Acquisitions Anonymous - #1 for business buying, selling and operating - The $599K Cemetery Deal That Could Last 100 Years
Episode Date: June 16, 2026In this episode, the hosts analyze a rural West Virginia cemetery listed for $599,000 that claims more than $10 million in future burial plot revenue—but may take decades to realize its full value.B...usiness Listing – https://www.bizbuysell.com/business-opportunity/10m-built-in-revenue-potential-from-an-established-cemetery/2460309/Welcome to Acquisitions Anonymous – the #1 podcast for small business M&A. Every week, we break down businesses for sale and talk about buying, operating, and growing them.Looking to build a professional website in minutes? Try Wix: https://wix.pxf.io/c/6898629/3115214/25616?trafcat=templateHubSpot is the backbone for how businesses scale without chaos. Try them out here: https://go.try-hubspot.com/OeG9VrSubscribe for more episodes: https://www.youtube.com/@AcquisitionsAnonymousPodcast?sub_confirmation=1Subscribe to our Newsletter: https://www.acquanon.com/newsletter💰 Sponsored by:CapitalPad is a private equity co-investment group for lower middle market deals. Accredited investors invest in searcher and independent sponsor transactions on a deal-by-deal basis, with minimums starting at $25K. Acquisition entrepreneurs with a deal under LOI can raise equity through CapitalPad's single-SPV structure, closing with one partner and one wire. Raise capital or invest at https://capitalpad.comQuiet Light Brokerage specializes in helping entrepreneurs buy and sell businesses with experienced operators as brokers. They offer a free valuation clarity call to help owners understand what their business is worth and how to increase its value before selling. Learn more at https://quietlight.com/What happens when a business broker lists a cemetery as having $10 million in future revenue potential for just $599,000? In this episode, Mills Snell and Heather Endresen break down an unusual acquisition opportunity: a long-established cemetery in rural West Virginia with more than 2,200 unsold burial plots, a house, office, warehouse, and a perpetual care fund included in the sale.Key Highlights:- Cemetery listed for $599,000 with claims of over $10 million in future burial plot revenue potential.- More than 2,286 burial plots remain unsold, despite the cemetery operating since the late 1960s.- Hosts discuss the rise of cremation and how burial trends impact cemetery economics.- Significant questions around perpetual care funds, prepaid plots, deferred revenue, and regulatory requirements.- Potential buyer concerns include customer concentration with local funeral homes and the extremely rural location.Subscribe to weekly our Newsletter and get curated deals in your inboxAdvertise with us by clicking hereDo you love Acquanon and want to see our smiling faces? Subscribe to our Youtube channel.Do you enjoy our content? Rate our show!Follow us on Twitter @acquanon Learnings about small business acquisitions and operations.For inquiries or suggestions, email us at contact@acquanon.com
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Welcome back, everybody, to another episode of Acquisitions Anonymous, the number one podcast for Small Business M&A.
I'm Mills Snell, one of your host, me and Heather Anderson today talk about a fascinating business for sale in West Virginia that Gurdley's Claude Scraper found and generated for us.
It's a $10 million total revenue potential cemetery in West Virginia.
Super interesting, very off the wall, kind of a real estate play, kind of an operating business play.
but a fascinating deal.
We talk about a lot of death care specifics across the industry.
Heather and I both had some experience there,
and it's a fascinating conversation.
Stick around after a quick word from our sponsor.
Well, so Acquisition Anonymous.
Hello, another episode of Acquisitions Anonymous.
We don't have 100% beers anymore.
And thumbs downing on just the plus inventory look.
Hey, everyone, it's Bill,
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Welcome back, everybody, to another episode of Acquisitions Anonymous. It's me and Heather
holding down the fore today. Heather, how's it going? It's good. It's an early Friday morning for
me, so I'm up. I've had my coffee and I'm ready for whatever exciting deal you've brought for us today.
Heather's such an overachiever because this is, you know, 11 a.m. Eastern and 8 a.m., but usually
7.30 a.m. Pacific. So she brings the A game even early in the morning when she needs to be
catching up on emails. Yeah, my emails are full. We have a deal today that,
that Girdley found, and I think it was from his like Claude scraper tool that we really haven't
talked about that much, but it's on Biz by Sell and it's in Williamson, West Virginia.
