve undoubtedly learned, running a funeral home is no easy task, and a child’s passion for the industry doesn’t necessarily translate into business acumen. There’s a reason that a vast majority of family businesses don’t make it past the second generation .

If Selling Your Funeral Home

When selling your funeral home, you’ll first want to consider the market conditions. This applies to not only the funeral industry but also tax concerns. For example, taxes on capital gains are currently low; however, if they were to rise, then selling your funeral home might become less profitable. 

You’ll also want to do some research on the multiples being paid for other funeral homes. A metric of a company’s financial wellbeing, multiples will give you greater insight into what price your business might sell for. 

Then you should consider the situation in terms of buyers. Despite the pandemic, there is currently a large pool of buyers for funeral homes, including large corporations, regional buyers, and private, independent buyers. In most cases, an entity will use financing to purchase your business, so interest rates will also impact your ability to sell your funeral home.

Finding a Buyer

While a dedicated funeral home broker will be an indispensable resource for finding qualified buyers, there are also some steps you can take to avoid wasting your time.

When screening buyers, you’ll want to look for:

  • Demonstrable interest in the funeral business. A reliable indicator of this is years of experience working in death care industry roles. If a buyer already has certifications related to death care and mortician practices, then they’re likely a qualified candidate. Ideally, candidates will have owned funeral homes, crematoriums, or cemeteries.
  • Access to funds. All the experience and passion won’t matter if a person can’t afford your business. Make sure your buyer is already pre-approved by a lender. If a person doesn’t plan to finance the purchase of your business, then you’ll want to verify bank statements. 

Additionally, it’s important to remember your role as the seller. In the same way, you’ll want buyers to come ready with financial and work information, you’ll also need to provide detailed records of your business’s value, revenue, and taxes. Otherwise, qualified buyers won’t be willing to risk a purchase.

Support at Every Step

Whether you’re looking to purchase your first funeral home, or you’re planning for an eventual sale, Johnson Consulting Group can help guide you through every stage of your funeral business’s lifecycle. Comprised of experienced and reliable death care professionals, the JCG team has a proven track record of helping funeral businesses both grow and maximize their values for sale.

To help you purchase a funeral business, they start by understanding your individual goals, both as a person and a funeral professional. With their holistic vision of success, they assist with identifying which funeral businesses offer the best opportunities for your needs and guide you through the whole process.

Whatever stage your funeral home is in, they can help you maximize its performance and achieve unprecedented levels of growth and family satisfaction.

While many view a business valuation merely as a prerequisite for sale, the experts at Johnson Consulting Group treat this process as a key component of tracking progress. Their valuation process keeps you informed of your funeral home’s worth, helping you more strategically plan long before selling.

When you’re ready to sell your funeral home, they can assist you every step of the way, connecting you with qualified buyers and executing a sale at the maximal selling price. They also assist with your exit strategy, helping you achieve your broader financial and personal goals. 

As experts in the death care industry, Johnson Consulting Group is an all-inclusive solution to any funeral home needs you face. Partnering with them means you have an extended team to help you grow and flourish. 

Search Johnson Consulting

  • Business Management
  • Business Opportunity
  • Business Tips
  • Case Studies
  • Customer Experience
  • Financial Management
  • JCG Articles
  • Opportunity
  • Presentations
  • Press Releases
  • Sell My Business
  • Succession Planning
  • Testimonials
  • Uncategorized

We earn commissions if you shop through the links below.  Read more

Funeral Home

Back to All Business Ideas

How to Start a Funeral Home

Written by: Carolyn Young

Carolyn Young is a business writer who focuses on entrepreneurial concepts and the business formation. She has over 25 years of experience in business roles, and has authored several entrepreneurship textbooks.

Edited by: David Lepeska

David has been writing and learning about business, finance and globalization for a quarter-century, starting with a small New York consulting firm in the 1990s.

Published on June 7, 2022 Updated on November 23, 2023

How to Start a Funeral Home

Investment range

$151,550 - $289,100

Revenue potential

$624,000 - $1.95 million p.a.

Time to build

1 – 12 months

Profit potential

$62,000 - $195,000 p.a.

Industry trend

Funerals offer people the chance to say goodbye to their loved ones, with their loved ones. Funeral homes, therefore, provide an essential and meaningful service to the community, and their largely recession-proof since demand is relatively constant. 

The US funeral services industry is worth $18 billion after years of steady growth. Starting a funeral home could be a very rewarding venture, as you’ll be providing a valuable service and making good money. 

If you’re considering such a venture, however, you’ll need to understand what you’re getting into from a business perspective. Fortunately, this step-by-step guide contains all the information you need to start a successful funeral home. 

Looking to register your business? A limited liability company (LLC) is the best legal structure for new businesses because it is fast and simple.

Form your business immediately using ZenBusiness LLC formation service or hire one of the Best LLC Services .

Step 1: Decide if the Business Is Right for You

Pros and cons.

Starting a funeral home has pros and cons to consider before deciding if it’s right for you.

  • Provide Solace – Help people mourn and find closure
  • Good Money – The average funeral costs $6,000 to $7,000
  • Stable Industry – Economic fluctuations have little impact on funeral homes
  • Investment Required – Costs to get started are high
  • Emotionally Draining – Deal with the grieving every day

Funeral home industry trends

Industry size and growth.

  • Industry size and past growth – The US funeral home industry is worth $18 billion in 2022 after expanding .6% annually the last five years.(( https://www.ibisworld.com/industry-statistics/market-size/funeral-homes-united-states/ ))
  • Growth forecast – The US funeral home industry is projected to decline 1.8% in 2022. 
  • Number of businesses – In 2022, 24,554 funeral home businesses are operating in the US.(( https://www.ibisworld.com/industry-statistics/number-of-businesses/funeral-homes-united-states/ )) 
  • Number of people employed – In 1022, the US funeral home industry employs 119,167 people.(( https://www.ibisworld.com/industry-statistics/employment/funeral-homes-united-states/ )) 

funeral home industry size and growth

Trends and challenges

Trends in the funeral home industry include:

  • More and more people are pre-planning their funeral arrangements so their families don’t have to be concerned about the costs.
  • Eco-friendly funeral products and services are trending, including bio-degradable caskets and space-saving burial techniques.

Challenges in the funeral home industry include:

  • E-commerce is allowing people to purchase caskets online for less, reducing casket sales for funeral homes.
  • The rising number of cremations is also reducing the merchandise sales for funeral homes. 

funeral home industry Trends and Challenges

Demand hotspots

  • Most popular states – The most popular states for funeral directors are Oregon, Arizona, and Pennsylvania.(( https://www.zippia.com/funeral-director-jobs/best-states/ ))
  • Least popular states – The least popular states for funeral directors are Montana, South Carolina, and South Dakota.

funeral home demand hotspots

What kind of people work in funeral homes?

  • Gender – 35.3% of funeral directors are female, while 64.7% are male. (( https://www.zippia.com/funeral-director-jobs/demographics/ ))
  • Average level of education – The average funeral director has an associate’s degree.
  • Average age – The average funeral director in the US is 50 years old.

funeral home industry demographics

How much does it cost to start a funeral home business?

Startup costs for a funeral home range from $150,000 to $300,000. Costs include a down payment on a building, preparation of the space, equipment, a hearse, and an inventory of caskets and urns.

You’ll need to meet the funeral service education requirements of your state to become a licensed funeral director. According to the American Board of Funeral Services Education , most states require post-secondary education, the passage of the National Board Examination, and serving an internship for one or two years. 

Check with your state board for specific requirements. Educational resources and information are also available through the National Funeral Directors Association . 

You’ll need a handful of items to successfully launch your funeral home business, including: 

  • Embalming tables
  • Embalming machine
  • Mortuary stretchers
  • Body coolers
  • Artery tubes
  • Cavity injectors
  • Drainage tubes
  • Hydro aspirators
  • Needle injectors
  • Inventory of caskets
  • Inventory of urns

How much can you earn from a funeral home business?

The average cost of a funeral is $6,500. The profit margin of a funeral home after all costs is about 10%. 

In your first year or two, you could hold eight funerals per month, bringing in $624,000 in annual revenue. This would mean $62,000 in profit, assuming that 10% margin. As your funeral brand gains recognition, you might hold 25 funerals per month. With annual revenue of $1,950,000, you’d make a healthy profit of $195,000.

funeral home earnings forecast

What barriers to entry are there?

There are a few barriers to entry for a funeral home. Your biggest challenges will be:

  • The high startup costs of the building, equipment, and inventory
  • Meeting state licensing requirements to be a licensed funeral director

Related Business Ideas

How to Start a Funeral Home

How to Start a Crematorium

How to Start a Funeral Home

How to Start a Cemetery Business

How to Start a Funeral Home

How to Start an Event Venue Business

Step 2: hone your idea.

Now that you know what’s involved in starting a funeral home, it’s a good idea to hone your concept in preparation to enter a competitive market.

Market research will give you the upper hand, even if you’re already positive that you have a perfect product or service. Conducting market research is important, because it can help you understand your customers better, who your competitors are, and your business landscape. 

Why? Identify an opportunity

Research funeral homes in your area to examine their products and services, price points, and customer reviews. You’re looking for a market gap to fill. For instance, maybe the local market is missing a funeral parlour that sells biodegradable caskets, or a funeral establishment that offers cremation services.

funeral services business plan

You might consider targeting a niche market by specializing in a certain aspect of your industry, such as celebration of life services or eco-friendly funeral services.

This could jumpstart your word-of-mouth marketing and attract clients right away. 

What? Determine your products or services

In addition to funeral services, you can sell caskets and urns. You can also offer cremation services, but that would add significantly to your startup costs. 

How much should you charge for funeral services?

The average cost of a funeral is $6,500. After all costs of the merchandise, labor, and overhead, your profit margin should be about 10%. 

Once you know your costs, you can use this Step By Step profit margin calculator to determine your mark-up and final price points. Remember, the prices you use at launch should be subject to change if warranted by the market.

Who? Identify your target market

Your target market could be anyone, so you should spread out your marketing to include sites like TikTok, Instagram, Facebook, and even LinkedIn.

Where? Choose your funeral home location

Choosing the right location for your funeral home is crucial for ensuring its success. Look for a spot in a convenient and accessible location, such as a busy street or a residential area. Consider the size of the property and the facilities, ensuring that they can accommodate the needs of clients and staff.

Additionally, assess the local regulations and zoning laws to ensure compliance and obtain any necessary permits. Depending on the type of funeral services you plan to offer, you may also want to consider the proximity to cemeteries, crematoriums, and other related services.

By strategically choosing the right location, you can establish a reputable and successful funeral home that provides compassionate and personalized services to families.

It’s possible that you could find a location to rent for your funeral home instead of purchasing a building. You can find commercial space to rent in your area on sites such as Craigslist , Crexi , and Instant Offices .

funeral home idea rating

Step 3: Brainstorm a Funeral Home Name

Your business name is your business identity, so choose one that encapsulates your objectives, services, and mission in just a few words. You probably want a name that’s short and easy to remember, since much of your business, and your initial business in particular, will come from word-of-mouth referrals.

Here are some ideas for brainstorming your business name:

  • Short, unique, and catchy names tend to stand out
  • Names that are easy to say and spell tend to do better 
  • Name should be relevant to your product or service offerings
  • Ask around — family, friends, colleagues, social media — for suggestions
  • Including keywords, such as “funeral home” or “funeral parlour”, boosts SEO
  • Name should allow for expansion, for ex: “Eternal Rest Funeral Home” over “Veteran’s Funeral Home”
  • Avoid location-based names that might hinder future expansion
  • Use online tools like the Step by Step Business Name Generator . Just type in a few keywords and hit “generate” and you’ll have dozens of suggestions at your fingertips.

Once you’ve got a list of potential names, visit the website of the US Patent and Trademark Office to make sure they are available for registration and check the availability of related domain names using our Domain Name Search tool. Using “.com” or “.org” sharply increases credibility, so it’s best to focus on these. 

Find a Domain

Powered by GoDaddy.com

Finally, make your choice among the names that pass this screening and go ahead with domain registration and social media account creation. Your business name is one of the key differentiators that sets your business apart. Once you pick your company name, and start with the branding, it is hard to change the business name. Therefore, it’s important to carefully consider your choice before you start a business entity.

Step 4: Create a Funeral Home Business Plan

Every business needs a plan. This will function as a guidebook to take your startup through the launch process and maintain focus on your key goals. A business plan also enables potential partners and investors to better understand your company and its vision:

  • Executive Summary: A brief overview outlining the funeral home’s mission, goals, and key highlights, serving as a snapshot for potential investors or partners.
  • Business Overview: A comprehensive description of the funeral home, its mission, values, and the specific funeral services offered, highlighting its unique selling points.
  • Product and Services: Detailed information about the range of funeral services provided, including burial and cremation options, funeral planning, and any additional offerings like grief counseling.
  • Market Analysis: Examination of the funeral industry market, identifying target demographics, trends, and potential challenges to ensure a solid understanding of the business’s environment.
  • Competitive Analysis: Evaluation of other funeral homes in the area, assessing their strengths and weaknesses, to determine the funeral home’s competitive edge and strategic positioning.
  • Sales and Marketing: Strategies for attracting and retaining clients, encompassing advertising, online presence, community engagement, and other methods to promote the funeral home’s services.
  • Management Team: Profiles of key personnel, highlighting their expertise and roles in the funeral home’s operation, instilling confidence in investors and stakeholders.
  • Operations Plan: Detailed information on the day-to-day operations of the funeral home, covering staffing, facilities, equipment, and logistics to ensure smooth service delivery.
  • Financial Plan: A comprehensive financial overview, including startup costs, revenue projections, and profit margins, providing a clear picture of the funeral home’s financial viability.
  • Appendix: Supplementary materials such as licenses, permits, resumes of key personnel, and additional documentation supporting and enhancing the information presented in the business plan.

what to include in a business plan

If you’ve never created a business plan, it can be an intimidating task. You might consider hiring a business plan specialist to create a top-notch business plan for you.

Step 5: Register Your Business

Registering your business is an absolutely crucial step — it’s the prerequisite to paying taxes, raising capital, opening a bank account, and other guideposts on the road to getting a business up and running.

Plus, registration is exciting because it makes the entire process official. Once it’s complete, you’ll have your own business! 

Choose where to register your company

Your business location is important because it can affect taxes, legal requirements, and revenue. Most people will register their business in the state where they live, but if you’re planning to expand, you might consider looking elsewhere, as some states could offer real advantages when it comes to funeral homes. 

If you’re willing to move, you could really maximize your business! Keep in mind, it’s relatively easy to transfer your business to another state. 

Choose your business structure

Business entities come in several varieties, each with its pros and cons. The legal structure you choose for your funeral home will shape your taxes, personal liability, and business registration requirements, so choose wisely. 

