Pet Wants Franchise in 2024: Costs, Fee & FDD
Discover whether investing in a Pet Wants franchise is the right move for you. Learn about its fresh, natural pet food offerings, flexible business model, and growth potential in the pet industry. Read more now!
Table of Contents:
Pet Wants is a pet food franchise that was founded in 2010 by Michele Hobbs and Amanda Broughton in Cincinnati, Ohio. What began as a personal mission to provide better, healthier food for their own pets quickly grew into a business that addresses a significant gap in the pet food industry: fresh, high-quality, and nutritious pet food made with natural ingredients. Since its inception, Pet Wants has become a trusted name in pet nutrition, attracting pet owners who are conscious of the ingredients and sourcing behind what they feed their furry companions.
The core product of Pet Wants is its proprietary line of fresh, small-batch, all-natural pet food. This food is carefully crafted without fillers, by-products, or artificial preservatives, ensuring that pets receive only the best nutrition possible. In addition to its high-quality pet food, Pet Wants offers a range of other services, including treats, pet care products, and even custom blends to cater to specific dietary needs. The franchise’s main customer base consists of discerning pet owners who want to ensure the health and well-being of their pets, and its focus on fresh, healthy food appeals particularly to urban and suburban pet owners who prioritize quality over cost.
In terms of scale and scope, Pet Wants has experienced impressive growth since its early days. The franchise now boasts over 100 locations across the United States, making it a significant player in the pet food and care industry. While its primary market is the U.S., Pet Wants is looking to expand internationally, recognizing the universal demand for quality pet nutrition. Each location serves hundreds of loyal customers daily, many of whom appreciate the personalized care and attention their pets receive. The franchise’s delivery model also sets it apart, offering fresh food delivered right to customers’ doors, providing convenience as well as quality.
As a franchise opportunity, Pet Wants offers franchisees a flexible, low-cost business model that can be operated as a brick-and-mortar store, a mobile business, or a delivery-based service. This adaptability, combined with the growing trend toward healthier pet care, makes it an appealing choice for franchisees who are passionate about pets and want to invest in a business that emphasizes quality and community connection.
Pet Wants Franchise Insights
- Pet Wants’ unique selling point is its commitment to providing freshly made, all-natural pet food, which distinguishes it from many competitors that rely on mass-produced, shelf-stable products.
- The franchise offers the flexibility to operate as a storefront, mobile unit, or delivery service, making it adaptable to different community needs and lifestyles.
- Franchisees benefit from a strong sense of purpose, knowing that they are contributing to the health and well-being of pets by offering high-quality, nutritious food options.
- Pet Wants has cultivated a loyal customer base by focusing on personalized service and forming strong relationships with pet owners, which helps maintain repeat business.
Pet Wants Franchise Key indicators
Growth YOY (%)
6%
vs industry 16%
Total U.S. Franchised Units
146
3-Year Failure Rate
9%
vs industry 4%
Sales-to-Investment ratio
2.4:1
How much does it cost to open a Pet Wants franchise?
Understanding the potential investment size and capital requirements is crucial when considering opening a Pet Wants franchise. These financial commitments, including initial franchise fees, equipment costs, and ongoing operational expenses, impact the feasibility and profitability of the venture. Thoroughly evaluating these factors ensures that potential franchisees are prepared for the financial responsibilities and can make informed decisions about their ability to sustain and grow the business, ultimately contributing to long-term success.
Min & Max Investment
Opening a Pet Wants franchise involves several key costs, which are outlined in Item 7 of the Franchise Disclosure Document (FDD). You can see a breakdown of the costs to open a Pet Wants below from the most recent Item 7 below:
Type of Expenditure
Minimum Investment
Maximum Investment
Initial Franchise Fee
$48,500
$48,500
Real Estate
$3,200
$8,000
Leasehold Improvements
$5,000
$20,000
Signage
$3,000
$10,000
Furniture, Fixtures, and Equipment
$32,000
$50,000
Vehicle
$1,800
$8,000
Initial Inventory
$15,000
$25,000
Retail E-commerce and Website System
$1,500
$3,000
Travel and Living Expenses While Training
$1,250
$4,000
Initial Telephone, Bank, and Other Deposits
$500
$1,000
Pre-opening Promotion
$10,000
$10,000
Licenses
$100
$500
Vehicle Wrap
$2,500
$4,500
Limited Liability Entity
$500
$1,000
Insurance
$1,500
$4,000
Additional Funds – 3 Months
$10,000
$20,000
Total
$137,850
$219,000
Item 7 in the Franchise Disclosure Document (FDD) is the “Estimated Initial Investment” section. It outlines the total costs a franchisee can expect to incur when starting a franchise, including the initial franchise fee, equipment, inventory, real estate, and other startup expenses. This section is crucial because it provides potential franchisees with a detailed understanding of the financial commitment required, helping them assess affordability and plan their investment strategy effectively.
