Archive

Tag Archives: At Need Credit

The King and I II

May 2nd began new era for me; I am now the Director of Marketing for The Foresight Companies. Over the last 2 months, Dan Isard and I have conducted in-depth due diligence, meetings, sharing of philosophies concluding that this opportunity is right for both of us.  Learning from Dan as an understudy and gleaning from his vast 30 years of funeral consulting expertise is indeed a fantastic opportunity.

Fortunately, I am not only  going to get a PhD in funeral consulting, I also broaden the platform of reach through The Funeral Commander blog  as well as the Funeral Nation TV with my co-host and social media expert Ryan Thogmartin continuing to “raise the flag” for our industry.  Additionally, the At Need Credit company fits nicely into The Foresight Companies wheel house especially with our Simple Funeral Payment Plan software platform to clean up accounts receivable for funeral homes.

Yes, this a significant change and commitment for both of us.  Dan shaped up his intention for my future in an early email to me: “It was a story told that the young Egyptian kings would eat the eyes of the former king so that the young king would have seen all that their predecessor did.  I am better today at what I do based on what I have seen for 30 plus years.  I have to try to pass that on to my protegé as quickly as possible.”

So there you have it. I’m in the process of fantastic professional growth and educational experience.  If you know both Dan and I , you will also know that our wit and humor are aligned (see Funeral Nation TV Episode #30 to get a flavor of how we are working together. So when you see Dan at future conferences and conventions, take a few moments to ask him what type of service dog he is training with. As for me I’m studying exactly which rum pairs well with eye balls.

From the new Command Post (west) and in dire need to find a cigar lounge that I can work from, Cheers Y’all! #thefuneralcommander

 

 

 

12bgps

US funeral homes are owed over $300 million for services and products already provided. Let that sink in. Just this past week I was made privy to a firm that has over $500,000 of accounts receivable. If you are a funeral director that proclaims “I’m here to serve families and I don’t talk about money,” then you have an owner in dire need of a spine implant or major cajones attachment surgery.

The ridiculous notion of allowing such behavior is squarely the fault of funeral home ownership and management.  Why is there over $300 million owed to funeral homes? Because funeral home owners and managers allow the inmates to run the asylum by not training, monitoring, measuring, and continuously improving their staff. Apparently the pain of not getting paid for services rendered isn’t near the pain of leadership by training and holding funeral directors accountable for their actions.

If you are a funeral director reading this and your firm has accounts receivable, then you are the problem  (make sure your owner doesn’t see this post).  If you are a funeral home owner/manager and your firm has accounts receivable and you are reading this, I give you two options:

  1. Take charge and lead your funeral directors with training to resolve your AR problems.
  2. Do nothing and allow your funeral directors to run your business out of business.

If number one above looks palatable and you don’t have the ability or the capacity to effect this change, then email me jeff@atneedcredit.com. If you think number two is your best option, then I have a question for you: How do you stand up without a spine?

Yep, I’m clearly on the battlefield today and loving the smoke of combat. Remember, I’m not going to tell you to go to hell, I am however, going to tell you the truth and it feels like hell. For those of you that feel like hell, Cheers Y’all! #thefuneralcommander

10nt5i (1)

Quick question:  How much do you currently have in your firm’s Accounts Receivable?  What could you buy right now for your business if that money was in your bank account?  New computers?  A new hearse?  A total remodel?   A new location?  If your funeral home has accounts receivable, your payment policy (immune system) is broken and your firm is suffering from a serious disease.  What I find astounding is that some funeral homes don’t know they are sick.  People die every day because they failed to get regular check-ups and pay attention to their health.  When the news strikes and depending on the stage of the disease, it is sometimes too late for any treatments or even surgery.

Funeral home owners are no different. Ignoring the very information in front of their face; accounts receivables.  I talked to an owner recently with over $300,000 owed for services and products already provided!  The average funeral home has $17,000 in AR’s…folks that over $300,000,000 (three hundred million for those of you that “don’t do numbers, we just serve”) that is due for hard work.