Here are the main options:

  • Sole Proprietorship – The most common structure for small businesses makes no legal distinction between company and owner. All income goes to the owner, who’s also liable for any debts, losses, or liabilities incurred by the business. The owner pays taxes on business income on his or her personal tax return.
  • General Partnership – Similar to a sole proprietorship, but for two or more people. Again, owners keep the profits and are liable for losses. The partners pay taxes on their share of business income on their personal tax returns.
  • Limited Liability Company (LLC) – Combines the characteristics of corporations with those of sole proprietorships or partnerships. Again, the owners are not personally liable for debts.
  • C Corp – Under this structure, the business is a distinct legal entity and the owner or owners are not personally liable for its debts. Owners take profits through shareholder dividends, rather than directly. The corporation pays taxes, and owners pay taxes on their dividends, which is sometimes referred to as double taxation.
  • S Corp – An S-Corporation refers to the tax classification of the business but is not a business entity. An S-Corp can be either a corporation or an LLC , which just need to elect to be an S-Corp for tax status. In an S-Corp, income is passed through directly to shareholders, who pay taxes on their share of business income on their personal tax returns.

types of business structures

We recommend that new business owners choose LLC as it offers liability protection and pass-through taxation while being simpler to form than a corporation. You can form an LLC in as little as five minutes using an online LLC formation service. They will check that your business name is available before filing, submit your articles of organization , and answer any questions you might have.

Form Your LLC

Choose Your State

We recommend ZenBusiness as the Best LLC Service for 2023

funeral services business plan

Step 6: Register for Taxes

The final step before you’re able to pay taxes is getting an Employer Identification Number , or EIN. You can file for your EIN online or by mail or fax: visit the IRS website to learn more. Keep in mind, if you’ve chosen to be a sole proprietorship you can simply use your social security number as your EIN. 

Once you have your EIN, you’ll need to choose your tax year. Financially speaking, your business will operate in a calendar year (January–December) or a fiscal year, a 12-month period that can start in any month. This will determine your tax cycle, while your business structure will determine which taxes you’ll pay.

funeral services business plan

The IRS website also offers a tax-payers checklist , and taxes can be filed online.

It is important to consult an accountant or other professional to help you with your taxes to ensure you’re completing them correctly.

Step 7: Fund your Business

Securing financing is your next step and there are plenty of ways to raise capital:

  • Bank loans: This is the most common method but getting approved requires a rock-solid business plan and strong credit history.
  • SBA-guaranteed loans: The Small Business Administration can act as guarantor, helping gain that elusive bank approval via an SBA-guaranteed loan .
  • Government grants: A handful of financial assistance programs help fund entrepreneurs. Visit Grants.gov to learn which might work for you.
  • Friends and Family: Reach out to friends and family to provide a business loan or investment in your concept. It’s a good idea to have legal advice when doing so because SEC regulations apply.
  • Crowdfunding: Websites like Kickstarter and Indiegogo offer an increasingly popular low-risk option, in which donors fund your vision. Entrepreneurial crowdfunding sites like Fundable and WeFunder enable multiple investors to fund your business.
  • Personal: Self-fund your business via your savings or the sale of property or other assets.

Bank and SBA loans are probably the best option, other than friends and family, for funding a funeral home business. 

types of business financing

Step 8: Apply for Funeral Home Business Licenses and Permits

Starting a funeral home business requires obtaining a number of licenses and permits from local, state, and federal governments.

You’ll need a funeral director’s license from your state. Federal regulations, licenses, and permits associated with starting your business include doing business as (DBA), health licenses and permits from the Occupational Safety and Health Administration ( OSHA ), trademarks, copyrights, patents, and other intellectual properties, as well as industry-specific licenses and permits. 

You may also need state-level and local county or city-based licenses and permits. The license requirements and how to obtain them vary, so check the websites of your state, city, and county governments or contact the appropriate person to learn more. 

You could also check this SBA guide for your state’s requirements, but we recommend using MyCorporation’s Business License Compliance Package . They will research the exact forms you need for your business and state and provide them to ensure you’re fully compliant.

This is not a step to be taken lightly, as failing to comply with legal requirements can result in hefty penalties.

If you feel overwhelmed by this step or don’t know how to begin, it might be a good idea to hire a professional to help you check all the legal boxes.

Step 9: Open a Business Bank Account

Before you start making money, you’ll need a place to keep it, and that requires opening a bank account .

Keeping your business finances separate from your personal account makes it easy to file taxes and track your company’s income, so it’s worth doing even if you’re running your funeral home business as a sole proprietorship. Opening a business bank account is quite simple, and similar to opening a personal one. Most major banks offer accounts tailored for businesses — just inquire at your preferred bank to learn about their rates and features.

Banks vary in terms of offerings, so it’s a good idea to examine your options and select the best plan for you. Once you choose your bank, bring in your EIN (or Social Security Number if you decide on a sole proprietorship), articles of incorporation, and other legal documents and open your new account. 

Step 10: Get Business Insurance

Business insurance is an area that often gets overlooked yet it can be vital to your success as an entrepreneur. Insurance protects you from unexpected events that can have a devastating impact on your business.

Here are some types of insurance to consider:

  • General liability: The most comprehensive type of insurance, acting as a catch-all for many business elements that require coverage. If you get just one kind of insurance, this is it. It even protects against bodily injury and property damage.
  • Business Property: Provides coverage for your equipment and supplies.
  • Equipment Breakdown Insurance: Covers the cost of replacing or repairing equipment that has broken due to mechanical issues.
  • Worker’s compensation: Provides compensation to employees injured on the job.
  • Property: Covers your physical space, whether it is a cart, storefront, or office.
  • Commercial auto: Protection for your company-owned vehicle.
  • Professional liability: Protects against claims from a client who says they suffered a loss due to an error or omission in your work.
  • Business owner’s policy (BOP): This is an insurance plan that acts as an all-in-one insurance policy, a combination of the above insurance types.

types of business insurance

Step 11: Prepare to Launch

As opening day nears, prepare for launch by reviewing and improving some key elements of your business. 

Essential software and tools

Being an entrepreneur often means wearing many hats, from marketing to sales to accounting, which can be overwhelming. Fortunately, many websites and digital tools are available to help simplify many business tasks. 

You may want to use industry-specific software, such as passare , Osiris , or FrontRunner , to manage your processes, project coordination, inventory, invoices, and payments.

  • Popular web-based accounting programs for smaller businesses include Quickbooks , Freshbooks , and Xero . 
  • If you’re unfamiliar with basic accounting, you may want to hire a professional, especially as you begin. The consequences for filing incorrect tax documents can be harsh, so accuracy is crucial.

Develop your website

Website development is crucial because your site is your online presence and needs to convince prospective clients of your expertise and professionalism.

You can create your own website using website builders . This route is very affordable, but figuring out how to build a website can be time-consuming. If you lack tech-savvy, you can hire a web designer or developer to create a custom website for your business.

They are unlikely to find your website, however, unless you follow Search Engine Optimization ( SEO ) practices. These are steps that help pages rank higher in the results of top search engines like Google. 

For your funeral home business, the marketing strategy should focus on showcasing your compassionate services, your commitment to honoring the lives of the departed, and the support you provide to grieving families. Emphasize your expertise in funeral planning, the range of services you offer, and your dedication to helping families through difficult times with dignity and respect.

Kickstart Marketing

  • Professional Branding : Your branding should convey empathy, professionalism, and respectfulness. This includes your logo, business cards, brochures, and the appearance of your funeral home.
  • Community Outreach : Establish strong relationships with local hospitals, hospices, and religious organizations. Participating in community events can also help in building a compassionate and caring image.

Digital Presence and Online Marketing

  • Professional Website and SEO : Develop a website that offers clear information about your services, pricing, and support resources. Use SEO best practices to rank for local searches related to funeral services, cremation services, and memorial planning.
  • Social Media Engagement : Utilize platforms like Facebook to provide helpful resources, share obituaries (with family permission), and post about community involvement. The tone should be respectful and supportive.

Content Marketing and Engagement

  • Informative Blog : Share articles that help people understand funeral planning, grief support, and remembrance options. Offering valuable content can establish your funeral home as a helpful resource in times of need.
  • Email Newsletters : Maintain communication with your community through newsletters that offer grief support resources, information on pre-planning services, and updates on your facilities or services.

Experiential and In-Person Engagements

  • Open House Events : Offer open house events for the public to tour your facilities, meet your staff, and ask questions in a non-stressful environment.
  • Grief Support Workshops : Host or sponsor workshops and support groups for those dealing with loss, reinforcing your commitment to the community.

Collaborations and Community

  • Partnerships with Local Businesses : Collaborate with local florists, caterers, and religious centers to provide comprehensive services to families.
  • Community Involvement : Engage in community support activities, sponsor local events, or offer educational workshops on end-of-life planning.

Customer Relationship and Loyalty Programs

  • Aftercare Services : Offer follow-up services such as grief counseling referrals or assistance with thank-you cards, showing a continued commitment to families even after the funeral service.
  • Pre-Planning Consultations : Provide consultations for pre-planning funeral arrangements, helping people make informed decisions for themselves or their loved ones.

Promotions and Advertising

  • Targeted Local Advertising : Use local newspapers, church bulletins, and senior living publications to reach potential clients.
  • Community Seminars : Offer free seminars on topics like estate planning, will writing, and funeral pre-planning to provide value to the community and introduce your services.

Focus on USPs

Unique selling propositions, or USPs, are the characteristics of a product or service that sets it apart from the competition. Customers today are inundated with buying options, so you’ll have a real advantage if they are able to quickly grasp how your funeral home meets their needs or wishes. It’s wise to do all you can to ensure your USPs stand out on your website and in your marketing and promotional materials, stimulating buyer desire. 

Global pizza chain Domino’s is renowned for its USP: “Hot pizza in 30 minutes or less, guaranteed.” Signature USPs for your funeral home business could be: 

  • Professional, caring services to celebrate your lost loved one
  • Funeral services for less to ease your burden
  • Save your family time and money with funeral pre-planning

unique selling proposition

You may not like to network or use personal connections for business gain. But your personal and professional networks likely offer considerable untapped business potential. Maybe that Facebook friend you met in college is now running a funeral home business, or a LinkedIn contact of yours is connected to dozens of potential clients. Maybe your cousin or neighbor has been working in funeral homes for years and can offer invaluable insight and industry connections. 

The possibilities are endless, so it’s a good idea to review your personal and professional networks and reach out to those with possible links to or interest in funeral homes. You’ll probably generate new customers or find companies with which you could establish a partnership. 

Step 12: Build Your Team

Potential positions for a funeral home business include:

  • Embalmers – embalm bodies prior to the funeral and burial
  • Assistants – assist with arranging funerals
  • General Manager – scheduling, ordering, accounting
  • Marketing Lead – SEO strategies, social media

At some point, you may need to hire all of these positions or simply a few, depending on the size and needs of your business. You might also hire multiple workers for a single role or a single worker for multiple roles, again depending on need. 

Free-of-charge methods to recruit employees include posting ads on popular platforms such as LinkedIn, Facebook, or Jobs.com. You might also consider a premium recruitment option, such as advertising on Indeed , Glassdoor , or ZipRecruiter . Further, if you have the resources, you could consider hiring a recruitment agency to help you find talent. 

Step 13: Run a Funeral Home – Start Making Money!

Funeral homes represent an $18 billion industry that fills an essential role in the mourning process. By starting your own funeral home, you’d have the opportunity to ease difficult times in people’s lives, provide a valuable service, and make a good living at the same time.

Now that you know what’s involved, it’s time to get to work and launch your successful funeral home. 

  • Funeral Home Business FAQs

Funeral homes can be very profitable. More importantly, though, funeral homes provide an essential service and comfort for people during difficult times.

Service Corporation International (SCI) is currently the largest funeral home business in the United States, with over 1,800 locations across North America.

A successful funeral home should offer compassionate and personalized services to families during their time of need. This includes providing a range of funeral service options, such as traditional funeral services, cremation services, and memorial services. 

The type of food served at a funeral may vary depending on cultural and religious customs, personal preferences, and budget. Common options include finger foods, sandwiches, fruit trays, and desserts. 

The most common type of funeral in the United States is a traditional funeral service, which typically includes a visitation or wake, a funeral ceremony, and a graveside service. This type of funeral is often associated with religious or cultural traditions and may include elements such as prayers, hymns, and eulogies. 

Leave a Reply Cancel reply

Your email address will not be published. Required fields are marked *

Save my name, email, and website in this browser for the next time I comment.

  • Decide if the Business Is Right for You
  • Hone Your Idea
  • Brainstorm a Funeral Home Name
  • Create a Funeral Home Business Plan
  • Register Your Business
  • Register for Taxes
  • Fund your Business
  • Apply for Funeral Home Business Licenses and Permits
  • Open a Business Bank Account
  • Get Business Insurance
  • Prepare to Launch
  • Build Your Team
  • Run a Funeral Home - Start Making Money!

Subscribe to Our Newsletter

Featured resources.

57 Best Service Business Ideas

57 Best Service Business Ideas

David Lepeska

Published on December 1, 2022

The services sector is undoubtedly the biggest economic sector in the US as it accounts for nearly 70% of the country’s gross domestic product. It ...

12 Retirement Business Ideas

12 Retirement Business Ideas

Carolyn Young

Published on July 21, 2022

If you’re like many retirees these days, you’re not quite ready to slow down. You want to be productive and of real use. If you’re considering ...

40 Family Business Ideas

40 Family Business Ideas

Natalie Fell

Published on June 30, 2022

What kind of business is better than a family-run business? Those are often the best kind, because they’re built on love and trust and help buildc ...

No thanks, I don't want to stay up to date on industry trends and news.

ProfitableVenture

Funeral Home Business Plan [Sample Template]

By: Author Tony Martins Ajaero

Home » Business ideas » Service Industry » Funeral Home

Funeral Home Business

Are you about starting a funeral arrangement company ? If YES, here is a complete sample funeral home business plan template & feasibility report you can use for FREE .

Death is one inevitable part in the equation of human existence, so the need to prepare for it cannot be overlooked. Some people go as far as buying insurance to take care of their own funeral when they die; whilst others state clearly in their ‘will’ the type of funeral they would prefer.

This goes to show that the funeral home business will always thrive as long as human exist. The basic things needed to be able to operate a funeral home could range from getting a license to even getting a certification. Some countries consider these as the basics, while in some other countries you could get a waiver for it.

In starting a funeral home, you will be expected to have a standard Casket Carts, Casket Lowering Devices and Accessories, Preparation Room, Embalming Chemicals, Cremation Supplies, Mausoleum, Urn Vaults, Vases, Burial Garments, Waste Containers, Lawn Boards, Straps and Slings and Chairs & Accessories.

If you are in doubt if this kind of business is worth investing in, just try and do a research on existing funeral homes in your area and you will be shocked to know the amount of money they make monthly.

It is important to know that this kind of business is not for everyone, it is for those who naturally can comfort and care for bereaved people whether money is involved or not. If you don’t have this basic quality, you might not succeed in this business.

A Sample Funeral Home Business Plan Template

1. industry overview.

A funeral home which can also be referred to as a funeral parlor or mortuary is a business that basically provides interment and funeral services for the dead and their families; these services may include a prepared wake and funeral, and the provision of a chapel for the funeral.

The funeral home industry includes companies that conduct funerals and prepare the deceased for burial or interment. Funeral homes are also involved in the transportation of the dead and the sale of caskets and other related funeral merchandise.

The Funeral Home industry comprises of funeral homes combined with crematories; on the other hand, businesses whose core business activities is to conduct cremation are not included in the Funeral Home industry; they are classified under the Cemetery Services industry

In the united states of America, most modern day funeral homes are run as family businesses. As a matter of fact a large percentage of trained morticians and undertakers et al work in small, independent family run funeral homes. The owners of these families run funeral homes usually hires two or three other morticians / undertakers as either full – time employees or part – time employees.

