A kennel can make an average of about $50,000 per year, according to sources like PayScale, and other sources appear to support a range of $25,000 at the low end and up to $150,000 for higher-performing kennel businesses.
The cost of a franchise can be very high; a good example is Dogtopia. The key seems to be brand recognition, and a Dogtopic business that has been operating for about a year or a little longer has been reported to make up to 695k in profits.
Offering a variety of services can help you make a sizable profit because dog owners won’t leave their dogs with just anyone, but the key will be building client trust and raising awareness of your own dog kennel boarding brand.
We’ll respond to queries about dog boarding that are popular this week in today’s article. We’ll discuss starting up, the kinds of permits required, the profitability of particular franchises, and more!
Let’s look at the questions that people like you are posing to businesses that board dogs in kennels.
Yes, depending on a variety of factors, kennels can be more or less profitable. A kennel’s annual revenue is estimated to be around $25,000 at the low end, and up to $150,000 at more prosperous kennels.
This is another factor to take into account when starting your own kennel or boarding business because franchises can make even more money thanks to brand recognition and specific offerings made possible by their distinctive business model.
Do you love animals and have an interest in owning your own business? Learn why K9 Resorts is perfect for you:
A few factors determine how much money a dog boarding operation makes. The first factor determining the price you can charge for services is the region in which the dog daycare is located. The number of dogs you’ll have inside your home each day will directly depend on how well-known your location is or how many pet owners there are in the neighborhood. Of course, depending on the season, there are also busier times. For instance, any time of year when people are more likely to travel may see an increase in business. You must average the number of dogs being cared for each day and the cost of a full day of daycare for each, then deduct operating expenses, to determine the estimated dog daycare profitability. In general, dog daycare franchises like K9 Resorts are more successful than alternative options. An established franchise can fetch over $1 on average. 2 million in sales and nearly $400K in EBIDTA.
For a full day of canine daycare at a franchise like K9 Resorts, prices can range from $29 to $46. If you’re very conservative with the number of dogs you service each day and assume 30 dogs arrive on any given day, you could expect to earn between $870 and $1,380 per day, depending on how many dogs you service. If your location is open seven days a week, this comes out to a minimum of just over $6K a week, giving you more than $316K in daycare expenses alone per year. These figures don’t take into account overnight stays or any extra services you might provide. Even though a dog daycare location’s profitability is unpredictable, there are steps you can take to position yourself for success. Opening a reputable franchise instead of going independent could offer a better guarantee for your overall revenue.
Franchising is nothing new. Fast food restaurants and supermarkets have been doing it for years. But recently, more sectors have realized the benefits and security of franchising, particularly the rapidly expanding pet care sector. Spending in the pet care sector is only expected to increase, and many believe it to be a recession-proof market where franchising can thrive. They are correct. Despite being challenging, franchising in the pet care sector can be rewarding. Given that the market is underserved and expanding, starting a dog daycare franchise in particular is a wise move. Pet owners feel guilty leaving their furry family members alone at home all day because they work long hours. They therefore turn to dog daycares to fill that gap and give their dogs a secure, social environment to thrive in during the week while they are at work. Depending on the staff they have to handle the load, the majority of responsible doggie daycares set a limit on the number of dogs that can attend daycare on a given day. Many people are left without a choice when the closest dog daycare facility fills up due to the high demand for the service.
By purchasing a dog daycare franchise, you can satisfy a rising demand while also operating a profitable, recession-proof business. Pet owners are increasingly viewing pet care services and products as necessities rather than as unnecessary extras. The devoted pet owner looks for high-quality pet care, just as a working parent would require daycare. People respect high-caliber franchises in any industry, but especially when it comes to looking after significant family members. Knowing exactly how their pets will be cared for reduces owners’ concerns, which encourages repeat business. Choosing the best dog daycare franchise is essential to the success of any savvy businessperson.
A Dog Boarding Business is Profitable! Here’s Why
The pet care market is booming, and more astute businesspeople are looking for ways to participate in this expanding sector. The simple response to the question “are dog daycares a profitable franchise?” is yes. Compared to other pet franchises, dog daycare’s profitability is increasing. More households welcome four-legged friends into the family each year. As a matter of fact, 68% of households had pets in 2016. That indicates that the majority of people in the nation spend money on their furry friends on a monthly basis. The way people view their pets has also changed. More often, people treat their devoted dogs like true members of the family and view pets as such. Fortunately for dog daycare franchise owners, pet owners are more prepared than ever to devote a portion of their budget to their animals.
Just last year the pet care industry was valued at nearly $70 billion, making it one of the hottest markets for entrepreneurs to enter. According to the American Pet Products Association [1], more than $6 billion of that total number was spent on pet services like daycare, boarding, and grooming. The pet care industry is being fueled by two specific sets of people: millennials and baby boomers. Both of these populations are avid pet owners and dedicated to providing the best care and services for their canine companions. According to a piece by Inc. [2], 40% of pet owners that patronize the pet care industry are between 30 and 49 years old with nearly three-quarters of 30-somethings in America owning dogs. As for millenials, they are the first generation to view animals like true members of the family when compared to previous generations. This group is also putting off having children and instead opting to become dedicated pet owners. That disposable income goes directly toward showering their furry companions with all the latest and greatest pet care services.
On the other hand, baby boomers are adding pets to their empty nests. In a sense, they are replacing their children with “fur children” after they have left the nest. They also don’t skimp on spending when it comes to their animals. In almost every category, spending decreases after age 55, according to a recent article. However, it appears that between the ages of 55 and 64, pet spending actually peaks. Baby boomers still require pet care services like dog boarding because they are retiring later in life. They are more likely to use services like dog daycare and a dog boarding facility because they feel just as bad as any millennials about leaving their cherished pets at home alone while they are at work or on vacation.
Publications
Pick up a copy of Pet Boarding and Daycare magazine and leap into this list of other pet-related publications.
FAQ
Are dog kennels a good investment?
Providing a safe and secure environment for people’s pets can offer a very rewarding career to those who love animals and their parents. Owning a kennel business can be quite profitable if done properly.
How much land do you need for a dog kennel?
To start, you’ll need a 3,000–3,500 square foot plot of land for the boarding because dogs need space to run around in. As for the boarding’s location, we advise that you put it close to neighborhoods with the most pet-owning households.
How much does it cost to build a dog kennel?
Prices for dog kennels kept by homeowners can range from $3,544 to $17,007 Commercial dog kennels range in price from $25,229 to $123,415 and more, depending on the demands for custom construction.
How do I start a successful dog kennel?
- Choose a facility. …
- Acquire equipment and pet business software. …
- Hire dog daycare staff. …
- Evaluate behavior to keep pets and staff safe. …
- Market your dog daycare services to pet owners. …
- Provide a great experience and watch your business grow.