To Sell or Not to Sell Your Funeral Home

by
with no comment
Uncategorized

Deciding to Sell Your Funeral Home

Deciding to sell your funeral home is one of the biggest decisions you will ever make for your business. A lot is at stake. You’ve worked for years to build your business. Selling is a way to reap the harvest of all your hard work.

Yet all too often, owners of private companies enter the selling process without proper preparation. They’re not ready for the complexity of the logistical and emotional issues they will face.
Which is why asking “Should I sell?” is perhaps the wrong question. It frames the situation incorrectly because it ignores a key factor: You will sell your business at some point.
It might not be this year; it might not be for a long time. But at some point most funeral home owners sell their business, whether it is to family, employees or an outside buyer.

Thus, it’s not a question of if you want to sell, but “How can I control the process?” and “When is the best time to sell?” Whether you think you are close to selling or not, the decision to sell your funeral home be reviewed periodically.

family in front of new home

Control the Timing

Selling a business is like being a farmer. You prepare for the moment of harvest, but you don’t control the timing. You wait until the moment is right — the crop is ready, the weather is good, the crew assembled — and you seize the moment.
Turning to the general economy first, it’s not surprising that the best time to consider selling a business is when the economy is doing well, during a period of sustained growth, low unemployment, a positive trade balance and a rising stock market. General economic growth and a robust market for business acquisitions generally track each other.
These market perceptions also apply to specific industries. When an industry shows steady growth and the prospects are for this trend to continue, all companies in the industry benefit.
The most vital factor affecting the timing of a sale is the trend for your company. A company that is profitable, growing and that can show prospects for future growth will be more attractive to a buyer than one that is on a downward slide or that is in trouble.

If you can show that your business is healthy and that it has potential for future growth opportunities, you are selling a positive future and can command a good price. A steady pattern of growth and profits is likely to convince a buyer that these trends will continue. Considering the value of your business well before you intend to sell gives you plenty of time to fix problems so that when it is time to sell you can present a healthy company and good prospects for the future.

Conditions in the overall economy, in the funeral home industry, and growth trends in your company are largely out of your control. Yet these factors are vital to a successful sale. Although you can’t control them, you can prepare and then watch the external trends. When conditions are on the upswing, you’ll be ready to seize the opportunity. 
Tags: No tags

Add a Comment

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