It is the practice for funeral homes to have one or more viewing rooms, a preparation room for embalming, a chapel, and of course a casket selection room. So also, funeral homes generally sell coffins and urns, they have a hearse for transportation of bodies, a flower car, and limousines et al.

The Funeral Home Services industry is indeed a very large industry and pretty much thriving in all parts of the world especially in developed countries such as United States of America, Canada, United Kingdom, Germany, France, Australia and Italy et al.

Statistics has it that in the United States of America alone, there are about 24,838 licensed and registered funeral homes responsible for employing about 121,936 employees and the industry rakes in a whooping sum of $16bn annually with an annual growth rate projected at 1.3 percent.

It is important to state that in the falling per capita income during the recession period and of course a rising number of low-priced cremations have hampered the revenue generated in the industry.

So also families that are not financially buoyant opt for discount retailers and manufacturers to purchase caskets, which negatively impact revenue generation for funeral home operators. However, the industry’s revenue is projected to grow slightly in the next five years.

No doubt, as the population ages, it is obvious that the number of deaths in the United States and all over the world is anticipated to increase and this will in turn create market for the funeral home industry. Nonetheless, continued competition from discount retailers and the ease of online ordering from casket manufacturers, as well as a rise in low-priced cremations, are expected to curtail prices for funeral home operators.

If you are contemplating starting your own funeral home business in the United States, you should ensure that you carry out a thorough market survey and feasibility studies. If you get some key factors wrong before starting your own funeral home services, then you are likely going to struggle to stay afloat.

2. Executive Summary

Clarion Call – Funeral Homes is a registered and licensed funeral home business that will be located in the heart of Cape May – New Jersey in a neatly renovated and secured housing facility; a facility that is specifically designed and equipped with the needed facility for a world – class funeral home services

Clarion Call – Funeral Homes is a family owned and managed business that believe in the passionate pursuit of excellence and financial success with uncompromising services and integrity which is why we have decided to venture into the funeral home services industry by establishing our own funeral home business.

We are certain that our values will help us drive the business to enviable heights and also help us attract the numbers of clients that will make our business breakeven within the shortest time frame possible. At Clarion Call – Funeral Homes we will arrange services in accordance with the wishes of surviving friends and family members of the deceased, whether immediate next of kin or an executor so named in a legal will.

We will take care of the necessary paperwork, permits, and other details, such as making arrangements with the cemetery, and providing obituaries to the news media. We will go as far as posting obituaries online and use materials submitted by families to create memorial websites

Our facility include; Wake room: for services and visitations; Preparation room: for embalming and restoration, Merchandise display: caskets and other merchandise that customers may purchase, Privacy room: for the family, Office: for mortician’s personal and administrative use, and Livery: a garage to keep funeral coaches and other vehicles.

We have the required staff strength and we will run a 24 hours a day and seven days a week services. We are going to be a customer-centric funeral home business with a service culture that will be deeply rooted in the fabric of our organizational structure and indeed at all levels of the organization.

With that, we know that we will be enables to consistently achieve our set business goals, increase our profitability and reinforce our positive long-term relationships with our clientele, partners (vendors), and all our employees as well.

Clarion Call – Funeral Homes is a family business that is owned and managed by Arthur Stamford and his family. Mr. Arthur has a College degree in Mortuary Science and a Master’s Degree in Business Administration. He has well over 15 years of experience working in the Funeral Homes Services industry both at state and national level.

3. Our Products and Services

Clarion Call – Funeral Homes is set to operate a standard funeral homes service in Cape May, New Jersey. The fact that we want to become a force to reckon with in the funeral home services industry means that we will go all the way out to give our clients a lasting and pleasant memory of their bereaved family members and friend.

We will render services that that will make them want to come back as well as recommend our funeral home services to their friends, family members and business partners. These are the services and amenities that will be made available to our clients;

  • Providing funeral director services
  • Providing embalming services
  • Operating funeral homes combined with crematories
  • Providing mortician services
  • Providing visitation or viewing services
  • Providing funeral services
  • Providing graveside committal services
  • Direct cremation services
  • Selling funeral merchandise (e.g. caskets, flowers and obituary notices)
  • Transporting the deceased

4. Our Mission and Vision Statement

  • Our vision is to establish a funeral home brand that will become the number one choice for residence in the whole of Cape May – New Jersey and other cities in the United States.
  • Our vision reflects our values: integrity, service, safety, excellence and teamwork.
  • Our mission is to deliver reliable, genuinely, caring and excellent service superior to what our competition can offer in any location where our funeral home services will be situated and to ensure that we work hard to grow out funeral home services to be listed amongst the top 10 funeral homes in the United States of America.

Our Business Structure

It is very vital to build a structure to build on from the very outset. This is why we believe that the success of any business is to a larger extent dependent on the business structure of the organization and the people who occupy the available role.

Although Clarion Call – Funeral Homes is a family run business will still work with a business structure that will give room to the minimal employees (mostly part – time employees) to explore their creativity, feel belong and full integrate into the business philosophy.

We are aware that when recruiting for a funeral home, your aim should be to look for people who can handle grieving and bereaved people not just people looking for a job in other to be able to pay their bills and that is exactly what we will look out for.

We will only recruit people with good customers’ service skills, people with compassion, people who can empathize, who love this line of business and people who don’t have any problem handling dead bodies. We will not make the mistake of recruiting people with the wrong skill sets; because we know they can ruin our business before it even get started.

This is why we will make sure we recruit smartly and wisely; people with the right mindset to help us achieve our business goals and objectives in record time. We intend building Clarion Call – Funeral Homes on this structure;

  • Chief Executive Officer
  • Funeral Home Director
  • Human Resources and Administrative Manager
  • Accountants / Cashiers
  • Mortician and Undertaker
  • Marketing Officer (Contract Worker)
  • Cleaners / Washer men (Full – Time Employee)
  • Security Officer

5. Job Roles and Responsibilities

Chief Executive Officer – CEO:

  • Increases management’s effectiveness by recruiting, selecting, orienting, training, coaching, counseling, and disciplining managers; communicating values, strategies, and objectives; assigning accountabilities; planning, monitoring, and appraising job results; developing incentives; developing a climate for offering information and opinions; providing educational opportunities.
  • Creating, communicating, and implementing the organization’s vision, mission, and overall direction – i.e. leading the development and implementation of the overall organization’s strategy.
  • Responsible for fixing prices and signing business deals
  • Responsible for providing direction for the business
  • Creates, communicates, and implements the organization’s vision, mission, and overall direction – i.e. leading the development and implementation of the overall organization’s strategy.
  • Responsible for signing checks and documents on behalf of the company
  • Responsible for overseeing the smooth running of the magazine production and distribution process
  • Evaluates the success of the organization

Funeral Home Director:

  • Obtains information needed to complete legal documents, such as death certificates or burial permits.
  • Oversees the preparation and care of the remains of people who have died.
  • Consult with families or friends of the deceased to arrange funeral details, such as obituary notice wording, casket selection, or plans for services.
  • Plans, schedules, or coordinates funerals, burials, or cremations, arranging details such as floral delivery or the time and place of services.
  • Arranges for clergy members to perform needed services.
  • Contacts cemeteries to schedule the opening and closing of graves.
  • Provides information on funeral service options, products, or merchandise and maintain a casket display area.
  • Informs survivors of benefits for which they may be eligible.
  • Offers counsel and comfort to bereaved families or friends.
  • Discusses and negotiates prearranged funerals with clients.
  • Maintains financial records, order merchandise, or prepare accounts.
  • Provides or arranges transportation between sites for the remains, mourners, pallbearers, clergy, or flowers.
  • Plans placement of caskets at funeral sites or place or adjust lights, fixtures, or floral displays.
  • Directs preparations and shipment of bodies for out-of-state burial.
  • Manages funeral home operations, including the hiring, training, or supervision of embalmers, funeral attendants, or other staff.
  • Arranges for pallbearers or inform pallbearers or honorary groups of their duties.
  • Receives or ushers people to their seats for services.
  • Participates in community activities for funeral home promotion or other purposes.
  • Provides emotional support to the bereaved
  • Arranges for removal of the deceased’s body
  • Files death certificate and other legal documents
  • Trains junior staffs

Morticians, undertakers

  • Performs various tasks to arrange and direct funeral services, such as coordinating transportation of body to mortuary
  • Handles the preparation and care of the remains of people who have died.
  • Handles the removal of the deceased’s body
  • Performs embalming duties as necessary
  • Closes caskets and lead funeral corteges to churches or burial sites.
  • Prepares the remains (body)
  • Interviews family or other authorized person to arrange details, selecting pallbearers, aiding with the selection of officials for religious rites, and providing transportation for mourners.

Human Resources and Admin Manager

  • Responsible for overseeing the smooth running of HR and administrative tasks for the organization
  • Updates job knowledge by participating in educational opportunities; reading professional publications; maintaining personal networks; participating in professional organizations.
  • Enhances department and organization reputation by accepting ownership for accomplishing new and different requests; exploring opportunities to add value to job accomplishments.
  • Defines job positions for recruitment and managing interviewing process
  • Carries out staff induction for new team members
  • Responsible for training, evaluation and assessment of employees
  • Oversees the smooth running of the daily office and shop activities.

Marketing and Sales Officer

  • Identifies, prioritizes, and reaches out to new partners, and business opportunities et al
  • Identifies development opportunities; follows up on development leads and contacts; participates in the structuring and financing of projects; assures the completion of development projects.
  • Writing winning proposal documents, negotiate fees and rates in line with company policy
  • Responsible for handling business research, market surveys and feasibility studies for the business
  • Responsible for supervising implementation, advocate for the customer’s needs, and communicate with clients
  • Develops, executes and evaluates new plans for expanding increase sales
  • Documents all customer contact and information
  • Represents the company in strategic meetings
  • Helps to increase sales and growth for the company

Accountant / Cashier:

  • Responsible for preparing financial reports, budgets, and financial statements for the organization
  • Provides managements with financial analyses, development budgets, and accounting reports; analyzes financial feasibility for the most complex proposed projects; conducts market research to forecast trends and business conditions.
  • Responsible for financial forecasting and risks analysis.
  • Performs cash management, general ledger accounting, and financial reporting
  • Responsible for developing and managing financial systems and policies
  • Responsible for administering payrolls
  • Ensuring compliance with taxation legislation
  • Handles all financial transactions for the organization
  • Serves as internal auditor for the organization

Cleaners / Washer man:

  • Cleans funeral home facilities and grounds.
  • Handles and move objects, such as glasses, dish and bottles, using hands and arms.
  • Maintains a clean working area by sweeping, vacuuming, dusting, cleaning of glass doors and windows, etc. if required.
  • Ensures that toiletries and supplies don’t run out of stock
  • Responsible for handling laundry
  • Handles any other duty as assigned by the restaurant manager,

Security Officer:

  • Ensures that the facility is secured at all time
  • Controls traffic and organize parking
  • Gives security tips to staff members from time to time
  • Patrols around the building on a 24 hours basis
  • Submits security reports weekly
  • Any other duty as assigned by the funeral home director.

6. SWOT Analysis

Clarion Call – Funeral Homes is fully aware that they are coming into an industry that can be highly competitive which is why they have decided to pay attention to the SWOT analysis for the organization.

We know that once we are able to identify our strength, our weakness, our threats and the opportunity that is available to us, we will be able to come up with good business strategies that will help us achieve all our business goals and objectives.

We know that if we get things right before starting our funeral home business, we will not have to struggle before attract loyal clients and building our membership base to a level where we can easily breakeven in record time.

We hired the services of Dr. Garry Larson, an HR and Business consultant with bias in business structuring to help us conduct SWOT analysis for our company and he did a pretty good job for us. Here is a of the result we got from the SWOT analysis that was conducted on behalf of Clarion Call – Funeral Homes Cape May, New Jersey;

Our area of strength cannot be farfetched; the location of our funeral home services is perfect for such business, our management team has robust experience in the funeral home services industry, our customer’s services is second to none in the whole of Cape May – NJ and our facility is top notch.

We critically looked into our Business model and we were able to identify two major weakness. One is the fact that we are a new business and the second is the fact that we may not have the financial resources required to match up with existing and leading funeral homes in Cape – May, New Jersey and also generating the needed hypes that can drive traffic towards our facility.

  • Opportunities:

One thing is certain; our funeral home facility is well – located in busy hence there are loads of business opportunities for us. Besides we are the only funeral home services within a 45 miles radius where ours is located.

Some of the threats that we are likely going to face as a funeral home business operating in the United States are unfavorable government policies – the government, the arrival of a competitor within our location of operations and global economic downturn which usually affects purchasing / spending power.

There is hardly anything we can do as regards these threats other than to be optimistic that things will continue to work for our good.

7. MARKET ANALYSIS

  • Market Trends

All over the globe people die every now and then and that is one of the reasons why the funeral business will continue to soar higher. It is trendy to find funeral homes in the United States of America and in most parts of the world operate a standard and full option services.

They usually have Wake room: for services and visitations; Preparation room: for embalming and restoration, Merchandise display: caskets and other merchandise that customers may purchase, Privacy room: for the family, Office: for mortician’s personal and administrative use, and Livery: a garage to keep funeral coaches and other vehicles.

We have the required staff strength and we will run a 24 hours a day and seven days a week services. Another trend in the funeral home services industry is that falling per capita income during the recession period and of course a rising number of low-priced cremations are seriously hampering the revenue generated in the industry.

So also, families that are not financially buoyant opt for discount retailers and manufacturers to purchase caskets, which negatively impact revenue generation for funeral home operators. However, the industry’s revenue is projected to grow slightly in the next five years.

Lastly, funeral homes in the United States of America are traditionally run by families except for few instances and there are various insurance companies that have funeral insurance policies for their clients. Building a good working relationship with them will position your funeral home to help them handle some of their policy holders.

You can also help them market their funeral insurance cover with the agreement that you will be the one to handle the funerals of the customers you bring to them. This is of course will be a win-win for both parties, and every business person would want to go into such agreement.

8. Our Target Market

We look forward to dealing with those that we plan to focus on in this trade. It will be safe to say that the target market for funeral home services cuts across people of all class, race, religion, and culture as long as they value their deceased loved ones and would want to give them befitting burial or cremation as required.

In view of that, we have conducted our market research and we have ideas of what our target market would be expecting from us. These are the groups of people we intend marketing our funeral home services to;

  • Insurance companies
  • Owners of mortuaries
  • Retirees and Pensioners
  • Corporate Executives
  • Government Officials
  • Business People
  • Celebrities
  • Military Men and Women
  • Sports Men and Women
  • Everyone who resides in our target locations.

Our Competitive Advantage

There isn’t a business on this face of the earth that doesn’t encounter one form of competition of the other. However, it is the ability to be able to stand the test of time in the face of competition that will stand us out anytime anyway. The competitive edge of Clarion Call – Funeral Homes is the excellent and customized service that we offer to all our guest irrespective of their status, religion, race or political affiliation.

We can boldly say that the location of our funeral home services is perfect for such business, our management team has robust experience in the funeral home services industry, our customer’s services is second to none in the whole of Cape May – NJ and our facility is top notch. We are the only funeral home services within our location.

Another significant competitive advantage that we are bringing to the industry is the robust experience of our management team. We have a team that has a combination of 25 years of experience in the funeral home services industry in United States and Canada. They are considered core professionals in their own right.