Get a financial check-up.  If you have any money due over 30 days, you’re sick.  It may be a cold (a small amount) or full blown stage 4 cancer.  At Need Credit has the cure, you just have to take your medicine.  Simple Funeral Payment Plan is easy and the technology is far better that poor Mrs. Edna sending out those letters from the book of promises every month, but few checks coming in return.  It’s just that simple, why won’t you do something to make it better?

From out west in Sunny Scottsdale (yes, I’m in training), Cheers Y’all! #thefuneralcommander

 

 

Today, we’d like to a moment and share a recent interview with AtNeedCredit.com managing partner, Jeff Harbeson.

Jeff has been in the funeral industry for many years, has founded or co-founded numerous funeral-related businesses and websites and shares valuable insights from his experience.

He regularly contributes his expertise to publications, both offline and online, is co-host of Funeral Nation TV (an online show for the funeral industry) and writes regularly on his blog, The Funeral Commander. We welcome Jeff Harbeson to the CareCap blog.


 

Ed:  Thanks for joining us today, Jeff, on the CareCap blog.  So, can you tell us a little about yourself and your background? What’s your story?

Pull-Quote-Jeff-Harbeson-01-768x768Jeff:  My story has many chapters and the story is ongoing.  The most important chapters are my marriage to my wife Jacque for 32 years.  Bless her heart, she deserves a special place in heaven!  We have two fantastic sons Hunter (off my payroll) and Jackson (finishing high school). 

Often folks ask what I do, and my response is: 

“I am raising my daughter-in-law’s husband and my grandchildren’s father.  My work is merely a support for their well-being and my habits (cigars, rum, golf and travel).” 

Ed:  (LOL) Well, that’s a pretty great answer, I can tell you have a healthy sense of humor. similar to my father- he served in the Navy for 20+ years, but I know you were an Army man, so I’m sure you’d still all get along! How long were you in service to your country?

Jeff:  I was honored to serve our country for 20 years in the Army including deployment to the Middle East for service in Operation Desert Storm.  I was trained to be a leader and had the opportunity to be a TAC Officer (drill instructor) at Officers Candidate School where I trained over 400 enlisted and non-commissioned officers to become combat leaders, some still serving today.

My official retirement papers came September 11, 2001 and I retired as a Captain.  I have a personal mantra of “A vision is only a dream without execution” and a gift of working alongside some very smart people.

Oh yeah, I also don’t want to leave out that I’m not going to tell you to go to hell, but I’ll tell you the truth, which may feel like hell! J And I expect the same from those around me that I place my trust and emotional equity.

Pull-Quote-Jeff-Harbeson-02-768x768Ed:  Well, that’s a no-nonsense approach to life and in doing business, one that I can appreciate. So, after your time serving in the military, how did you get started in the funeral industry and what drew you to it?

Jeff:  My original start in the funeral industry was as a manufacturer providing custom made cremation cabinets in Ireland.  I learned quite a bit about the landscape and was later recruited by Batesville Casket Company in sales.

As I worked with funeral home owners, I was astounded at the lack of business acumen and leadership that was pervasive in the industry. 

Many times I was told by funeral home owners and directors alike “we have always done in this way” and “you can’t change that.”

So after dealing with those challenges in the funeral industry, I decided that I would create an entirely different funeral home operating platform using six-sigma methodology which is today trademarked as TouchPoints.

Later on, some partners and I started our own funeral service provider brand in Virginia from the ground up, Family Choice Funerals & Cremations.

As a partner/owner I was provided a fantastic education and training of how to develop a successful business.  The funeral home operation also provided me a platform for trying new theories of service, marketing, technology and management.

I have a penchant to provide information so that families can make an educated funeral decision and our team is dedicated to continuous improvement.