And this one really stood out to me for a few reasons. So I'm going to read it, Heather,
and then we'll jump right into it. So this is a $10 million plus built-in revenue potential
from an established cemetery. The asking for,
price is $599,000. There is no cash flow or SDE disclosed, no EBITDA, no revenue disclosed in the header,
but they say the real estate is worth $599,000, and it's been around since 1986. And I've got to
pull it up on the screen if you're on YouTube. But it says price reduced, now $599,000. This is a rare
opportunity to acquire a fully operational, long-established cemetery situated on approximately 12 plus
acres in Lenore, West Virginia, offering immediate income and extraordinary long-term upside.
With 2,286 remaining burial plots and current pricing already established, the property holds an
estimated $10 million plus in future gross revenue potential, all backed by real estate,
infrastructure, and a business that has been operating since 1968.
So the numbers are reversed in the header and in the description, but either way, it's been around for a long time, longer than I've been a lot.
This is a true turnkey operation that includes an on-site residence, office building, warehouse, and all necessary equipment to continue operations seamlessly from day one.
The groundwork has already been done.
This is a fully entitled, approved land with built-in inventory and a perpetual care fund in place.
We'll talk more about that.
Opportunities like this are nearly impossible to replicate today due to zoning restrictions and barriers to entry, making this an exceptionally valuable and defensible asset with consistent recession-resistant demand. At just $599,000, this offering is aggressively priced to move and represents a fraction of the embedded value. Whether you're a funeral home operator looking to expand, an investor seeking a stable long-term income stream, or an entrepreneur ready to step into a scalable business, this is a high upside opportunity with immediate.
and future returns already built in.
Deals of this level of upside, security and pricing, do not last, serious inquiries only.
There's a flyer here.
I'll open a minute.
But it says the FF&E is $9,184,845, and it's included in the asking price.
I'm not sure how they're coming up with that number.
Yeah.
But this is actually like pretty descriptive in terms of the facilities, and it really matters on this one.
So as approximately 12 plus acres of all clay, well-suited cemetery grounds, total approved plots is 3,376, the available plots remaining is 2,286, estimated future sales potential of approximately $10 million in gross plot revenue at current pricing.
Current price per grave is $4,795, which includes the vault.
this is just so descriptive. I love this. I'm totally, I'm totally fascinated. Included improvements are a two-bedroom, raised ranch home located on the property, dedicated office building for cemetery operations and client meetings, warehouse maintenance building for equipment and storage. This is all kind of repetitive. Seller financing is available and negotiable to a well-qualified buyer. The current owner will do everything necessary to ensure a smooth transition of ownership, and it says the reason they're selling is for retirement.
And there's a guy named David Enos, who is pictured here.
AMD custom business brokers looks like a very reputable business broker, very serious headshot.
So, Heather, what do you think about this?
Well, this is very interesting.
The first thing that jumped out at me in these numbers that they gave was how long this has been around.
But it sounds like, unless I did the math wrong, they've only sold 1,100 plots in all that time.
Yeah, in 30 plus years.
Yeah, they've got two-thirds of their inventory still remaining after all that time.
And, you know, with the cemetery, you have a fixed inventory.
You have only so much land in so many burial locations.
And so it sounds like I have to pull up Lenore, West Virginia.
That's the next thing I wanted to do.
Yeah.
It sounds like maybe the problem is this is not a very populated area.
Yeah.
And that's why it's moving along so slow.
We do have an address here.
So I'll look it up.
I pulled up the flyer.
it's just a one page. It's like no additional information, but there is a very nice picture.
But it does tell us the actual name of the facility and maybe the address. So yeah, it's interesting.
Yeah. I mean, $4,800 a grave actually sounds expensive. I have no idea how that compares.
You know, every time we've had a death in the family, it's always been cremation. So I'm also curious about, like, what are the trends of, you know, burial like this in the
the ground versus cremation, and if maybe that's part of why this is, it got so much inventory left.
Yeah, yeah.