9. SALES AND MARKETING STRATEGY

  • Sources of Income

We believe that it is very vital to identify our sources of income from the very beginning, so that we will not run into problems. Clarion Call – Funeral Homes is established with the aim of maximizing profits in the funeral home services industry and we are going to go all the way to ensure that we do all it takes to attract guests on a regular basis and sign retainer – ship with most of our corporate clients.

Clarion Call – Funeral Homes will generate income by offering the following services for individuals, families and for corporate organizations;

10. Sales Forecast

We know that sitting on the table and forecasting the sales that we desire will help us draw up good goals for our funeral business.

That is why we are well positioned to take on the available market in Cape – May, New Jersey and beyond and we are quite optimistic that we will meet our set target of generating enough income / profits from the first six month of operations and grow the business and our clientele base.

We have been able to critically examine the funeral home market and we have analyzed our chances in the industry and we have been able to come up with the following sales forecast. The sales projection is based on information gathered on the field and some assumptions that are peculiar to startups in Cape May – New Jersey.

Below is the sales projection for Clarion Call – Funeral Homes, it is based on the location of our business consulting firm and the wide range of consulting services that we will be offering;

  • First Year-: $150,000
  • Second Year-: $250,000
  • Third Year-: $750,000

N.B: This projection is done based on what is obtainable in the industry and with the assumption that there won’t be any major economic meltdown and any major competitor offering same additional services as we do within same location. Please note that the above projection might be lower and at the same time it might be higher.

  • Marketing Strategy and Sales Strategy

It is important to clearly state that in this dispensation, customers use the Internet to find funeral homes, to read reviews, to view facility available and the location of the funeral home; loads of processes have gone digital. Which is why most bed and breakfasts are increasingly adopting technology and the internet for marketing and advertising their business and we are not going to be left out.

We are quite aware that one of the ways to get people to patronize your funeral home is to build good business relationship with owners of mortuaries. Having a good working relationship with people who mortuaries will enable them refers people to you; since their job is to preserve corpses and yours is to conduct a befitting burial.

We will go all out to strike a deal with them that will ensure that they get a commission for any referral we get from them. These are some of the marketing ideas and strategies that are going to adopt for our bed and breakfasts business;

  • Open our funeral home in a grand style with a party for all.
  • Advertise our funeral home in relevant magazines, national dailies, Satellite TV stations and Radio station
  • Promote our business online via our official website and all available social media platform
  • Continuously Improving the performance of our brands
  • Hire the services of experts to make our brands the first choice for families and corporate organizations
  • Delivering consistent customer experiences to all our clients; making our first impression count positively
  • Continuously Improving the efficiency of our funeral home services and operating processes
  • Ensure that we put our market scale and knowledge to good use
  • Building strong partnerships within our industry and with our stakeholders across the United States of America
  • Make use of attractive hand bills to create awareness and also to give direction to our funeral home
  • Position our signage / flexi banners at strategic places in and around Cape – May, New Jersey
  • Create a loyalty plan that will enable us reward our corporate clients such as insurance companies and owners of mortuaries
  • Engage on road shows within our neighborhood to create awareness for our funeral home business.

11. Publicity and Advertising Strategy

Advert and marketing is one of the backbone of all businesses. It is also the backbone of ours because we know that if we are able to get the right world’s pout there, people will come for us. Clarion Call – Funeral Homes is in the funeral home business to make profit and we can only make profit if we steadily increase our customer base.

No doubt, in order to remain relevant in the funeral home industry in Cape May – New Jersey, we will continue to create hype around our business brand.

We will ensure that we leverage on all conventional and non – conventional publicity and advertising technique to promote our bed and breakfast brand. Here are the platforms we intend leveraging on to promote and advertise Clarion Call – Funeral Homes;

  • Encourage our loyal customers to help us use Word of Mouth (referrals)
  • Advertise our funeral home business in relevant magazines, national dailies, Satellite TV stations and Radio station
  • Promote our business online via our official website
  • Sponsor relevant community programs
  • Leverage on the internet and social media platforms like; Instagram, Facebook , twitter, et al to promote our brand
  • Install our Bill Boards on strategic locations
  • Engage in road show from time to time
  • Distribute our fliers and handbills in target areas

12. Our Pricing Strategy

Our pricing system is going to be based on what is obtainable in the industry, we don’t intend to charge more (except for premium and customized services) and we don’t intend to charge less than our competitors are offering in the United States of America.

Be that as it may, we have put plans in place to discount our products and services once in a while and also to reward our loyal customers (corporate clients such as insurance companies and owners of mortuaries.

  • Payment Options

We want to make our payment mode as simple and free for all as possible. That is why at Clarion Call – Funeral Homes, our payment policy is all inclusive because we are quite aware that different people prefer different payment options as it suits them.

Here are the payment options that will be available in every of our bed and breakfast lodge;

  • Payment by cash
  • Payment by check
  • Payment via Point of Sale (POS) Machine
  • Payment via online bank transfer (online payment portal)
  • Payment via Mobile money

In view of the above, we have chosen banking platforms that will help us achieve our payment plans without any difficulty.

13. Startup Expenditure (Budget)

When it comes to starting a funeral home business, loads of factors influences the amount that will be required to successful launch the business.

Factors like the location you intend starting the business, the size of the funeral home business you want to start i.e. the number of employees and facilities et al, and of course the state of the economy as at when you intend start the business. Here are the key areas where we intend spending our start – up capital;

  • The Fee for registering the business in the United States -$725.
  • The budget for legal fees, insurance, permits and license – $5,000
  • The cost of leasing a facility – 100,000
  • The amount needed to renovate our Facility (electrical, furnishings, plumbing, painting and landscaping) – $10,000.
  • The Cost for the purchase of furniture and equipment – $10,000
  • Other start-up expenses including stationery – $1000
  • Phone and utility deposits – $3,500
  • The Cost for initial inventories and supplies – $10,000.
  • The Cost of Launching a Website – $600
  • The cost opening party – $5,000 (optional)
  • Cost for payment of salaries for the first 3 months of operations – $50,000
  • Additional Expenditure (Business cards, Signage, Adverts and Promotions et al) – $5,000

Going by the report from our research and feasibility studies, we will need an average of $200,000 to start a small scale but standard bed and breakfasts business in the United States of America.

Generating Funding / Startup Capital for Clarion Call – Funeral Homes

We at Clarion Call – Funeral Homes, will leave no stone unturned in generating our funds rightly. Our business is a family business that will be owned by Mr. Arthur Stamford and his family. They are the sole financial of the business which is why they decided to restrict the sourcing of the start – up capital for the business to just three major sources.

These are the areas we intend generating our start – up capital;

  • Generate part of the start – up capital from personal savings and sale of his stocks
  • Generate part of the start – up capital from friends and other extended family members
  • Generate a larger chunk of the startup capital from the bank (loan facility).

N.B: We have been able to generate about $50,000 (Personal savings $45,000 and soft loan from family members $5,000) and we are at the final stages of obtaining a loan facility of $200,000 from our bank. All the papers and document has been duly signed and submitted, the loan has been approved and any moment from now our account will be credited.

14. Sustainability and Expansion Strategy

We know that one of the marks of a successful business is the ability to expand far and wide. The future of a business lies in the numbers of loyal customers that they have the capacity and competence of the employees, their investment strategy and the business structure.

If all of these factor are missing from a business (company), then it won’t be too long before the business close shop. One of our major goals of starting Clarion Call – Funeral Homes is to build a business that will survive off its own cash flow without the need for injecting finance from external sources once the business is officially running.

We know that one of the ways of gaining approval and winning customers over is to offer nothing short of excellent services.

Clarion Call – Funeral Homes will make sure that the right foundation, structures and processes are put in place to ensure that our staff welfare are well taken of. Our company’s corporate culture is designed to drive our business to greater heights and training and retraining of our workforce is at the top burner.

As a matter of fact, profit-sharing arrangement will be made available to all our management staff and it will be based on their performance for a period of ten years or more. We know that if that is put in place, we will be able to successfully hire and retain the best hands we can get in the industry; they will be more committed to help us build the business of our dreams.

Check List / Milestone

  • Business Registration: Completed
  • Opening of Corporate Bank Accounts: Completed
  • Securing Point of Sales (POS) Machines: Completed
  • Opening Mobile Money Accounts: Completed
  • Opening Online Payment Platforms: Completed
  • Application and Obtaining Tax Payer’s ID: In Progress
  • Application for business license and permit: Completed
  • Purchase of Insurance for the Business: Completed
  • Remodeling our facility: In Progress
  • Conducting Feasibility Studies: Completed
  • Generating capital from family members: Completed
  • Applications for Loan from the bank: In Progress
  • Writing of Business Plan: Completed
  • Drafting of Employee’s Handbook: Completed
  • Drafting of Contract Documents and other relevant Legal Documents: In Progress
  • Design of The Company’s Logo: Completed
  • Graphic Designs and Printing of Packaging Marketing / Promotional Materials: In Progress
  • Recruitment of employees: In Progress
  • Purchase of the Needed furniture, mattress, bed sheets, pillows, duvets, electronic appliances, office appliances and kitchen utensils: In progress
  • Creating Official Website for the Company: Completed
  • Creating Awareness for the business both online and in the neighborhood: In Progress
  • Health and Safety and Fire Safety Arrangement (License): Secured
  • Opening party / launching party planning: In Progress
  • Establishing business relationship with vendors – suppliers of all our needed food ingredient for breakfast and toiletries: In Progress.

Related Posts:

  • Resume Writing Service Business Plan [Sample Template]
  • How to Start a Funeral Home Business
  • Psychic Services Business Plan [Sample Template]
  • Maid Service Business Plan [Sample Template]
  • Dry Cleaning Home Delivery Business Plan [Sample Template]
  • Inflatable Rental Business Plan [Sample Template]
  • 20 Best Interview Questions to Ask a Funeral Home Director Before Hiring

BusinessDojo

Item added to your cart

The financial plan for a funeral home business.

funeral home profitability

Running a compassionate and dignified funeral home is not only about providing a respectful farewell to loved ones; it's also about managing the business with financial wisdom.

In this post, we'll explore the critical elements of developing a financial strategy that ensures your funeral home can serve the community sustainably.

From grasping the initial investment costs to handling day-to-day financial operations and anticipating market changes, we're here to assist you in navigating each aspect.

Let's embark on the journey to ensure your funeral home is not only a pillar of support for those grieving but also a financially stable establishment.

And if you wish to obtain a comprehensive 3-year financial analysis for your funeral home without delving into complex calculations yourself, please download our specialized financial plan designed for funeral homes.

What is a financial plan and how to make one for your funeral home business?

A financial plan for a funeral home business is a critical tool that guides you through the financial aspects of running your funeral services.

Think of it as charting the course for a solemn journey: You need to understand the resources at your disposal, the services you wish to offer, and the costs involved in providing dignified and respectful funeral arrangements. This plan is essential when starting a new funeral home, as it helps turn your dedication to providing compassionate care into a structured and sustainable business.

So, why create a financial plan?

Imagine you're about to open a funeral home. Your financial plan will help you grasp the costs involved - such as purchasing or leasing a facility, acquiring funeral vehicles, caskets, and other necessary equipment, initial staffing expenses, and marketing. It's like assessing your resources and budget before embarking on a sensitive and important service.

But it's more than just adding up costs.

A financial plan can provide crucial insights similar to learning a vital aspect of funeral care. For example, it might show that offering extravagant casket options is cost-prohibitive, leading you to focus on high-quality, yet affordable alternatives. Or, it could reveal that a large staff is not needed initially, saving on labor costs.

These insights help you avoid overspending and overstaffing.

Financial plans also serve as a forecasting tool to identify potential risks. Suppose your plan suggests that achieving your break-even point – where your income equals your expenses – is only feasible if you conduct a certain number of services each month. This highlights a risk: What if the demand is lower than expected? It encourages you to consider alternative services, like pre-planned funerals or memorial services, to supplement income.

How does this differ for funeral homes compared to other businesses? The main difference lies in the nature of the costs and the revenue pattern.

That’s why the financial plan our team has developed is specifically designed for the funeral home industry . It can't be applied universally to all types of businesses.

Funeral homes have unique expenses such as mortuary equipment, special facilities for viewing and ceremonies, and compliance with specific health and funeral service regulations. Their revenue may also vary - consider how local demographics and cultural practices might influence demand. This contrasts with, say, a tech store, where products don't have such specific usage constraints and sales trends could be more predictable.

Clearly, our financial plan takes into account all these unique aspects when it has been formulated. This enables you to create accurate financial projections tailored to your new funeral home venture.

business plan funeral home business

What financial tables and metrics include in the financial plan for a funeral home business?

Creating a financial plan for a new funeral home is an essential step in ensuring the success and sustainability of your business.

Understand that your future funeral home's financial plan is more than just numbers on paper; it's a roadmap that guides you through the initial stages and helps in maintaining the business over time.

Let's begin with the most fundamental component: the startup costs. This includes everything you need to open your funeral home for the first time.

Consider the costs of purchasing or leasing a facility, acquiring funeral vehicles, caskets, and other essential equipment, interior furnishings, and even signage. These costs give you a clear picture of the initial investment required. We have already outlined them in our financial plan , so you don’t need to search elsewhere.

Next, think about your operating expenses. These are ongoing costs that will occur regularly, such as employee salaries, utility bills, maintenance of facilities and vehicles, and day-to-day operational costs. It’s crucial to have a good estimate of these expenses to understand how much your funeral home needs to earn to be profitable.

In our financial plan, we've filled in all these values, so you'll have a good idea of what they should represent for a funeral home. Naturally, these can be adjusted in the 'assumptions' tab of our financial plan.

One of the most important tables in your financial plan is the cash flow statement (included in our financial plan). This table shows how cash is expected to flow in and out of your business.

It’s a monthly (and annual) breakdown that includes your projected revenue (how much money you expect to make from funeral services) and your projected expenses (the costs of operating the funeral home). This statement is crucial for anticipating periods when you might need additional cash reserves or when you can plan for upgrades or expansions.

Another key table is the profit and loss statement, also known as the income statement, which is also included in our financial plan.

This official financial table gives you an idea of how profitable your funeral home is over a certain period. It lists your revenues and subtracts the expenses, showing whether you're making a profit or a loss. This statement is particularly important for understanding the financial health of your funeral home over time.

Lastly, consider the break-even analysis (also included, of course). This calculation tells you how much revenue your funeral home needs to generate to cover all of its costs, both initial and ongoing. Knowing your break-even point is crucial as it gives you a clear sales target to aim for.

We've also included additional financial tables and metrics in our financial plan (provisional balance sheet, financing plan, working capital requirement, ratios, charts, etc.), providing you with a comprehensive and detailed financial analysis of your future funeral home.

business plan funeral home business

Can you make a financial plan for your funeral home business by yourself?

Yes, you certainly can!

As highlighted earlier, we have developed a user-friendly financial plan specifically tailored for funeral home business models .

This plan includes financial projections for the first three years of your funeral home's operation.

Within the plan, you'll find an 'Assumptions' tab that contains pre-filled data, covering revenue assumptions, a comprehensive list of potential expenses relevant to funeral homes, and a staffing plan. These figures are designed to be easily customizable to match your specific business needs.

Our thorough financial plan incorporates all the critical financial tables and ratios necessary for a funeral home, including the income statement, cash flow statement, break-even analysis, and a provisional balance sheet. It's designed to be compatible with loan applications and is user-friendly for entrepreneurs at all levels, including those with no previous financial experience.

