how to write a business plan for a dog daycare

Dog Daycare Business Plan: The 2022 Getting Started Guide

BUSINESS  |   3/13/20 2:30 AM  |  by Gingr

So, you’ve decided to start a doggy daycare. Maybe you’re a huge “dog person,” or maybe you’ve noticed a need in your community and are ready to fill that space with what will hopefully be a profitable venture.

Regardless of what’s landed you here, there are quite a few steps between choosing to open a dog daycare business and actually welcoming your first furry guest. This guide will provide an overview of everything you need to get started with your dog daycare business plan. After reading it, you’ll hopefully have a good foundation to begin brainstorming for your new venture.

While this guide dives into the basics, there’s still a decent amount of information to dive into. Feel free to navigate to a specific section of this guide if you know what you’re looking for. If not, continue reading to get started.

How to Start a Doggy Daycare: FAQs

How do you start a dog daycare business.

Before you begin accepting reservations and purchasing every dog toy you can get your hands on, there are a ton of business considerations to work through for your dog daycare.

Creating a dog business plan is the first place to start. In your business plan, you’ll define:

• An objective and mission for your business.
• Your cohesive brand and marketing strategy.
• Your competition and how you’ll stand out from the crowd.
• The facilities you’re going to utilize.
• How you’ll remain profitable, addressing costs and revenue.

You’ll need to decide where your business will be located, who you’ll be working with, which services you’ll offer, and which tools and software you need to offer those services. You’ll need to decide all of this— as well as how you’ll fund the venture overall— before actually putting any of these plans into action.

Do I need a license to start my dog daycare?

You will likely need specific licensing to start your dog daycare facility.

For starters, you’ll need to obtain the proper business licenses required of any start-up. While some businesses will need federal licenses (ex: restaurants selling alcohol), your doggy daycare licenses will probably be handled on the state and local levels.

Each state and locality handles this licensing differently, from which types of licenses are required to the requirements needed to fulfill such licenses. For example, some states require different permits and licenses for dog daycares versus dog kennels , with the key difference being dog kennels also house animals overnight. Other states might l have stricter zoning and size requirements for businesses looking after animals.

Because of that, your best bet is to contact your state and local licensing bodies for definite answers. While it might be frustrating digging into your region’s laws, remember these requirements are aimed at keeping the animals in your care as safe and healthy as possible.

How much can you earn owning a dog daycare?

When it comes to the earning potential of a dog daycare, the answer will vary depending on your specific circumstances.

There are a ton of factors that go into how much you can earn owning a dog daycare, including:

• The services you provide (daily dog care, grooming services, overnight care, etc.).
• How you price services.
• How money-savvy you are once operational.
• The need for such a business in your community.

Every aspect is unique to your personal situation, including your initial investment, the pricing of licenses and permits in your area, and even the cost of daily operations.

As you continue reading, you’re going to explore various profit equations. Use those equations to predict the daily, weekly, monthly, and yearly profitability of your dog daycare under certain estimated circumstances.

Profitability of a Dog Daycare Business: Key Considerations

While we’d love to say your dog daycare business can sustain itself on a love for dogs alone , that’s just not the case. To open your dream business and keep it open, you have to stay profitable throughout the process.

As you’ll see, this requires your revenue to outweigh your costs. This means the payments you’re receiving from customers have to (collectively) be more than the cost of providing those services. The costs include rent, staff wages, utilities, and dog-care specifics such as pet-care management software, animal-friendly cleaning products, dog treats and food, and any other costs of operation.

There are a ton of variables to juggle to ensure your dog daycare is profitable. Use the following equations and considerations to help make sense of it all.

The Profit Equation

No surprise here— but keeping the doors open to your doggy daycare requires keeping the business profitable overall. This requires ensuring your incoming revenue is higher than your outgoing costs, which is where the profit equation comes into play.

First, let’s look at a few key terms in this equation:

• Revenue: This refers to the price you’re charging for services multiplied by the number of services you deliver by that price. So, for example, if you charge $25 per day for daycare services, and care for 50 dogs on a given day, your revenue is $1,250 for that day.
• Variable Costs: This refers to the business operation costs that change day-to-day, varying with how busy you are at any given moment. This includes hourly staff wages, providing food to animals (if you do so for free), or cleaning services linked to the number of animals in your care at any moment.
• Fixed Costs: This refers to your operational costs that have little variation. For example, monthly rent and insurance payments are a fixed cost.
• X: The “X” refers to the unknown variable that affects how your revenue or variable costs are changed (multiplied) for the number of dogs in your care. So, how much revenue you’re making with X number of dogs and how high your variable costs are with X number of dogs.

Essentially, to successfully operate a doggy daycare, your profit has to be positive. This is a large overview calculation, and now we’ll break it down into more specific considerations.

Gross Profit

Gross profit refers to the profit your dog daycare business makes after you deduct the costs associated with providing your services. Specifically, this looks at the money you make with one particular transaction compared to the cost of providing that service.

Let’s define a few key terms:

• Revenue: In this equation, revenue refers to the profit brought in per dog cared for. For example, $25 for one dog, one day.
• Cost of Goods/Services Sold: This variable refers to the cost of providing dog daycare services for one dog. This includes hourly wages represented in that dog’s stay, the cost of receiving and processing payments, and any other costs related to managing one sale of your services.

This equation adds specificity to the original profit equation by telling you the profit your daycare makes from each and every dog in your care. Essentially, the equation gives you a variable profit multiplier— a number to multiply by the number of dogs in your care at any given time to calculate that day’s profit.

Net Operating Profit

Net operating profit expands upon the gross profit equation, adding fixed costs to your considerations. Rather than looking at one transaction (ex: one dog cared for on one day of operations), this equation looks at your total revenue and operating costs over a time period.

The goal of this equation is to see how much of your revenue will translate to profit. Because it is an equation looking at finances over time, it’s essential that you keep time units consistent across the board.

• Net Profit: This number is a representation of your gross profit (refer to the previous section) over time. Essentially, the net profit equation looks like this: Net Profit = (Gross Profit Per Dog x Number of Dogs) x Number of Days in Time Period
• Total Fixed Expenses: This represents your fixed costs across a time period. For example, $10,000 per month.

This is similar to the general profit equation from the first section. The key difference is that net operating profit combines the Revenue and Variable Costs sections into one overall Net Profit variable.

Pricing as Branding

While it’s essential that each of these equations results in a positive profit for your dog daycare to stay afloat, there are other important considerations to make when setting your business’s prices.

How you choose to price your services sends a strong message to your customers, and setting these limits too low (or high!) can give a negative first impression.

This pricing tells potential customers where your business lies in the market of doggy daycare services. If your pricing is too low, customers may fear you’re providing sub-par services to provide discount pricing. On the other hand, if your pricing is particularly high, you’ll have to make a strong case for the investment. If your pricing is too complicated , you’re likely to deter customers as well.

Many dog daycare businesses have found success in providing higher-quality service (for example, a lower dog-to-staff ratio) paired with a slightly higher price point. In that case, it’s essential that you support your pricing with a strong branding strategy, great first impressions, and a positive customer experience reputation.

If all of these equations and considerations seem a bit overwhelming, don’t fret— Gingr has put a lot of thought into dog daycare profitability. Check out our Doggy Daycare Profitability Model Spreadsheet to begin your profit analysis.

Elements of a Winning Dog Daycare Business Plan

A serious love for animals and a knowledge of profit equations aren’t enough to build and grow your future dog daycare business— there are a few other elements that are necessary for any successful dog kennel business plan.

With that, let’s explore the essential elements of a successful dog daycare business plan:

Define Your Brand

Dogs are often cherished as family members themselves, so for their human counterparts to feel comfortable leaving them in your care is a huge decision. Branding your dog daycare or kennel effectively is how you show these owners that you’re the right fit for their four-legged friend.

There are two steps to this— defining your brand and communicating that brand.

When defining your brand, consider what makes your dog daycare stand out from the others in your community. What makes you and your staff so passionate about caring for pets? What makes your approach to pet-care superior to others in your field?

For example, maybe your daycare specializes in providing care to senior dogs, centering your branding around a laid-back, relaxed atmosphere. Or, maybe your key selling point is the expertise of your staff, who have advanced experience in puppy etiquette and training. Find your key selling point and brand accordingly.

From there, it’s essential that this brand is consistent across all communications you have with potential and current customers. Your facility itself, your website, your social network profiles, and any advertisements and direct communications you send out should convey this consistent branding.  

Know Your Competition

This is where you get into the nitty-gritty of what makes your doggy daycare better than others in your community. We know that competition is increasing in the dog daycare realm, both in more traditional daycare settings and newer home pet-care camera technology.

Research other local facilities and popular options to ensure you’re offering features that make you stand out from the crowd. Some ways to truly make your mark as the premier dog daycare facility in your community are:

• Set competitive pricing compared to others in your area providing similar services. Don’t make the mistake of setting your pricing significantly higher or lower than your competition, as you’ll stand out for all of the wrong reasons.
• Offer a peek into your operations. Streaming video from inside your facility (ex: in a dog play yard) and sending home a doggy report card reassure owners that your daycare is a safe, fun space for their pets.
• Leverage convenient, customer-oriented software tools. Manage your operations using software made for dog daycare businesses, with convenient online booking and payment, one-click check-in, and easily managed recurring services.

If branding is the key to making customers feel emotionally comfortable sending their dogs to your daycare, standing out from your competition is the key to making them logically comfortable.

Choose the Right Facilities

To successfully open a dog daycare or kennel, you also have to invest in superb facilities. Choosing your space is often a balance of two desires:

• Having enough space (and maybe even built-out facilities) to provide the best care possible to your customers.
• Being within your budget to not diminish the profitability of your business overall.

Because choosing a facility is an investment, you’ll want to really do your research before settling into one location.

Remember that each state and locality will have different statutes and zoning laws playing into your facilities as well. From where in the community you’re allowed to set up shop, to how large your facilities need to be— there’s a decent chance your state and local government have an opinion on what’s acceptable as well. 

Leverage Effective Software

You’ll soon realize that analog methods of managing your business will be ineffective as it expands and grows. Your best bet is to invest in the right dog daycare software from the start , allowing it to scale with the business as it grows.

However, if you’re new to the dog daycare business (or simply looking to improve operations), you may not be familiar with this type of software. Start by evaluating what your customers and staffers are looking for in a software solution. Popular features to look for in a pet-care software solution are:

• Client and pet management features. This includes unlimited client profiles with photos, paperless waivers and other signed agreements, hidden internal staff notes for specific clients, and easy access to vaccination records, to name a few.
• Online booking and customer portal. This should be mobile-friendly, allow for digital signing of waivers and uploading of vet records, have the ability to collect deposits online, and even let customers view photos and videos of their pets. Plus, you should be able to customize the services, features, and forms available through online booking.
• Reservation management features. Look for easy customization of reservation types and viewing of availability, both for your staff and customers. Further, look for simple check-in/check-out procedures that still ensure you have all of the information needed to provide a safe stay.
• Communications features. Your customers will appreciate automatic communications for reservation confirmations and reminders, vaccination reminders, and report cards. Your staff will appreciate it when they don’t have to waste time manually sending these communications.
• Retail features. The ability to use your software as a point-of-sale system and offer add-on services and retail products will increase the profitability of your business.
• Marketing features. Top software can send SMS and email marketing communications quickly and easily. Further, you should be able to easily filter your customers and customize communications to them accordingly.
• Staff management features. Features to manage your staff, such as personalized to-do lists, commission tracking, a time-clock with associated reports, and even specialist scheduling (groomer, trainer) will drastically improve your internal processes.

Choosing the right software from the start will set your business up for success going forward. You’ll cut down on staff costs, lessen the risk of error, and stand out from the crowd with customer-facing features.

At Gingr, we’ve been working to create the best pet-care software platform possible for business owners like yourself. Contact us today for more information on our solutions.

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How to Write a Dog Daycare Business Plan

• January 11, 2023

Whether you’re looking to raise funding from private investors or to get a loan from a bank (like a SBA loan) for your dog daycare, you will need to prepare a solid business plan.

In this article we go through, step-by-step, all the different sections you need in the business plan of your dog daycare . Use this template to create a complete, clear and solid business plan that impress banks, investors and get you funded.

1. Executive Summary

The executive summary of a business plan gives a sneak peek of the information about your business plan to lenders and/or investors.

If the information you provide here is not concise, informative, and scannable, potential lenders and investors will lose interest.

Though the executive summary is the first and the most important section, it should normally be the last section you write because it will have the summary of different sections included in the entire plan.

Why do you need a business plan for a dog daycare?

The purpose of a business plan is to secure funding through one of the following channels:

• Obtain bank financing or secure a loan from other lenders (such as a SBA loan )
• Obtain private investments from investment funds, angel investors, etc.
• Obtain a public or a private grant

How to write an executive summary for a dog daycare ?

Provide a precise and high-level summary of every section that you have included in the business plan of your dog daycare business. The information and the data you include in this segment should grab the attention of potential investors and lenders immediately.

Also make sure that the executive summary doesn’t exceed 2 pages in total: it’s supposed to be a summary for investors and lenders who don’t have time to scroll through 40-50 pages, so keep it short and brief.

The executive summary usually consists of 5 major sub-sections:

• Business overview : here you must go in detail about what is your business model: short-term vs. long-term daycare, whether you offer additional services (grooming, veterinary, etc.) and whether it’s a franchise or an independent business. Also explain where the daycare will be located, your pricing strategy and what sets you apart from other businesses.
• Market analysis : summarise the market where you will operate and provide a brief about your target market , target audience , spending capability, etc. Also give certain data points about the dog daycare industry in the area where you want to operate (size and growth), as well as an overview of the main competitors , etc.
• People : introduce the management team and employee structure
• Financial plan: how much profit and revenue do you expect in the next 5 years? When will you reach the break-even point and start making profits? You can include here a chart with your key financials (revenue, gross profit, net profit )
• Funding ask : what loan/investment/grant are you seeking? How much do you need? How long will this last?

Pet Daycare Financial Model

Download an expert-built 5-year Excel financial model for your business plan

2. Dog Daycare Business Overview

Here, you shed more light on your dog day care concept while answering questions potential funders will likely ask. For instance:

• Why did you decide to open a dog daycare today?
• Where is your daycare located, and why did you choose that location?
• How many square feet is your dog day care? What are the amenities you plan to offer?
• Is this a franchise or an independent business?
• How many employees will you hire to run your day care?
• Will you provide any additional services (grooming, veterinary, etc.)?
• What legal structure will you adopt for your business?

a) History of the Project

Any business overview must start with explaining the history of the project. There are 2 components here:

• Passion & experience of the business owner
• Rationale behind opening a dog daycare today

Passion & experience

You may or may not have prior experience. If you have experience, speak about it and how it will help you to run your business. For instance, you may have worked as a manager in one of the leading dog daycare franchises in the country and want to start your own.

Is there a certain problem (or perhaps, a set of problems) that your dog daycare will solve? For example, the neighborhood where you want to operate may have many dog owners working downtown that need dog sitting services for their pets during the week.

b) Business model

This section of Business Overview should explain the model you want to adopt for your dog daycare. Here are a few questions you must answer:

• Is this an independent business or a franchise?
• Where will your dog daycare facility be located? 
• What will be the opening hours / days of your business?
• What services will you offer (dog training, grooming, pick-up-and-drop-off, etc.)

c) Pricing strategy

After explaining what type of services you plan to offer, you should lay out here your pricing strategy. Dog daycare businesses typically have different rates: hourly, daily, weekly or even monthly rates.

In addition to the prices, make sure to explain what are the services included for each. For example, you can have standard day care price packages while some customers may want to pay extra for additional services (e.g. pick up and drop off).

e) Company Legal Structure

Finally, your business overview section should specify what type of business structure you want:

• Is this a corporation or a partnership (LLC) ?
• Who are the investors? How much equity percentage do they own?
• Is there a Board of Directors? If so, whom? Do they have any experience in the industry?

3. Market Overview

A complete understanding of the market where you want to operate is important for the success of your business. That’s also something you must showcase in your business plan.

You must cover here 3 important areas:

• Industry Size & Growth : how big is the dog daycare industry in your area? What is its growth rate (or decline rate) and what are the factors contributing to its growth or decline?
• Competition Overview : how many competitors are there? How do they compare vs. your business? How can you differentiate yourself from them?
• Customer Analysis : who is your target audience? What kind of daycare services do they need?

a) Dog Daycare Industry Size & Growth

How big is the dog daycare industry in the us.

The US pet daycare industry represents $4.5 billion and over 16,000 firms across the country: that’s an average annual turnover of $280,000 per dog daycare.

The pet daycare industry itself is expected to double by 2030 with a 10% CAGR from 2022-30 ..!

After getting a clear picture of the dog daycare industry in the US, narrow down to your location. It’s very likely that you won’t find the number anywhere (at least not for free). In that case, you can use our guide to estimate the TAM, SAM, and SOM for your business.

Here is an example of how to do it:

We already know the average annual turnover per daycare is $280,000. Therefore, if the city where you will operate has a total of 10 dog daycare businesses, the industry is worth about $2.8 million in your area.

b) Dog Daycare Competition Overview

Studying your competitors’ business models is vital. You need to understand what makes them successful or why they fail. Look into what is their business model, the services they offer, their marketing strategies, etc.

We strongly recommend to do some research and create a comparative table like the example below:

Dog Daycare SWOT analysis

SWOT stands for Strength, Weakness, Opportunities, and Threats. This analysis will help lenders and investors better understand how you compare vs. competitors as well as the overall risk and reward profile of your business.

Here is a sample that you can use as a reference:

• Strengths : 5 years of experience working in a dog day care, well-trained staff, spacious day care facility
• Weaknesses: no brand reputation, limited marketing budget
• Opportunities : day care situated in a neighbourhood with many dog owners
• Threats : popular dog day care franchises in the area

c) Customer Overview

Here, you need to show whoever looks through your business plan that you understand your target audience’s needs and preferences.

Some important points that you must include in your customer analysis include:

• Percentage of dog owners
• Number of dogs per 100 inhabitants
• Type of pet care services they need

4. Sales & Marketing Strategy

This is the section of your business plan where you outline your customer acquisition strategy. Try to answer the following questions:

• What is your Unique Selling Proposition (USP)?
• What are the different marketing strategies you will use?
• How do you intend to track the success of your marketing strategy ?
• What is your CAC or customer acquisition cost?
• What is your marketing budget?
• What introductory promos and offers do you intend to provide for attracting new customers?