Required Capital
To open a Pet Wants franchise, the required capital involves both the initial investment costs and liquid capital requirements, similar to many franchises in the pet care industry. Let’s take a closer look below:
- Initial Investment The total estimated initial investment for a Pet Wants franchise ranges from $138,000 to $219,000. This amount includes the franchise fee, equipment, initial inventory, marketing costs, and working capital. Depending on whether you opt for a mobile, delivery-based, or brick-and-mortar model, the costs may vary, but these figures cover the majority of startup expenses. Assuming that you will finance your franchise investment, you should plan to have 20% of the total investment amount in the form of equity (cash) for the investment.
- Liquid Assets Requirement Pet Wants typically requires franchisees to have a minimum of $50,000 in liquid assets. This ensures that franchisees have the financial flexibility to cover initial operating expenses, marketing, and any unforeseen costs during the early stages of the business.
- Net Worth Requirement While Pet Wants does not publicly specify a minimum net worth, for similar franchises in the pet industry, it is generally recommended that franchisees have a net worth of at least $250,000. This includes assets such as personal property, investments, and real estate, minus any liabilities.
How much does a Pet Wants franchise owner make?
Calculating the salary of a Pet Wants franchise owner involves analyzing gross sales to determine total revenue, assessing operational efficiency to understand profit margins, and accounting for franchisor fees and additional expenses such as rent, utilities, and payroll. Effective management of these factors can significantly impact the profitability and financial success of a Pet Wants franchise owner. This comprehensive financial analysis helps estimate net profits, from which the owner’s salary can be derived. A clear understanding of these factors ensures accurate salary projections and financial planning for sustainable business operations.
Pet Wants Revenue & Gross Sales
Based on the most recent analysis, Pet Wants franchises achieved a median gross sales of $424,860, showcasing strong demand for high-quality pet food and services. This financial performance highlights the brand’s appeal among pet owners and its potential for steady revenue growth in a rapidly expanding industry.
Which key factors impact the average revenue performance of Pet Wants franchisees?
The strong performance of Pet Wants franchisees, reflected in the median gross sales, can likely be attributed to several key factors. The growing demand for natural and high-quality pet food has driven more pet owners to seek out healthier options for their pets, aligning with Pet Wants’ fresh, small-batch model. Additionally, the increased focus on pet care during the pandemic led to a surge in pet adoptions, resulting in a larger customer base. The brand’s flexible business models, including mobile and delivery options, allowed franchisees to adapt quickly to changing consumer preferences, making the service more accessible and convenient. Strong marketing support and ongoing training also helped franchisees maintain high levels of customer satisfaction and retention.
Pet Wants Franchise Operational Costs
Operational costs for a Pet Wants franchise are the ongoing expenses required to manage the daily operations and maintain the quality of service. These costs are crucial to ensure smooth functioning and consistent customer satisfaction. For a Pet Wants franchise, operational costs include:
- Inventory Costs The ongoing expense of purchasing fresh, natural pet food and other products such as treats, supplements, and pet care items to keep up with customer demand. Regular inventory replenishment is essential to maintain quality and freshness.
- Labor Costs Wages and benefits for employees, including delivery drivers, store staff, and managers if you operate a brick-and-mortar location. This also covers costs related to hiring and training staff.
- Rent or Lease Payments If you have a physical store, this covers the cost of renting or leasing the property. It also includes property taxes and insurance on the location if applicable.
- Utilities Expenses for electricity, water, gas, internet, and other utilities required to operate a store or mobile service effectively.
- Maintenance and Repairs Costs associated with maintaining equipment, such as food preparation tools and delivery vehicles, as well as general repairs for the storefront or mobile units.
- Supplies and Inventory Management This includes packaging materials, cleaning supplies, and other operational necessities to run the business smoothly and ensure food safety standards are met.
- Delivery Costs If you offer delivery services, you’ll need to budget for fuel, vehicle maintenance, and other logistics costs associated with getting products to customers’ doors.
Carefully budgeting for these operational costs is vital for the long-term profitability and success of your Pet Wants franchise.