The process is automated to avoid the need for manual calculations or complex Excel formulas. Simply enter your data into the designated fields and choose from the provided options. We have made the process straightforward and accessible, even for those not accustomed to financial planning tools.

If you encounter any issues, please feel free to contact our team. We commit to responding within 24 hours to assist with any difficulties. In addition, we offer a complimentary review and correction service for your financial plan after you have completed all your assumptions.

business plan funeral parlor

What are the most important financial metrics for a funeral home business?

Succeeding in the funeral home business requires a blend of compassionate service and astute financial management.

For a funeral home, certain financial metrics are especially crucial. These include your revenue, cost of services (COS), gross profit margin, and net profit margin.

Your revenue encompasses all income from funeral services and related offerings, providing a clear view of the market's response to your services. COS, which includes the cost of caskets, cremation, labor, and other direct service costs, is vital for understanding the direct costs linked to your services.

The gross profit margin, calculated as (Revenue - COS) / Revenue, indicates the efficiency of your service provision, while the net profit margin, the percentage of revenue remaining after all expenses, reflects your overall financial health.

Projecting sales, costs, and profits for the first year involves detailed analysis. Begin by examining the local market and your target demographics. Estimate your sales based on factors like community needs, local competition, and pricing strategies.

Costs should be categorized into fixed costs (like facility lease and utilities) and variable costs (like supplies and hourly labor). Be cautious in your estimates, and account for variations in demand and costs throughout the year.

Creating a realistic budget for a new funeral home is vital.

This budget should cover all anticipated expenses, including facility lease, utilities, equipment, initial inventory of caskets or urns, labor, marketing, and an emergency fund. It's also crucial to set aside funds for unforeseen expenses. Keep your budget flexible and review it frequently, adjusting based on actual performance.

In financial planning for a funeral home, key metrics include your break-even point, cash flow, and inventory management.

The break-even point helps determine how many services you need to provide to cover your costs. Positive cash flow is essential for day-to-day operations, while efficient inventory management is key to avoiding oversupply or shortages.

Financial planning can vary greatly among different types of funeral homes.

For instance, a funeral home focusing on budget services might prioritize low-cost supplies and high-volume services. In contrast, a premium funeral home might have higher costs for luxury caskets and personalized services, focusing on higher pricing and customer experience.

Recognizing signs that your financial plan might need adjustment is crucial. We have listed these indicators in the “Checks” tab of our financial model. This provides you with guidelines to quickly correct and adapt your financial plan to ensure accurate metrics.

Red flags include consistently missing revenue targets, rapidly depleting cash reserves, or inventory issues, such as stock shortages or excessive unsold items. If your actual numbers consistently diverge from your projections, it's a clear sign that your financial plan requires revision.

Lastly, the key indicators of financial health in a funeral home's financial plan include a stable or increasing profit margin, a healthy cash flow that comfortably covers all expenses, and consistently meeting or exceeding service provision targets.

Don't worry, all these indicators are included in our financial plan , and you can adjust them as needed to align with your funeral home's performance and objectives.

You can also read our articles about: - the business plan for a funeral home business - the profitability of a a funeral home business

  • Choosing a selection results in a full page refresh.
  • Opens in a new window.

Financial Model, Business Plan and Dashboard Templates - FinModelsLab

How To Write a Business Plan for Funeral Services in 9 Steps: Checklist

By henry sheykin, resources on funeral services.

  • Financial Model
  • Business Plan
  • Value Proposition
  • One-Page Business Plan

Welcome to our blog post on how to write a business plan for funeral services! The funeral services industry in the US is continuously growing and presents a unique opportunity for entrepreneurs seeking to provide support and comfort to grieving families. According to recent statistics, the industry generated over $17 billion in revenue in 2020, with an annual growth rate of 3.5%. With such positive trends, it's crucial to have a solid business plan in place to navigate this sensitive yet lucrative market.

The first step in creating your business plan is to conduct market research . This will help you understand the demand for funeral services in your area and identify any gaps or opportunities that you can capitalize on. Consider factors such as population demographics, cultural practices, and competition to shape your services and pricing.

Next, it's important to identify your target market . Determine whom you will serve and cater to their specific needs. This could include segments such as families seeking traditional funeral services, those preferring cremation, or individuals looking for eco-friendly options.

Once you understand your target market, it's crucial to analyze your competitors . Study other funeral homes in your area or those offering similar services. Look at their pricing, service offerings, and reputation to identify ways to differentiate yourself and offer unique value to your clients.

To set yourself apart from the competition, determine your unique selling proposition . What makes your funeral services stand out? It could be personalized, compassionate care, innovative memorialization options, or exceptional customer service. Highlight this differentiator in your marketing efforts.

Developing a detailed financial plan is essential to the success of your business. Consider your startup costs, ongoing expenses, and projected revenue. Be realistic in your projections and include contingencies to ensure financial stability.

Your business objectives and goals should guide your strategic decisions. Define measurable targets, such as the number of families served annually or customer satisfaction ratings. Having clear objectives will help you stay focused and gauge your progress.

Create a marketing strategy to spread awareness about your funeral services. Utilize both traditional and digital marketing channels to reach your target market effectively. Consider partnerships with local hospices, hospitals, and medical examiner offices to expand your reach.

An organizational structure will define the roles and responsibilities within your funeral home. Determine the positions you need, such as funeral director, embalmer, administrative staff, and grief counselors. Consider hiring qualified and compassionate individuals who align with the values of your business.

Lastly, identify the legal and regulatory requirements for operating a funeral home in your area. Contact local authorities and industry associations to understand the licenses, permits, and certifications needed to comply with regulations and provide reliable services.

By following these nine essential steps, you'll be well on your way to developing a comprehensive business plan for your funeral services. Remember, providing compassionate and professional support to grieving families is not just a business; it's a meaningful service that can bring solace during difficult times.

Conduct Market Research

Conducting market research is an essential step when starting a business in the funeral services industry. It allows you to gather crucial information about your potential customers, competitors, and industry trends. By understanding the market, you can make informed decisions and develop a strategic plan that will help your funeral services business succeed.

There are several key areas to focus on when conducting market research for funeral services:

  • Demographics: Research and analyze the demographics of your target market. This includes factors such as age, gender, income level, and religious affiliations. Understanding the demographics will help you tailor your services to meet the specific needs and preferences of your target audience.
  • Competitor Analysis: Identify and analyze your competitors in the local area. Look at their services, pricing, reputation, and customer reviews. This will provide valuable insights into what is currently being offered and where there may be opportunities for differentiation.
  • Trends and Industry Outlook: Stay updated on the latest trends and developments in the funeral services industry. This includes changes in consumer preferences, regulations, and emerging technologies. By staying ahead of the curve, you can adapt your business strategy and stay relevant in a competitive market.

Tips for conducting market research:

  • Use online resources, such as industry reports, market research websites, and government statistics, to gather information about the funeral services industry.
  • Consider reaching out to industry experts, funeral directors, and professionals in related fields for insights and advice.
  • Conduct surveys or interviews with potential customers to understand their needs, preferences, and expectations.
  • Attend industry conferences or trade shows to network with professionals and gain knowledge about the latest trends and innovations.
  • Keep an eye on local news and events that may impact the demand for funeral services in your target area.

By conducting thorough market research, you will be equipped with valuable information that can guide your business decisions and help you craft a compelling business plan for your funeral services venture.

Identify Your Target Market

Identifying your target market is a crucial step in developing a business plan for funeral services. Understanding who your potential customers are and their specific needs will allow you to tailor your services and marketing efforts effectively. Here are the key factors to consider when identifying your target market:

  • Demographics: Begin by analyzing the demographic characteristics of your local area, such as age, gender, income level, and cultural background. This information will help you determine the specific segments of the population that may require funeral services.
  • Geographic Location: Consider the geographic scope of your funeral services. Are you targeting a specific city, region, or multiple locations? Understanding the areas where your target market resides will enable you to allocate marketing resources effectively.
  • Psychographics: Evaluate the attitudes, beliefs, values, and motivations of your potential customers. This information will provide insights into their preferences and expectations regarding funeral services.
  • Life Events: Examine life events that may trigger a need for funeral services, such as aging populations, community growth, or local tragedies. Understanding these events will help you identify opportunities for providing support and assistance to your target market.
  • Competitive Advantage: Assess your competitors' target markets to identify gaps or underserved segments that you can capitalize on. This analysis will enable you to differentiate your funeral services and appeal to a specific clientele.

Tips for Identifying Your Target Market:

  • Engage in conversations and conduct surveys with individuals who may require funeral services to gather direct insights into their needs and preferences.
  • Collaborate with local healthcare providers, nursing homes, and other relevant organizations to better understand the potential customer base.
  • Consider the cultural and religious diversity of your target market and adapt your services accordingly to accommodate various customs and rituals.
  • Regularly review and update your target market analysis to stay responsive to evolving trends and changes in your local area.

By identifying your target market, you can tailor your funeral services to meet the specific needs of your customers, differentiate yourself from competitors, and develop effective marketing strategies to reach and engage your ideal clientele.

Analyze Your Competitors

As you develop your business plan for funeral services, it is essential to analyze your competitors in the industry. Understanding the strengths and weaknesses of other funeral homes in your area can help you identify opportunities to differentiate yourself and attract clients.

1. Identify Your Direct Competitors: Start by identifying the funeral homes that directly compete with your services in your target market. These may be established funeral homes that have been operating for years or new entrants into the market.

2. Evaluate Their Service Offerings: Analyze the range of services that your competitors offer. Take note of the packages, prices, and additional services they provide. This will help you assess whether there are any gaps in the market that you can fill or areas where you can offer a better value for your clients.

3. Examine Their Pricing: Compare the pricing of your competitors' packages to understand how they position themselves in terms of affordability and value. Look for opportunities to price competitively or offer unique pricing strategies that can attract clients.

4. Study Their Marketing Activities: Look into your competitors' marketing efforts to understand how they reach their target audience. Study their online presence, social media engagement, and advertising strategies. This will help you determine how to effectively promote your own funeral services and stand out from the crowd.

5. Assess Their Reputation and Customer Reviews: Research the reputation of your competitors by examining their customer reviews and ratings. Pay attention to what clients appreciate about their services and areas where they may have received negative feedback. This can guide you in developing strategies to enhance your own reputation and improve the overall client experience.

  • Visit the websites and social media pages of your competitors to gather information about their services and branding.
  • Consider attending local funeral services or events to observe how your competitors engage with their clients and provide services.
  • Speak with community members and funeral professionals to gather insights and feedback on your competitors' strengths and weaknesses in the market.

Analyzing your competitors is a crucial step in developing a successful business plan for funeral services. By understanding what sets your competitors apart and identifying where you can excel, you can build a strong value proposition for your own funeral home.

Determine Your Unique Selling Proposition

Developing a unique selling proposition (USP) is crucial for positioning your funeral services business in the market. Your USP is what sets you apart from your competitors and highlights the unique value you bring to your target market. It is the foundation of your marketing strategy and helps you attract and retain customers.

In order to determine your USP, consider the following:

  • Understand your target market: Gain a deep understanding of your target market's needs, preferences, and pain points. This will help you tailor your USP towards addressing their specific concerns.
  • Analyze your competitors: Conduct a thorough analysis of your competitors to identify what makes them unique or different. This will help you identify gaps in the market that you can capitalize on.
  • Assess your strengths and expertise: Evaluate your strengths, expertise, and resources to identify what differentiates you from your competitors. This could be your experience, customer service, specialized offerings, or any other aspect that sets you apart.
  • Focus on a niche market: Consider specializing in a specific area of funeral services where you can excel and provide exceptional value to customers.
  • Offer personalized services: Highlight your ability to tailor services to meet the unique needs and preferences of each individual and their families.
  • Emphasize compassion and empathy: Showcase your commitment to providing compassionate and empathetic support to grieving families during their difficult times.

Once you have determined your unique selling proposition, ensure that it is effectively communicated in all your marketing materials, website content, and interactions with potential clients. Your USP should resonate with your target market and demonstrate why they should choose your funeral services over others.

Develop A Detailed Financial Plan

A detailed financial plan is crucial for the success of any business, including funeral services. It provides a roadmap for your business's financial health and helps you make informed decisions about pricing, expenses, and profitability. Here are the key steps to developing a comprehensive financial plan for your funeral services business:

1. Determine your startup costs: Identify all the expenses associated with starting your funeral services business. This may include facility renovation, equipment purchase, licensing fees, insurance, and initial marketing costs. Make a list of these costs and allocate a budget for each.

2. Estimate revenue streams: Consider the different revenue streams for your business, such as funeral service packages, merchandise sales, cremation services, and additional services like grief counseling or memorialization options. Project the average number of clients and calculate the potential revenue from each stream.

3. Analyze expenses: Create a comprehensive list of all operating expenses, including employee salaries, rent or mortgage payments, utilities, transportation, marketing expenses, and supplies. Estimate these costs realistically based on industry standards and local market conditions.

4. Forecast financial statements: Prepare projected financial statements, including an income statement, balance sheet, and cash flow statement. These statements will help you visualize your business's financial performance, cash flow, and profitability over a specific time period.

5. Set pricing strategies: Determine how you will price your funeral service packages and other offerings. Consider factors like the local market, your competitors' pricing, and the value you provide to your clients. Ensure that your pricing is competitive while still allowing for a profitable margin.

6. Create a contingency plan: It's essential to plan for unexpected events or emergencies that may impact your business's financial stability. Set aside a portion of your revenue as a contingency fund to handle any unforeseen expenses or downturns in the market.

  • Consult with a financial advisor or accountant to ensure accuracy and reliability of your financial projections.
  • Regularly review and update your financial plan as your business grows and evolves.
  • Consider strategic partnerships or collaborations with other businesses to enhance your revenue streams.
  • Implement a robust system for tracking and managing your finances, including bookkeeping and cash flow management.

By developing a detailed financial plan, you will have a clear understanding of your funeral services business's financial outlook and be better positioned to make informed decisions for long-term success.

Define Your Business Objectives And Goals

Defining clear and measurable business objectives and goals is essential for the success of your funeral services business. These objectives will serve as a roadmap, guiding your decision-making process and helping you stay focused on what you want to achieve. Here are some steps to take when defining your business objectives and goals:

  • Evaluate your vision: Start by assessing your long-term vision for your funeral services business. What do you want to achieve in the next five or ten years? Consider factors such as expansion, revenue growth, customer satisfaction, and community impact.
  • Set specific goals: Once you have a clear vision in mind, break it down into specific goals that are actionable and measurable. For example, you may set a goal to increase annual revenue by a certain percentage, or to provide exceptional customer service to a certain number of families each month.
  • Align with your values: Your business objectives and goals should align with your core values and the mission of your funeral services business. This will help ensure that your actions and decisions are consistent with your overall purpose and will strengthen your brand reputation.
  • Consider market trends: Stay informed about the latest trends in the funeral services industry. This will help you identify areas where you can set specific business objectives and goals to stay competitive and meet the evolving needs of your target market.

Tips for Defining Your Business Objectives and Goals:

  • Make your goals SMART: Specific, Measurable, Achievable, Relevant, and Time-bound. This will make them more actionable and trackable.
  • Involve your team: Gather input from your employees or partners when defining your business objectives and goals. Their insights can provide valuable perspectives and help foster a sense of ownership.
  • Regularly review and adjust: Business objectives and goals should not be set in stone. Regularly review them, monitor your progress, and make adjustments as needed to stay on track and adapt to changing circumstances.