What marketing channels do dog day care shops use?

The standard marketing channels include:

• Pay-per-click campaigns (e.g. Google ads)
• Social media
• Referral programs
• Billboards & signage

What are your Unique Selling Points (USPs)?

Your dog day care will just be one among many if you don’t distinguish yourself. Your USPs won’t be difficult to get once you’ve analyzed your target audience, competition, and business model.

For example, one of your USPs can be to pick up dogs from their owners’ homes and drop them off once your day care closes or offer lodging services for dogs whose owners travel regularly.

5. Management & People

You must address 2 things here:

• The management team and their experience/track record
• The organizational structure : different team members and who reports to whom?

Small businesses often fail because of managerial weaknesses. Thus, having a strong management team is vital. Highlight the experience and education of senior managers that you intend to hire to oversee your dog daycare business.

Describe their duties, responsibilities, and roles. Also, highlight their previous experience and explain how they succeeded in their previous roles.

Organization Structure

Even if you haven’t already hired a manager and daycare personnel, you must provide here a chart of the organizational structure defining the hierarchy and reporting lines of your business.

Of course, the number of employees and their roles will vary depending on the capacity of your dog daycare (the number of dogs you can take care of). It will also depend on the services you offer (grooming, veterinary clinic, etc.).

6. Financial Plan

The financial plan is perhaps, with the executive summary, the most important section of any business plan for a dog daycare.

Indeed, a solid financial plan tells lenders that your business is viable and can repay the loan you need from them. If you’re looking to raise equity from private investors, a solid financial plan will prove them your dog daycare is an attractive investment.

There should be 2 sections to your financial plan section:

• The startup costs of your project (if you plan to start a new dog daycare facility, add a new location to your chain, etc.)
• The 5-year financial projections of your business

a) Startup Costs

Before we expand on 5-year financial projections in the following section, it’s always best practice to start with listing the startup costs of your project. For a dog daycare, startup costs are all the expenses you incur before you start making sales. These expenses typically are:

• The acquisition of the real estate (if you buy)
• The lease deposit (if you rent)
• The renovation and equipment costs
• The equipment
• License & permits, business insurance, etc.

b) Financial Projections

In addition to startup costs, you will also need to build a solid 5-year financial model that you will include in your dog daycare business plan.

Note that your financial projections should be built using a spreadsheet (e.g. Excel or Google Sheets) and presented in the form of tables and charts in your business plan.

As usual, keep it concise here and save details (for example detailed financial statements, financial metrics, key assumptions used for the projections) for the appendix instead.

Your financial projections should answer at least the following questions:

• How much revenue do you expect to generate over the next 5 years?
• When do you expect to break even?
• How much cash will you burn until you get there?
• What’s the impact of a change in pricing (say 10%) on your margins?
• What is your average customer acquisition cost?

You should include here your 3 financial statements (income statement, balance sheet and cash flow statement). This means you must forecast:

• The number of dogs you will take care of (the customers) ;
• Your expected revenue ;
• Operating costs to run the business ;
• Capex (cost to renovate the facilities, furniture and equipment, etc.)

When projecting your financials, make sure to sensitize sales volume (customers), pricing as well as the expenses (inventory, salaries, etc.). Indeed, a small change in these assumptions may have a significant impact on your revenues, and most importantly, your profits.

7. Use of Funds

This is the last section of the business plan of your dog daycare. Now that we have explained what your business model is, what type of services you offer, how you get customers, etc., this section must now answer the following questions:

• How much funding do you need?
• What financial instrument(s) do you need: is this equity or debt, or even a free-money public grant?
• How long will this funding last?
• Where else does the money come from? If you apply for a SBA loan for example, where does the other part of the investment come from (your own capital, private investors?)

If you raise debt:

• What percentage of the total funding the loan represents?
• What is the corresponding Debt Service Coverage Ratio ?

If you raise equity

• What percentage ownership are you selling as part of this funding round?
• What is the corresponding valuation of your business?

Use of Funds

Any business plan for a dog daycare should include a clear use of funds section. This is where you explain how the money will be spent.

Will you spend most of the loan / investment in paying your employees’ salaries and the COGS (inventory)? Or will it cover mostly the cost for acquiring the real estate and renovations?

For the use of funds, we also recommend using a pie chart like the one we have in our financial model template where we outline the main expenses categories as shown below.

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Dog Daycare Business Plan: The 2023 Getting Started Guide

While this guide covers the essentials, there is still much to delve into. You can navigate to specific sections if you already have a good understanding of what you're searching for, or continue reading from start to finish to gain a better understanding.

Get ready to give your furry friends a safe and comfortable home away from home!

How Does One Go About Starting a Doggy Daycare Business?

Before starting your dog daycare business, it's essential to have a clear understanding of several tried and tested concepts as it applies to building a business case and plan. To ensure a solid foundation for your new pet care business, you should begin by creating a detailed financial business plan.  

Profitability calculations will help you establish a path that best suits your situation and goals. To be able to make such calculations, you need to think about a few key questions: 1. What is my mission or goals? 

2. What is my branding and marketing strategy?

3. What kind of competition am I up against?

4. What location should I build my dog daycare business?

5. What licenses, rules and regulations should I be aware of?

6. How much money can I earn running a doggy daycare?

To investigate steps 1-5 a little further, check out our article about starting doggy daycare business  before reading on.

This article focuses on (the 6th step) the creation of your dog daycare business plan.

So how much can you earn running a doggy daycare? And is it worth it? Let's find out.

Will your dog daycare business be profitable?

Luckily it's an easy process to find out.

And we've made it even easier with a detailed calculator below . But first let's learn a little bit more about what we need to find out and plug into this tool.

To ensure profitability in your dog daycare business, it is crucial that the revenue generated from customer payments surpasses the costs associated with providing those services.

Expected Costs:

• Maintenance
• Salaries & Commissions
• Dog food & Treats

For example: to calculate total monthly staff salaries: (# of staff ) x ($ staff hourly wage) x (# of hours per week) x (4.345 Weeks Per Month) x (# of Doggy Daycare Locations)

Note: There are on average 4.345 weeks per month in a given year.

Expected Revenues:

• Doggy Daycare
• Pet Sitting

For example: to calculate the Doggy Daycare Revenues: (Full-Day Daycare $ Rate) x (# Full-Day Services Completed Per Week) x  (4.345 Weeks Per Month) x (# of Doggy Daycare Locations).

Managing the numerous variables involved in operating a profitable dog daycare can be a challenging task. However, by using the appropriate equations and considerations, you can better understand and manage these factors.

These costs can be categorized into two broad categories: Selling, General, and Administrative (SG&A) expenses and Cost of Goods Sold (COGS).

SG&A expenses are indirect costs that are not directly tied to the production of goods and services, such as salaries (facility workers like reception or cleaning staff, marketing and advertising expenses, legal and professional fees, rent and utilities, and other administrative expenses.

COGS , on the other hand, includes the direct costs associated with producing and selling goods, such as materials, labor, and overhead expenses directly tied to the production of services. More specifically, a professional groomer working out of your doggy daycare facility receives 70% commission  for any revenue you make from their services. This would go into the COGS.

Both SG&A and COGS are important metrics for measuring a company's financial performance and profitability, as they provide insight into the efficiency and success of a company's operations.

Calculating Profit from Revenues

Over a period of time, usually monthly: Gross Profit = Total Revenue - Cost of Goods Sold (COGS)

Gross profit is a key financial metric that measures a dog daycare's profitability after accounting for the direct costs of producing and

selling its goods or services. It is calculated as the difference between total revenue and the Cost of Goods Sold (COGS). Gross profit is expressed as a dollar amount and as a percentage of total revenue, and provides important information about the success of a doggy daycares core business operations. Gross profit is calculated by subtracting COGS from total revenue. For example, if a business generates $100,000 in total revenue that month and its groomers and pet sitters take a commission of 70% which is $70,000, its gross profit would be $30,000 ($100,000 - $70,000).

Gross profit is an important metric for evaluating a company's financial performance and profitability because it provides insight into the efficiency of a company's operations. 

Net Operating Profit

Over a period of time, usually monthly:

Net Operating Profit = Gross Profit - Indirect Costs (SG&A)

Net Operating Profit is a measure of a company's profitability that takes into account all operating expenses associated with running the business. It represents the amount of money a company earns after deducting all costs involved in producing and selling its products or services.

The net profit equation is calculated as follows:

Net Profit = Net Operating Profit - Non-Operating expenses 

Listed below are the more common non-operating expenses that a doggy daycare business owner needs to consider:

• Interest expenses: This includes interest on loans or other debts the company has taken on.
• Taxes: This includes any taxes the business may have to pay, such as income tax, property tax, or sales tax.
• Depreciation: This is an accounting expense that reflects the wear and tear of the company's assets, such as its building, equipment, and vehicles.
• Losses from investments: This includes losses from investments the company may have made in other businesses or financial instruments.
• Legal fees: This includes fees associated with any legal matters the company may be involved in.
• Bad debts: This includes any debts that the company is unable to collect from customers.
• Amortization of intangible assets: This includes the expense associated with the gradual reduction in value of intangible assets, such as patents or trademarks.

How To Price Your Doggy Daycare Business?

When the net profit is positive, this means that the business is making more money than it is spending, but even then you need to consider whether the amount is worth your while.

If the net profit is negative, the business is losing money, and it is important to identify the reasons for this loss and take corrective action (maybe you overestimated a cost or underpriced a service or two).

Don't worry if all the above equations and factors seem complicated - Easy Busy Pets has taken care of everything for you. Our Doggy Daycare Profitability Calculator is here to help you analyze your approximate profits with ease.

Start your profit analysis now!

Key Factors For A Winning Dog Daycare Business Plan

✅strong branding, ✅understanding competition, ✅location, location, location.

These concepts are further discussed in a sister article about starting a doggy daycare business . 

✅Modern Doggy Daycare Software

Here at Easy Busy Pets, we are dedicated to delivering the ultimate dog daycare software experience for business owners like you. If you're looking for a top-notch solution to streamline your doggy daycare and grooming operations, don't hesitate to reach out to us. Our team is ready and eager to provide you with more information and help you take your business to the next level. Contact us today !

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How to write a business plan for your dog daycare center.

Starting a dog daycare center is a great idea because it provides a safe and fun environment for dogs to socialize and exercise during the day while their owners are away.

Additionally, it offers a convenient and reliable service for busy pet owners who may not have the time to look after their dogs during the day.

But, before launching anything, make sure you have a business plan in place.

A business plan is essential to any successful project, especially when starting a new business. It outlines your vision, goals, and strategies, as well as providing a roadmap for the future. A well-crafted business plan can help you anticipate potential obstacles and plan for success.

In short, a good business plan will help ensure the profitability of your dog daycare center .

What should you include in the business plan for a dog daycare center? What's the ideal arrangement for the structure? What metrics should be considered for the financial assessment? What are some steps I can follow to quickly create a business plan?

Exciting news! The forthcoming article holds all the answers to these questions!

One last thing: you can avoid starting your business plan from scratch.

Instead, you can download our editable business plan for a dog daycare center and modify it to meet your specifications.

How to craft an elaborate business plan for a dog daycare center

Is it worthwhile to invest time in a business plan for your dog daycare center.

Yes, you should invest time in creating a business plan for your dog daycare center to ensure it is successful.

Structuring a reliable business plan will give you the means to:

• get familiar with the dog daycare market
• stay informed about current trends and integrate them into your project
• narrow down what makes a dog daycare center successful
• understand the daily routine, play preferences, and socialization needs of dogs in daycare
• find a great unique value proposition for your canine day-care facility
• assess competitive positioning
• find competitive advantages for your dog daycare center
• find a business model that will generate positive cash flows
• implement a well-crafted and strategic action plan for growth
• evaluate risks associated with running a dog daycare center, including animal behavior, safety protocols, and liability for pet injuries

Our team has drafted a business plan for a dog daycare center that is designed to make it easier for you to achieve all the elements listed.

How to organize a business plan for a dog daycare center?

There's a lot of valuable information, content, numbers, and financial data in a business plan. It should be arranged in a way that makes it simple to read and comprehend.

When we designed our business plan for a dog daycare center , we took care to arrange it appropriately.

The content is arranged in 5 sections (Opportunity, Project, Market Research, Strategy and Finances).

1. Market Opportunity

The first section is named "Market Opportunity."

This section presents an in-depth analysis and statistics regarding the dog daycare market, offering valuable insights to entrepreneurs in the pet care industry.

We update this section often to keep the data fresh.

2. Project Presentation

The "Project" section is dedicated to describing your dog daycare center, including the spacious play areas, experienced staff, and unique value proposition that provides a safe and enjoyable environment for dogs.

Also include a short description about yourself at the end of this section.

Explain your love for dogs, your experience in pet care, and how you plan to create a safe and engaging environment for dogs at your daycare center. Highlight your dedicated play areas, your qualified staff, and your commitment to providing stimulating activities and personalized care that keep dogs happy, healthy, and socialized through your dog daycare center.

We put together some text in our business plan. Adapt it to fit your concept precisely.

3. Market Research

Following that, we have the "Market Research" section.

This section describes the target audience for your dog daycare center.

It includes a comprehensive analysis of competitors in the pet care industry and emphasizes your center's competitive advantages.

A tailored SWOT analysis is provided as well.

4. Strategy

Within the "Strategy" section, a 3-year development plan is outlined, specifying the necessary initiatives to make your dog daycare center highly profitable.

Moreover, this section encompasses a marketing strategy for a dog daycare center, a risk management approach, and a completed Business Model Canvas.

5. Finances

In summary, you'll find the "Finances" section, which presents all the financial data for your project.

How to elaborate the Executive Summary for a dog daycare center?

The Executive Summary provides an initial glimpse into the business plan of your dog daycare center.

Keep it concise and within 2 pages. Highlight only the necessary details.

When you show your business plan to investors, this is the first glimpse they will get. It needs to immediately grab their attention and make them want to read the rest of the plan.

In the Executive Summary of your dog daycare center, provide answers to these questions: what services does your dog daycare center provide? who is your target audience? are there other dog daycare centers in the area? what funding do you require?

How to do the market analysis for a dog daycare center?

Analyzing the market for your dog daycare center allows you to gain insights into factors such as customer preferences for pet daycare services, competition from other daycare facilities, and emerging trends in pet care.

By conducting a comprehensive market study, a dog daycare center can understand pet owner needs, create a safe and engaging environment, implement competitive pricing strategies, and execute targeted marketing campaigns, ultimately leading to a loyal customer base, increased pet admissions, and a prominent position in the local pet care market.

Here is what what we've put in the "Market Research" section of our business plan for a dog daycare center :

• current data and statistics on dog daycare centers, including enrollment rates, services offered, and pet care trends
• a list of potential market segments for a dog daycare center
• the competitor evaluation
• the potential competitive advantages for a dog daycare center

The key points of the business plan for a dog daycare center

What's the business model of a dog daycare center, business model of a dog daycare center.

A dog daycare center's business model centers around providing day-time care, socialization, and exercise for dogs. Revenue is generated through daycare fees, potentially offering additional services such as grooming or training classes.

The business model focuses on providing a safe and supervised dog play environment, employing trained staff, ensuring individualized care for each dog, effective marketing to target dog owners, and building strong customer relationships based on trust and care for their furry companions.

Success depends on maintaining a low staff-to-dog ratio, creating engaging and stimulating activities, delivering exceptional customer service, fostering positive dog-owner interactions, and maintaining a reputation for a fun and caring dog daycare experience.

Business model ≠ Business plan

Make sure you don't mix up the terms "business plan" and "business model."

A business model outlines the way a company creates value, generates revenue, and operates.

In a business plan, you use a tool called the Business Model Canvas to outline how your business works.

And, of course, there is a Business Model Canvas (already completed) in our business plan for a dog daycare center .

How do you identify the market segments of a dog daycare center?

Segmenting the market for your dog daycare center involves dividing your potential customers into different groups based on their dog care needs, demographics, and scheduling preferences.

These categories may include factors such as full-day daycare, half-day daycare, puppy daycare, or clients seeking specialized care (e.g., senior dogs, specific breeds).

By segmenting your market, you can offer a range of daycare programs and services that cater to each segment's specific requirements. For example, you might provide full-day daycare options for busy pet owners, offer half-day daycare for clients seeking shorter care periods, create a dedicated puppy daycare program for young and energetic dogs, or offer specialized care for senior dogs with specific needs.

Market segmentation allows you to effectively target your marketing efforts, provide a safe and stimulating environment for dogs, and build trust with pet owners by offering tailored daycare solutions that meet the unique needs of each customer segment.

In the business plan for a dog daycare center , you will find a complete market segmentation that allows you to identify your potential customers effectively.

How to conduct a competitor analysis for a dog daycare center?

Without surprise, you won't be the only dog daycare center in your city. There will be other facilities offering safe and enjoyable environments for dogs.

Make sure to conduct a comprehensive competitor analysis in your business plan, where you evaluate their strengths and weaknesses.

Explore their weaknesses (such as inadequate dog supervision, lack of structured activities, or poor sanitation practices).

Why should you focus on these elements? Well, these weaknesses can hinder the success of dog daycare centers. By addressing these aspects, you can provide a safe and stimulating environment for dogs, offer experienced and trained staff, and deliver personalized care and attention to each dog, positioning your dog daycare center as a trusted and preferred choice for dog owners seeking quality daycare and socialization for their pets.

It's what we call competitive advantages—strengthening them helps your business excel.

Here are some examples of competitive advantages for a dog hotel: safe and comfortable pet accommodations, experienced and caring staff, fun activities for dogs.

How to draft a SWOT analysis for a dog hotel?

A SWOT analysis can help identify the strengths, weaknesses, opportunities, and threats of a dog daycare center, allowing the owners to make informed decisions about how to best achieve success.

As you can guess, there is indeed a completed and editable SWOT matrix in our business plan for a dog daycare center

The strengths for a dog daycare center

When we mention the "S" in SWOT, we mean Strengths, which are the project's internal qualities or distinctive features.

For a dog daycare center, potential strengths could include experienced staff, a safe and secure environment, a variety of activities and amenities, and a convenient location.