So I've had some clients in the past who were in the death care industry in the funeral home
operations, and it's a fascinating industry that has gone through like waves of consolidation
and kind of, you know, then on consolidation, centralization, whatever the opposite of consolidation
is, independence.
But there were a lot of big roll-ups that were coming in and buying these multi-generational.
Most of these, even in like a town like Columbia, which is not a small town.
We're not a major, major metro, but their name is still on the building.
And so when you have somebody in your family who passes away, you want to deal with one of the, you know, the shives or the Dunbar's in Columbia.
And usually the businesses stayed multi-generational, like in that way.
My client was, I think, a fourth-generation funeral home operator in another town.
And the growing trend, you hit the nail on the head.
The growing trend is cremation, especially West Coast.
Yeah.
Because of real estate values and, like, you know, the South is still largely religious.
And, like, people have all these different preferences that go into it.
But the Southeast,
I would say West Virginia is included in this, is a really entrenched market for ground burial and not cremation.
The margin profile, the funeral home companies, you know, are able to sometimes capture some of the value from cremation.
Cemetery like this do not have a, oh, I'm trying to remember what they're called.
I don't know what they call.
So a crypt is a place where you would bury bodies or you would, or niches where you would put urns.
Right.
A retort is what the, is what the, uh, the devices called that, that does the incineration.
Um, I was having a conversation with somebody the other day and they were, uh, they were cremating a dog.
And they said, um, they were given two prices from the crematory.
Um, one was, if it was a solo, um, you know, like just your dog was getting cremated.
And then the other was a group.
Like, it was a bunch of.
of animals and they're like, we get the ashes, like a little bit of everybody's ashes,
and they're like, no, you just don't get the ashes. So of course, the people, they did the solo
cremation and got their dogs at. Cost more. Yeah. But yeah, it's called a retort. So everything
about this industry comes down to regulation because you can't just do whatever you want with the
body after the fact. So cremations are on the rise. Margin is lower. Ground burials are a higher ticket
item both from a preparation of the body that's done by the funeral home and also this this ground burial because what they what they say is their price per plot and that includes a vault which is what the casket goes in but that doesn't include like they charge for openings and closings like we're going to dig the hole and do you need to rent chairs sometimes the cemetery provides that stuff and the tent and sometimes the funeral home provides it so there's a lot there's some other fee
avenues for fee, but it seems like they've at least addressed the biggest one of the mix.
Yeah. Well, that's a lot. And that makes sense what you said. So this is West Virginia. So I guess it counts
as the South, kind of. I think so. Yeah. You know, culturally anyway, I think it's probably
fits that that profile that you're talking about. But they're not selling very many plots. So that's my
my concern is they talk about how much money you can make. But if it takes another 30 years to sell 11
plots, you're not going to make much money here. And I think that's the problem.
This is a very, very, very remote area that is like right on the border of West Virginia
and Kentucky and kind of north of the like tail of Virginia. But I mean, when you look at the towns
that are nearby, I don't know any of the names. Like there's nothing close by. And it's in a
very mountainous area. It's, you know, very hilly. It looks like.
Like, Charleston, West Virginia is at least a couple hours away.
Beckley is a couple hours away.
Like you're very, very, very far from Lexington, Kentucky.
This is not a big population center.
No, definitely not.
Now, what's interesting about that is that, like, in this industry,
you can get kind of a surprising amount of data because what the funeral homes call them is calls.
How many calls do they get a year?
Now, what they do with those calls and the revenue per call,
but that's basically how many people died that we're going to service.
And it's pretty established.
Like, you could look in this area and say,
okay, people are not going to go an hour or two or three hours away to, you know.
Now, maybe if they're from this town and they already have a plot or their spouse is buried there,
they're going to come back.
But you could kind of predict based on actual,
like achievable, obtainable data, how many people die in this zip code every year, historically,
and then you could forecast that. And even like in COVID, like when it seemed like a lot of people,
you know, when there was like a pandemic like that, like the numbers are still surprisingly
predictable for the death care industry. So I think the way you have to think about this is a bond,
you know, that you're going to clip a coupon off of and you're going to just,
you know, collect the coupon and service it and do all the things that you need to do,
but this is from a growth perspective, there's nothing you can do.