By defining clear business objectives and goals, you will have a focused direction for your funeral services business. They will guide your decision-making process, motivate your team, and ultimately contribute to the long-term success and growth of your business.

Create A Marketing Strategy

Once you have identified your target market and analyzed your competitors, it's time to create a marketing strategy to promote your funeral services business. A well-defined marketing strategy will help you reach your target audience, increase brand awareness, and ultimately attract more clients. Here are some important steps to consider:

  • Define your marketing goals: Start by identifying the specific objectives you want to achieve through your marketing efforts. This could include increasing brand awareness, generating leads, or promoting specific services.
  • Know your audience: Understand the demographics and psychographics of your target market. This will help you tailor your marketing messages and channels to effectively reach and resonate with your audience.
  • Develop a strong brand identity: Create a compelling brand that represents your funeral services business and appeals to your target audience. This includes designing a memorable logo, developing a consistent visual identity, and establishing a strong brand voice.
  • Create a comprehensive online presence: In today's digital age, having a strong online presence is crucial. Create a professional website that provides information about your services, testimonials from satisfied clients, and clear contact details. Utilize social media platforms to engage with your audience and share meaningful content.
  • Utilize traditional marketing tactics: While digital marketing is essential, don't overlook traditional tactics such as print advertising, direct mail campaigns, and networking events. These methods can still effectively reach certain segments of your target market.
  • Leverage strategic partnerships: Consider forming partnerships with hospices, hospitals, and medical examiner offices to establish trust and gain referrals. Collaborate with local communities and families by sponsoring events or participating in community initiatives.
  • Monitor and analyze: Regularly track the success of your marketing efforts and make adjustments as needed. Use tools like website analytics and customer feedback to measure the effectiveness of different marketing channels and messages.

Marketing Strategy Tips:

  • Focus on building strong relationships and providing exceptional customer service. Satisfied clients can become brand advocates, referring others to your funeral services.
  • Consider offering educational resources or workshops to help individuals and families navigate funeral planning and grieving processes. This positions your business as a trusted resource.
  • Stay up to date with industry trends and adjust your marketing strategy accordingly. Funeral services are evolving, and it's important to stay relevant and adapt to changing customer preferences.

Outline Your Organizational Structure

When it comes to establishing a funeral services business, having a clear and well-defined organizational structure is essential for its smooth operation. An organizational structure outlines the hierarchy, roles, and responsibilities within your business, ensuring that everyone knows their place and the tasks they need to carry out. Here are a few important considerations to keep in mind:

  • Leadership and Management: Identify the key positions within your funeral services business, such as the owner, manager, and any other leadership roles necessary. Define their responsibilities and decision-making authority to ensure efficient operations.
  • Departmental Structure: Determine the various departments or divisions within your business, such as administration, operations, sales, and marketing. Assign specific tasks and responsibilities to each department to streamline workflow.
  • Staffing: Consider the number of staff members required to run your funeral services business effectively. Define the roles and responsibilities for each employee, ensuring that you have the right people in the right positions.
  • Communication Channels: Establish clear communication channels within your organizational structure to facilitate effective information flow. This includes defining reporting lines, holding regular team meetings, and utilizing technology tools for seamless internal communication.

Tips for Outlining Your Organizational Structure:

  • Consider the scalability of your business when outlining the organizational structure. Plan for future growth and expansion.
  • Collaborate with key stakeholders, such as managers and department heads, to gather insights and perspectives on structuring the organization.
  • Ensure that job roles and responsibilities are clearly defined to minimize confusion and enhance productivity.
  • Regularly review and update your organizational structure as your business evolves to adapt to changing needs and circumstances.

Having a well-defined organizational structure not only helps streamline your funeral services business but also provides clarity and direction to your staff members. It facilitates effective decision-making, ensures efficient operations, and ultimately contributes to the success and growth of your business.

Identify The Legal And Regulatory Requirements

When starting a funeral services business, it is vital to understand and comply with the legal and regulatory requirements that govern the industry. Failure to do so can result in legal consequences and damage your reputation. Here are some important requirements to consider:

  • Licensing: Funeral homes must typically obtain the necessary licenses to operate legally. Research the specific licensing requirements in your state and ensure you meet all the criteria before starting your business.
  • Health and Safety Regulations: As funeral services involve handling human remains, it is crucial to comply with health and safety regulations. This includes proper handling, storage, and disposal of bodies, as well as maintaining a clean and safe environment in your facility.
  • Consumer Protection Laws: Funeral homes are subject to various consumer protection laws to ensure fair and ethical practices. Familiarize yourself with laws regarding pricing transparency, itemized pricing, contracts, and disclosure of information to clients.
  • Environmental Regulations: Some funeral practices, such as embalming, may involve the use of chemicals that can impact the environment. Be aware of any environmental regulations related to the handling and disposal of these substances and ensure compliance.
  • Taxation and Financial Reporting: Like any business, funeral services are subject to taxation and financial reporting requirements. Consult with an accountant or tax professional to understand the specific tax obligations and reporting obligations applicable to your business.
  • Stay updated with changes in relevant laws and regulations. Join industry associations and attend conferences or seminars to keep yourself informed.
  • Consult with legal and regulatory experts if you have any uncertainties about compliance requirements.
  • Maintain accurate records of all licenses, permits, and certifications to demonstrate your commitment to compliance.

Writing a business plan for funeral services requires careful consideration of various aspects to ensure a successful and sustainable venture. By conducting thorough market research, identifying target markets, and analyzing competitors, you can position your business for success. Additionally, determining your unique selling proposition, creating a detailed financial plan, and defining your business objectives and goals will help guide your decision-making process.

In order to effectively promote your funeral services, it is important to develop a comprehensive marketing strategy that highlights the value you offer to clients. Furthermore, outlining your organizational structure and understanding the legal and regulatory requirements will ensure that your business operates smoothly and in compliance with the necessary guidelines.

By following these nine steps, you will be well-equipped to write a business plan that captures the essence of your funeral services and sets your business on the path to success. Remember, establishing trust with local communities and forging partnerships with relevant organizations can help your business thrive in this ever-evolving industry.

Excel financial model

$169.00 $99.00 Get Template

Related Blogs

  • Starting a Business
  • KPI Metrics
  • Running Expenses
  • Startup Costs
  • Pitch Deck Example
  • Increasing Profitability
  • Sales Strategy
  • Rising Capital
  • Valuing a Business
  • How Much Makes
  • Sell a Business
  • Business Idea
  • How To Avoid Mistakes

Leave a comment

Your email address will not be published. Required fields are marked *

Please note, comments must be approved before they are published

Sample Funeral Home Service Business Plan

Funeral service home business plan pdf sample.

An adage goes thus “Nothing is certain except death and taxes”. If this is true, (and it is true), then someone has to prepare the bodies for interment.

This is exactly the function of funeral homes. They are involved in preparing the body (i.e. washing, dressing, embalming, and putting the body in a casket) for burial.

And some funeral homes also engage in planning the burial event itself.

A bereaved family may not have the emotional strength or skill to prepare the body of their loved one for interment.

This means there will always be a market for funeral homes, since deaths can’t be avoided, at least in the long run.

Therefore, seeing that there is a lot of money-making potential in the funeral industry, here’s a Funeral Home Business Plan to help you set up your own funeral home.

Here is a sample business plan for starting a funeral service company.

Business Name:  Whitewalker Funeral Homes Inc.

Executive Summary

Our Products and Services

Vision Statement

Mission Statement

Business Structure

Market Analysis

Sales and Marketing Strategy

Financial Plan

Competitive Advantage

Founded in 2007, Whitewalkers funeral home offers several funeral-related services. These include embalming of corpses, dressing, and provision of caskets, memorial materials, and urns amongst other services. This business is run by Mr. A. Whitewalker and family, who bought the business from the Blakes about 5 years ago.

Mr. Whitewalkers studied embalming and restorative art techniques at the Institute of Funeral directing Colorado Springs.  Mr. A. Whitewalker is a very experienced funeral director. With 15 years of experience in this field. He worked with A and B funeral homes in the Denver area before moving to Washington DC to open his practice.

There’s no dearth of customers as far as this business is concerned. Therefore, with good management skills and finance, this business could grow into a multimillion-dollar business.

Our products and services include embalming and dressing of corpses, sales of coffins, cremations services. We also specialize in the transportation of human parts all over the country and also across the globe.  Whitewalkers Funeral homes also help in planning funeral services, from choosing a venue and also getting someone to coordinate the burial or cremation ceremony depending on the family’s religion or lack of it.

And finally, at Whitewalkers, we engage in different kinds of internment, from various kinds of burials to cremation and even mummification if that’s what is wanted.

Our vision is to be one of the biggest and most popular funeral homes in the Washington DC area.

Our mission is to ease the effect of the transition of a loved one on the family members. By providing top-notch services which will ease the stress of the bereaved family. We hope to continually provide these services at very competitive prices.

This business is a family business and it is owned and run by the Whitewalkers, with Mr. Allen Whitewalkers at the helm of affairs. We have been also very careful with how we employ our staff.

One trait we look out for in our staff is their ability to comfort the bereaved. And also tolerate customers’ misbehaviors; this is because we understand that people behave differently when a family member is bereaved.

The funeral industry has an advantage over many other industries because people will always die. Therefore there will always be a steady stream of customers. With the expected death rate to increase by 1% every year for ten years, there’s also expected growth in the funeral industry. Therefore a lot of profit is projected for those in this business. Last year the funeral industry made over $16billion in the U.S.

Target Market

Everyone dies, so basically everyone is our target market. Now that being said, there are specific groups of people we shall take our marketing to. They include mortuary owners, insurance companies, and hospitals amongst others.

So the funeral industry has different segments based upon religion, tribe, and people’s wants and preferences. So we are employing part-time morticians/funerals who are skilled in various religious burial styles.

We will also use the internet as a very important advertising tool since most people go on the internet to search for things before buying them physically.

We need a loan of $1 million to expand the business. This loan will help us acquire more funeral vehicles, 2 actually, expand our car park and then finally expand our services.

In the Washington area, we are the only funeral parlor that has experts in various internment styles as they vary according to religion and ethnicity. And with that we know soon we’ll be having problems meeting our demands.

Here’s a funeral home sample business plan, so if you are interested in having a funeral parlor, here’s a business plan.

Related posts:

  • How to Open a Funeral Home
  •  Do You Need A License To Open A Funeral Home?
  • 10+ Funeral Based Business Ideas And Opportunities

Leave a Reply Cancel reply

Your email address will not be published. Required fields are marked *

StartupBiz Global

Starting Funeral Home Business Plan (PDF)

funeral home business plan

Death is a natural part of life, and as such, funeral homes are a necessity for families and communities. While it may seem daunting to enter into such a sensitive industry, starting a funeral home business can be a fulfilling and profitable business venture. People dying necessitate the need for funeral services. It may sound morbid to say that a funeral home business is a profitable venture. However, it is a matter of necessity and inevitability. A funeral home, also known as a funeral parlour, is an establishment where the dead are prepared for burial or cremation. The funeral services industry is a stable and growing market, with an increasing demand for services as the population ages. A funeral home business can offer a unique opportunity to serve families during one of the most difficult times in their lives and to provide a meaningful and personalized experience. This article will outline how to start a funeral parlour business, and the funeral home business plan (PDF, Word & Excel).

Market Research

It’s important for you to carry out market research before you venture into the funeral home business. You must seek to familiarize yourself with how the funeral parlour industry works first. Then you research into existing funeral home businesses in your target area. You have to find the type of services and products that they offer. Find out their customer segments and how big their market share or reach is. Study their business and pricing models.

Market research will help you identify market gaps, including underserved or unserved locations, as well as weaknesses of the existing funeral parlours. The information and insights you gather from your market research will help you build a successful funeral home business. Your target market, services to offer, and marketing strategies will be determined by the information you get from the market research. Therefore, it is imperative that you take the time to conduct thorough research before starting a funeral home business.

Location And Premises

There are several factors you should take into consideration when selecting a location for your funeral home business. Consider the demographics of the area. The ideal location for a funeral parlour is in an area that has a significant population of old adults, as aged people may require funeral services in the near future. Also consider the income levels of the people in the area, an area with a higher income demographic is more likely to utilise premium funeral services. The funeral home should be located in an easily accessible area with enough space for parking. It should be close to major highways and public transportation – this ensures that families can easily access the funeral parlour.

The premises for a funeral home play an important role in ensuring the success of the business. The funeral parlour premises should provide a comfortable, safe, and peaceful environment for families to grieve and pay their respects to their loved ones. You will need a building to operate from. Typically you will need a building with multiple rooms. Rooms needed for a funeral home include a reception, preparation room, mortuary room and offices. The funeral home business plan should include the costs of purchasing or leasing the premises.

Vehicles And Equipment

A funeral home requires a variety of  vehicles and specialized equipment to provide professional services to its clients. Vehicles are an essential requirement for funeral parlours, as they enable the transportation of the deceased, family members, and funeral staff. Hearses are the most commonly used vehicles by funeral homes, their primary purpose is to transport caskets containing the deceased. Some funeral parlours can also have limousines and buses for transporting mourners. Other equipment required by funeral parlours include mortuary refrigerators, embalming tables, embalming equipment, mortuary stretchers & trolleys, scissor lifts, furniture etc. The funeral parlour business plan should include the costs of acquiring the vehicles and equipment.

Products And Services

A funeral home provides a range of services to assist families in arranging and conducting funeral services for their loved ones. Some of the common services offered by funeral parlours include embalming and preparation of the deceased, casket and urn selection, coordination of funeral and burial services, provision of transportation, and assistance with legal paperwork such as death certificates and insurance claims. In addition to facilitating the traditional burial services, funeral parlours can also offer cremation services. Funeral homes can also provide other extra services such as grief counselling.

While funeral parlours primarily offer services, they can also sell products to facilitate the funeral arrangements. One of the primary products offered by funeral homes are coffins and caskets, which can come in a variety of materials and styles to suit different preferences and budgets. Other products offered by funeral homes include urns for cremation, stationary  such as memorial programs and thank-you cards, floral arrangements, and memorial tribute videos. Your funeral parlour business plan should clearly outline the products and services that your business will offer.

Management And Staff

A funeral home requires a team of dedicated employees so as to provide high quality services to families during their time of need. The employees required by a funeral parlour business include funeral directors/undertakers, funeral assistants, embalmers, drivers as well as administrative staff. Large funeral homes can also employ grief counselors or social workers to offer emotional support and guidance to families. The employees of a funeral parlour must possess a range of qualities to ensure that they can provide the necessary support and assistance to grieving families. Compassion is perhaps the most essential quality, as it is vital that the staff empathise with families and offer them comfort and understanding. In addition to being compassionate, employees should be professional, respectful, and attentive to detail. Good communication skills are also necessary to ensure that funeral arrangements are executed smoothly and that families feel supported throughout the whole process. Thus it is important for all your employees to undergo training to ensure that they provide high quality services to clients. The salaries of all your staff should be included in the funeral home business plan.

The market for funeral services is always there as people are always dying every day. However you need to understand your local market and trends. For example, in some countries cremation is now mostly more preferable than traditional burials. While the demand for funeral services is relatively constant, the market for funeral homes is also impacted by factors such as the local population, demographics, and cultural traditions. As such, funeral homes must be responsive to the unique needs of their local market and be able to offer personalized and culturally appropriate services to their clients. Word of mouth is one of the most important marketing methods for funeral parlours, thus it is important to provide high quality services so as to encourage positive word of mouth referrals. Funeral homes that offer compassionate and professional services, and go above and beyond to meet the needs of their clients, are more likely to receive positive recommendations from satisfied customers. The funeral parlour business plan should also include other marketing strategies that you can use for your funeral home business.