The weaknesses for a dog daycare center

When we use the "W," we mean Weaknesses, which are the aspects of the project that need further attention.

For a dog daycare center, potential weaknesses could include inadequate staffing, lack of proper training, insufficient space, and inadequate insurance coverage.

The opportunities for a dog daycare center

The "O" in SWOT symbolizes Opportunities, indicating the potential advantages or favorable factors that can support the project.

In the case of a dog daycare center, potential opportunities could include offering boarding services, providing basic grooming services, offering dog training classes, and hosting doggie playdates.

The threats for a dog daycare center

When we talk about the "T" in SWOT, we're referring to Threats, which are the external risks or negative factors that can impact the project's success.

How to develop a marketing plan for a dog hotel?

Including a marketing strategy in your business plan is important to attract customers and generate revenue.

A dog hotel can attract pet owners in need of professional and reliable pet boarding services by implementing a targeted marketing strategy that showcases the hotel's comfortable accommodations, experienced staff, and personalized care for furry guests.

Pet owners won't trust your dog hotel without proper promotion; emphasizing the comfortable accommodations, personalized care, and dedicated staff is crucial.

Have you explored marketing approaches to attract customers to your dog hotel? Consider offering luxury pet accommodations or personalized pet care services, showcasing adorable pet photos on social media, and collaborating with local pet groomers or veterinarians for cross-promotion.

No need to worry if you're short on ideas for your project's marketing strategy.

How to build financial projections for a dog hotel?

A comprehensive business plan requires a thorough analysis of financial data to ensure its success.

As part of your business planning process, you'll be required to predict the revenue for your dog daycare center.

Ensuring a revenue forecast that is relevant and credible is key to presenting a robust business plan to potential banks or investors.

Our financial plan for a dog daycare center is designed to be user-friendly, incorporating automatic verifications that assist in identifying and correcting any assumptions. This ensures you can build credible projections with confidence.

Without a doubt, you'll need to come up with a basic budget for starting your dog daycare center. Make sure to include every expense (by the way, they are all listed in the financial plan we've made).

Including the break-even analysis in your financial plan is important as it shows whether your dog daycare center will generate profits or not.

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Dog Daycare Business Plan: The Ultimate Guide for 2021

BUSINESS  |   3/13/21 2:11 PM  |  by Team RP

If you love dogs as much as we do and want to start a dog daycare business, you are in the right place! Opening a dog daycare business is an excellent way to turn your passion for animals into a successful venture. But to get your dog daycare business up and running, you have a lot of work to do. (But, it’s worth it, we promise!) A solid business plan builds the foundation for a profitable enterprise, and this guide provides everything you need to create your dog daycare business plan. So, let’s dive in!

Why do I need a dog daycare business plan?

While your instinct is to snag every dog toy imaginable, wait! The first thing before starting any business is to write a business plan. The main reason you need a business plan is to secure funding. Investors or institutions through which you try to take a loan will request this to determine your qualifications for running a business.

Dog Daycare Business Plan Template

Your business plan should include eight sections. But don’t worry! We created this template to help.

Company Description

Include a short mission statement detailing your dog daycare business goals. Following the mission statement, include the following necessary information about your business:

• Company name
• Type of ownership (sole proprietorship, partnership, corporation, etc.)
• Who will manage the business and their qualifications
• Products and services you will provide
• The market you will service
• Number of employees
• Customers you will serve

Products and Services

This section should be explicit about what you will sell and who you wish to sell it to. Say you want to open an all-natural, green dog daycare business specializing in natural and organic pet products. Your target audience is educated pet owners who are seeking the healthiest environment and products for their pets.

In this case, you should include a statement to support your mission: "Due to widespread pet food recalls and the rise in sick or dying pets because of poor quality pet foods, there is significant demand for organic pet products. This market is currently underserved." This statement is explicit about what your business will do, and it indicates how your business will satisfy a specific need in an underserved market, filling a void.

Market Analysis

The market analysis details:

• Demographics
• Target Market
• Market Need
• Competition
• Barriers to Entry

Additionally, highlight statistics about the booming dog daycare industry, and include annual pet spending statistics. Include as much data and statistics as you can to illustrate that your dog daycare business would be in demand and successful in your market.

Marketing Strategy

Your marketing strategy details how you will promote your dog daycare business, including:

• Marketing and advertising methods
• How you will achieve business growth
• Your plan to attract and retain customers

Management Summary

The management summary details the management team or if your business is a sole proprietorship. Include:

• Who is managing what
• Their qualifications

Financial Analysis

Estimate business operating costs and how much funding is needed for optimal operation. You can also detail possible profit-and-losses.

Appendices and Exhibits

This section contains information to make your business attractive:

• Demographic, research, and marketing data
• Media about pet spending
• Pictures of work you have done
• Case studies and testimonials

Executive Summary

The executive summary comes at the end of your plan as a summary of the business plan. The executive summary contains the name of your business, its location, and the products and services the business will provide.

Opening a Dog Daycare Checklist

Once you’ve created the business plan, it’s time to get into the specifics. Use this handy checklist to get started:

• Startup costs and how you will obtain these funds
• Mission statement outlining your business purpose and goals
• Rates and pricing menu
• Marketing and advertising strategies
• Hours of operation
• Services you will provide
• Supplies (cleaning products, toys, treats, etc.)
• Hiring needs
• Licensing requirements: Consult licensing requirements and zoning regulations where you plan to open your dog daycare business to determine if there are restrictions.
• Legal needs: A business attorney will help you through the process and ensure you follow the law.
• Logo: The fun part! Create something memorable and eye-catching!
• Dog daycare business software: Cut down on staff costs, lessen the risk of error, and stand out from the crowd with customer-facing features like easy payment processing and reservation booking.

Choosing the right software from the start sets your business up for success. Revelation Pets created the best pet care software platform for business owners like yourself. Check out all of the great features that will make Revelation Pets your new (non-furry) best friend.

While a lot of blood, sweat, and tears go into opening your dog daycare business, all of that hard work pays off when you welcome your first furry guest. 🐶

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The Ultimate Guide to Starting a Dog Daycare Business

For animal lovers, the idea of opening a dog daycare in their community seems like a dream come true.  At first glance you will think only about the best aspects of running your own dog daycare business; adorable dogs playing, running, sniffing, jumping, digging, and tail wagging.  However, it’s important that as you build your business plan for opening your own dog daycare business you dig a little deeper and understand that while it has a ton of benefits to do what you love, it’s also just like starting any other small business and has a ton of challenges and barriers to building a business that is profitable and can be a pillar in your local community.

If you’re among the many new entrepreneurs venturing into the world of dog daycare, you’ve likely invested considerable time and effort into selecting the perfect location, navigating permits, securing financing, and refurbishing your facility to launch your business.

The purpose of this article is to provide a step-by-step guide on how to start a successful dog daycare business.  At  Kennel Connection , we have helped hundreds of dog daycare businesses open their doors with 35+ dogs on day 1.  We have built a dog daycare software platform that is designed to streamline the pet care operations of your facility, deliver amazing customer experiences, and automate marketing and customer communication while driving revenue and profits to make it easier for you to deliver the highest quality of pet care in your area.

The Growing Demand for Dog Daycare Services

Over the last decade, dog daycare businesses have been opening at a rapid pace across both the US and Canada.  As of 2022, there were over 25,000 dog daycare business locations in the United States serving over 65 million households

The average facility will deliver dog daycare services for around 40 dogs per day, but the market is filled with profitable dog daycare businesses that operate in their home for 5-10 dogs per day as well as large-scale facilities that are doing 200+ dogs per day in daycare. As a new dog daycare business owner you need to decide what size business you want to build.

Market Research & Planning for Your Dog Daycare Business

One of the most challenging aspects of opening a dog daycare is finding a location that is zoned correctly, applying for permits, and determining if the market has the appropriate demographics to support a profitable dog daycare business.  You want to look at population size, income levels, registered dog owners, age of residents, education level, and health coverage.  Sites like  https://data.census.gov/  will provide detailed demographic information and when you filter the data by county, you can get some very detailed level indicators to help you determine if the community would support your dream of opening a dog daycare business.  

Key Considerations in Dog Daycare Market Analysis

As you evaluate the market, the one key factor to consider is that the average dog daycare customer will only travel 7 miles to attend your dog daycare business regularly.  So you should be on the lookout for a building that is 5,000 to 10,000 square feet (depending on your access to capital) that also has outdoor space of at least 1,000 square feet.  Location is key in selecting the right area for your business, but finding a location that is zoned properly that is also easy to find can be time-consuming and might prove difficult. 

Estimating Your Dog Daycare Startup Costs

As in all things, the cost of what you buy and build is going to vary greatly on the location you are looking, the square footage of the building, the number of private runs you build, and what type of improvements are going to be needed.  I have met dog daycare business owners who were able to open a 5000 square foot dog daycare business with less than $50,000 and I’ve also met dog daycare owners who have 25,000 square feet and spent $4,000,000.  As you start to dig a bit deeper into your dream of owning and operating a dog daycare facility, below are some of the things that you should consider. 

Runs/Rooms/Kennels

There are several main options in the pet industry for places where your dogs will rest between social play.  Mason Kennels is one of the largest providers of kennels, but I prefer a small company called Gator Kennels out of Texas.  The key to making this investment last is using the right type of cleaning solutions.  But if you are handy or know someone who can help, I have also walked through beautiful facilities that use cement cylinders that are filled and stacked 8 feet high (you want the walls to be high to dampen the noise, provide privacy for each pet, but also because some dogs are amazing escape artists.

You have a lot of options when choosing the flooring type for your dog daycare.  I’ve seen some beautiful facilities use just sealed concrete, I’ve seen others spend tens of thousands on Permatek flooring, and even seen rubber floors.  If budget is not an issue, luxury resorts across the US typically install Permatek flooring because it’s easy to clean, will last a lifetime, and does not get slippery when wet.

One thing that you will find out quickly if you have never worked at a dog daycare is that you are ALWAYS cleaning.  Your staff will be using a variety of tools and a lot of water to keep your dog daycare smelling its best and eliminate diseases and bacteria.  Because of the necessary cleaning protocols, you want to make sure that you have drainage in every run, in main play areas, and that the slope of the flooring is helping you get everything into the drain vs making your life more difficult.

Ventilation System

When you are evaluating air exchanges & proper ventilation in your dog daycare facility design, you want to understand how many air changes happen per hour.  You must balance the need for fresh air with the need for an energy-efficient system. Without proper air circulation, you’ll run into issues with odor, bacteria, and disease transmission.  The most efficient systems will set up different zones (for larger facilities) so you can optimize the efficiency of the system.

Air Purification

The health and safety of the dogs in your care is key because if you have an outbreak of a dog illness, you might have to close your doors for a week or two.  If you are serious about safety, then Pet Areapy has the best UV disinfection tools available in the market. 

Outdoor Turf

Turf is a definite investment that I believe pays for itself.  It looks beautiful when you are doing tours of your facility, it’s fairly low maintenance and it eliminates mud and dirt which makes sending home dogs clean one less thing you have to worry about.  There are a few keys to turf and it all starts with the install.  You need to have a few layers of rock, sand, and soil between the turf to allow for proper drainage.  If you fail to prepare the group for a turf install, you will be plagued with a nasty odor from eliminations, and the turf won’t hold up.  If you want to go 100% turf, the leader in the space is K9 Grass.  The thatching on the bottom of their turf design allows for amazing drainage and you can expect it to last 10-15 years.  If you don’t have the $30,000+ for installing turf, some new products came into the market that allow grass to grow through a barrier that improves the quality of your grass and can also drastically reduce the mud factor. 

Navigating Legal & Regulatory Requirements

The legal and regulatory requirements to open a dog daycare business will vary significantly depending on the city & county you are looking at.

Most locations will require you to register your business, obtain a dog daycare and/or dog boarding license & special use permits based upon the zoning of your location as well as secure business insurance.  I would suggest looking at  The Hartford as they insure a ton of dog daycare businesses that are currently using the Kennel Connection dog daycare software. 

You will need 3 types of insurance coverage to ensure you are covered. 

• Commercial Liability Insurance:  This insurance covers your business if an accident were to occur in the day-to-day operations of your dog daycare. For example, a customer might slip and get injured within your daycare, or a pipe could burst in your facility and damage nearby businesses. 
• Property Insurance:  Property insurance covers your physical daycare facilities and equipment if something like a natural disaster, robbery, or fire occurs. 
• Professional Liability Insurance:  This insurance type relates to any accidents or injuries that directly relate to the activities of your dog daycare. For example, two dogs could get in a fight, or a dog could break free and run away. Your professional liability insurance can protect you and your business from fault in these instances. 

How to Price Your Dog Daycare Services Effectively

The appropriate pricing for your dog daycare is NOT based on what competitors in your area are pricing.  The pricing for your daycare services, packages, and enrichment should be based upon a model of your fixed and variable expenses, the capacity of your playgroups, employee pay, and your dog-to-staff ratios.  The average price across the US for a day of dog daycare is $35/per day.  If you are focused on enrichment daycare, the average rate is closer to $48/per day.  The price per day of daycare will vary by location with it being higher on the coasts and major metro areas and a little lower in rural areas where there is less demand for dog daycare services. The main goal when setting pricing is that your labor expense will be 30% of revenue for every category of service (including manager and owner salaries).  If your expenses are higher, which require higher prices, then you will need to ensure you are marketing your staff training protocols, certifications, the different services you are offering, and your approach to sending a dog home the best version of themselves. 

Variable Expenses

Below are the most common variable expenses you will encounter when operating your dog daycare business. 

• Labor for Services
• Grooming Supplies (scissors, shampoos, clippers, outfits, 
• Pet Assurance Costs
• Gas for Pick-up & Drop-off 

Fixed Expenses

Below is a list of the most common fixed expenses you will encounter when operating your dog daycare business.

• Rent/Mortgage Payments
• Property Taxes
• Utilities (Gas, Electric, Water)
• Cleaning Supplies
• Support Staff
• Facility Manager
• Marketing Expenses

Packages & Memberships

The other consideration when building your daycare program is to design the right types of packages and membership plans.  New dog daycare business owners should try to NOT discount a daycare package; instead, they should include free enrichment services based on how many days they purchase.  By including ‘near zero labor’ enrichment services you are going to help boost the adoption of the enrichment across daycare, boarding, and even grooming services. For every 10 dog daycare days that they purchase in the package, the pet parent should receive 1 free enrichment service.   Below are some of the best-selling ‘near zero labor’ enrichment services. 

• K9 IQ Puzzles
• Snuffle Mats
• Small Group Bacon Bubbles
• Report Cards
• Small Group Sniff Walks
• Bedding Upgrades

Build a Forecast Model

The key to building any profitable business is making sure that you know your numbers inside and out.  You need to be realistic and detailed in understanding your estimates of building costs, fixed and variable expenses, growth in acquiring customers, the required labor costs, and having a plan for the unexpected issues that will arise. For your dog daycare business, you will want to focus on several key metrics. 

Break Even Point

This is how many daycare dogs you need each day to cover all expenses (fixed & variable)

Profit per Pet

This number will fluctuate but should be used as a guide to know when it makes financial sense to cap the number of dogs per day based on the dog-to-staff ratios you have set.

Average Revenue per Pet Day (benchmark is $45)

With a baseline rate of $35/day, you will hit this benchmark by focusing on enrichment services and departure baths. 

Percentage of Daycare with Enrichment Activity (benchmark is 60%)

Enrichment services that are near zero labor will help reduce your overall labor as a percentage of revenue and ultimately drive profitability.  It’s key here that you train staff on how to make these personalized recommendations to send the dog home the best version of themselves.

Daycare Evaluations per Week (benchmark is 10)

You will need a minimum of 5 per week to have any growth based upon customer churn of 20% annually. 

Daycare Conversions (benchmark is 90%)

The ideal conversion is going to purchase a package and the goal is 90%, but if they don’t buy a package the secondary goal is to at least book their next daycare day. 

Labor as a Percentage of Revenue (benchmark is 35%)

While the benchmark is 35%, the smaller the percentage the higher your profits.  I have seen large-scale facilities (200+ dogs per day) have a labor percentage of 25%, but I must warn you that this is extremely difficult.  It’s very helpful to have clients pre-book so you know how many dogs to expect each day and as you might guess, these facilities are not operating at a 10 to 1 dog-to-staff ratio. 

Average Dogs Per Day (no benchmark on this; it will depend on square footage & labor)

Every dog daycare will have a typical ‘slow day’ that is consistently on the same day of the week.  The goal for you as a business owner is to create an Enrichment Calendar that will incentivize dog owners to come to daycare on these days to make them less slow.  Any time a customer purchases enrichment, be sure to send them a report card to include the pet parent in the experience. 

Active Daycare Clients

This number should be calculated monthly and is reflective of how many dogs came in at least 1 time in the past 30 days.  As you think about growth for your business, the goal is to get each level of client to come in 1x more week/month than they did the previous month.  These small gains will add up to a large growth month over month. 

At-Risk Daycare Dogs

The at-risk daycare dogs should be looked at every two weeks and it’s ideal if you build in a communication plan to re-engage customers who have not used daycare within the past two weeks.  This is where it’s helpful to use dog daycare software, as you can automate this process of reporting and create automated email triggers to reach out to those customers.  The other way to ensure you reduce the “at-risk” clients is by creating a monthly free enrichment schedule.  This will incentivize clients to come in and enjoy a day of fun. 

Daycare Package Sales

Daycare packages are a great tool to reward clients who come in often, but it’s also a way to ensure you are building up cash flow.  I typically recommend that you do not discount the daily rate for a package, but instead offer a free enrichment service for every 10 days a client purchases. I would also recommend that all packages have a 30 to 60-day expiration date to encourage clients to come in multiple times per month. 