Full-Width-Pull-Quote-Jeff-Harbeson-01-1024x427

 

Ed:  After recognizing these challenges in the funeral industry and what you’re seeing on the market today, what are some of the top things funeral homes are seeing as advancements or trends?

Certainly, technology and communication has changed the funeral home operating landscape and the expectations of the funeral consumer.  As a whole, funeral homes are reluctant and slow to embrace anything new.  To their detriment, this legacy characteristic offers entrepreneurs like me to take competitive advantage.

Our funeral homes use computers and tablets for all operations,which eliminates waste in human resources expense, such as administrative staff. Combining technology with social media is a tremendous advancement for our industry; however, the vast majority of funeral homes have not embraced the opportunities.

Another example of keeping up with consumer expectations is an online cremation service called Select Cremation that our team developed, which allows a funeral consumer to make complete arrangements for their loved one online and the cremated remains delivered to their house without ever leaving their comfortable surroundings.funeral-nation-tv_300x300

The way we communicate even within our industry is changing, for example I co-host an online show Funeral Nation TV which is viewed by over 20,000 people monthly in over 75 countries.  Frankly, it’s the best FN thing going in the industry 😃.

Ed:  It sounds like you’ve got a great handle in developing a strong online presence and embracing technology to share your challenges, success stories, etc. within your industry, great work!

With so many changes in technology and communication coming at us so fast in the business world, what would you say is the #1 business challenge funeral directors are facing today?

Jeff:  The lack of leadership of doing “the business of the business.”

Funeral professionals are compassionate caregivers providing a necessary service at what is considered one of the most difficult events in life; the loss of a loved one.

However, the typical funeral home is poorly managed from the business and financial standpoint.  Failure of owners to take accountability and leadership of their business places many firms in shaky financial postures.

Full-Width-Pull-Quote-Jeff-Harbeson-03

Ed:  I’m sure, as you say, funeral directors face many obstacles to running a funeral business as best as they can, while remaining compassionate to people dealing with a difficult time in their lives.  Speaking of finances, when dealing with consumers and their challenges at covering funeral expenses, how can funeral homes help?

Jeff:  When a deceased person does not have a funded pre-need trust/insurance or little to no life insurance, survivors are placed in a difficult spot.  Many families have limited credit card balances and little to no savings set aside to pay for unexpected funeral expenses.

Most people do not realize that funeral homes as well as cemeteries require full payment prior to services rendered.

at-need-credit-small-logo-768x185

At Need Credit offers Funeral Directors two payment options for consumers, for funeral homes to recover their costs for goods and services.

FuneralPayPlan (info available at AtNeedCredit.com) is an online loan company providing funeral consumers loans for funeral expenses.  Simple Funeral Payment Plan, powered by CareCaps (also found at AtNeedCredit.com) is a versatile payment plan for funeral directors to bill payments over time as well as recover accounts receivable due.

Of course, funeral home owners must be proactive in training their funeral directors on how to assist families that have financial challenges.

At Need Credit offers such training that eliminates discounting and extraneous accounts receivable work.  Yet again, it takes leadership to make changes.

Ed:  Do you see any drawbacks to any of the payment options currently available to the funeral industry, such as At Need Credit?

Jeff:  There is no downside to funeral homes offering payment plans through a program such as At Need Credit.

However, if funeral homes offer credit or payment plans that charges interest, they are most likely out of federal lending compliance.  When a loan is offered (payment plan, credit or accounts receivable recovery) consumers must be provided with a Truth-In-Lending Act statement as well as calculated Annual Percentage Rates, at the time of application.

I have yet to see a funeral home in compliance of these regulations, thus a third party company like At Need Credit is their best option.

Ed:  It’s clear that every business, including the funeral industry, needs to be compliant when offering financing and that by contracting with a third party to handle payment options, they can avoid the finance compliance issues.  In terms of searching for a third party funeral financing or payment plan solution, what type of advice would you offer to a Funeral Director when he/she is evaluating a payment solution for their business?

