Here’s what we know as fact: sometimes the families sitting down with a funeral director to plan a loved one’s funeral have no idea how they’re going to pay for the service. It could be because they’re affected by what’s being called ‘funeral poverty’, which occurs when the cost of a loved one’s funeral is simply beyond a family’s ability to pay. (Source)
The phrase may have been coined in the United Kingdom, but the problem isn’t confined to that part of the world; it’s also a phenomenon here in the United States. As of 2015, almost 14% of Americans lived in poverty in the United States–and another 33% of the population lived close to poverty. (Source)
Add to that the fact in September of this year; CNBC reported only about 20% of Americans regularly put money into savings for a ‘rainy day’; all of which means there are a whole lot of families in the U.S. without the financial resources to pay for a funera.l (Source)
In cases like this–in truth, in most cases–offering point-of-sale financing alongside your other payment options can be a really big help during what is already a difficult time. But does point-of-sale financing make a difference for a funeral director or funeral home owner? The answer is a resounding “Yes!”
- With point-of-sale financing, you’re guaranteed payment – there are no receivables or bad debts. That’s a strong benefit; bad debt can ruin your reputation, badly impact your financial books, make it difficult to secure financing or lines-of-credit–and may even bankrupt your funeral home.
- Funds are deposited directly into your business account within days. Electronic banking allows for the speedy transfer of service-related funds, guaranteeing the family the funeral they wanted and ensuring your vendors or suppliers are paid on schedule.
- Your funeral home will lose fewer cases to underbidding competitors. In this time of price shopping and savvy consumers, underbidding can be a real problem for funeral home owners these days. Point-of-sale financing means fewer families will choose to walk out your door to do business elsewhere.
We think the families you serve deserve to have as many financing options as possible, including point-of-sale financing. And you deserve to be paid promptly for the services rendered. Chances are you agree with us. That’s why we’re inviting you to explore the idea further by reading “How Point-of-Sale Financing Helps Funeral Directors” (and don’t forget to download our free guide, “Funeral Director’s Guide to At-Need Financing”). We think your families (and your accountant!) will thank you.