Hiring the Right Staff for Your Dog Daycare Business

One of the biggest challenges in the dog daycare industry is finding staff that is responsible, dependable, and loves doing the hard work needed to operate a successful dog daycare.  Playing with dogs all day seems like a dream to any pet lover, however, you must set expectations from the first conversation with potential staff members that only a fraction of their time is playing with dogs.  You will want to prepare new staff members for the cleaning requirements, picking up dog poop, and documenting everything from feedings to medications to incidents and injuries.  Dog daycare staff can’t only be ‘dog people’, they need to have good communication skills, be team players, be hard workers, be dependable, and be flexible. To ensure that you only hire the best, you will want to do a mix of phone screenings, in-person interviews, and paid trial days.  Once you are both sure that they are a good fit for the position, you will want to create a training program so that every staff member understands dog body language, how to break up a scuffle, how to deal with difficult clients, and complete their daily responsibilities.  Several companies have designed dog daycare staff training, but I always recommend  PackPro .  They are owners/operators of a large-scale facility that does over 200 dogs per day; they have cultivated a company culture that staff love being a part of, they are profitable and have created the right processes and policies to ensure daycare is both safe and fun for staff and the dogs. 

The other key to being successful as a dog daycare business is making sure that you include your staff in your vision for the business.  This type of company culture allows your team to take responsibility (and action when appropriate) to ensure you are always delivering the highest levels of customer service.  As a leader of your business, you need to understand what motivates staff, how they want to be praised, preferred rewards, and what their aspirations are.  When you invest in the people they will build your business. Below is a sample staff survey I ask all staff to fill out.

https://pawloyalty.formstack.com/forms/staff_survey

How to Create a Dog Daycare Business Website

Selecting the best website platform for your dog daycare business.

If you are not super technical and you don’t want your website to be an ongoing expense for updating content, uploading pictures, and other maintenance to keep it fresh; then I would recommend using one of the WYSIWYG (what you see is what you get) sites like  Wix  or  Weebly . These tools will allow you to register your domain name, host your website, and provide templates that are pre-configured for a dog daycare business and will cost less than $250 per year. If you are ok with spending a bit more to build a site that is going to be more robust and customizable, then I would recommend using  WordPress . 

Key Elements of a Successful Dog Daycare Website

The modern pet parent is looking for a safe and fun environment for their dogs to socialize, play, jump, chase, and sniff around. They will start their quest for the perfect dog daycare for their furry family member by using Google to find “dog daycare businesses in their town” (typically within 7 miles of their home).  Be sure that your website provides the following items. 

• Clearly state what services you offer.
• Includes a video that shows pet parents what a “day in the life” of a dog is at your daycare facility.
• Includes social proof that the community loves you (using reviews and video testimonials).
• Includes a clear CTA (call to action) for pet parents to schedule their dog daycare evaluation (this should be powered by the dog daycare software solution that you choose to integrate into your website).
• Provides a way for them to ask questions via live chat or a text number (be sure to respond to these as quickly as possible).

SEO Strategies for Dog Daycare Websites

While it’s easy to get a website built using pre-built templates, you need to be sure to optimize the site so that people who are looking for dog daycare services in your area are going to find you in the top 10 results of their Google search. Even as you read through this article, you will notice that I use keywords multiple times so that Google will recognize that my site contains information for people who are searching for specific keywords. (can you guess the 2 keywords that I’m trying to optimize for?)

For a dog daycare business, you want to consider the words that a pet parent would type into Google to find your business.  Once you have identified a few keywords/phrases that you want to rank high for search results, you will then want to start adding content to your website that contains those keywords.  In addition to the content, you will want to update URLs, make sure headers on the page have those keywords, and that your website is mobile-friendly and easily readable.  The one thing I can’t stress enough is that SEO (search engine optimization) is a long-game task.  It requires you to consistently publish content and refresh your website to stay at the top page of Google search results. 

Another way to build authority for your website is to make sure that you register your business listing on all of the free listing sites.  The basics are Google listing, Bing listing, and Yelp, but if you dig a bit deeper you will find that there are over 50 different websites that are appropriate for your dog daycare business to be listed.

Choosing the Best Dog Daycare Software for Your Business

In the pet care industry, the dog daycare software you choose will help run your entire business and will cost anywhere from $100 to $300 per month.  65% of the leading dog daycare software solutions are very similar, so as you evaluate which software is going to be the best fit for your dog daycare business, you will want to dig into what is different.  Dog daycare business owners should look for a software solution that is going to provide the following baseline functionality, however, the key differences in most of the leading solutions are around online reservation requests, customer support, financial reporting, and client marketing.  These core areas of dog daycare software can save you hundreds of labor hours, improve your customer experience, and streamline daily pet care operations allowing your team to deliver the highest quality of care and safety. 

CRM: Customer & Pet Profile Management

This should manage all their contact information, appointment history, notes on each dog, history of texts they’ve received, dog daycare package usage and balance, vaccination, feedings, and medications.

Schedule Management

Regardless of the size of your dog daycare business, you will want to make sure that you know who is in-house, who is arriving, and who is leaving.  You will need to choose your dog-to-staff ratio, create playgroups with dogs who play well together, rotate the dogs who have chosen to personalize their pet’s stay with enrichment activities, and deliver feedings (for some not all) and medications.

POS Payment Integration

Your dog daycare software should provide a way to take payments (cash, check, Venmo, credit cards, debit cards, gift cards, etc).  These payments will integrate directly into the software so you can store credit cards on file, prompt pet parents to tip your staff, take deposits for appointment requests made through your website, and purchase dog daycare packages through your website.  The Kennel Connection dog daycare software solution also includes the ability to “Text to Pay” by sending a link directly to their cell phone.

Financial, Operational & Performance Reporting

As the owner of a dog daycare business, you need to know your numbers inside and out.  There are key performance indicators that you should be looking at weekly to understand the growth of your dog daycare, to understand the profitability, and to uncover the opportunities.  When you are evaluating which dog daycare software is the best fit for your business, be sure to do a deep dive and make sure you can easily get the numbers you need.  If you want to understand what metrics matter most check out this other article on metrics that matter for pet care businesses.

Online Reservation Request Integration

Pet parents doing research into a new dog daycare business should have the ability to take action and book a dog daycare evaluation.  When you use the best dog daycare software you can configure the pet parent customer experience so that they can select their enrichment activities, upload copies of their dog’s vaccinations, digitally sign your liability waivers, and pay a deposit. 

Marketing Automation

After you have worked in the industry as long as I have, you realize that most pet parents have no idea about what happens after they drop off their dog for daycare.  They have no idea how much cleaning occurs, the rotation schedules for the dogs, and the million moving parts to ensure that you foster safe playgroups for both staff and the furry guests they are caring for.  The right dog daycare software solution will have integrated marketing tools that allow you to easily communicate with pet parents through email and text.  They will support your ability to send marketing text messages to improve your average revenue per pet through departure baths and dog daycare enrichment activities and they will drive 5-star reviews with automated check-out texts. 

Employee Management

The right dog daycare software will allow you to customize the access rights for employees to view financial reports, respond to clients via two-way text messaging, update client and pet profiles, and update/manage invoices and payments.  There should also be a built-in time clock for tracking pay for hourly employees and managing commissions for dog groomers and dog trainers. When you leverage a cloud-based dog daycare software you can also restrict employees to only access information within the software when they are onsite at your dog daycare facility and logged into your network. 

Preparing for Your Dog Daycare Business Launch

Before you open the doors to your dog daycare business, you will want to make sure that you have designed an amazing customer and staff experience.  To be successful, you will want to define policies and processes, set standards for how the phone is answered, empower staff to do the “right thing” when something doesn’t go right, and find a pricing & services model that is profitable and differentiates you from the other dog daycare businesses in your area. 

Policies & Processes for a Dog Daycare Business

When a pet care business designs the right processes & policies you can reduce the stress for staff, improve profitability, and ensure you are creating a safe and fun environment for both staff and pets. 

Dog Daycare Rules:

To ensure that you focus on safety first, you will want to decide on the rules for accepting a dog into your dog daycare playgroups.  The most common rules for your dog daycare are age restrictions, vaccination requirements, and having the appropriate dog daycare evaluation process.  The key to remember is that it is “ok” to let a client know that the dog is not a good fit for socialization and offer an alternative solution like a day board when the dog won’t thrive in a social environment. 

Daycare Evaluation Screening & Check-out Experience:

The average dog daycare will lose about 20% of their customers on an annual basis due to behavior changes, customers moving, changes in financial situations, and the unfortunate death of a dog.  To ensure your dog daycare sees the appropriate growth, you need to focus on targeted marketing campaigns to drive a minimum of 25 dog daycare evaluations per month.  The goal of every dog daycare evaluation is to end with a package purchase.  Each business should design an automated email campaign that explains the evaluation process, what makes an ideal daycare candidate, and a special “intro to daycare” package offer at the end of the evaluation.  I believe the ideal package will include 6 days of daycare for the price of 3 with the expectation of the dog coming into daycare 2x per week for the next 3 weeks. 

Check-in Experience:

As a pet parent walks through the front doors of your dog daycare, the ‘look’ of your front desk staff is going to be their first impression.  Having your staff look like they work for a safe and professional dog daycare is key to your brand.  At the bare minimum, every single employee should wear a company shirt (both front desk and daycare attendants).  But the check-in experience is so much more than just a company uniform; it also includes front desk staff coming out from behind the desk to greet the dog and point out the special enrichment activity for the day (ideally written on a chalkboard). 

Drop-off & Pick-up Policies:

 If you are opening your doors with limited staff, then a key to reducing labor and improving profitability is to limit the times clients can pick up and drop off for dog boarding and dog daycare services.  You want to ensure you are somewhat flexible, however, typically I would recommend a drop-off window of 7 am to 10 am and a pick-up window of 3 pm to 7 pm.  This allows you to reallocate front-desk staff hours to cleaning, go-home prep, and other key operational tasks. The other benefit is that your staff can better manage the level of energy of the dogs who are playing to ensure you don’t introduce an overstimulated dog with dogs who have already been playing for a few hours and are ready to be rotated for rest and enrichment. 

Dog to Staff Ratio:

The dog-to-staff ratio can vary greatly from region to region.  In some states like Colorado and North Carolina, these ratios are regulated and can be 10:1 or 12:1, while other states like Texas are allowed to operate 25:1 or higher based on personal preference.  The main factor in determining your personal approach to dog-to-staff ratio should be safety and that will depend upon the training and background of your daycare attendants.  When you operate at a higher dog-to-staff ratio you are reducing your labor as a percentage of revenue (with a target of 30%), but it is a careful balance because safety should be your number one priority. 

Departure Bath Requirements:

As you evaluate your policy around departure baths, each pet care business should consider the potential negative impacts to your brand should you send a dog home after multiple days of playing, covered in their best friend’s slobber and not smelling fresh.  The ideal schedule would be that every regular dog daycare customer would get a bath every two weeks and any dogs that are staying for 3 nights of boarding or more would depart with a bath as well.  Not only does this protect your brand, but it will also improve your average revenue per pet day/night.  The benchmark for success is that 90% of boarding appointments should have a departure bath and 50% of regular daycare clients would be on a regular bath schedule.  To optimize this process your staff should recommend a departure bath at the time of booking, 7 days before check-in as well as at the time of check-in.  In certain cases, it’s also important to give your team authority to provide a free departure bath for dogs who really need it (but be sure to let the customer know and build “goodwill”). 

Deposit and Cancellation Policy:

When you are accepting online reservation requests through your dog daycare software platform, collecting deposits is simple and automated.  Most dog daycare businesses do not require a deposit for daycare services, but it is very common to collect a deposit for dog boarding and pet grooming services.  Deposits can range from $50 per appointment to 50% of the estimated cost.  When you are evaluating the right cancellation policy, I think it should be based on how long you expect it to take to find a replacement for the cancellation.  If you have enough demand to fill a last-minute cancellation within 3 days, then deposits canceled 4 days or more in advance will be refunded.  

Dog Daycare Rotation Schedule: 

The ideal schedule for a dog will include a mix of socialization, mental stimulation, food enrichment, sensory enrichment, and rest.  The rotation schedule you design will allow your staff to deliver enrichment services that will ensure you are sending every dog home the best version of themselves and provide a more enjoyable structured experience for your staff.  I see some of the top-performing facilities using 2-hour rotation schedules. 

Dog Daycare Cleaning Protocols:

As customers enter your facility, you want them to be delighted with the scent of your brand (and that scent should not be “stinky dog”).  Having the correct cleaning protocol for all different service types is going to be a key to brand reputation, as well as the wellness of all the furry guests. While I wish that I could share the ideal cleaning protocols for,  Permatek floors ,  k9 grass ,  puppy playground  equipment,  Gator kennels ,  Kuranda beds , and the dozens of other optional surfaces, that is one aspect of operating a dog daycare that I do not have expertise in.   But what I can tell you is that the experts over at  Animal Health Technologies  have created hospital-level cleaning protocols for every surface that are not only for the health of the dogs but also to ensure your equipment will last for decades. 

Phone Call Scripts:

Creating a phone script for the different types of calls that come into your dog daycare business is key to optimizing the adoption of enrichment services, converting new customers into loyal customers, selling daycare packages, and differentiating your business from the competitors in your area.  Below are the key phone calls that you need to a call script/guide.  

• New Customer Calls: These calls need to be focused on a mix of telling your company story and capturing the necessary information to nurture these leads into loyal customers. 
• Reservation Calls: The goal of these calls is to educate customers on the value of enrichment services and how those services will ensure you can send their dog home the best version of themselves. 
• Pet Parents Check-in Calls: When you use a dog daycare software that includes digital charting, it will streamline communication between daycare attendants and the front desk staff.  This allows you to skip transferring a call and or using your walkie-talkie to get a pet update.  Instead, the digital charting makes all the details available so that, in real-time, you can share a happy update with the pet parents. 

Pet Assurance:

Pet business owners can think of pet assurance as a product that guarantees the pet parents that you will do the right thing, should an injury happen during their time at your facility.  I’ve seen “pet assurance” implemented as a daily rate of $1-3/per day, while other facilities charge $5 per appointment for the assurance.  What I like about “pet assurance” is that it can be used as a marketing tool in conjunction with touting the training process of your pet care team. When implemented along with appropriate safety protocols, pet assurance will become a profit center for your dog daycare business. 

Dog Daycare Supplies & Equipment

The supplies you purchase are going to vary based on the services that you are offering and the budget you have to spend.  The saying ‘you get what you pay for’ is also true for equipment and supplies in the industry.  

Equipment purchases that require a significant investment are Gator Kennels, puppy playground equipment,  iDog Cameras ,  Pet Aerapy UV Disinfection System , cleaning equipment,  washers, and dryers  (make sure you get commercial grade equipment like speed queens), as well as grooming dryers and adjustable tables.  These products should last a decade or longer and require intentional maintenance and care. 

The less expensive supplies to run your dog daycare business are going to be toys & balls, food &  water bowls  (I really like KINN products), leashes, agility equipment, flirt poles, pooper scoopers, and bags, first aid kits, laundry supplies, kitchen supplies and the right cleaning supplies based upon the surfaces and equipment you are needing to keep clean. 

Grand Opening Marketing Plan

Most dog daycare owners are investing significantly in the building of their dream facility, however many are skipping the critical point of creating a solid grand opening marketing plan to ensure their dog daycare business opens its doors with 35+ dogs on day one.  As you build your plan, you will want to ensure it incorporates a mixture of digital marketing, flyers left on cars, media coverage, mailers, partnering with local businesses, and social media.  The best marketers will start promoting their business anywhere from 90 to 120 days before their scheduled opening. 

Digital Marketing

When you think of digital marketing for your dog daycare business, you should be thinking of Google ads with very specific keywords that your ideal customers are looking for; “Dog Daycare in _____ (your town)”.  These are highly specific search terms the dog owners who are actively searching for care for their four-legged family members. You can expect that each lead that is generated is going to cost around $10.  When you are paying for paid keywords, your ad will show up in the top 4 ‘sponsored’ results for those keywords.   The key to optimizing your conversions of these leads is to have a website that allows dog owners to book a daycare evaluation (I like to call them “discovery day”) or make sure that you answer your business line EVERY time it rings.  If you start marketing your grand opening 120 days before opening, I would start with a budget of $500/month for the first 2 months and then $1000 a month for the last two.  With these leads, the goal is to make sure that 90% of the discovery days turn into a purchase of your “Grand Opening Special Package”.  

Flyers on Cars

The average daycare client will travel no more than 7 miles from their home to your new dog daycare business.  You will want to put on your shoes (or hire someone) and make sure that you are delivering these to all cars that are near your business.  The key to a successful flyer is including a QR code on the flyer to make it easy for dog owners to take action and book their ‘discovery day’.  I personally use  Canva  to design beautiful flyers because they have tons of templates and images that can perfectly match your brand with a QR code that links directly to your dog daycare software online booking page. 

There are likely thousands of homes within 7 miles of your business, which could be very costly if you do not refine the delivery list.  The key to mailers is finding the registered dog owners in your area which is available through public records.  I would recommend using the same flyers you designed using  Canva . 

Media Coverage

Media coverage is designed to boost brand exposure and foot traffic to your neighborhood business.  Local TV is surprisingly watched by 75% of adults and finding the right way to get free coverage will be key to a successful launch of your dog daycare business.  Depending on the date you are anticipating opening the business, you will want to craft your pitch to maximize the chances of being featured. Below are the 4 steps necessary to maximize the coverage. 

• Tune into the program you want to be featured on. One of the biggest mistakes in finding the right media coverage is pitching your grand opening to the wrong producer.  The average segment will last about 3 minutes and will be on-location and can either be a demo or an interview.  
• Keep in mind that media is a visual medium so you want to have a planned activity in the background during your interview that catches the viewer’s attention. 
• Subject Line
• Introduce your idea
• Share your credentials
• Describe the visuals
• Call to action
• Provide your follow-up contact information

Partnering with Local Businesses

There are two types of local business partnerships that you are going to want to explore.  The most obvious is going to be businesses that are also focused on providing products and services that are complimentary to your dog daycare business (vets, pet retailers, dog trainers, groomers, etc).  Go into these businesses and introduce yourself, ask if you can leave behind your flyers, and ideally come up with a way to incentivize the cashiers to include a flyer in every bag or receipt they provide.  

The less obvious option for partnerships is finding large local employers and building an “employee perks” program.  You will want to reach out to the Human Resources contact (you can find their name on  LinkedIn ). The ideal solution will not require you to pay for anything but rather offer a special package for their staff to use your services.  Ideally, they would send out a company-wide email 1x per quarter and include either a flyer or welcome packet for all new hires.  