You know, you'd have to expand geographically.
You'd have to add another cemetery because it's not an inventory problem.
And like you said, that's a whole compliance issue.
It's not just procuring the land, but there's a lot of regulation around doing that.
And you don't see too many new cemeteries.
Yeah, and I think that's the point here is that you pretty much have to buy something established
that has extra, has, you know, capacity still.
I bet that AI, when you talk about the data that's all available,
I bet that a buyer could actually pretty quickly with AI and some good prompting
come up with exactly what the cash flow, you know,
prediction would be for the next 10 years or whatever it's going to be
and easily kind of pencil this out.
You know, they are saying seller financing available.
I can't think of any other way to finance something like this, you know.
You know, it's so hard if you say they've done 1,100 plots and, you know, this is actually, the teaser does say since 1968.
So let's just say, okay, in the last 50 years, they've done 1,100 burials.
I mean, you're talking about a very de minimis amount, which, again, I don't think it's priced all that poorly, you know, based on, like you look at it and go $10 million worth of revenue potential.
it may take you 30 years to get there or more, right, at this rate,
it's probably going to take you 100 years, 100 years to use your capacity.
But there is a present value calculation you could put on that,
and you could put a risk premium on, you know, on it.
You do have to run a business here, too.
I guess that's the other side.
Like, we could figure out how much gross revenue you're going to have by selling plots.
But it sounds like there's a, there's an office building.
There was, you know, there's the people who dig the graves who,
cover the, you know, all of, there's workers here.
And this is a remote place.
So, you know, you've also got the headaches of keeping this thing staffed.
Yeah.
So, I mean, just on the math that they've given us, you know, let's just say there've been
1100, you know, plots in the last 50 years that have, have happened.
That's like 22 a year.
And so let's just assume you could sell 22 a year going forward.
And maybe it's gotten better, you know, more recently or something like that.
at an average revenue of $5,000 per, assuming there's some other fees and things that you can do,
you would have $110,000 of revenue.
That includes the vaults.
So the vaults might be $1,000 or something like.
I mean, you're going to have a cost structure.
Like you said, you're going to have employees.
You've got maintenance, all those kind of things.
That's what's your thing.
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But, I mean, maybe let's just say it's best case scenario.
it's a $40,000 a year net, you know, number.
As a real estate play, it's not a bad, you know, cap rate, but you do have an operating
business.
Yeah.
They mentioned the perpetual care.
Yeah, it's an interesting phenomenon.
So I think it's an added layer of regulation where if you market yourself as a perpetual
care cemetery, you are required to set aside a certain amount of money from.
from each of the burials and put it in a fund that
kind of substantiates, hey, look, we could go out of business.
We could, this, you know, the owner could go away.
And there's still the ability for somebody to have enough money to, like, cut the grass.
And, and maintain.
Yeah.
Yeah.
Not necessarily adding new, you know, plots and continuing to bury people,
but there's enough money set aside that this thing could continue to operate.
And I think it's the kind of thing where it's,
almost like a little, you know, trust vehicle where you can't just go rate it and say, oh,
we have, we have 50 years worth of, you know, maintenance in there. Let's just go scrape
$100,000 out and like recap it. My understanding of it in the past is that it's very,
it's very lockdown. Yeah. So you're buying some cash in that fund, but to your point,
you're not getting, that's not cash that you can make decisions with. Yeah, right. It literally
just going to sit in a trust fund in a bank somewhere and you can only use it under the
rules of whatever the trust is set up. Maybe best case scenario, you could, you could lever it,
you know, like an asset and use it as collateral. But I don't think this is, this deal doesn't require
a ton of sophistication. Something interesting about banking. If you have customer deposits or
something like that, this perpetual fund, there's regulations with the banks of what kind of account
you're supposed to keep that in.
Yeah.
And they vary from state to state.
So I learned all of this
working in the short,
doing some deals in short term rentals
because they have a lot of
advanced customer deposits.
And it was really interesting.
You know,
some banks in different states
allow them to put in any account they want.
Other banks,
it absolutely has to be in a trust account
and it's regulated.