Funeral directors should research what others are saying about the payment platform, the tool should offer the ability to create and modify customized payment plans, ensure that deposits can be paid out quickly and that they doesn’t aren’t charged unusually high or unnecessary start up fees.

I’d recommend they also go through a full demo of the payment system, to test out the system before implementing in the funeral home business.

Lastly, select a company that has established and updated training for funeral directors, in order to understand how to offer payment plan options during the funeral arrangement session.

Ed:  You’ve owned, operated and managed many funeral industry-related businesses. What advice would you recommend for a family planning a funeral in today’s environment?

I would recommend to everyone they discuss their own end-of-life wishes with family members.  Although this may sound odd, it can be enlightening and provide impetus to collect necessary documents (life insurance policies, wills, advance medical directives, DD-214, etc.) and at least know the location of these important documents, in case of an unexpected death. 

Humor makes the conversation so much easier.  Discussing outfits, after parties and other events often leads to more important matters. 

Full-Width-Pull-Quote-Jeff-Harbeson-03

I have personally planned my event in Aruba at the Bugaloe Beach Bar headed by my Italian Catholic, Southern Baptist and Jewish funeral director friends leading the bereaved with cigars and lots of rum.  Sounds like a hell of a sendoff, huh? 

Unfortunately, we cannot predict death, especially when we lose those that are younger than us.  Just recently I had such an experience and shared the story on my blog: https://thefuneralcommander.com/2015/11/24/its-personal-grief-grace-gratitude/.

Ed:  Your event you have planned in Aruba, definitely sounds like a hell of a way to celebrate your life!

And I definitely agree with what you recommend, that people take the time to discuss and notate what their end of life wishes should be.  Too many times, friends or family members pass away and we as the survivors, face challenges and awkward moments planning and carrying out what we think are the best wishes on their behalf.  Your advice of taking care of creating and managing the necessary documents is something that might be a challenge at first, but important to do so for the sake of our loved ones.

Thanks so much for your time and sharing your story and advice from your years in the funeral business and serving our country in the military; do you have any last words you’d like to share with our readers as we sign off?

I would encourage everyone to take each day as a gift and love deeply those closest because tomorrow may not come.  Plan, talk, laugh and love.

Full-Width-Pull-Quote-Jeff-Harbeson-02

Ed Bisquera

Digital Marketing Consultant at Bisquera Digital
Ed is a guest author on the CareCap blog, providing articles and tips to businesses on using digital marketing tactics to gain more customers. You can reach him on Twitter or LinkedIn or post in the comments section below. Disclaimer: Views and opinions expressed in this article are those of the author and do not necessarily reflect the official corporate policy or position of CareCap.

Remedy 2

When funeral home owners and managers are challenged regarding their failed payment policy of collecting funds for their goods and services, finger-pointing begins.  Often I hear “Once that arrangement door closes, there is not much I can do” and “We have a payment policy, but funeral directors are just not following it” along with other nonsensical gibberish. When statements are made like this I think about the old saying “The inmates running the asylum.”

I had the opportunity to present a Continuing Education Unit over the weekend at Tidewater Community College on the subject “Cash Flow Solutions for At Need Services.” The attendees were very engaged and truly seeking solutions to create better financial postures and processes of recovering the hard-earned revenues of their respective funeral homes.  The problems can be solved with four steps.

Leadership: Step up and be the leader your funeral directors need and initiate solutions with immediate action.  Any non-action to address failure is failure.

Remedy

Training: Create a training program that is easily adapted, intentional and produces measurable results.  If your funeral home does not have organic competence or experience (most don’t) for training, hire a professional. Interesting in the funeral profession there is much howling of directors “hire professional funeral directors” to consumers rather than use online services, “disposers” or “discounters.” Yet when the same barking ilk are in need of assistance in an area that they possess no background or expertise, they seek remedy’s that rarely produce results by non professions. Some examples: Business Management, Financial Advisory/Oversight, Marketing and Social Media Management.