Social Media Marketing

Once your website is up and running, you will want to immediately create a Facebook & Instagram page for your business. Most dog daycare business owners will post cute pictures, announce special activities, and share other educational information for dog owners.  If you connect both accounts, you can have a single post that is automatically shared on both platforms.  Initially, you should post here frequently to build the expectation and drive traffic to your page; I’d recommend daily if not multiple times per day once you are open and have tons of cute pictures to share. 

Other than Facebook and Instagram, I recommend getting on  Nextdoor  as that has grown into a great local community platform.  I don’t think the paid ads work, however posting on Nextdoor a few times per week to boost the community awareness of your new facility will help drive traffic to your website.  If you can get your customers to also comment on your posts about their experience and how much fun their dog has, that will be great social proof for community members to trust your business with their four-legged family members. 

Find Mentors & Subject Matter Experts

Building a business doing what you love is going to require long hours, working holidays, and having hard conversations.  However, with the right plan, the rewards of doing what you love will outweigh all the hard work.  As you embark on the journey as an entrepreneur, you should find several mentors and subject matter experts who can help you along the way.  I have always found it very helpful to also have an ‘accountability partner’; this is someone who you meet with each month to review your numbers and to share your action plan to continue to improve all aspects of your business.  

If you don’t know where to start looking for the right people to help you along the way; in the dog daycare world, Facebook groups can provide both a community and expertise.  The  Dog Daycare & Boarding Best Practices  group, comprising over 6,000 dog daycare experts, is highly engaged.  Members can address a wide array of inquiries and offer extensive insights spanning marketing, financial analysis, pet care operations, safe conflict resolution techniques, and meticulous cleaning protocols. 

The Ultimate Guide to Starting a Successful Dog Daycare Business

Table of contents, your comprehensive guide to launching a doggy daycare.

In this comprehensive guide, we will walk you through the essential steps to successfully launch and operate a dog daycare business. From understanding the licensing requirements to maximizing profits and crafting a solid business plan, we will cover everything you need to know to ensure your doggy daycare venture thrives.

Steps to Successfully Launching a Dog Daycare Business

Launching a dog daycare business is an exciting endeavor, but it's important to start on the right foot. The first step is conducting thorough market research to determine if there is a demand for a dog daycare in your area. Identify your target market and assess the competition to find your niche.

For example, you may discover that there is a growing trend of pet owners who work long hours and are in need of a safe and stimulating environment for their furry friends. By catering to this specific market segment, you can position your dog daycare as a solution to their needs and stand out from the competition.

Next, you'll need to develop a comprehensive business plan that outlines your goals, strategies, and financial projections. This plan will serve as your roadmap and help you secure funding if needed. It should include details on your unique selling proposition, pricing strategies, marketing plan, and operational procedures.

When crafting your business plan, consider incorporating innovative ideas to differentiate your dog daycare from others in the market. For instance, you could offer additional services such as grooming, training, or even a doggy spa to attract a wider customer base and increase revenue streams.

Once your business plan is in place, it's time to take care of the legal aspects. Obtain the necessary licenses and permits and ensure that you comply with local regulations. This may include obtaining liability insurance and meeting health and safety standards.

Navigating the Licensing Requirements for Your Dog Daycare

Before launching your dog daycare, it's crucial to understand the licensing requirements and regulations in your area. Contact your local government or licensing agency to get information on the specific permits and certifications you need to operate legally.

Additionally, it's important to consider the welfare of the dogs in your care. Research and implement best practices for dog handling, behavior management, and emergency procedures. This will not only ensure the safety and well-being of the dogs but also help you build trust and credibility with your customers.

Remember, obtaining the necessary licenses and certifications is not just a legal requirement, but it also demonstrates your commitment to providing a professional and reliable service. It gives pet owners peace of mind knowing that their beloved companions are in capable hands.

Understanding the Profit Potential of a Dog Daycare Venture

While the love for dogs is undoubtedly the driving force behind starting a dog daycare, it's essential to consider the profit potential of your venture. Running a successful dog daycare can be financially rewarding, but it requires careful financial planning and management.

Calculate your costs, including overhead expenses such as rent, utilities, supplies, and employee wages. Consider factors such as the number of dogs you can accommodate, the rates you can charge, and the demand for dog daycare services in your area. This will help you determine your pricing strategy and estimate your potential profits.

Moreover, think about ways to maximize your revenue streams. You could explore partnerships with local pet stores or veterinarians to offer additional services or products. For example, you could provide a retail section within your daycare where customers can purchase premium dog food, toys, and accessories.

Additionally, consider implementing loyalty programs or offering special packages to encourage repeat business. This not only fosters customer loyalty but also helps to increase your overall revenue and profitability.

By carefully analyzing the profit potential of your dog daycare venture and implementing strategic measures to increase revenue, you can ensure the long-term success and sustainability of your business.

Maximizing Profits in Your Dog Daycare Business

Once your dog daycare is up and running, it's important to focus on maximizing profits and ensuring long-term success. Here are some strategies to help you achieve financial success in your dog daycare business:

Expanding your revenue streams can also significantly impact the profitability of your dog daycare business. Consider offering additional services such as grooming, training classes, or pet retail products. These add-ons can attract more customers and increase your overall income.

Furthermore, investing in marketing and advertising efforts can help raise awareness about your dog daycare services and attract new clients. Utilize social media platforms, local advertising, and partnerships with pet-related businesses to reach a wider audience and drive growth.

The Financial Blueprint for a Successful Dog Daycare

Developing a financial blueprint is essential for the success of your dog daycare. This blueprint should include financial goals, budgeting strategies, and profit projections. Regularly monitor your income and expenses, and make adjustments as needed to ensure profitability.

Additionally, consider creating a contingency fund to cover unexpected expenses or downturns in business. Having a financial safety net can provide stability and peace of mind as you navigate the ups and downs of running a dog daycare.

Calculating Gross and Net Profits in Your Dog Daycare

Understanding your gross and net profits is vital in determining the financial health of your dog daycare. Gross profit refers to the revenue generated from dog daycare services, while net profit takes into account all expenses. Use accounting software or consult with a financial professional to accurately calculate and analyze your profits.

Regularly reviewing your financial statements and conducting cost-benefit analyses can help identify areas where you can cut costs or optimize revenue streams. By staying proactive and informed about your financial performance, you can make strategic decisions to improve profitability and sustain long-term success.

Using Pricing Strategies to Build Your Dog Daycare Brand

Pricing is a crucial aspect of your dog daycare business. Set competitive rates based on factors such as your local market, the quality of your services, and the amenities you offer. Consider offering package deals, discounts for long-term clients, or additional services to attract and retain customers.

Furthermore, regularly reassess your pricing strategy to stay competitive in the market and adjust to changing economic conditions. Conduct market research, gather feedback from customers, and stay informed about industry trends to ensure that your pricing remains attractive and profitable.

Crafting a Solid Business Plan for Your Dog Daycare

A well-crafted business plan lays the foundation for success in any business, including a dog daycare. Here are key elements to consider when developing your dog daycare business plan:

Establishing Your Unique Dog Daycare Brand Identity

In a competitive industry, having a unique brand identity is crucial. Define what sets your dog daycare apart from the competition and communicate this to your target audience. This could be through specialized services, a focus on quality and cleanliness, or creating a welcoming and safe environment for the dogs.

For example, you could offer specialized services such as dog training or grooming, providing added value to your customers. By focusing on quality and cleanliness, you can ensure that pet owners feel confident in leaving their beloved furry friends in your care. Creating a welcoming and safe environment can be achieved by implementing strict safety protocols, hiring experienced and compassionate staff, and designing play areas that cater to the needs of different dog breeds and sizes.

Analyzing and Outsmarting Your Dog Daycare Competition

Competition in the dog daycare industry may be fierce, especially in densely populated areas. Conduct a thorough analysis of your competitors, their offerings, and pricing. Identify ways to differentiate your business and offer a superior experience to attract customers.

One way to outsmart your competition is by offering unique perks and services that set you apart. For example, you could provide webcams that allow pet owners to check in on their dogs throughout the day, giving them peace of mind. Another strategy could be to partner with local pet stores or veterinarians to offer exclusive discounts or promotions to your customers, creating added value for their experience.

Selecting the Ideal Facilities for Your Dog Daycare

The facilities you choose for your dog daycare play a significant role in its success. Consider factors such as location, accessibility, indoor and outdoor space, and amenities. Create a safe and comfortable environment that meets the needs of the dogs and their owners.

When selecting the ideal facilities, think about the convenience for pet owners. Choose a location that is easily accessible and has ample parking. Indoor and outdoor space should be spacious and secure, allowing dogs to play and exercise freely. Consider adding amenities such as swimming pools or agility courses to provide additional entertainment for the dogs.

Streamlining Operations with Effective Software Solutions

Efficient operations are essential for a dog daycare business. Utilize software solutions specifically designed for managing dog daycare operations, such as scheduling, client communication, and billing. These tools can help streamline administrative tasks and provide a better experience for both you and your clients.

With the right software, you can automate scheduling, ensuring that each dog receives the appropriate amount of playtime and rest. Client communication can be made easier through automated reminders and updates, keeping pet owners informed about their dog's activities and well-being. Billing software can simplify the payment process, allowing for easy invoicing and tracking of payments.

Starting a successful dog daycare business requires careful planning, thorough research, and a passion for dogs. By following the steps outlined in this guide and implementing effective strategies, you can launch and operate a thriving doggy daycare that provides valuable services to pet owners while allowing you to fulfill your business dreams.

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The Best Dog Kennel Software for Managing Your Pet Boarding Business

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Dog Daycare Business Plan Sample

Published Dec.11, 2017

Updated Apr.22, 2024

By: Cynthia Turner

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Table of Content

Doggie daycare business plan for your own dog kennel

Are you planning to start a dog daycare business? Well, dogs are the most popular pet in the world especially in the United States where 89.7 million dogs were owned as pets in 2017. Most of these dog owners need the services of dog daycare centers which can take care of their beloved dogs when they are not around. The people in the United States never hesitate to spend on their pets, for instance, the US residents spend tens of billions of dollars on their pet friends, the majority of which are dogs. This shows how profitable a dog daycare business can be. So, if you are thinking about starting this venture you should know that you can earn some serious cash provided you plan your business efficiently.

The first thing before starting any business is to write a comprehensive business plan which establishes the basis of your company’s future operations and decisions. It also provides detailed guidelines about everything you will be doing in the next few years. If you are wondering how to write an effective dog daycare business plan then here we are providing you the business plan for a dog daycare startup named ‘The Dog Cave’.

Executive Summary

2.1 the doggy daycare business.

The Dog Cave will be located at the East Lake Shore Drive District in Chicago, Illinois. We will be strategically located in one of the richest neighborhoods in the United States. The company will be licensed by American Pet Association and equipped with all resources and manpower to provide the highest quality of services possible. The business will be owned and operated by Dr. John Spenks, a renowned veterinary doctor of the United States. Dr. Spenks studied Veterinary Sciences from the University of Florida and had been serving in various Government as well as privately-owned veterinary and pet care centers throughout the United States for the last 20 years. It is probably due to his vast experience spanning two decades that he knows everything about how to start a dog daycare business .

2.2 Management

The company will be initially launched as a small startup operating only in Chicago. Dr. Spenks will manage the overall operations of the company and will be assisted by his nephew Mike Spenks, who is an MBA from Harvard and has served in various managing positions at many small and medium-sized businesses. Mike will also manage the finances of the company. Opening a dog daycare business plan is not an easy task that’s why Dr. Spenks will hire a team before the company’s launch to help him throughout the process.

2.3 Customers

The company aims to serve one of the richest residential zones of the United States. The community living in the region has the annual mean household income of $593,454; hence, they can easily afford our quality services .

2.4 Target of the Company

The company aims to provide highest quality service to its customers and become the best daycare center in Chicago within three years of its launch. Dr. Spenks also plans to launch a few more centers in other cities as well.

2.4.1 Objectives

The target of the company can be achieved by fulfilling the following objectives:

• To achieve the net profit margin of $30k per month by the end of the first year
• To increase the profit margin by at least 20% each year
• To balance the initial cost of startup with earned profits by the end of three years

The company’s financial experts have forecasted following sales and profits for the next three years of launch.

2.4.2 Keys to Success

The keys to the success of fulfilling our objectives and achieving our target are as follows:

• Comprehensive planning of ‘everything
• Hiring the best staff for operations
• Respecting our customers and their beloved pets
• Maintaining strict checking on the staff with reference to health and cleanliness aspects of the facility

Company Summary

3.1 company owner.

The Dog Cave will be owned by Dr. Spenks who has been in veterinary and pet care industry for the last 20 years. Dr. Spenks has been planning this startup for the last couple of years and hence perfectly knows how to open a dog daycare business and operate it to yield profit even in the first year of launch.

3.2 Why the Dog Daycare Business is being started

Dr. Spenks has always wanted to start start a doggie daycare business  plan out of his love for dogs and had been planning for it for quite a time. But he finally decided to start this venture after receiving his share of wealth from his father recently. Starting this business was undoubtedly the best way to not only invest his money but also to fulfill his long-awaited dream.

3.3 How the Doggie Daycare Business will be started

The Dog Cave will be a bonded, insured and licensed dog daycare business. Dr. Spenks is nearly halfway through the process of acquiring a license for the company and has already procured a beautiful facility near the residential zone of the city. The facility was previously used as local school so a lot of work will be required to convert it into a dog daycare center. Dr. Spenks has acquired the services of a contracting firm which is currently working on the facility. Dr. Spenks has planned everything about his business. He has even hired a team of professional experts from various fields to just help him craft a detailed plan for his venture. His nephew, Mike, will be in charge of all financial activities and will oversee other experts. The initial main expenses for the startup include rent of the facilities and other utilities along with the expenses due to marketing or advertising of the company. After that, the biggest expense will be in the inventory needed for start-up including shampoo, grooming products, food and other supplies for the dogs. All the initial investment will be made by Dr. Spenks himself and he won’t need any loans, at least for the first year of operations. Mike, with the help of financial experts, has forecasted following costs for expenses, assets, investment, and loans for the Start-up.

The detailed start-up requirements, start-up funding, start-up expenses, total assets, total funding required, total liabilities, total planned investment, total capital and liabilities as forecasted by experts, is given below:

Services for customers

Our dog day care center is primarily aimed to provide a place to dog-owners where they can leave their dogs anytime. We will take care of our customer’s dogs while they are at work, or away on a vacation, or enjoying a weekend trip. Besides providing a safe place for their dogs, we will also provide many other services which are:

• Dog training
• Exercising and feeding
• Veterinary services
• Washing and grooming

Along with these services, we will also open a small store for selling pet-related products like shampoos, foods, medicines, ties, chains, and clothes for the dogs.

Marketing Analysis of dog daycare business

The most important and difficult part of developing an effective  dog daycare business plan  was its accurate marketing analysis that’s why Dr. Spenks acquired the services of marketing experts. They not only helped him throughout the process but also showed him several  dog daycare business plan samples  to give him an idea about how to carry out an accurate marketing analysis. Dr. Spenks then made his own  doggie daycare business plan  after he had gone through various  dog day care business plans . The success or failure of a startup is totally dependent upon its marketing strategy which can only be developed on the basis of accurate marketing analysis. There are four main steps to carry out an accurate marketing analysis which are to identify the current market trends of your business, identify your target audience and potential customers, set out the business targets to achieve, and finally set the prices of your products or services in accordance with the first three steps.

Operational and Strategic Planning

5.1 market trends.

The pet industry is one of the few industries which have seen a consistent increase in revenue. According to the American Pet Products Association, the residents of US spent a staggering amount of $60.28 Billion in 2015, $66.75 Billion in 2016, and are estimated to spend $69.36 by the end of 2017. These stats show that this industry can be immensely profitable provided that you market yourself successfully. The most interesting aspect of this industry is its dynamic nature. With latest technologies and luxurious pet products, pet owners’ demands have also changed accordingly. The need for daycare centers, especially for the dogs which is the most favorite pet in the United States, has increased the demand for such facilities beyond limits. Especially for the regions housing well-off community are in a dire need of daycare facilities.

5.2 Marketing Segmentation

A startup must develop a good plan to market itself to its target customers. A successful and efficient marketing strategy can only be developed after we completely know our potential customers. That’s why our marketing experts carried out an extensive research to identify our target customers and develop an effective marketing strategy for them. Our experts have identified the following type of target audience which can become the future consumers of our services and products:

The detailed marketing segmentation of our target audience is as follows:

5.2.1 Individual Households

The biggest consumer of our services and products will be the community living in the residential zones of Chicago. We will specifically target the neighborhood of East Lake Shore Drive which is also the location of our facility. The residential community often has to leave their homes for various purposes and most of the time they can’t take their dogs with them. That’s why they will need our daycare services throughout the year. Moreover, they are also much likely to acquire our dog grooming, washing, training and veterinary services along with the purchase of pet products from our adjacent store. These individual households will contribute the biggest portion of our sales hence they have a major role in deciding our strategies and policies.

5.2.2 Corporate Organizations

Many corporate organizations like police or security agencies also own a lot of detective dogs. We also plan to serve them by providing dog grooming, washing, and veterinary services. Although these organizations also own trained staff for these purposes yet they can still become our potential customers of various pet products like food, medicine, clothes etc.

5.2.3 Dog Dealers

There are also various dog dealers in the central business district of Chicago city. Although they a little far from our facility center but we have made a plan by which we can attract these dealers. We will arrange special transportation facilities for them so that they can easily bring their dogs to us. We will also offer special packages and discounts for the purpose of attracting them towards our services. We hope that these dealers will also help us generate a lot of revenue.

5.2.4 Animal Shelters

There are more than 3500 animal shelters in the United States for accommodating abandoned, stray, or lost animals. We also hope to target hundreds of animal shelters present in Chicago for washing, grooming, and veterinary services. We will also provide them transportation services and special offers. The detailed market analysis of our potential customers is given in the following table:

5.3 Business Target

We aim to become the best dog care business in Chicago within next three years. Our business target is to balance the cost of our startup within just three years of our launch.

5.4 Product Pricing

We have priced our products and services in the similar ranges as of our competitors. For daycare services, we have developed various plans for charging our customers such as per hour, per day and per week plans. We will provide better services than our competitors for the same prices. The reason behind this pricing policy is to achieve our minimum attractive rate of return while also attracting the customers towards us.