So it'll be interesting to know
what the story is with this fund
and, you know,
how regulated it is
and what kind of account it sits in.
If you put it in a true trust account,
there's also regulations you can't earn interest on it.
You know, because it's not your money kind of thing.
Or maybe it can accrue, who knows,
but that would be interesting to kind of figure out
what's happening with this fund and how much is in it.
But it feels like the cash flow, after staffing,
I'd be afraid would be pretty scary.
I also feel like you probably have to pay commissions to somebody
to sell the plots.
It could be.
It's supposed to sit down as a salesperson and do the sale.
But the shocking thing to me is that most cemeteries are owned by the local funeral home.
Yeah.
Because the shared economics, I mean, they have to have a place to bury people.
And they're not always that way, but it is very common that a funeral home.
Because funeral homes are in the practice of, hey, if, if, you know, my grandmother passes away in Columbia,
but she's from North Carolina
and she wants to be buried there.
You still call the local funeral home
and they do this kind of transfers
where they receive some fees
but maybe the funeral home
here is going to embalm her
but the one up there is actually going to do
the funeral service and the burial.
There's a lot of different things that happen.
The funeral homes themselves
are kind of more forward-facing,
client-facing,
like when my dad passed away
or when other people have been involved with, you know, you kind of deal with one and then they hand you off to the other.
And so there could be a commission or a fee arrangement between maybe multiple funeral homes and this cemetery.
Right. There's a network. Yeah. Yeah. And this is one to your point. Like it would be nice if you own both because you're controlling both sides.
But this one, you're just going to own the cemetery. You're not, you know, they're not mentioning anything about a funeral home.
as part of this package. Or they're not even mentioning the funeral home in town that, you know,
is probably your main business relationship. So I guess you need to find that out too.
What are, how many funeral homes are there in this area? There might only be one.
Yeah, your customer concentration in terms of referral could be like 100%.
Yeah, whatever the deal they have together, you're going to inherit that and be kind of stuck with it,
whether it's a good deal or a bad deal. So that would be something to learn.
pretty quickly. You brought up a really good point earlier that I hadn't really thought about,
but deposits. So in addition to the perpetual care, when my dad passed away, my mom went ahead
and bought a funeral plot right next to him that is in this case not an available inventory,
but still has some revenue potential because they're going to, you know, perform a burial at some
point on that plot that has already been paid for.
You pre-paid, you pre-purchased it, right?
Yep, yeah, exactly.
And you actually, you get, I think, like, there's actually a deed to funeral plots.
I mean, you own, you own the land, so to speak.
And you can transfer them.
So, like, there's, you know, in some ways, like a secondary market, which is, like,
fascinating.
And then, like, the other element of this that they don't see anything about is monuments and
headstone.
usually there's kind of, you know, a person or a couple different people in an area like this.
I can't think it's that many, but some people do very ornate things.
Some people do, you know, very just kind of plain.
And I don't know, they don't say anything about that.
So my guess is that they use somebody else.
And that's a totally different asset intensive, you know, thing.
Yes, I have looked at someone, one of our clients looked at buying a monument business.
And there is a whole import part of it, too, because depending on what kind of stone,
and what color, a lot of those are not domestic.
They're imported, and, you know, there's quite a bit of fabrication, basically, to that.
But you can't ship them very far.
So it has to be a local, there has to be some kind of local supplier for that.
So, yes, you have to understand how that works.
But thinking of the pre-sold plots, you know, people who bought them, or I remember
growing up hearing the older people talk about, you know, owning their plots in different places.
I remember thinking it was pretty morbid the conversations.
But now that you say that, yes, a lot of people buy them many years in advance.
And so where's that money?
In other, you know, the businesses that we typically look at,
you would have to book that as deferred revenue.
Yeah.
You know, like maybe there's a little bit that you can bring into income right away when you sell it.
But technically wouldn't that be deferred revenue and you don't actually book that into revenue
until you bury the person and perform the service?
I don't know.
It would depend on how sophisticated their books are, but you have this scenario you could imagine where the cash has already been collected.
The majority of the cash has now left the business, potentially, you know, where the owner's like, look, there's all this excess cash.
I'm going to take it.
That's their prerogative.
