SSCIService Corporation International

Service Corporation runs funeral homes and cemeteries — and sells the service in advance, years before it is needed.

The industry is fragmented: thousands of family funeral homes, each with a reputation in its neighbourhood. The company buys them, keeping the name and the staff, and connects them to shared purchasing and systems — the local brand remains while costs fall.

The second part is unusual: the contract is signed in advance, the person pays during their lifetime, and the service is rendered years later. The money received is invested throughout, and the income on it is a substantial part of the result. Demand is set by demography and is predictable, though the rising share of cremation lowers the average value. Risks: changing customs and investment returns. A dividend is paid and raised.