Dr. Spenks carried out extensive research and hired financial experts to help him develop an effective marketing and sales strategy for the startup. The experts made a detailed strategy for him to start dog daycare business .

High Quality Business Plan and Professional Support

It was amazing to work with OGS Capital for our business plan. They promptly responded our enquires and delivered document on time.The document was well organized high quality and content.We succeded with Alex and his team support. We thank you guys again for professional approach and easy communication.

It wasn’t that Dr. Spenks didn’t know how to open a doggie daycare business , he only took help from various experts to ensure the success of this great venture. The strategy of our company as developed by the experts is as follows:

6.1 Competitive Analysis

We have a really tough competition because there are several other dog daycare centers in Chicago, many of them are established since decades. But still, Dr. Spenks is positive that our company will beat all of the competitors within no time. Our competitive edge will be our better quality and luxurious services within the same amount as that of our competitors. Our second competitive edge will be our unparalleled customer service where we will treat our customers and their beloved pets with extreme respect.

6.2 Sales Strategy

We will introduce our startup to our target customers and stakeholders by sending brochures and introductory letters about us. We will also carry out a large-scale social media campaign for our advertisement.

6.3 Sales Forecast

We believe that people will always leave their dogs with us if they use our service even for once. Considering the market demand and the quality of our services, our sales pattern is expected to increase with years. By analyzing our market segmentation strategy, our experts have forecasted the following sales on the yearly basis which are summarized in the column charts.

The detailed information about sales forecast, total unit sales, total sales is given in the following table.

Personnel plan

Dr. Spenks acquired the services of a Human Resource Manager for helping him develop a personnel plan to open dog daycare business . He developed the following personnel plan for the staff needed for the dog daycare center along with their average salaries with the help of experts.

7.1 Company Staff

Dr. Spencer will manage the overall operations of the daycare center. The company will initially hire following people

• 1 Accountant to maintain financial records.
• 4 Sales and Marketing Executives responsible for dealing with corporate businesses, dog dealers, and animal shelters
• 15 Workers for performing various tasks such as feeding, washing, grooming, and training of dogs
• 5 Workers to maintain the facility and for doing its routine cleaning
• 4 Drivers to transportation of dogs owned by dealers, organizations, and shelters
• 1 Front Desk Officer to act as a receptionist in the company office
• 1 Salesperson to operate pet products store

To ensure the best quality service, all employees will be selected through vigorous testing and will be trained for a month before starting their jobs.

7.2 Average Salary of Employees

The following table shows the forecasted data about employees and their salaries for next three years.

Financial Plan

Mr. Spenks with his nephew Mike developed the financial plan for his business. Mike, being a financial expert, helped him through all the problems encountered in this phase. The problem wasn’t about how to open your own daycare business but the problem was how you plan it incorporating all financial aspects. The financial plan developed by them outlines the development of company over the next three years.

8.1 Important Assumptions

The company’s financial projections are forecasted on the basis of following assumptions. These assumptions are quite conservative and are also expected to show deviation but to a limited level such that the company’s major financial strategy will not be affected.

8.2 Brake-even Analysis

The following graph shows the company’s Brake-even Analysis.

The following table shows the company’s Brake-even Analysis.

8.3 Projected Profit and Loss

The following charts show the company’s expected Profit and Loss situation on the monthly and yearly basis.

8.3.1 Profit Monthly

8.3.2 Profit Yearly

8.3.3 Gross Margin Monthly

8.3.4 Gross Margin Yearly

The following table shows detailed information about profit and loss, and total cost of sales.

8.4 Projected Cash Flow

The following column diagram shows the projected cash flow.

The following table shows detailed data about pro forma cash flow, subtotal cash from operations, subtotal cash received, sub-total spent on operations, subtotal cash spent.

8.5 Projected Balance Sheet

The following projected balance sheet shows data about total current assets, total long-term assets, total assets, subtotal current liabilities, total liabilities, total capital, total liabilities and capital.

8.6 Business Ratios

The following table shows data about business ratios, ratio analysis, total assets, net worth.

OGS capital staff also specialize in writing business plans such as pet photography business plan , horse boarding business plan , dog walking business plan , horse training business plan , pet hotel business plan and etc.

Download Dog Daycare Business Plan Sample in pdf

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Dog Daycare Business Plan Template

Whether you want to start your own dog daycare business or expand an existing one, you need a business plan. the following dog daycare business plan template lets you know what elements you need to include in a successful dog daycare business plan..

To ensure your dog daycare business success in this highly competitive market, you need a properly structured dog daycare business plan. With over 12 years of experience, we have helped over 5,000 entrepreneurs create business plans to start and grow their dog daycare businesses.If this is your first time writing a business plan, we’ll walk you through these sections and give you some key things to consider.

Things to Know Before Writing a Day Care Business Plan

The dog daycare industry primarily provides services such as pet boarding, grooming, and training. The industry includes animal shelters, obedience training services, guard dog training services, pet boarding services, and animal grooming services.

Operators in this industry do not typically retail products, board horses, transport pets, or practice veterinary medicine.

Since pets are becoming an increasingly valued part of families, consumers are increasingly spending on dog grooming services, which benefits pet grooming and boarding services operators.

During the three years to 2024, rising per capita disposable income and a high pet ownership rate will fuel industry growth.

Accordingly, industry revenue is expected to grow by 2.7% annually to $9.2 billion by 2024

Key Success Factors for Day Care Business

Despite the challenges of the Day Care industry, We have identified five factors that can help you boost profitability, efficiency, and ultimately success.

• The proximity to key markets: Being located near households with high pet ownership rates, especially dogs and cats, should benefit industry players by ensuring consistent demand for services.
• An effective quality control system: High-quality pet grooming and other pet care services ensure repeat customers and word-of-mouth recommendations.
• Multi-skilled, flexible workforce: Having skilled and flexible employees who can perform a variety of tasks and services reduces labor costs and increases industry expertise.
• Government regulation compliance: Meeting all government requirements for licensing, pet licenses, and animal regulations is a must for all operators in the pet and animal business.
• Word of mouth recommendations: Businesses that maximize customer satisfaction are more likely to receive favorable word of mouth recommendations, which are necessary to gain new customers.

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What is a Dog Daycare Business Plan?

A business plan for a dog daycare business is a written document that sets your company’s financial goals and discusses how you’ll reach them.

It describes your business concept, defines your target clients, explains your marketing strategy, and details your financial projections, among other things.

A solid, comprehensive plan will serve as a road map for the next three to five years of the dog daycare business. Any bank or investor you approach will require a dog daycare business plan, so putting one together will be critical to securing funding.

In short, writing a business plan can help you succeed if you’re thinking of starting a dog daycare business or pitching to investors or venture capitalists.

Why You Need a Dog Daycare Business Plan

A business plan provides an overview of your dog daycare business as it stands today, and outlines your growth plans for the next five years. It also explains what your business objectives are and how you plan to achieve them. A market research report is also included to support your plans.

Dog daycare agents who have a business plan grow 30% faster than those who don’t, and 71% of fast-growing businesses have one.

The following is what a good dog daycare business plan will show you:

• Where you are right now
• What you want to achieve
• How will you get there
• How will you measure your success
• Where and when to make corrections

A dog daycare business plan is a living document that should be updated annually as your company grows and changes.

Funding Sources for Dog Daycare Business

The main sources of funding for a dog daycare business are personal savings, government grants and business funding, business credit cards , and bank loans. When it comes to bank loans, banks will want to review your business plan and gain confidence that you will be able to repay the loan and interest.

To gain this confidence, the loan officer will not only look at your financials. However, they will demand a professional plan. A well-developed business plan will ensure that they are confident that you can successfully run a business.

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How to Write a Dog Daycare Business Plan

To write a dog daycare business plan, you don’t need to be an expert. Our step-by-step guide will show you how to write a dog daycare business plan, or you can just download our proven  sample business plans  to get a better idea.

Free Dog Daycare Business Plan Template PDF and Word

Download our dog daycare business plan in PDF and Word here.

Executive Summary

The executive summary is the most important part of the document since it outlines the whole business plan. Despite the fact that it appears first in the plan, write the executive summary last so you may condense key concepts from the other nine parts.

It’s a part that catches the investor’s eye and provides key information about your company’s overview and upcoming short- and long-term goals.

Tell them what kind of dog daycare business you have and what stage you’re in; for example, are you a startup, do you have a dog daycare business that you want to expand, or do you have a lot of dog daycare businesses?

Finally, an executive summary should provide investors with a preview of what they may expect from the rest of your document.

• Provide a high-level overview of the dog daycare industry
• The name, location, and mission of your dog day care company
• A description of your dog daycare business, including management, advisors, and a brief history
• Discuss the type of dog daycare business you are operating, Give an overview of your target customers., and how your company differs from competitors in the industry
• Create a marketing plan that describes your company’s marketing strategies, sales, and partnership plans.
• And give an overview of your financial plan

Check out these executive summary examples to help you write a perfect one for your dog daycare business plan.

Free: Executive Summary Examples

An executive summary is the most important part of your business plan, and it need not be challenging to write. This is why we have put together some awesome free Executive Summary examples for you.

Company Analysis

The company analysis follows the executive summary as the second section of a dog daycare business plan. Your company overview will be short and clear, similar to the executive summary.

Even if they just have a few minutes, your reader has to understand what your company does and who your customers are.

The following sections will be included in your business plan’s Company Analysis:

• Company summary: Your company analysis will describe the type of dog daycare business you are running and its future goals. The type of dog daycare business you might be focused on ( Cage-free play, 100% cage-free, Extended-stay dog boarding, Kennel, Indoor and Outdoor dog daycare, etc)
• Company history: When and why did you start your dog daycare business?
• What milestones have you achieved so far? Your milestones could include sales goals achieved, new store openings, etc.
• Legal structure and ownership: Do you have S-Corp status? Is it an LLC ? A sole proprietorship ? Describe your legal structure.
• Mission statement: An overview of your dog daycare company’s guiding principles. Learn how to write a perfect mission statement .

Industry Analysis

You need to include an overview of the dog daycare business in the industry analysis you performed before sitting down to write your dog daycare business plan.

While this research may appear to be unnecessary, it helps you to build strategies that maximize business opportunities while lowering or avoiding the identified risk.

Furthermore, market research can improve your strategy, especially if it identifies market trends. As an example, If there is a trend toward cage-free dog daycare, it would be beneficial to ensure that your plan includes this option.

The third purpose for conducting market research is to demonstrate to readers that you are an industry expert.

Industry analysis can be presented as a 8-step process when written as part of a company’s business plan.

• Give a quick overview of the dog daycare industry. Define the dog daycare business in terms of size (in dollars), historical background, service region, and products.
• Examine previous trends and growth patterns in the dog daycare industry.
• Identify the market’s major competitors.
• Age, gender, and general lifestyle of the targeted market
• Determine the factors that have an impact on the dog daycare industry. These might include government regulatory rules and other businesses’ competitive activities.
• Using research data, the industry forecast expected growth over the next five to ten years. Predictions should be made for both the long and short term.
• Describe how your dog daycare business intends to position itself in the industry. Concentrate on how your dog daycare business can benefit from opportunities highlighted in the industry.

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Customer Analysis

The first condition for a dog daycare business is to identify its target customers clearly. Customers can be categorized into the following segments:  Pet owners aged 30 to 64 years, Family consumers with children under 18, etc.

The customer analysis section is an important part of any dog daycare business plan since it evaluates the consumer segments that your company serves. It identifies target customers, determines what those customers want, and then explains how the products will meet those requirements.

If you intend to offer extended-stay dog boarding, you should think about segmenting customer behaviors as well. For marketing and advertising, local dog owners who are planning a vacation would be a good target.

Customer analysis may be divided into two parts: P sychosocial profiles and Demographic profiles .

With regards to demographics , include information about: the ages, genders, locations, and income levels of your customers. When targeting businesses, describe what kind of business, size, and location your target customers are.

The psychological profiles of your target clients reveal their wants and needs. The better you understand and identify these demands, the better your chances of attracting and retaining customers will be.

Competitor Analysis

Who are the main competitors in your target market, and what makes them your main competition? How will you beat them? Use competitor analysis to:

• Identify the strength and weakness of your dog daycare business competition.
• Search for opportunities to distinguish your dog daycare company from competitors.

The first step is to determine who your direct and indirect competitors are.

The direct competition consists of other dog daycare businesses. These are alternatives to direct competitors that customers have.

Indirect competitors, such as dog walkers, are other options for customers to purchase from you that are not direct competitors. You must mention such competition to demonstrate that you understand that not every dog owner uses a dog daycare every day.

When it comes to direct competition, you should describe the other dog daycare businesses you compete with. It is most likely that your direct competitors will be dog daycare company located nearby.

Once you’ve identified the competition, concentrate on the direct, head-to-head competitors, since they are the most threatening to your dog daycare business— but keep an eye on the indirect competition as well, just in case.

Provide an overview of each direct competitor’s business and detail their strengths and weaknesses.

You will be able to position yourself competitively in the market if you perform proper competition research. Perform a SWOT Analysis to learn your competitors’ strengths, weaknesses, and competitive advantages in the following areas:

• Prices – Are they offer cheaper dog daycare service or more costly than you and other competitors, what value do buyers get for that price?
• Quality –  Are they offer better quality services, the perceived worth in the eyes of the customers
• Customer service – How they respond to their consumers, whether they treat them poorly or well, and the degrees of satisfaction customers show
• Reputation — The sum of everything mentioned above: their credibility, how loved the brand is, and the loyalty of their customers

The final section of your competitive analysis should include a list of your areas of competitive advantage. for example: Are you going to offer premium dog daycare services? Will you offer unique service and plans that your competitors don’t offer? Will you offer better pricing or will you offer greater customer support?

Consider how you will outperform your competitors and include them in this portion of your dog daycare business plan.

Free: SWOT Analysis Examples

Take advantage of our free SWOT analysis examples. Make your business future-proof by identifying your strengths, weaknesses, opportunities, and threats using this free SWOT Analysis Template.

Marketing Plan

Creating a marketing plan for a dog daycare business involves identifying the target demographic and finding dog daycare services that suit their preferences.

As part of your marketing plan for a dog daycare company, you should include:

Pricing and Product Strategy

Your dog daycare business must offer services that are different from those of your competitors, better in quality and  and plans are available in affordable prices. Research what your competitors offer and how they price their dog daycare services. Unique and quality services identifies your dog daycare business as the place to go for unique dog daycare services and differentiates it from others.

Placing and Promotions

Is your dog daycare business located near a big colony, office buildings, gyms, etc. That is heavily populated? Discuss how your location might be able to provide a steady stream of customers.

Promoting your dog daycare business is the final part of your marketing plan. In this step, you document how you will drive customers to purchase your dog daycare services. A few marketing methods you could consider are:

• Get a website for your business and promote it
• Create and use social media accounts for your business
• Marketing on social media
• Advertise in local papers and magazines
• Hold special pet events

You should also think about your services Unique Selling Proposition (USP), which should explain why clients should choose you over other dog daycare businesses. Ensure that your USP is reflected in your market.

Pro Tips: Learn how to write a marketing plan in a business plan .

Operations Plan

While the previous sections described your goals, your operational plan in a business plan discusses how you will achieve them.

An operations plan is helpful for investors, but it’s also helpful for you and employees because it pushes you to think about tactics and deadlines.

Your operations plan should be divided into two individual parts, as seen below.

Everyday short-term processes include all of the tasks involved in running your dog daycare, such as check-in, supply procurement, facility cleanliness, and so on.

Long-term goals are milestones you hope to reach. It may be the date when you expect to serve your 1000th customer or when you hope to reach $X in sales. Another example would be when you expect to hire your Xth employee or start a new location or service.

Management Team

A strong management team is necessary to demonstrate your dog daycare’s ability to succeed as a business. Highlight the backgrounds of your key players, emphasizing the skills and experiences that demonstrate their ability to grow a business.

You and/or your team members should ideally have prior experience working in a dog daycare company. If so, emphasize your knowledge and experience. However, you should emphasize any experience that you believe will help your dog daycare business succeed.

Consider forming an advisory board if your team is lacking. An advisory board would consist of 2 to 8 people who would act as mentors to your company. They would assist in answering questions and providing strategic direction. If necessary, seek out advisory board members with experience running dog daycare company and/or retail and small businesses.

If your are DIY Business plan writer, you need this guide on how to write a management team section in a business plan.

Free: Business Plan Examples

Do you need help creating a business plan? Check out these six free, proven business plan examples from different industries to help you write your own.

Financial Plan

As part of your financial plan, you should present a 5-year financial statement broken down monthly or quarterly for the first year, and then annually. Financial statements include your income statement, balance sheet, and cash flow statement.

Income Statement

A profit and loss statement is more commonly called an income statement. It shows your revenue and subtracts your expenses to determine whether you were profitable or not.

As you develop your income statement, you need to develop assumptions. For instance, Will sales grow by 2% or 11% per year? Your choice of assumptions will greatly impact your business’s financial forecasts. Conduct as much research as possible in order to ground your assumptions in reality.

Free: Income Statement Template

Create a financial statement for your business by downloading our free income statement templates.

Balance Sheet

While balance sheets include much information, to simplify them to the key items you need to know about, balance sheets show your assets and liabilities.

The balance sheet shows your dog daycare business’s net value at a specific point in time. It categorizes all of your company’s financial data into three categories:

• Assets: Tangible goods with the monetary worth that the company owns.
• Liabilities: Debt owing to a company’s creditor.
• Equity: The net difference when the total liabilities are subtracted from the total assets.

The equation that expresses the relationship between these financial data elements is Assets = Liabilities + Equity.

Create a pro forma balance sheet for your dog daycare business plan that highlights the information in the income statement and cash flow projections. A balance sheet is normally prepared once a year by a company.

Balance sheets indicate your assets and liabilities, and while they contain a lot of information, they are simplified to highlight the most important things you need to know.

For example, spending $100,000 to build out your dog daycare business will not result in instant revenues. Rather, it is an asset that should help you earn money for many years to come.

Similarly, if a bank write you a check for $50,000, you do not have to pay it back right now. Rather, that is a liability that you will repay over time.