But then you have a disproportionate share of the cost, you know, in terms of the opening and closings and the margin that you would normally, you know, expect.
So there's some interesting elements.
to this, but I'm really, really curious about it.
I think the financials would tell you a lot in a very short amount of time.
You know, like on their balance sheet, is the perpetual care?
Is it like a separate entity?
Is it on their balance sheet?
Like, how does all that work?
Do you have deferred revenue or kind of, are there assets on the balance sheet that
are kind of like sequestered or kind of cordoned off?
It also, I mean, there's a house.
If I was ever buying a plot, I would need to see their financial savings.
Yeah, yeah, exactly.
I want to make sure I'm giving you no money.
You're going to be there when I get back.
Yeah.
There's also a house here.
So it makes me think, right, that the, my assumption is that the seller probably lives there or did it some time.
Yeah.
Yeah.
I don't, I don't necessarily want to live in a cemetery in very, very rural mountain West Virginia.
It sounds kind of creepy, you know.
maybe there's like an Airbnb spend to that, you know,
property or something that would be like a destination.
That just makes me think this was kind of very owner-operator.
And probably like a very, very part-time job.
You're talking about like a burial potentially every other weekend.
So I'm kind of, I'm going to,
I think I'm going to reach out to this guy because I'm really fascinated by this
to just see like what, you know,
the fact that the price has been reduced.
is a good sign. The price, the fact that they are acknowledging seller financing,
I would have to go to Twitter and find somebody in the area, you know, who would be able to help
kind of manage from a closer proximity. I look, it's a six-hour drive from Columbia.
But it does look like David, let's see, his phone number is a 585 area code,
which is interesting.
Rochester, New York, and the surrounding counties.
So he's not local.
No.
I wonder if he's a cemetery guy.
Like he's at a specialty.
It doesn't look like it.
Like his businesses for sale is like Niagara Falls Liquor and Wine Store for $650,000.
High volume Fairport Village Bar and Restaurant in Rochester for $350,000.
A coffee shop in Rochester for $125.
A sub shop in Rochester for $225.
And somehow this out here in West Virginia.
Yeah.
Subway franchise.
Almost everything's in Rochester.
But he does have a lot of listings.
Like four pages on Biz BuySouth.
Waste dumpster disposal company.
It's all Rochester.
Yeah.
Now I want to call him just to be like, you know,
how did you get this listing?
And it may be that like it's a relative or something like that,
you know, and he just could help him.
I like this.
Yeah, you do. You want to. Yeah. No. But, you know, I wonder, like, I'm thinking best case scenario, the seller has like a, you know, a trusted employee, maybe a long-time employee who could be there. And I don't think that this is a full-time, you know, required. Yeah. That one's working hard here. Yeah. I think that there's probably somebody locally, just like people do on short-term rentals and destinations. You know, they have a local person who's going to do the cleanings and things like that or respond.
a maintenance request. So I don't know. I mean, I'm still really hung up and intrigued by the $10 million
of total revenue potential because there is a price. You know, you could you could get,
you could do some present value in discounted cash flow to say what, what is that, at what price is it
worth it for that thing? Yeah, I mean, yeah, I would say that AI could help you in probably an hour.
You could probably come up with a pretty good estimate of what the net cash flow is and then back
into your price from there. Yeah. Interesting.
I'm curious about it. I think that the, you know, the skeptic in me says the local funeral home,
and maybe there's not even a local one, but the next closest funeral home has passed on this for a
reason, and they're probably their biggest referral source. So like, what's going on there?
Sure. Yeah. We're dying to know. Yeah. Yeah. This is a fun one and an interesting one.
I'll report back next week because I'm, when we get off, I'm going to call this guy.
and just say if he answers.
I can't wait to hear.
I won't put him on the spot and do it on the recording and then have to disclose,
hey, David, Wesley.
You know, this conversation's being recorded for quality control.
That would be funny.
Well, thanks, everybody.
I hope you enjoyed the episode.
I have fun, Heather.
I don't know if you did, but I have fun.
I've not looked at a cemetery in a long time.
I've never done so.
Yeah.
Well, if you enjoyed the episode, please give us a review, and you can check
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