Pre-Written Funeral Home Business Plan (PDF, Word And Excel): Comprehensive Version, Short Funding/Bank Loan Version and Automated Financial Statements

For an in-depth analysis of the funeral home business, we encourage you to purchase our well-researched and comprehensive funeral home business plan. We introduced the business plans after discovering that many were venturing into the funeral parlour business without enough knowledge and understanding of how to run the business, lack of understanding of the financial side of the business, lack of understanding of : the industry, the risks involved , costs and profitability of the business; which often leads to disastrous losses.

The StartupBiz Global funeral parlour business plan will make it easier for you to launch and run your funeral home business successfully, fully knowing what you are going into, and what’s needed to succeed in the business. This is a complete business plan for a funeral home business. It will be easier to plan and budget as you will be aware of all the costs involved in setting up and running the funeral parlour business.

Uses of the Funeral Parlour Business Plan (PDF, Word And Excel)

The funeral home business plan can be used for many purposes including:

  • Raising capital from investors/friends/relatives
  • Applying for a bank loan
  • Start-up guide to launch your funeral parlor business
  • As a funeral home business proposal
  • Assessing profitability of the funeral parlour business
  • Finding a business partner
  • Assessing the initial start-up costs so that you know how much to save
  • Manual for current business owners to help in business and strategy formulation

Contents of the Funeral Home Business Plan (PDF, Word And Excel)

The business plan for a funeral home includes, but not limited to:

  • Marketing Strategy
  • Financial Statements (monthly cash flow projections, income statements, cash flow statements, balance sheets, break even analysis, payback period analysis, start-up costs, financial graphs, revenue and expenses, Bank Loan Amortization)
  • Industry Analysis
  • Market Analysis
  • Risk Analysis
  • SWOT & PEST Analysis
  • Operational Requirements
  • Operational Strategy
  • Why some people in the funeral home business fail, so that you can avoid their mistakes
  • Ways to raise capital to start your funeral parlour business

The funeral home business plan package consists of 4 files

  • Funeral Home Business Plan – PDF file (Comprehensive Version – 89 Pages)
  • Funeral Home Business Plan – Editable Word File (Comprehensive Version – 89 Pages)
  • Funeral Home Business Plan Funding/Bank Loan Version- Editable Word File (Short version for applying for a loan/funding – 48 pages)
  • Funeral Home Business Plan Automated Financial Statements – (Editable Excel File)

The business plan can be used in any country and can be easily edited. The financial statements are automated. This implies that you can change eg the costs, salaries etc, and all the other financial statements will automatically adjust to reflect the change. 

Click below to download the Contents Page of the Funeral Home Business Plan (PDF)

funeral home business plan pdf

Testimonial 7

I found Startupbiz Global online when I was in desperate need of a business plan. I was overwhelmed by the quality of the business plan, it’s comprehensive and well researched! I did not have to wait to get the business plan, I got it instantly after payment. I highly recommend Startupbiz Global, and would happily use them again in the future.

Testimonial 8

Just wanted to say I am very happy with the business plan and I will gladly recommend your products, thank you very much and have a great day.

Testimonial 6

I purchased a business plan from you, and I’m glad to inform you that I was able to get my loan, and I’m starting my poultry farming business on the 1 st of July. This was made possible because of your business plan. Thank you very much, you made my dream come true.

Testimonial 2

Many thanks for your incredibly efficient service and thorough business plan. I am very impressed with the business plan. Before I bought the business plan, I tried to do my own business plan – it was such a nightmare and it turned out badly, also not to mention the stress it caused me. I wish I knew about your website earlier!

Testimonial 4

The business plan which I purchased from your website saved me TIME and MONEY! The layout of the business plan was excellent. The financial statements were detailed and easy for me to edit. I will come back to purchase another business plan soon.

Testimonial 1

StartupBiz Global provided a very professional and comprehensive business plan which I used for my business. The business plan was easy to edit, and I was able to get the funding which I wanted. I highly recommend their business plans.

Testimonial 5

I was able to understand the business side of farming because of your business plan. You did extensive research; the business plan was well prepared and fully detailed.  It made everything clear, and I have somewhere to start now. I am confident that I am going to succeed in my business because of the guidance from your business plan.

Testimonial 3

I was extremely lucky to come across StartupBiz Global. Their business plan exceeded my expectations, and most importantly I was able to secure a loan from my bank. Thank you guys, now my dreams are coming true!

Get the Funeral Home Business Plan (PDF, Word And Excel)

Click Buy Now  below to purchase using Paypal, Credit Card, or Debit Card. After you have purchased, you will immediately see the download link for the business plan package on the screen. You will also immediately get an email with the business plan download link. The Pre-written business plan package (PDF, Word, and Excel) costs $30 only!

funeral home business proposal

If you want to purchase multiple business plans at once then click here: Business Plans Store.

The business plan package is a zipped compressed file containing the PDF, Word and Excel documents. To open the package after downloading it, just right click, and select Extract All. If you have any problems in downloading and opening the files, email us on [email protected] and we will assist you.

We wish you the best in your funeral home business! Check out our collection of business plans  , and more business ideas .

Related Posts

web hosting business plan

How To Start A Web Hosting Business

non profit business idea

Top 6 Non Profit Business Ideas

hydroponics farming business plan

Starting Hydroponics Farming Business Plan (PDF)

poultry egg farming business plan

Starting Poultry Egg Farming Business Plan (PDF)

 

Join our mailing list to receive the latest posts and updates from our website.

You have Successfully Subscribed!

Academia.edu no longer supports Internet Explorer.

To browse Academia.edu and the wider internet faster and more securely, please take a few seconds to  upgrade your browser .

Enter the email address you signed up with and we'll email you a reset link.

  • We're Hiring!
  • Help Center

paper cover thumbnail

HOPE LIFE FUNERAL SERVICES BUSINESS PLAN

Profile image of Ndamulelo Phillip Mushaya

Hope Life Funeral Services is located in Burgersfort in the valley of the Spekboom River at the edge of the Bushveld complex in the Greater Tubutse municipality, near the border from Mpumalanga to Limpopo, based corporation that will provide casket/cremation receptacle sales, funeral services, cremation services, community support(CSI) and pre-funeral care services customers in its targeted market. The Hope Life has formed as a funeral cover to solve funeral problem in all homes in Burgersfort and other South African areas. It solely owned by Ramaite Seroka, Mothapo Mary, Muofhe Mulalo, Lewele Mapule, Mushaya Ndamulelo Phillip, Kwapa Joas and Kopa Clearance.

Related Papers

syaqira osman

funeral services business plan

nurul nadia

Hans Bossert , L. Kelfkens

We are the 'the City of unresolved complexes. We do the right thing and then we undermine it. We are the Cape of Storms and the Cape of Good Hope at the same time. We are hostile to outsiders but we also the most welcoming and assimilating of places. We are generous and mean-spirited. We are innovatively global and insufferably parochial " 1 Abstract This paper looks at the need for creating space for change and subsequent innovative role of leadership in government, corporate and not-for-profit. Especially in not-for-profit and government leadership has a dual responsibility both for social return and for economic performance. This type of leadership is complex and often referred to as ambidextrous. When effective, ambidextrous leadership can create space for innovative change and stakeholder engagement. This article will elaborate on the burial case in Cape Town: The project 'Death Matters' 2. Information will be provided on the space, the environmental and the cost issues involved. Alternative options will be mentioned that are available to the communities. But moreover, what is the space for change in the City? The project Death Matters endeavors to stretch that space for change by imagining a different future. What are the current narratives of the relevant stakeholders, what would be a leadership intervention for innovation and how would a changed enactment look like? The article makes an argument that partners (stakeholders) are to define their common ground and re interpret their renewed responsibility in this. Ambidextrous city leadership should take into account both stakeholders responsibility, as well as city's responsibilities. A leadership balancing between societal support and management performance is conditional for a game-changing situation to occur.

McGraw-Hill

Dr. Anuj Gupta

Welcome to the seventh installment in our series of reference guides designed to help you in your career. Our previous guides have been focused on the structure and development of resumes and cover letters.

Gerrit Lohmann

The Milankovitch theory states that global climate variability on orbital timescales from tens to hundreds of thousands of years is dominated by the summer insolation at high northern latitudes. The supporting evidence includes reconstructed air temperatures in Antarctica that are nearly in phase with boreal summer insolation and out of phase with local summer insolation. Antarctic climate is therefore thought to be driven by northern summer insolation. A clear mechanism that links the two hemispheres on orbital timescales is, however, missing. We propose that key Antarctic temperature records derived from ice cores are biased towards austral winter because of a seasonal cycle in snow accumulation. Using present-day estimates of this bias in the `recorder' system, here we show that the local insolation can explain the orbital component of the temperature record without having to invoke a link to the Northern Hemisphere. Therefore, the Antarctic ice-core-derived temperature record, one of the best-dated records of the late Pleistocene temperature evolution, cannot be used to support or contradict the Milankovitch hypothesis that global climate changes are driven by Northern Hemisphere summer insolation variations.

Gabriela Boaventura

1 a Mini Avaliação: Mercados Financeiros e Juros Simples 1. Você planeja realizar uma aplicação financeira no mês em que irá viajar para realizar o programa CCInt durante seis meses e pretende resgatar os juros mensais dessa aplicação financeira para pagamento de suas despesas no exterior. Se suas estimativas são de um gasto mensal de US $2.000, responda à seguintes perguntas:

Devanssh V I N A Y K U M A R Mehta

Beatriz Maestro

Uso de al menos un compuesto de fórmula (I) donde R1 es alquilo C1-C6 o forma N-cicloalquilo C5-C8 junto con R2; R2 es alquilo C1-C6, forma N-cicloalquilo C5-C8 junto con R1, o es una cadena alquílica que se une a (CH2)n formando una amina bicíclica; R3 es alquilo C1-C2 o ausente; R4 es un sustituyente aromático que comprende al menos dos anillos aromáticos; n es un valor entre 1 y 2; y m es un valor entre 0 y 1; como bactericida frente a Streptococcus, preferiblemente frente a Streptococcus pneumoniae. Adicionalmente, compuesto de fórmula (Ia) y una composición bactericida que lo comprenda.

مجلة الدراسات السياسية والاقتصادية

RELATED PAPERS

… Processing, 2005. ICIP …

Bin lukala John

Journal of Controlled Release

Veterinary Biomedical and Clinical Journal

Indah Amalia Amri

Editora Amplla eBooks

EMMANUEL YUKIO YATSUDA XAVIER

anamaria supuran

Arianna Miola

Educação em Revista

Elaine Castro

Marinel Negru

Douglas D. Creel

Journal of emerging technologies and innovative research

Rohini Shinde

Air Quality, Atmosphere & Health

Esther Nnamani

CONTRIBUCIONES A LAS CIENCIAS SOCIALES

CLEBER SANFELICI OTERO

Clinical Epigenetics

jorge torres

Journal of Agricultural Education

Materials Science and Engineering: C

kok fui liew

RELATED TOPICS

  •   We're Hiring!
  •   Help Center
  • Find new research papers in:
  • Health Sciences
  • Earth Sciences
  • Cognitive Science
  • Mathematics
  • Computer Science
  • Academia ©2024

U.S. flag

An official website of the United States government

Here’s how you know

The .gov means it’s official. Federal government websites often end in .gov or .mil. Before sharing sensitive information, make sure you’re on a federal government site.

The site is secure. The https:// ensures that you are connecting to the official website and that any information you provide is encrypted and transmitted securely.

Consumer Alerts

Your right to get information about funeral services by phone.

View all Consumer Alerts

Get Consumer Alerts

Credit, Loans, and Debt

Learn about getting and using credit, borrowing money, and managing debt.

View Credit, Loans, and Debt

What to do if you can’t make car payments

Jobs and making money.

What to know when you're looking for a job or more education, or considering a money-making opportunity or investment.

View Jobs and Making Money

Job scams targeting college students are getting personal

Unwanted calls, emails, and texts.

What to do about unwanted calls, emails, and text messages that can be annoying, might be illegal, and are probably scams.

View Unwanted Calls, Emails, and Texts

Fake shipping notification emails and text messages: What you need to know this holiday season

Identity theft and online security.

How to protect your personal information and privacy, stay safe online, and help your kids do the same.

View Identity Theft and Online Security

  • Search Show/hide Search menu items Items per page 20 50 100 Filters Fulltext search
  • Funeral Costs and Pricing Checklist

Facebook

Funeral costs include basic services fee for the funeral director and staff, charges for other services and merchandise, and cash advances. Make copies of the checklist at the end of this article. Use it when you shop with several funeral homes to compare costs.

Funeral Fees

Calculating the actual cost of a funeral, funeral pricing checklist.

The Funeral Rule allows funeral providers to charge a basic services fee that customers have to pay. The basic services fee includes services that are common to all funerals, regardless of the specific arrangement. These include funeral planning, securing the necessary permits and copies of death certificates, preparing the notices, sheltering the remains, and coordinating the arrangements with the cemetery, crematory or other third parties. The fee does not include charges for optional services or merchandise.

Charges for other services and merchandise , include costs for optional goods and services such as transporting the remains; embalming and other preparation; use of the funeral home for the viewing, ceremony or memorial service; use of equipment and staff for a graveside service; use of a hearse or limousine; a casket, outer burial container or alternate container; and cremation or interment.

Cash advances are fees charged by the funeral home for goods and services it buys from outside vendors on your behalf, including flowers, obituary notices, pallbearers, officiating clergy, and organists and soloists. Some funeral providers charge you their cost for the items they buy on your behalf. Others add a service fee to the cost. The Funeral Rule requires those who charge an extra fee to disclose that fact in writing, although it doesn't require them to specify the amount of their markup. The Rule also requires funeral providers to tell you if there are refunds, discounts, or rebates from the supplier on any cash advance item.

The funeral provider must give you an itemized statement of the total cost of the funeral goods and services you have selected when you are making the arrangements. If the funeral provider doesn't know the cost of the cash advance items at the time, he or she is required to give you a written "good faith estimate." This statement also must disclose any legal cemetery or crematory requirements that you purchase specific funeral goods or services.

The Funeral Rule does not require any specific format for this information. Funeral providers may include it in any document they give you at the end of your discussion about funeral arrangements.

Services and Products

Many funeral homes require embalming if you're planning a viewing or visitation. But embalming generally is not necessary or legally required if the body is buried or cremated shortly after death. Eliminating this service can save you hundreds of dollars. Under the Funeral Rule, a funeral provider:

  • may not provide embalming services without permission.
  • may not falsely state that embalming is required by law.
  • must disclose in writing that embalming is not required by law, except in certain special cases.
  • may not charge a fee for unauthorized embalming unless embalming is required by state law.
  • must disclose in writing that you usually have the right to choose a disposition, like direct cremation or immediate burial, that does not require embalming if you do not want this service.
  • must disclose in writing that some funeral arrangements, such as a funeral with viewing, may make embalming a practical necessity and, if so, a required purchase.

For a "traditional" full-service funeral:

A casket often is the single most expensive item you'll buy if you plan a "traditional" full-service funeral. Caskets vary widely in style and price and are sold primarily for their visual appeal. Typically, they're constructed of metal, wood, fiberboard, fiberglass or plastic. Although an average casket costs slightly more than $2,000, some mahogany, bronze or copper caskets sell for as much as $10,000.

When you visit a funeral home or showroom to shop for a casket, the Funeral Rule requires the funeral director to show you a list of caskets the company sells, with descriptions and prices, before showing you the caskets. Industry studies show that the average casket shopper buys one of the first three models shown, generally the middle-priced of the three.

So it's in the seller's best interest to start out by showing you higher-end models. If you haven't seen some of the lower-priced models on the price list, ask to see them — but don't be surprised if they're not prominently displayed, or not on display at all.

Traditionally, caskets have been sold only by funeral homes. But more and more, showrooms and websites operated by "third-party" dealers are selling caskets. You can buy a casket from one of these dealers and have it shipped directly to the funeral home. The Funeral Rule requires funeral homes to agree to use a casket you bought elsewhere, and doesn't allow them to charge you a fee for using it.

No matter where or when you're buying a casket, it's important to remember that its purpose is to provide a dignified way to move the body before burial or cremation. No casket, regardless of its qualities or cost, will preserve a body forever. Metal caskets frequently are described as "gasketed," "protective" or "sealer" caskets. These terms mean that the casket has a rubber gasket or some other feature that is designed to delay the penetration of water into the casket and prevent rust. The Funeral Rule forbids claims that these features help preserve the remains indefinitely because they don't. They just add to the cost of the casket.

Most metal caskets are made from rolled steel of varying gauges — the lower the gauge, the thicker the steel. Some metal caskets come with a warranty for longevity. Wooden caskets generally are not gasketed and don't have a warranty for longevity. They can be hardwood like mahogany, walnut, cherry or oak, or softwood like pine. Pine caskets are a less expensive option, but funeral homes rarely display them. Manufacturers of both wooden and metal caskets usually offer warranties for workmanship and materials.

For cremation:

Many families that choose to have their loved ones cremated rent a casket from the funeral home for the visitation and funeral, eliminating the cost of buying a casket. If you opt for visitation and cremation, ask about the rental option. For those who choose a direct cremation without a viewing or other ceremony where the body is present, the funeral provider must offer an inexpensive unfinished wood box or alternative container, a non-metal enclosure — pressboard, cardboard or canvas — that is cremated with the body.

Under the Funeral Rule, funeral directors who offer direct cremations:

  • may not tell you that state or local law requires a casket for direct cremations, because none do;
  • must disclose in writing your right to buy an unfinished wood box or an alternative container for a direct cremation; and
  • must make an unfinished wood box or other alternative container available for direct cremations.

Burial Vaults or Grave Liners

Burial vaults or grave liners, also known as burial containers, are commonly used in "traditional" full-service funerals. The vault or liner is placed in the ground before burial, and the casket is lowered into it at burial. The purpose is to prevent the ground from caving in as the casket deteriorates over time. A grave liner is made of reinforced concrete and will satisfy any cemetery requirement. Grave liners cover only the top and sides of the casket. A burial vault is more substantial and expensive than a grave liner. It surrounds the casket in concrete or another material and may be sold with a warranty of protective strength.

State laws do not require a vault or liner, and funeral providers may not tell you otherwise. However, keep in mind that many cemeteries require some type of outer burial container to prevent the grave from sinking in the future. Neither grave liners nor burial vaults are designed to prevent the eventual decomposition of human remains. It is illegal for funeral providers to claim that a vault will keep water, dirt, or other debris from penetrating into the casket if that's not true.

Before showing you any outer burial containers, a funeral provider is required to give you a list of prices and descriptions. It may be less expensive to buy an outer burial container from a third-party dealer than from a funeral home or cemetery. Compare prices from several sources before you select a model.

Preservation Processes and Products

As far back as the ancient Egyptians, people have used oils, herbs and special body preparations to help preserve the bodies of their dead. Yet, no process or products have been devised to preserve a body in the grave indefinitely. The Funeral Rule prohibits funeral providers from telling you that it can be done. For example, funeral providers may not claim that either embalming or a particular type of casket will preserve the body of the deceased for an unlimited time.

Make copies of this page and check with several funeral homes to compare costs.

“Simple” disposition of the remains:

Immediate burial __________

Immediate cremation __________

If the cremation process is extra, how much is it? __________

Donation of the body to a medical school or hospital __________

“Traditional,” full-service burial or cremation:

Basic services fee for the funeral director and staff __________

Pickup of body __________

Embalming __________

Other preparation of body __________

Least expensive casket __________

Description, including model # __________

Outer Burial Container (vault) __________

Description __________

Visitation/viewing — staff and facilities __________

Funeral or memorial service — staff and facilities __________

Graveside service, including staff and equipment __________

Hearse __________

Other vehicles __________

Total __________

Other Services:

Forwarding body to another funeral home __________

Receiving body from another funeral home __________

Cemetery/Mausoleum Costs:

Cost of lot or crypt (if you don’t already own one) __________

Perpetual care __________

Opening and closing the grave or crypt __________

Grave liner, if required __________

Marker/monument (including setup) __________

  • The FTC Funeral Rule
  • Types of Funerals
  • Choosing a Funeral Provider
  • Buying a Cemetery Site
  • Planning Your Own Funeral
  • Funeral Terms and Contact Information

site image

1-208-882-4534

  • Our Facility
  • Why Choose Us
  • Privacy Policy
  • Pre-Arrangements
  • Pre-Arrangements Form

The Talk of a Lifetime

  • Veterans Overview
  • Veterans Headstones
  • Veterans Burial Flags
  • Making Arrangements
  • Grief Support
  • When Death Occurs
  • Funeral Etiquette
  • Social Security Benefits
  • Frequent Questions
  • Links of Interest

Meaningful memorialization of a loved one’s passing can transform, heal, and comfort us. It highlights our loved ones’ sacrifices, reminds us of the things that they value, and inspires us with their life stories.

Have the Talk of a Lifetime, a program created by The Funeral and Memorial Information Council, was designed to help families have meaningful conversations about the things that matter most in their lives. These discussions can give important insights to the people they left behind — insights that can be used to honor and remember the lives of their loved ones.

Why is having the talk of a lifetime important?

Although we might have daily conversations with our loved ones, the most meaningful and deep ones don’t always happen. Having this kind of conversation can make a huge difference — it can help us see our loved ones in a different and more positive light, it can teach us valuable lessons, it can give us a clearer picture of the things they love, it can bring us closer together, and it can help us reaffirm to them how much we love them.

Who should have the talk?

We could have the talk of a lifetime with anyone we value, cherish, and love. It could be our grandparents, our parents, our siblings, our uncles and aunts, our cousins, our spouse, our children, our grandparents, or our friends. It also doesn’t have to be done only when we feel we are or someone we love is at the end of their life. We’ll never really know what the future holds, so let us take the opportunities we still have with them while we still can.

How do we start the talk?

We shouldn’t really wait for a special moment to start having these kinds of talks. We can do it anytime and anywhere, when we and our loved ones are comfortable — at home while we’re having meals together,out for a walk, gathered as a family, or playing games.

We could also sometimes start with visual prompts, like a photo or an entire photo album, a memento, or a souvenir. We can open up about past experiences while we’re at memorable place, such as  a church, a favorite restaurant, or an old park. These can be great ways to start a story.

May we always treasure every moment of our lives and have meaningful conversations with the ones we love. 

A year of daily grief support

Our support in your time of need does not end after the funeral services.  Enter your email below to receive a grief support message from us each day for a year.  You can unsubscribe at any time.

IMAGES

  1. Pro Funeral Home Business Plan Template

    funeral services business plan

  2. How to Write A Business Plan for a Funeral Home

    funeral services business plan

  3. Pro Funeral Home Business Plan Template

    funeral services business plan

  4. (DOC) HOPE LIFE FUNERAL SERVICES BUSINESS PLAN

    funeral services business plan

  5. Pro Funeral Home Business Plan Template

    funeral services business plan

  6. FREE 12+ Sample Funeral Service in PDF

    funeral services business plan

COMMENTS

  1. Funeral Home Business Plan Template [Updated 2024]

    Traditionally, a marketing plan includes the four P's: Product, Price, Place, and Promotion. For a funeral home business plan, your marketing strategy should include the following: Product: In the product section, you should reiterate the type of funeral home company that you documented in your company overview.

  2. Funeral Home Business Plan Template [2024 UPD]

    2.1 The Business. James Funeral Home will be a licensed and registered funeral home based in San Antonio. The business will aim at performing all the funeral rituals including bathing and enshrouding, burial, cremation, etc. Moreover, the business will also provide catering services and transportation.

  3. Funeral Home Business Plan Example

    The industry average gross margin for a funeral home is 62.5 percent. The funding of $225,000 requested in this plan is projected to result in an annual net profit of approximately $194,000 in the Center's fourth year of operation, with subsequent increases annually due to inflation.

  4. How To Write A Winning Funeral Home Business Plan + Template

    The executive summary of a funeral home business plan is a one- to two-page overview of your entire business plan. It should summarize the main points, which will be presented in full in the rest of your business plan. Start with a one-line description of your funeral home company. Provide a short summary of the key points in each section of ...

  5. The #1 Funeral Home Business Plan Template & Guidebook

    How to Write a Funeral Home Business Plan in 7 Steps: 1. Describe the Purpose of Your Funeral Home Business. The first step to writing your business plan is to describe the purpose of your funeral home business. This includes describing why you are starting this type of business, and what problems it will solve for customers.

  6. How to Start a Funeral Home

    Start a funeral home by following these 10 steps: Plan your Funeral Home. Form your Funeral Home into a Legal Entity. Register your Funeral Home for Taxes. Open a Business Bank Account & Credit Card. Set up Accounting for your Funeral Home. Get the Necessary Permits & Licenses for your Funeral Home.

  7. Funeral Home Business Plan Fully Customizable

    A funeral home business plan is a document that outlines detailed information on the services offered by the business, market analysis, management strategies, personnel policies, budget and financing plans, and other relevant topics. The plan should provide a roadmap for the business to follow to successfully operate, grow, and remain ...

  8. How to Start a Funeral Home

    Step 2: Develop a Funeral Home Business Plan. A business plan is one of the most important steps in starting any business. Developing the funeral home business plan forces you to think through your business concept and other aspects to help you make your business a success including the following sections: Company Analysis - you will document ...

  9. PDF Funeral Home Business Plan Example

    John's Funeral Homes is a registered and licensed funeral home business that will be located in the heart of Cape May - New Jersey in a neatly renovated and secured housing facility; a facility that is specifically designed and equipped with the needed facility for a world-class funeral home services. To unlock help try Upmetrics! .

  10. Your Ultimate Guide: How to Start a Funeral Home Business

    Map Out Startup Costs and Business Financing. While startup costs can be intimidating, it's important to remember the financial upside of running a funeral home. Funeral home businesses typically service around 120 funerals per year, with each of those funerals costing around $7,000 to $10,000 for families. Based on that data, funeral homes generate anywhere from $1.5 million to $2 million ...

  11. Breaking Down the Funeral Business Lifecycle

    Funeral Home Business Plan. In any industry, purchasing a business requires careful consideration of budgets, staffing, and growth initiatives. In addition to these concerns, the death care industry comes with the challenge of serving populations in times of emotional duress. Because of this, customer service should be at the forefront of your ...

  12. 2024 Guide: How to Start a Successful Funeral Home

    Step 2: Hone Your Idea. Now that you know what's involved in starting a funeral home, it's a good idea to hone your concept in preparation to enter a competitive market. Market research will give you the upper hand, even if you're already positive that you have a perfect product or service.

  13. Funeral Home Business Plan [Sample Template]

    A Sample Funeral Home Business Plan Template. 1. Industry Overview. A funeral home which can also be referred to as a funeral parlor or mortuary is a business that basically provides interment and funeral services for the dead and their families; these services may include a prepared wake and funeral, and the provision of a chapel for the ...

  14. A 3-Year Financial Plan For A Funeral Home Business

    Your financial plan will help you grasp the costs involved - such as purchasing or leasing a facility, acquiring funeral vehicles, caskets, and other necessary equipment, initial staffing expenses, and marketing. It's like assessing your resources and budget before embarking on a sensitive and important service.

  15. Craft an Effective Funeral Services Business Plan: 9 Steps Checklist

    Welcome to our blog post on how to write a business plan for funeral services! The funeral services industry in the US is continuously growing and presents a unique opportunity for entrepreneurs seeking to provide support and comfort to grieving families. According to recent statistics, the industry generated over $17 billion in revenue in 2020, with an annual growth rate of 3.5%.

  16. Sample Funeral Home Service Business Plan

    Executive Summary. Founded in 2007, Whitewalkers funeral home offers several funeral-related services. These include embalming of corpses, dressing, and provision of caskets, memorial materials, and urns amongst other services. This business is run by Mr. A. Whitewalker and family, who bought the business from the Blakes about 5 years ago.

  17. Funeral Home Business Plan: Guide & Template (2024)

    This is the standard funeral home business plan outline which will cover all important sections that you should include in your business plan. Executive Summary. Mission Statement. Vision Statement. Keys to Success. Financial Summary. 3 Year profit forecast. Company Summary. Startup Summary.

  18. Starting Funeral Home Business Plan (PDF)

    The salaries of all your staff should be included in the funeral home business plan. Market. The market for funeral services is always there as people are always dying every day. However you need to understand your local market and trends. ... Funeral Home Business Plan Funding/Bank Loan Version- Editable Word File (Short version for applying ...

  19. HOPE LIFE FUNERAL SERVICES BUSINESS PLAN

    The purpose of this business plan is to raise R750000, 00 for the development of a funeral home while showcasing the expected financials and operations over the next three years. Hope Life Funeral Services is located in Burgersfort in the valley of the Spekboom River at the edge of the Bushveld complex in the Greater Tubutse municipality, near ...

  20. Frequent Questions

    Frequent Questions - Short's Funeral Chapel offers a variety of funeral services, from traditional funerals to competitively priced cremations, serving Moscow, ID and the surrounding communities. We also offer funeral pre-planning and carry a wide selection of caskets, vaults, urns and burial containers.

  21. Funeral Costs and Pricing Checklist

    For a "traditional" full-service funeral: A casket often is the single most expensive item you'll buy if you plan a "traditional" full-service funeral. Caskets vary widely in style and price and are sold primarily for their visual appeal. Typically, they're constructed of metal, wood, fiberboard, fiberglass or plastic.

  22. Making Arrangements

    We will make every effort to accommodate your needs. Call us at 1-208-882-4534 if you would like to review any of our product catalogs. Burial Caskets. We offer a vast selection of burial caskets made from various woods, metal and steel. You can choose from many different styles and we offer a range of price points.

  23. Pre-Arrangements

    Pre-payment of funeral services is encouraged because it relieves loved ones of responsibility, but it is not required. Our pre-planning form is the simplest, quickest way to tell us about your funeral preferences. Online Pre-Arrangements Form. If you would prefer to print and mail the form instead, you can use the link below.

  24. The Talk of a Lifetime

    The Talk of a Lifetime - Short's Funeral Chapel offers a variety of funeral services, from traditional funerals to competitively priced cremations, serving Moscow, ID and the surrounding communities. We also offer funeral pre-planning and carry a wide selection of caskets, vaults, urns and burial containers.