Cash Flow Statement:

Your cash flow statement will help you determine how much money you need to start or grow your dog daycare business. In developing your Income Statement and Balance Sheets be sure to include several of the key costs needed in starting or growing a dog daycare business:

• Cost of equipment like kennels, dog beds, activity centers, etc.
• Location build-out including design fees, construction, etc.
• Cost of food and treats and maintaining an adequate amount of supplies
• Taxes and permits
• Payroll or salaries paid to staff
• Legal expenses
• Business insurance

Recommended Resources: Writing a dog daycare business plan yourself? this guide on how to write a financial plan in a business plan might be helpful for you.

Free: Balance Sheet Template

Create a financial statement for your business by downloading our free balance sheet templates.

List any additional material you cannot include elsewhere, such as resumes from key employees, licenses, equipment leases, permits, patents, receipts, bank statements, contracts, and personal and business credit histories.

Attach your full financial projections along with any supporting documents that make your plan more compelling in the appendix.

Pro Tip: Learn how to write a business plan appendix for your dog day care business.

Summary of the Dog Daycare Business Plan

A dog daycare business plan is a worthwhile investment. As long as you follow the template above, you will become an expert in no time. By following the template, you will understand the dog daycare business, your competition, and your customers. The plan will help you understand the steps necessary to launch and grow your dog daycare business.

Do you want to Finish Your Dog Daycare Business Plan in less the one day?

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Since 2010, Wise business plans’ dog daycare business plan writers has developed business plans for thousands of companies that have experienced tremendous success.

Get started on your business plan on dog daycare  today!

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How to Write a Dog Boarding Business Plan

Creating a dog boarding business plan is one of the first steps most dog kennel owners have to take before opening their doors. From defining the target market to outlining a competitive marketing strategy, writing a dog boarding business plan is your roadmap to success!

Business owners who take the time to plan are 152% more likely to launch their business. So a business plan might just be the tool you need to make that exciting first step in opening your very own dog kennels.

What is a dog boarding business plan?

Think of a business plan as your roadmap for the journey ahead when starting your dog boarding business . It lays out where you want to go and exactly how you’re going to get there, spelling out three main things:

• What your business is about and what services you’re going to provide
• What you plan to achieve
• The actions you’ll take to achieve those goals

While a business plan will set key goals for you and keep you on track, it’s also necessary for approaching outside investors. If you plan to have outside investors own equity in your business, a business plan will almost always need to be presented.

A detailed business plan usually includes:

• Setting clear goals and objectives, defining the short and long-term goals of the business. It can also include your goals to open multiple locations .
• All the goods and services you plan to offer. This will include any other services like dog walking or dog training you plan to provide in addition to the dog boarding service.
• Market research that includes industry trends and gaps in the market to see where your business fits. Potential challenges in the market such as low seasons can also be included.
• Business operations, including the day-to-day running of the business and the number of employees needed .
• Financial planning, including how you plan to fund the business and the expenses you’ll encounter.
• The way you’ll measure progress and KPIs .

Importance of a business plan.

For a dog boarding business, a business plan can be incredibly valuable. It allows you to think about and set goals for your business. This helps keep you on track and ensures you don’t lose sight of the bigger vision you have for your business. 

A dog boarding business plan also forces you to think through every single aspect of your pet boarding business, from the services you’ll provide to the pet owners you’re trying to target.

It allows you to really analyze your financial goals and research the overhead costs your business will incur. It will also detail how you’ll raise the capital to fund these expenses and whether outside investors or a bank loan is needed.

Today, the pet boarding and grooming services are a whopping $11 billion industry . A well-detailed pet business plan can help you define exactly how you will take a chunk of this market and stand out from your competitors.

Lastly, and perhaps most importantly, it allows you to communicate your vision for the business to others in a clear and targeted way. It gives everyone on your business journey a map so they know exactly where you’re headed. 

How to write a dog boarding business plan - 8 necessary items.

Writing a dog kennel business plan can seem like an immense task, but breaking it down into smaller sections can make the process a lot easier to accomplish and not feel so overwhelming.  

You can start by including the below 8 items in your business plan and then add in any other sections you think necessary later.  

1. Executive summary.

An executive summary is a concise overview of your business. It details the main key points to anyone taking a quick glance at your business plan. 

What do you include in an executive summary? 

An executive summary should contain:

• Name and location of your business 
• A brief mission statement 
• The founding date and current status 
• Products and services offered
• Target market 
• Unique selling points 
• Financial summary  
• Requirements and regulations 
• Plans for growth

Although this is the first section of a business plan for your dog boarding facility, it’s often written last as it’s a key summary of the rest of the plan. 

2. Business overview.

The business overview should provide a comprehensive look at the company. It will cover aspects like the location, the vision for the future, where you see the business in the market, and any key metrics you will use to measure the success of the business. 

3. Organization and management.

Your business plan should cover organization and management, including the founder of the company and any key personnel and roles already filled. It should also include what the future staffing structure will look like.

Additionally, you can include how you plan to organize your customers when they come through the door. Will you use a barcode system or a more basic system?

4. Market analysis.

Business plans should also include market analysis, demonstrating an in-depth understanding of the market and your target demographic. It should include if there is a gap in the market that you can fill and how much competition you will likely face. 

Additionally, your market analysis section should also include any zoning regulations you will need to follow and any licenses you may need before opening your doors. 

5. Marketing strategy.

Your marketing strategy should detail how you plan to price and promote your services. Will your pricing be competitive, or will you position your business as a luxury brand with a higher price point? 

It should also include how you plan to create a strong business image and what you will do to promote your brand. Marketing strategies such as content and SEO , email marketing, advertising, and social media marketing can be included in this section. 

This section is also a great place to record how you plan to receive positive reviews online to help boost potential customers' trust in you. If you plan to use a pet care software like PetExec to help with review acquisition, you can record that in this section too.

6. Financials.

You’ll also need to provide some details about your financials. This will include all the expenses incurred to run the business like a pet care business software , funding requirements, how you will use those funds, and the potential ROI for investors so they can see the benefit of your business. 

7. Financial projections.

Financial projections are also great to add to your business plan. You can break these down into quarterly periods so they’re easier to digest. The projected profit and loss, as well as a sales forecast, are useful to have in your plan. 

8. Risk analysis.

Lastly, the business plan should include a risk analysis. This includes the risks that you predict you will face in the market as well as how to mitigate them and any contingency strategies. 

Lots of dog boarding businesses experience seasonal fluctuations. Your business plan can include how you plan to cover costs during the low seasons and methods you’ll use to increase revenue such as selling retail products . 

Tips for writing a boarding and dog daycare plan.

When writing a dog kennel business plan, there are a few tips to keep in mind to make the plan easier to follow. 

Firstly, keep it concise and focused . Although it can be tempting to explain every thought you have as a passionate pet boarding business owner, it’s important to make sure you’re only covering the necessary information without going off on tangents. 

Secondly, make sure you consider readability in your business plan format . Use headings and bullet points to create a lot of white space and ensure it’s both easy to read and scannable. No one wants to be hit with a wall of text when trying to read a business plan!

Lastly, make sure you support every statement you make with data and research . Part of the goal of the business plan may be to convince investors why your pet care services are worth paying attention to. If everything you say is backed with evidence, it’s easier to convince them of your worth. On average, small businesses need $40,000 in the first year , so being prepared for outside investors is recommended. 

Business plan template.

Below is a detailed example of a business plan template, feel free to copy and paste this and customize it to fit your business needs.

• Executive Summary:
• Business Name
• Mission Statement
• Founding Date
• Products and Services
• Business Description:
• Legal Structure
• Founders/Owners
• Key Personnel
• Location(s)
• Boarding Services
• Market Analysis:
• Industry Overview
• Target Demographic
• Competitive Analysis
• Market Trends
• Regulations and Licenses
• Organization and Management:
• Organizational Structure
• Key Personnel and Roles
• Ownership Structure
• Customers Accepted
• Pet Care Business Software
• Boarding Services for Dog Owners
• Detailed Description
• Unique Selling Proposition (USP)
• Marketing Strategy:
• New Customer Acquisition
• Advertising and Promotion
• Pricing Strategy for Services
• Review Acquisition
• Operational Plan:
• Location and Facilities
• Service Process
• Suppliers and Inventory
• Staffing Requirements
• Health and Safety Protocols
• Financial Plan:
• Sales Forecast
• Expense Budget
• Bookkeeping Method
• Net Operating Profit and Loss Statement
• Financial Projections (3-5 years)
• Funding Requirements
• Use of Funds
• Risk Analysis:
• Identification of Risks
• Mitigation Strategies
• Contingency Plans

Final thoughts.

Creating a dog boarding business plan is what turns your exciting idea into a reality. A business plan not only solidifies the goal for you but explains it to others who have the potential to get involved in your business too. It sets out a roadmap you can all follow together for success.

To learn more about how PetExec can help with your dog boarding business, book a free demo today !

Commonly asked questions.

How to start a dog boarding business.

To start a dog boarding business, firstly make sure you conduct thorough market research to understand the demand and competition in your area for dog kennels. Secondly, you’ll need to secure an adequate location with enough space for the dogs you plan to host. Once you’ve taken these steps, you can start to create your business plan with all of the aspects mentioned above. 

How to choose a business management software? 

Identify your specific needs before looking into business management software , such as project management or accounting. When you know exactly what you need in software, look for user-friendly software and check customer reviews to gauge if they have superior customer service and customer satisfaction. Make sure to take advantage of free trials or demos to test the pet care business software out and make sure it’s right for you. 

How to conduct market research for a pet boarding business plan?

Start by researching local competitors who provide overnight care for dogs and understanding your target customers. You can then use surveys, interviews, and online research to craft your market research.

How often should you update a business plan? 

You should regularly revisit and update your business plan to reflect market changes, your business’s performance, and any adjustments to your business’s strategy which will happen naturally over time.

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How to Write a Dog Boarding Business Plan

You love dogs and want to open a dog boarding business, but you aren't sure where to begin. Unfortunately, running a successful dog kennel takes more than just a love of dogs. Before you can turn your passion into a thriving and profitable enterprise, you will need to know how to write a dog boarding business plan that's solid .

A proper business plan is vital in starting any business, as well as the #1 tool for gathering investors. Before you even consider taking a single dog into your care, you must research and map out a proper strategy. This strategy will be the guide that outlines your goals and brings your vision to life.

There are business plan templates available online to help you, or you can come up with your own. There are a lot of variables when planning a business, so everyone's business plans will look a little different, but they will all state the details of the business, the scope of the business, how the owner will get the business started, and what the owners' plans are for the near future.

You may be thinking that your dog boarding business is going to be a small operation run from your home and you'll be tending to the dogs of your friends, family, and neighbors.

So, why would you need a business plan?

No matter how small your business, you're going to have some kind of startup costs. Granted, your business may not need much, but you'll still need some basic supplies and possibly a slight remodel of the intended location. Your also going to need some amount of advertising and you'll have insurance and legal issues to work out as well.

Don't think for a second that you can get away with not having a business plan. If you're serious about your business you need a solid plan that will help you start it, build it up, and run it for years to come. Think of your business plan as a road map for the next 5+ years of your business's existence.

The scope of your business will vary from other dog boarding businesses, which will effect the details of your business plan, but this will give you a general idea of the parts of a business plan, why they are all important, and what to include in your plan.

RELATED: 10 Great Dog Business Ideas for Petreneurs

Before you get started you need to make sure that there is a need for your business in your area. Every pet owner travels at some time or another or has to board their dog for any number of other reasons. Unless there are other similar businesses in your area, you should be good to go.

However, don't count your idea out just because there is another boarding business in your local area. Is there a need for another one?  Maybe you live in an urban area and the local dog boarding facility is full most of the time with a wait list for cancellations. In that case you could probably open your business up next door and still get customers.

Do some research to find out what your local competition will be and whether or not this type of business is needed in your area. Once you've established a need, you can move on with creating your business plan.

State the Goals of Your Dog Boarding Business

The first part of any business plan is a brief overview of what you have in mind for your particular business. Investors and bankers know what a dog boarding business is, but what are the specific details of your operation.

Here is an example: I will start my dog boarding business, Forever Friends Kennel and Boarding, in my home. I will convert my existing two car garage into a kenneling facility. If things go well, there is room for expansion in a few years. I will not take anymore than 6 dogs at a time. I will provide doggy daycare services as well.

It is also necessary to list all related experience you and your staff will bring to the venture when writing a business plan for your dog kennel. Care of an owner's pets can be both complicated and emotional, and the more experience you bring to the table, the more peace-of-mind your clients will have.

This section should state your dog-related accomplishments, relevant pet care experience, credentials and all other pertinent qualifications. This part is brief, but it shows the reader exactly what your intentions are.

Be honest in your business plan. Investors aren't necessarily looking to back a business that has intentions on growing into a franchise, they just want to see that you have a plan to make your business, however big or small it may be, successful.

Executive Summary

Write a thorough but brief summary of your dog boarding business and how you plan for its success. Be sure to add a full list of the services that your boarding facility will offer. Some dog kennels operate full boarding facilities and even offer dog training for the animals and their owners while others provide day services only. Supply as complete a picture as you can of your new business.

Your executive summary should be written last, after you have done all the groundwork in preparing your business plan – it is, after all, meant to be a summary of everything in your plan. This is the page that needs to grab the interest of potential investors and clients and should include when the investors can expect to see a return on their investment.

RELATED: How to Start a Pet Business with Dogs

Your executive summary should include your officers and employees and all major leading players who are going to assist in managing the business and generating the returns for the investors. It should also discuss any business partners (silent or working) that you may have, and what type of entity your business is going to be (sole proprietorship, limited liability corporation, etc…)

Financial Summary

If you don't have sufficient cash, you may need outside sources to help with funding. A proper dog boarding business plan gives possible investors and banks the tools they need to analyze your business. You need to provide a projected cash-flow statement to show how your proposed business will make a profit.

How much money you will need to start up, and how you intend to repay it, should be a significant portion of your business plan. It may take months for your business to grow so be realistic about your projected cash flow. A good rule of thumb to follow is to make sure that you plan to have enough startup money in the bank to run your business for 3 months without any cash flow and an additional 3 months with only enough income to pay half your bills.

Start by indicating that you will open both a business checking and savings account. List your projected expenses including salary along with credit cards that you will use for equipment, office furniture, leashes, collars, dog food , and other supplies. Make a list of all the equipment for boarding dogs, such as sanitation, flooring, crates and fencing.

RELATED: How to Write a Dog Walking Business Plan

You don't have to get exact figures for the cost of all your supplies, but check around and make an accurate estimation. In this case it would be better to overestimate than underestimate. When it comes time to start purchasing equipment you don't want to run out of money.

This section is crucial, even if you plan to fund your business yourself. You still need a plan for what you'll be spending your money on and when you'll be able to see a return on your investment. Your business plan is not set in stone, but it will keep you on track. It will keep you from going way over budget and prevent you from forgetting some important supplies too.

Marketing Analysis Summary and Advertising

Once you have completed the demographics for your kennel and completed your market research, these statistics should be included in your dog boarding business plan. Do a market analysis of other similar facilities in the area, and explain what you will do differently if you find that other dog boarding facilities have failed.

This is the section where you will explain how you will make your center a success. Provide as much information as you can, including your pricing and media strategy and outline of the marketing efforts you have planned for the future. Be as detailed as you can when explaining how you will market your business . Don't just say you'll hang up flyers. Explain where you'll hang your flyers and why you chose those locations.

Your boarding business will need publicity and an advertising strategy. List your plans for any advertisements you plan on putting in pet-care magazines, the internet, or local newspapers. Include information on how you plan to implement your strategic vision. If you plan to offer coupons and promotions to your new customers, put your ideas in this section.

Fees and Legalities

Once you are done your market research you should have a good sense of what other boarding facilities in your area charge. Keep in mind that you don't have the experience or reputation that these other facilities may have, so you may not be able to charge the same rates.

On the other hand, you may be able to charge more for your services if you offer something that no other facility in your area offers or if you have special qualifications and training . It is always best to start off on the lower end so you don't drive potential customers away with high prices. Once your business gets established and your reputation grows you can slowly raise your fees over time.

After your prices are set you must draft a contract for all your clients. If you're offering doggy daycare and grooming services along with boarding, you will need a separate contract for each service. Even if you live in a small community and you'll be doing business with family and friends, EVERYONE needs to sign a contract.

These contracts will not only protect you and your business assets, but also your customers, their pets, and your employees. It is important to make sure that your contracts cover as much as possible, so you may want to work with a legal professional to draft them.

If a lawyer isn't in your budget, you can find sample contracts on numerous websites, including:

• 4 Paws Resort and Spa
• SamTheDogTrainer

You're ready to get started…

Once your business plan is complete you can begin looking for investors and get your business started. Even if you don't need outside financing, taking the time to make sure your dog boarding business plan is as thorough as possible will make things much easier for you in the long run.

The more time you put into the planning of your business, the less surprises you will have as you begin to get it up and running. The more thorough your plan is, the better it will look to investors as well. Think of your business plan as your business's first impression, and make sure it is a good one.

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Dog Kennel Business Plan Template

Written by Dave Lavinsky

Over the past 20+ years, we have helped over 1,000 entrepreneurs and business owners create business plans to start and grow their dog kennel businesses. On this page, we will first give you some background information with regards to the importance of business planning. We will then go through a dog kennel business plan template step-by-step so you can create your plan today.

Download our Ultimate Business Plan Template here >

What is a Dog Kennel Business Plan?

A business plan provides a snapshot of your dog kennel business as it stands today, and lays out your growth plan for the next five years. It explains your business goals and your strategy for reaching them. It also includes market research to support your plans.

Why You Need a Business Plan for a Dog Kennel

If you’re looking to start a dog kennel business, or grow your existing dog kennel business, you need a business plan. A business plan will help you raise funding, if needed, and plan out the growth of your dog kennel business in order to improve your chances of success. Your dog kennel business plan is a living document that should be updated annually as your company grows and changes.

Sources of Funding for Dog Kennel Businesses

With regards to funding, the main sources of funding for a dog kennel business are personal savings, credit cards, bank loans and angel investors. With regards to bank loans, banks will want to review your business plan and gain confidence that you will be able to repay your loan and interest. To acquire this confidence, the loan officer will not only want to confirm that your financials are reasonable, but they will also want to see a professional plan. Such a plan will give them the confidence that you can successfully and professionally operate a business. Personal savings and bank loans are the most common funding paths for dog kennel businesses.

Finish Your Business Plan Today!