Pet Wants Franchise Fees
Opening a Pet Wants franchise comes with various ongoing fees that are important to understand for budgeting and operational planning. These fees contribute to the brand’s continued growth and help ensure franchisees receive the necessary support for marketing, branding, and overall operations. Below are the key ongoing fees to consider:
- National Branding Contribution 2% of gross revenues, with a minimum fee of $250 per month for the first 12 months and $350 per month thereafter. This fee ensures that the franchise is part of national marketing campaigns to boost visibility and customer acquisition.
- Additional Fees There might be other fees associated with things like local marketing campaigns, special promotional activities, or additional support from the franchisor, depending on specific business needs.
Understanding and planning for these ongoing fees is crucial for maintaining the financial health of your Pet Wants franchise. These fees ensure that your business continues to benefit from the brand’s marketing efforts, technological advancements, and ongoing support.
Pet Wants Franchise Earnings
As a Pet Wants franchisee, earnings can vary depending on several factors, but the median gross sales of $424,860 provides a solid benchmark for potential revenue. With an owner-operator status, franchisees typically see an average income of around $76,475, which reflects the hands-on involvement required to manage operations effectively. This figure is based on running the business day-to-day, from managing staff to overseeing customer service and ensuring product quality.
Earnings will also depend on local market conditions, customer demand, and how efficiently the franchise is operated. Pet Wants franchisees benefit from the growing demand for healthy, natural pet products, which can lead to consistent revenue and profitability. By focusing on maintaining high-quality service and customer retention, franchisees have the opportunity to grow earnings over time.
How to Open a Pet Wants Franchise
Becoming a Pet Wants franchisee involves a series of steps designed to ensure that both the franchisee and the franchisor are a good fit for the business. Here’s an overview of the process from initial inquiry to starting operations:
- Initial Inquiry You or your franchise specialist submits an initial inquiry basic information about your interest and background. You should also conduct thorough research on the franchise, including seeing all of the information available on the Vetted Biz franchise intelligence platform, including access to the most recent Franchise Disclosure Document (FDD).
- Franchise Information Review After your inquiry, you’ll receive information on the franchise model, financial requirements, and support systems. This helps you assess whether the franchise aligns with your goals and investment capacity.
- Discovery Call The next step is a discovery call or meeting with a franchise representative. During this conversation, you’ll learn more about the Pet Wants brand, its core values, and the franchisee-franchisor relationship.
- Submit Franchise Application If you’re still interested, you’ll submit a formal application. This allows Pet Wants to evaluate your qualifications, including your financial standing, business background, and overall fit with the franchise.
- Discovery Day You’ll be invited to a Discovery Day, where you visit the corporate office, meet the support team, and gain deeper insights into how the business operates. This is a key step in ensuring mutual compatibility.
- Sign the Franchise Agreement After completing the due diligence process and if both parties are ready to move forward, you’ll sign the franchise agreement, formalizing your commitment to becoming a Pet Wants franchisee.
- Training and Support Following the agreement, you’ll undergo initial training at Pet Wants’ headquarters, covering topics such as product knowledge, operations, marketing, and customer service. This training ensures you’re prepared to run the franchise successfully.
- Site Selection (if applicable) For those opening a brick-and-mortar store, site selection and lease negotiation take place. Pet Wants provides assistance to help secure the right location.
- Launch and Start of Operations After completing training and setting up your business (whether a storefront or mobile unit), you’re ready to launch! The Pet Wants team will provide support as you start operations and begin serving your local market.
Pros & Cons
Pros
Growing Market Demand: The demand for natural, high-quality pet food is increasing, and Pet Wants taps into this trend by offering fresh, small-batch products.
Flexible Business Model: You can choose from a mobile, delivery-based, or brick-and-mortar model, allowing you to tailor the business to your financial and lifestyle needs.
Low Startup Costs: Compared to other franchises in the pet industry, Pet Wants offers relatively low initial investment costs, making it more accessible for new franchisees.
Strong Support and Training: Pet Wants provides comprehensive training and ongoing support to help franchisees succeed, even if you don’t have prior experience in the pet industry.
Community-Centric Approach: The brand emphasizes building strong customer relationships, which fosters loyalty and repeat business.
Cons
Hands-On Commitment: As an owner-operator, you’ll need to be heavily involved in the day-to-day operations, which might be time-consuming, especially in the early stages.
Local Market Dependency: Success can be highly dependent on the local demand for natural pet products, which may vary depending on your area.
Limited International Presence: While the brand is growing in the U.S., Pet Wants currently has limited global reach, which might limit expansion opportunities outside the U.S.
Inventory Management: Since the food is fresh and made in small batches, managing inventory and maintaining product freshness can require more attention compared to franchises selling standard pet food.