Remedy 3

Accountability: As a funeral home owner or manager, hold yourself accountable first. If you know there are problems (accounts receivable, discounts, life insurance recovery), then it’ your obligation to raise your hand and ask for help, not the funeral directors or employees.  Once you initiate training, then accountability on all levels may be assigned.

Remedy 4

Monitor/Measure/Improve: Training without monitoring the process, measuring results, and continuous refining is a futile exercise.  In fact, the funeral industry has created the notion that “education/CEU” is sufficient. If that’s the case, why do 30% of our colleagues get repeatedly fined by the FTC for simple GPL violations?

MMI

After reading this post look at your YTD (year to date, you know the start of 2016 to now) accounts receivable and discounts allowed. If you don’t know how to find this data, you are in huge trouble.  If this report reveals any AR balances or discounts given, you are in some trouble because your payment policy does not work. Multiply those numbers x 4 to see how bad your year is going to turn out. If you have $0.00 accounts receivable and have not offered any discounts, congrats as you are among a small few of your peers (or you don’t have a clue and in denial).  Get professional help now, remedies and resources are available but you have to raise your hand (and write a check). Want to know who and how? Contact me.

Look for a BIG announcement from At Need Credit shortly regarding a strategic alliance of funeral industry financial funding leaders forming the most comprehensive solutions group for funeral homes to recover their at need revenues. It’s all about #FNchange, #FNhustle and #FNbrand people!

From the smoke-filled Command Post; Cheers Y’all! #thefuneralcommander

ANC 3

Training funeral directors to proclaim “We are a funeral home, not a bank” is not the solution to get paid for goods and services.  Access to credit for an increasing number of consumers is becoming difficult and funeral homes are not equipped or offering funeral loans. Unfortunately, traditional lenders like banks are not offering funeral loans especially to those who are credit challenged.

The Washington Times reports that the majority, or 56 percent, of consumers have subprime credit scores (below 640), according to a report released (January 2016) by the Corporation for Enterprise Development (CFED), a nonprofit that advocates for policy changes to help low- and moderate-income households. As a result, these consumers are often locked out of the lending markets. And if they are borrowing, chances are they’re missing out on the lowest rates being offered to consumers with stronger credit.  “Bad credit” doesn’t always mean that the consumer does not pay their debts. Credit is a touchy balancing act: a few missed or untimely payments (slow pay) combined with a high debt to low income ratio and the consumer will find themselves in a quick negative credit score spiral.

Yet, family members of the before-mentioned 56 percent are dying and seeking ways to pay for funeral expenses; they can pay, but not borrow money to pay. With a body in building, what do you do?  I have outlined steps previously in posts Funeral Director Training: Secure Payment Before Contract Signed. and Funeral Director Training: “We ain’t got much money.”  Training funeral directors in advance to understand the parameters of your firm’s policy and the tools/services available for them to create a sensible solution for payment is easily accomplished.

Denying the truth doesn’t change the facts. The truth is funeral home owners are not training staff to create solutions for consumers are struggling financially or providing the tools necessary. These facts manifest themselves with discounts of goods and services along with accounts receivable hampering the cash flow of the business. Solutions are available; take a step in the right direction by contacting us at At Need Credit Training to initiate improvement of your financial strength and take charge.  At Need Credit is the only funeral industry company with funeral home leadership and the experience to change your facts. We have some big news on the horizon which will add to our strength as the at need solutions leaders for cash flow in the funeral industry, stay tuned!

From the Command Post, Cheer’s Y’all! #thefuneralcommander

 

 

 

wagmm2

Depending on the zip code funeral directors serve, working with families who are financially struggling is moving from an occasional to a regular occurrence. How is your funeral home training funeral directors to successfully address “we ain’t got much money?” If your funeral home does not reside in such a zip code, then count your blessings. For everyone else, let’s examine how to address this very touchy part of funeral arrangements.

