The $2.4 million sale of Bowling Funeral Home & Crematory earlier this month will cover most of the business debt of its two owners, one of which is in prison charged with killing the other.
More than $1.82 million of the selling price went to pay off Bowling's creditors, including $1.8 million to pay off a loan from Bank of America.
Johnson Funerals and Cremations took over the business this month, six months after former owner Mark Bowling was charged in connection with the death of his wife and business partner, Julie Bowling.
"I think this has turned out very well for everyone involved," said Dave Oettinger, the court-appointed neutral manager of the business since December. "It certainly has taken care of a significant portion of debt."
An independent appraiser estimated the Rocky Mount funeral home's market value at between $2 million and $2.9 million.
The two other funeral homes owned by the Bowlings – in Scotland Neck and Enfield – also will be sold, Oettinger said.
Because of the circumstances surrounding the funeral home, a court must approve any significant business transaction that Oettinger plans to make.
The Scotland Neck and Enfield locations have about $228,000 in debt to Southern Bank, which will be paid off after they are sold.
The Bowlings also operated a funeral home in Tarboro until October. The company faces a lawsuit demanding more than $700,000 claiming it broke its lease by abandoning the Tarboro location.
Court documents reveal the struggles that Bowling Funeral Home & Crematory faced following the alleged murder of Julie Bowling by Mark Bowling.
In 2005 and 2006, the business averaged 20 funerals a month. That number dipped almost 50 percent during the first four months of 2007, to just under 11.
"The limited number of funeral services makes it difficult for Bowling to continue its business for any extended period of time," Oettinger stated in his request to the court to sell the business.
After the secured debt is cleared, about $182,000 will be left over from the sale, including the 18-month $100,000 escrow.
That money will be held until a further court order.
"No money is going to Julie's estate. No money is going for the benefit of Mark Bowling," Oettinger said.
The business debt payment clears $1.8 million off claims on Julie Bowling's estate, which before the sale had more than $2.5 million in outstanding claims.
Oettinger said he has prospective buyers for both the Enfield and Scotland Neck locations.
"The businesses and real estate will be sold within a reasonable period of time," he said. "The sale of Rocky Mount and the hope for sale of Scotland Neck and Enfield should eliminate most if not all of their (business) debt."
