Crematory investments & Green cremations
Crematory investments for Funeral homes and existing Crematoria are expected to update their facilities and add new cremation equipment for a energy efficient working crematory. Funeral homes can have a updated look to attract new families and their deceased loved once. Many crematory business owners are also looking to offer a new experience to their customers by increasing high service options and adding new human cremation equipment. If you would like to increase your business by adding cremation services, there are important considerations to keep in mind for your up-to-date crematorium. Read more about investing in your crematorium
Plan for your Crematory Future
Around the world, cremations become increasingly more popular even the prepaid technical cremations. As a funeral home / crematory owner, you have the option to preform only a technical cremation or have the full service funeral in-house. When weighing the financial impact on your business. You can consider a loan payment for the new cremation equipment and construction or a lease payment, any additional staffing and inventory needs versus the revenue generated from the funeral / cremation services. Compare the figure to generated revenue when outsourcing the cremation and run financial projections to see what will benefit your business in the long-term. If you decide adding a crematory to your funeral home your best option is, to prepare the financial plan, any construction that is needed to the building and how to communicate your new services to your community.
Lease or Purchase the Cremation Equipment?
When your funeral home needs new cremation equipment, you have the option to purchase or lease. Depending on your financial needs, both options come with advantages. Leasing a crematory offers the advantage of no required down payment. You are also not bound by any personal guarantees, collateral or lien requirements. It may also be easier to qualify for a lease than to get a loan of the full sum. However, lease payments may hinder your cash flow, so it is important to consider financing the purchase of new cremation equipment.
Business loans for purchasing a crematory is typically a longer loan term, meaning you have lower monthly payments and more time to pay off the debt. You also have the flexibility to add working capital if you need to increase staffing or to make your facility update. When considering a crematorium business loan, think about your market’s preferences. Should you add a viewing area? Do you need extra space to display rental caskets? Working with a lender who understands the industry and can include the crematory purchase and or other financial needs into one loan may be your best option.
Do your Homework in your Area
The use of cremation gains popularity, more and more communities are increasingly concerned about emissions from crematories. This has created resistance in various communities across the country. This can be fixed when you choose for a cremation filter installation. This is extra money that makes your crematory a green one! In Europe crematoria has to have a filter systems therefore Europe is the greenest when it comes to “green cremations“.
Ordinances are typically designed and enforced under different local jurisdictions. Be sure to check your local ordinances before you are too far along in the process. If you have multiple locations, decide if each location is in need of a crematory or if one location can service them all. Also take note of any building or structural changes your funeral home may need to add the crematory some jurisdictions will require approval for seemingly small changes that are made.
Improve Cash Flow by Refinancing
As an crematorium investor in your business, you want to look for ways to financially improve your cremation business. How can you serve your customers better while also boosting profits? Are there new ways to generate additional revenue? There are enough questions that needs to be answered before you can improve your business. One way to improve cash flow without making drastic changes is to refinance existing debt. When you seek a loan for a 20-30 year term, no payments and competitive interest rates. By comparing your current monthly payment to what your new monthly payment could be, you can see if refinancing will free up cash for your business. These monthly savings provide an opportunity to make improvements to your funeral home, to increase marketing efforts or expand your business. Or seek a partnership with the manufacturer of your cremation equipment. And ask them to advertise together so that you can be a reverence for them. If you are considering adding a crematory to your funeral home in the next few years, refinancing debt now will allow you to save and put money towards the purchase.
Create a Sales Strategy for New Cremations
As you plan to add a crematory and new services, create a marketing and sales strategy to make the most of your investment. Research the local competing funeral homes to find how yours can stand out. Study their marketing strategies, branding, equipment and types of services offered. Also pay attention to the needs and requests of families you serve for new offering ideas. As extra we belief that it’s more and more about nature and energy efficiency. Here in Europe we store all heat that comes from a cremation process into the ground. So that this stored energy can be used for other purposes. There are so many ways to make a energy efficient and green crematory.
In addition to bringing awareness to your new services, it is vital that your sales team can explain the value of both traditional burial and cremation, as well as the services surrounding them. Does your staff offer a service with a rental casket as addition to a cremation? Are receptions and celebration services fully explained? Utilize industry research and sales strategies to ensure your staff is meeting the needs of families. Advertise any unique extra services you have introduced. Put in place a solid crematory social media marketing strategy. You can create a Facebook business page that regularly provides educational posts. Traditional marketing channels including radio, TV and newspaper ads can help you reach a demographic who may not be as active on the Internet.
Just Buy Cremation Equipment is our Conclusion
As a funeral home owner and future crematory owner, you must invest in your business to have future success. The increase in cremation has required many funeral home owners to adjust their business strategies. By creating more options and providing a better experience for families, you can grow your business. In financing terms to purchase cremation equipment, expand, refinance and renovate can help you reach your business goals. If you have questions on where to begin, or how financing? We can help you get started, contact us.