When a loved one dies, most families find themselves suffering anguish from their loss. For a growing segment of consumers, close behind the anguish of loss is the increased pressure of how they are going to pay for the funeral. Training staff for this difficult situation can be proved successful by communicating and creating a solutions .

To start, communication early in the arrangement session is key. The FTC provides us a fantastic tool to address what may be deemed “the elephant in the room.” No matter the preference of the funeral director (development of trust and assurance or collecting important information), prior to discussing services and prices we are mandated to provide the family with a GPL. In case you haven’t noticed, the GPL provides services, products, and are you ready for this; prices (you know, those numbers with a $ in front of them).

Frankly, not addressing this need early on with a family is poor service. Don’t think so?  How many times have you waited to talk about money after complete arrangements have been made by sliding the goods and services statement in front of the decisions makers only then reviewing the bill?  All of a sudden the entire entourage needs a cigarette and a bathroom break returning to tell you that they can’t afford what has been created. You embarrassed them and now you have to start all over again which is a loss of revenue for your time spent, just as a start. This is where everything unravels because many funeral directors will simply offer some kind of discount or claim “we’ll work something out.”  If you sign a contract without securing the payment (see Funeral Director Training: Secure Payment Before Contract Signed), you own this problem.

While proving information about the GPL, consider this language: “The GPL is  just like a menu at a restaurant, it has our services, products, and prices. We don’t charge any more than what’s listed nor do we charge any less. Before we move forward, do you have any questions or concerns regarding our services, products, or prices on our GPL?” From experience, the door has been opened and inevitably the statement “We ain’t got much money” or something similar is floated by the family members in the arrangement session. The response from the funeral director: “How much is not much money? What are your expectations for your loved ones funeral and your financial position to pay for those services?”

If a family states that they desire a “simple funeral” or a “basic cremation” the funeral director should know off the top of their head basic costs. For example: “Our simple funeral with our basic fees (includes staff), transfer from place of death to our care, embalming, casketing, dressing, visitation, interment, funeral vehicles, basic casket and outer burial container is $X,XXX. These costs do not include cemetery costs or cash advances like obituary charges, death certificates or flowers.”  If the family chooses basic cremation: “Our basic cremation includes our basic fees (includes staff), transfer from place of death to our care, embalming, dressing, visitation, a cremation casket, crematory fees and a typical urn is $X,XXX. These costs do not include cash advances such as obituary, flowers, ME fees, and death certificates.”

At this point if the family shares that they do not have enough funds for any of the above, the next logical question from the funeral director: “Share with me your budget and funds available so I may determine what we can provide for you. Please also keep in mind we require full payment prior to us entering an agreement.”  All the cards are on the table. Sometimes, there is not enough for the basics described above. When the family shares their financial position, the funeral director does their job; direct by creating services and products to suit the ability for the family to pay.

Undoubtedly, some readers now are thinking “what if they have no money?” I have been in this business for some time and experienced these very situations. In the six years of our funeral home operations, we have had one family that could not come up with more than $600. Do not compromise. If your funeral home has a “direct cremation” of let’s say $2,000, then that is the cost. In nearly every case, from out of the blue, the funds appear from several sources but mostly other family members. Just this past weekend, a family “had no money” however miraculously, the entire amount was made available prior to engaging in the funeral contract.

Solutions exist to “we ain’t got much money” situations.  However the vast majority of funeral homes fail to train their directors how to solve the problems faced with financially struggling families.  If you knew that you had the cure for cancer, would you tell anyone?  I have the cure for “we ain’t got much money.” You can get a start treatments at At Need Credit Training or just keep letting the cancer continue to eat at your business.

Yep, I’m having a great cigar in the Command Post and watching golf while I compose (go Bubba!). Cheers Y’all…#thefuneralcommander

 

%d bloggers like this: