Franchising FAQ

When looking to invest in a franchise, there are lots of factors to consider: unit economics, the growth of the sector, the culture and values alignment of the brand you are joining, and the liquid capital required.  At Dogtopia, we want to ensure you understand what those financial qualifications are so that both parties can get to an educated and informed decision on the fit of our model for you upfront.  

Read more on the blog HERE. 

Book a call with us directly at: https://calendly.com/mackenzie-ingram-dogtopia for more information on how to open the next Dogtopia franchise in your preferred city. 

How much money will I make from a Dogtopia Franchise? Throughout North America, Dogtopia franchises and corporate stores have had tremendous success. Due to several variable factors such as rent, payroll, geographic demo and psychographics, debt financing, and size of a location, we are unable to guarantee what an average profit margin or take-home will be. Our job is to build the brand and playbook, your job is the execution and ongoing management of your team and that playbook, which ultimately determines your financial success.  

Additionally, franchise laws throughout each province prevent us from providing an exact promise of a return for your protection and our own. In lieu of this data, we will connect you with other Dogtopia franchise owners to ask your granular financial questions and assist you with the completion of a pro-forma to help understand what your startup costs and ramp-up period may look like.

What Are The Average Sales Of Your Stores? Similar to the response above, based on the high volume of variables, it is difficult for us to anticipate what an “average” store should sell, however, we can say that our goal for every new daycare is to achieve $600K in top-line sales in your first 12 months of operation.  We have systems in place and a dedicated Support Office team to help you in achieving this milestone.  Our pro-forma tool will assist in not only understanding how to get to this point, but also what your anticipated costs may be along the way.

Book a call with us directly at: https://calendly.com/mackenzie-ingram-dogtopia for more information on how to open the next Dogtopia franchise in your preferred city.

The three largest fixed costs involved with owning a Dogtopia will typically be: 

1- Rent: Although you do have the option to buy your own commercial real estate, most of our Franchise owners opt into a 10-year lease in their preferred market. We have a dedicated team of real estate experts to help you negotiate the best possible lease up-front and this becomes a fixed cost in the operations of your business for the remainder of your 10 year term.  

2-Payroll/Staffing: Like most client-facing businesses, hiring the right people to make an impact is the most essential part of your success. In order to ensure optimal safety and customer experience, we recommend having a staff of about 13-15 full and part time employees, including a manager. . On any given day, 8-10 employees plus your manager will be present with an AM and a PM shift. Retaining your team with a strong focus on culture is the best tactic you have to manage your payroll costs and reduce overtime and training expenses.  

3-Royalty Payments: In exchange for gaining access to the Dogtopia Support Office team and our proprietary infrastructure and operational playbook, each franchisee pays an ongoing 7% royalty fee as well as a 2% marketing fee that goes back into our national development fund. Although we are restricted in our ability to run your business for you, we ensure that along every step of the way you receive timely support and training that will allow you and your staff to reach its maximum potential at Dogtopia. We will provide you all of the training sessions, tools, and platforms you need to excel on every front as a Dogtopia owner. Adding to this, you will be provided your own micro-site and social media pages we will help manage, access to all “town hall” meetings to learn about new platforms, practices, and hear about the successes of other locations, and full access to our dedicated marketing team to ensure you regularly have new leads coming into your business for you to convert into long term Dogtopians 

Book a call with us directly at: https://calendly.com/mackenzie-ingram-dogtopia for more information on how to open the next Dogtopia franchise in your preferred city.

The pet industry is a booming $110B industry with growth projections to over $120B in 2022.  It is recession-proof, predictable, boasts good margins and is a growing market. Almost sixty percent of Canadian households own a pet and there are close to 6M dogs registered in the country.  According to Forbes, an astounding 92% of pet owners spent the same or more on their pets during the most recent recession period, making this a very recession-resistant industry. The projected job growth in the pet industry is 11% between 2014 and 2024.

Driven by the humanization of pets, dog daycare services are here to stay. It is a scalable, easy to run business model with multiple revenue channels (daycare, boarding, training, spa, grooming, retail), with 65% of total sales coming from consistent recurring daycare revenue. Alternate revenue channels (dog walking, evening play, pick up or drop off) allow the franchisee to pursue continual sales expansion capabilities. A dog daycare business requires little inventory, keeping Cost of Goods lower than 5%.

Dogtopia Canada has partnered  with the Citadel Canine Society, who trains service dogs and pairs them with first responders and vets. Also, The Dogtopia Foundation enables dogs to positively change our world by funding programs focused around three worthy causes:  Service Dogs for Veterans, Youth Literacy Programs and Employment Initiatives for Adults with Autism. According to Agriculture and Agri-Food Canada (Ag Canada), pet parents are more likely to support brands and businesses that show humanitarian work towards animals.

Humanization of pets is on the rise in two key demographics: aging boomers (empty nesters) and childless couples (aging millennials), as dogs serve to satisfy the need to nurture. In these households, dogs are treated as the children who are not there.

Yes, Dogtopia is a member of the Canadian Franchise Association (www.cfa.ca). We are also members of PIJAC (Pet Industry Joint Advisory Council) based in Ottawa.

Our spacious, modern facilities average between 4,000 and 7,000 square feet. Each location is specially designed to provide dogs and dog parents with the best experience possible by reducing odors, noise levels and the risk of illness and accidents. Our locations are equipped with live webcams to allow clients to check in on their dog throughout the day.

Currently, Dogtopia has more than 190 locations in North America, of which 17 are in Canada. There are 12 open and operating in Eastern Canada and 5 in Western Canada, with another 19 locations sold and in various stages of development. Dogtopia is positioned to become the leading dog daycare franchise in Canada. The brand has launched a very aggressive growth initiative to rapidly grow its footprint to more than 70 locations in Canada over the next seven years.

Excellent. All locations in Canada are thriving in their local market and positioned as a premier service and industry leader.  The number one indicator of success in any franchise is always the owner/operator. We set you up for success by providing support to vet the right location and facilitating 30 days of comprehensive training.

You will want several employees on staff to cover every position necessary for delivering our services to pet parents. Typically, this will translate to 14-16 employees on staff who cover 5-7 positions in the facility on any given shift in a combination of full and part-time positions.

Premium markets are still available in all major cities.

The average initial investment for a Dogtopia in Canada is $700,000-$900,000 including the initial franchise fee of $49,500, which secures the right to operate a franchise in a specific territory for an initial term of 10 years. The initial franchise fee for multiple units may be discounted based on certain conditions and criteria. Dogtopia facility construction is in the $450,000 – $700,000 range and can be partially offset with a Canada Small Business Financing (CSFB) loan. Multi-unit operators are encouraged and provide compelling economies of scale to operate in a concentrated market.

Generally, no, but Dogtopia can assist prospective partners in arranging financing at their bank or other financial institution of their choice, including a business plan template.

Weekly Dogtopia franchise owners pay a royalty fee equal to 7% of their gross revenue. They also contribute to the marketing fund, 2% of sales.

Insurance coverage is consistent with the basic requirements for any business, along with some additional coverages specific to caring for customer’s dogs. Dogtopia has established relationships in place with insurance providers which franchise partners can leverage to address these requirements.

A background in management/business experience is helpful, but not required. An entrepreneurial spirit with the ability to follow and optimize the Dogtopia systems is preferred. Candidate’s net worth requirements are in the $1 million range.

No, Dogtopia does not mandate the owner/operator model. However, because trust and emotional connections with our pet parents are critical to our success, you will want to employ the right General Manager to foster this relationship.

Yes, Dogtopia offers comprehensive site selection assistance, lease negotiation expertise, and project management pursuant to a Construction Management/Project Management (CM/PM) program which can be leverage by Canadian franchise partners.

Yes. The rights granted pursuant to your Dogtopia Franchise Agreement can be sold and transferred to another individual or entity at any point during the initial or renewal term, subject to certain reasonable restrictions and our approval of the buyer.

If you meet the financial investment criteria, have transferrable skill sets and experience, and are interested in proceeding to next steps, please complete the Information Request Form.