If you want to start a dog kennel business or expand your current one, you need a business plan. Below are links to each section of your dog kennel business plan template:

Executive Summary

Your executive summary provides an introduction to your dog boarding business plan, but it is normally the last section you write because it provides a summary of each key section of your plan.

The goal of your Executive Summary is to quickly engage the reader. Explain to them the type of dog kennel business you are operating and the status. For example, are you a startup, do you have a dog kennel business that you would like to grow, or are you operating dog kennel businesses in multiple cities?

Next, provide an overview of each of the subsequent sections of your plan. For example, give a brief overview of the dog kennel industry. Discuss the type of dog kennel business you are operating. Detail your direct competitors. Give an overview of your target customers. Provide a snapshot of your marketing plan. Identify the key members of your team. And offer an overview of your financial plan.  

Company Analysis

In your company analysis, you will detail the type of dog kennel business you are operating.

For example, you might operate one of the following types of dog kennel businesses:

• Overnight boarding : this type of dog kennel business offers overnight care for pets, including accommodation, food and exercise.
• Day care: this type of business offers daytime care for pets, typically provided for a group of dogs with playtime and socialization opportunities.
• Luxury boarding: this type of dog kennel is commonly called a “pet hotel,” and offers premium amenities such as luxury accommodations with premium bedding, TVs, pools, etc..

In addition to explaining the type of dog kennel business you will operate, the Company Analysis section of your business plan needs to provide background on the business.

Include answers to question such as:

• When and why did you start the business?
• What milestones have you achieved to date? Milestones could include the number of customers served, number of positive reviews, etc.
• Your legal structure. Are you incorporated as an S-Corp? An LLC? A sole proprietorship? Explain your legal structure here.

Industry Analysis

In your industry analysis, you need to provide an overview of the dog kennel industry.

While this may seem unnecessary, it serves multiple purposes.

First, researching the dog kennel industry educates you. It helps you understand the market in which you are operating.

Secondly, market research can improve your strategy, particularly if your research identifies market trends.

The third reason for market research is to prove to readers that you are an expert in your industry. By conducting the research and presenting it in your plan, you achieve just that.

The following questions should be answered in the industry analysis section of your dog kennel business plan:

• How big is the dog kennel industry (in dollars)?
• Is the market declining or increasing?
• Who are the key competitors in the market?
• Who are the key suppliers in the market?
• What trends are affecting the industry?
• What is the industry’s growth forecast over the next 5 – 10 years?
• What is the relevant market size? That is, how big is the potential market for your dog kennel business? You can extrapolate such a figure by assessing the size of the market in the entire country and then applying that figure to your local population.

Customer Analysis

The customer analysis section of your pet boarding business plan must detail the customers you serve and/or expect to serve.

The following are examples of customer segments: Millennials, Generation X, and Baby Boomers.

As you can imagine, the customer segment(s) you choose will have a great impact on the type of dog kennel business you operate. Clearly, Millennials would respond to different marketing promotions than retirees, for example.

Try to break out your target customers in terms of their demographic and psychographic profiles. With regards to demographics, include a discussion of the ages, genders, locations and income levels of the customers you seek to serve. Because most dog kennel businesses primarily serve customers living in their same city or town, such demographic information is easy to find on government websites.

Psychographic profiles explain the wants and needs of your target customers. The more you can understand and define these needs, the better you will do in attracting and retaining your customers.

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Competitive Analysis

Your competitive analysis should identify the indirect and direct competitors your business faces and then focus on the latter.

Direct competitors are other dog kennel businesses.

Indirect competitors are other options that customers have to purchase from that aren’t direct competitors. This includes freelance pet sitters, or pet owners who opt to take their pets on trips. You need to mention such competition as well.

With regards to direct competition, you want to describe the other dog kennel businesses with which you compete. Most likely, your direct competitors will be dog kennels located very close to your location.

For each such competitor, provide an overview of their businesses and document their strengths and weaknesses. Unless you once worked at your competitors’ businesses, it will be impossible to know everything about them. But you should be able to find out key things about them such as:

• What types of pets do they accept?
• What tiers of services do they offer?
• What is their pricing (premium, low, etc.)?
• What are they good at?
• What are their weaknesses?

With regards to the last two questions, think about your answers from the customers’ perspective. And don’t be afraid to ask your competitors’ customers what they like most and least about them.

The final part of your competitive analysis section is to document your areas of competitive advantage. For example:

• Will you provide better accommodation or unique services?
• Will you accept pets that your competitors don’t accept?
• Will you provide better customer service?
• Will you offer better pricing?

Think about ways you will outperform your competition and document them in this section of your plan.  

Marketing Plan

Traditionally, a marketing plan includes the four P’s: Product, Price, Place, and Promotion. For a dog kennel business plan, your marketing plan should include the following:

Product : In the product section, you should reiterate the type of dog kennel company that you documented in your Company Analysis. Then, detail the specific products you will be offering. For example, in addition to dog kennel, will you provide training, grooming, or any other services?

Price : Document the prices you will offer and how they compare to your competitors. Essentially in the product and price sub-sections of your marketing plan, you are presenting the products and services you offer and their prices.

Place : Place refers to the location of your dog kennel company. Document your location and mention how the location will impact your success. For example, is your dog kennel located on a large property with plenty of outdoor space, or is it centrally located in a neighborhood, etc. Discuss how your location might be the ideal location for your customers.

Promotions : The final part of your dog kennel marketing plan is the promotions section. Here you will document how you will drive customers to your location(s). The following are some promotional methods you might consider:

• Advertising in local papers and magazines
• Reaching out to local websites
• Social media marketing
• Local radio advertising

Operations Plan

While the earlier sections of your business plan explained your goals, your operations plan describes how you will meet them. Your operations plan should have two distinct sections as follows.

Everyday short-term processes include all of the tasks involved in running your dog kennel business, including cleaning crates, feeding animals, walking animals, supervising playtime, administering medications, etc..

Long-term goals are the milestones you hope to achieve. These could include the dates when you expect to board your 100 th dog, or when you hope to reach $X in revenue. It could also be when you expect to expand your dog kennel business to a new city.  

Management Team

To demonstrate your dog kennel business’ ability to succeed, a strong management team is essential. Highlight your key players’ backgrounds, emphasizing those skills and experiences that prove their ability to grow a company.

Ideally you and/or your team members have direct experience in managing dog kennel businesses. If so, highlight this experience and expertise. But also highlight any experience that you think will help your business succeed.

If your team is lacking, consider assembling an advisory board. An advisory board would include 2 to 8 individuals who would act like mentors to your business. They would help answer questions and provide strategic guidance. If needed, look for advisory board members with experience in managing kennels or successfully running small businesses.  

Financial Plan

Your financial plan should include your 5-year financial statement broken out both monthly or quarterly for the first year and then annually. Your financial statements include your income statement, balance sheet and cash flow statements.

Income Statement : an income statement is more commonly called a Profit and Loss statement or P&L. It shows your revenues and then subtracts your costs to show whether you turned a profit or not.

In developing your income statement, you need to devise assumptions. For example, will you board 20 pets at a time, or 50? And will sales grow by 2% or 10% per year? As you can imagine, your choice of assumptions will greatly impact the financial forecasts for your business. As much as possible, conduct research to try to root your assumptions in reality.

Balance Sheets : Balance sheets show your assets and liabilities. While balance sheets can include much information, try to simplify them to the key items you need to know about. For instance, if you spend $50,000 on building out your dog kennel business, this will not give you immediate profits. Rather it is an asset that will hopefully help you generate profits for years to come. Likewise, if a bank writes you a check for $50,000, you don’t need to pay it back immediately. Rather, that is a liability you will pay back over time.

Cash Flow Statement : Your cash flow statement will help determine how much money you need to start or grow your business, and make sure you never run out of money. What most entrepreneurs and business owners don’t realize is that you can turn a profit but run out of money and go bankrupt.

In developing your Income Statement and Balance Sheets be sure to include several of the key costs needed in starting or growing a dog kennel business:

• Location build-out including design fees, construction, etc.
• Cost of equipment and supplies
• Payroll or salaries paid to staff
• Business insurance
• Taxes and permits
• Legal expenses

Attach your full financial projections in the appendix of your plan along with any supporting documents that make your plan more compelling. For example, you might include your location lease or blueprints of the kennel layout.  

Putting together a business plan for your dog kennel business is a worthwhile endeavor. If you follow the template above, starting a kennel business plan will be quick and easy. You will really understand the dog kennel industry, your competition, and your customers. You will have developed a marketing plan and will really understand what it takes to launch and grow a successful dog kennel business.  

Dog Kennel Business Plan FAQs

What is the easiest way to complete my dog kennel business plan.

Growthink's Ultimate Business Plan Template allows you to quickly and easily complete your Dog Kennel Business Plan.

What is the Goal of a Business Plan's Executive Summary?

The goal of your Executive Summary is to quickly engage the reader. Explain to them the type of dog kennel business you are operating and the status; for example, are you a startup, do you have a dog kennel business that you would like to grow, or are you operating a chain of dog kennel businesses?

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Doggy Daycare Name Ideas

252 Doggy Daycare Name Ideas

Written by: Carolyn Young

Carolyn Young is a business writer who focuses on entrepreneurial concepts and the business formation. She has over 25 years of experience in business roles, and has authored several entrepreneurship textbooks.

Published on May 27, 2024 Updated on May 27, 2024

If you’re starting a doggy daycare business , congratulations! You have an exciting journey ahead. However, there are many decisions in front of you, and choosing your business name is one of them.

Since the name will be the first impression people will have of your doggy daycare, you shouldn’t leave that decision to chance.

Choosing a winning name is not always easy, but luckily, this handy guide’s got your back.

• Doggy Daycare Business Name Generator

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We’ve done some work and come up with some business name suggestions for your doggy daycare business. The names are divided into categories, so you can easily choose a name befitting your brand’s personality.

• Wooftastic Retreat
• Barky Naps & Snacks
• Ruff ‘n Tumble Retreat
• Biscuitopolis
• Drool School & Play Pool
• Furrball Fiesta
• Pawesome Playcare
• Barkitecture Playground
• The Woof Wagon
• Snout ‘n About
• Howliday Hideaway
• Barking Lot
• Yap ‘n Nap
• Ruff Life Retreat
• Pupperville
• Tailwagger’s Timeout
• The Bark Side Club
• Barkingham Palace
• Woof-Top Wonderland
• Woofington Heights
• Waggle Zone
• Sniff ‘n Snore Sanctuary
• WaggleVille
• Fetch and Fun Daycare
• BowWow Bungalow
• Waggle World
• The Doggy Den
• Sniff ‘n Stay Suites
• Pooch Palace
• Fetch Retreat
• WagZone Retreat
• Sniff-n-Snooze Cruise
• The Waggle Palace
• Hound Hangout
• Poochopolis
• Doggy Dreamland
• Fetch Haven
• Paws and Play Portico
• Tails of Joy Territory
• Dog Hotel Names
• Rover Rest Inn
• TailQuarters
• PupHub Lodge
• TailRetreat
• BarkBox Haven
• Furry Fort Lodge
• Fuzz Palace
• Doggy Dream Inn
• TailTown Towers
• WagTail Haven
• Canine Comfort Château
• Bark & Breakfast
• Dog Nap Hideaway
• Wagging Tails Oasis
• Furry Fortunes Hotel
• Zen Paws Oasis
• Woof Haven Suites
• Canine Castle
• Rover’s Regal Retreat
• Paw Palace Inn
• WagInn Suite Sanctuary
• Fetch Penthouse
• WagWild Retreat
• Pup Rendezvous
• SnazzySnouts
• SnoutSocial
• BarkZone Oasis
• FurryFun Junction
• BarkBuddy Base
• RoverRecess Hub
• Pawtopia Playhouse
• Barkitects Club
• PupHub Plaza
• PoochPlay Portico
• Sniff’n’Social
• DoggyDowntime Den
• Pawsome Hub
• BarkVibe Lounge
• Wonderland for Woofs
• Pounce Park
• Barkyard Bliss Retreat
• Waggin’ Wonderland
• Pawtropolis
• Bark-n-Play Haven
• TailTrail Treats & Care
• Woofville Wonderland
• Tail Temple
• Doggy Dream Den
• Sniff Lodge
• Canine Campus
• TailWaggers’ Oasis
• Pawsio Care
• Tailwag Tribe Retreat
• Wag-a-Lot Wonderland
• Woofington World
• Pup Pajama Party
• Barkluxe Retreat
• Posh Pups on Bark Avenue
• Rover Recess
• TailChase Castle
• Pawsomeville
• Doggie Social Spot
• The Doggy Lounge
• Canine Cabana
• Waggle & Whisker Retreat
• Canine Comfort Co.
• Biscuit Buffet Bungalow
• Puptropolis Play Pen
• Canine Commune
• SnuggleSpot
• BarkingBay Bliss
• RuffResort Hub
• K9 Kingdom Korner
• Dogtropolis
• Doggy Downtime Domain
• Fun & Cute
• Puppy Playland
• Fetchly Place
• Snoutful Retreat
• WaggleMingle
• Puppy Love Playpen
• Snuggletail
• Furrific Doggo Care
• Woof n’ Whiskers Retreat
• Furry Fun Zone
• Fetchopolis
• Playful Pack Palace
• Biscuit Buddy
• SnuggleFluff Place
• WaggleWoofs Wonderland
• Pint-sized Playland
• Cuddle Cove
• The Barking Buffet
• Fluff ‘n’ Snug
• Pawparazzi Junction
• Bubbles ‘n Barks
• Fuzzy Friends Paradise
• Pawsplash Place
• Biscuit Bay
• Canine Cloud 9
• SnugglePlex
• Zen Canine Cove
• The Playful Pack Pad
• Doggy Domain
• SpotSplash Zone
• Sunnyside Tails
• Dog Days Digs
• Wooftop Oasis
• Fido’s Fun Fortress
• The Barking Zone
• SniffSit Club
• FurrEver Fun Field
• Sniff Villa
• The Canine Clubhouse
• VIPets Lounge
• Barkopolis Haven
• PetPamper Park
• HappyBark Hideout
• Bark Lagoon
• Fetch Flair
• Waggy Retreat Lounge
• Barking Bungalow
• Canine Courtyard
• TailBlazers Haven
• FrolicField Friends
• Bounce Paws Spot
• HappyTail Heights
• Sniff Sanctuary
• Location-Based
• Metro Mutts Haven
• Suburbia Snuggle Spot
• Downtown Doggy Delight
• Meadow Mates
• Parkside Puppy Playhouse
• Suburb Snuggles
• City Bark Boulevard
• Harbor Hounds Hideaway
• Seaside Sniff-n-Stay
• Countryside Canine Cabin
• Skyline Snuggle Sanctuary
• Bayside Bark Boutique
• Summit Sniff
• Meadowland Mutts Mansion
• Tundra Tails Territory
• Forest Furry Friends
• Plateau Pooches
• Riverside Rover Resort
• Furhaven Fields
• Hilltop Hound Hangout
• Valley View Dog Den
• Highland Hound Hub
• Greenbelt Bark Bliss
• Puppy Parkside

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• How to Choose a Name for Your Doggy Daycare

Here are some key factors to consider when choosing your doggy daycare business name.

1. Check Name Availability

When you come up with name options, you must make sure they’re available and stand out from other doggy daycare businesses.

You’ll need to do a business name search on your state’s Secretary of State’s website to see if the name is available. The search will also show similar names, so you can ensure your business name is unique in your state.

Also, go to the United States Patent and Trademark Office’s website to check if the name is trademarked.

2. Check Your State’s Business Name Regulations

Each state has rules regarding business names, often restricting words such as “bank” or “university.” Some states have stricter rules than others. For example, Michigan has a long list of prohibited words. You should be able to find your state’s rules on the Secretary of State’s website.

Upon  creating an LLC , it’s mandatory to have either  ‘LLC’, ‘limited liability company’, or ‘limited liability’ as part of its official name . This ensures clarity and compliance with naming conventions for such entities.

3. Choose a Name with Relevance

Your name should be relevant to your doggy daycare services and reflect your business mission. Often, if you write down a description of your brand identity, you’ll come up with words that have the potential to be used in your business name.

4. Keep It Simple

Your name should be easy to say so that it’s more memorable. It should also be easy to spell so people can search for your doggy daycare business online. 

5. Short and Unique

Short, unique, and catchy names stand out. Think Google, which is so catchy and unique that it’s become a verb!

6. Get Feedback

Family and friends can give you an outside perspective on your doggy daycare name. They can offer suggestions and give you feedback on the names you have in mind.

7. Allow for Expansion

If you plan to expand into new locations or service lines, you shouldn’t pick a business name that’s too narrow. For example, “Poodle Paws Palace” is much more limiting than “Paws Palace.”

The name should also have timeless appeal. Don’t try to capture a trend — trends continuously change, and you don’t want a name that could become outdated. 

8. .com is Best

Generally, domain names ending in .com reflect more credibility than alternatives, so you should reserve this domain for your business name, if possible. Use our Domain Name Search Tool to find an available website name and get the perfect domain name for your doggy daycare.

9. Use Keywords to Boost SEO

You’ll need an SEO-friendly business name in order to boost your organic search engine rankings. Think of what potential customers might search for (e.g., “Dog Daycare,” “Dog Sitting,” or “Canine Daycare”) and include those keywords in your business name and on your website.

10. How Does it Sound?

Say the name out loud to see how it rolls off the tongue. Is it pleasant? Does it evoke positivity? You’d be surprised how different a name sounds when you say it compared to when you think it. 

11. Appeal to Emotions

Names that evoke positive emotions can create a connection with your target customers. You want them to feel good about your doggie daycare.

While it’s not mandatory, a name that conveys your services can be beneficial. It helps potential clients quickly understand what your business offers and can attract the right target audience.

Including a location-specific element can help potential clients identify your business’s proximity. However, it’s essential to balance this with a name that has broader appeal.

Absolutely! Playful and humorous names can leave a positive and lasting impression, showcasing the fun and joyful atmosphere of your daycare.

Be mindful of cultural nuances and potential interpretations of words. Opt for inclusive names that resonate with a diverse group of pet owners to create a welcoming atmosphere.

While it’s possible, changing a business name can be logistically challenging. It’s advisable to choose a name that is timeless and adaptable to potential future expansions or changes in services.

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