#petboarding #businessideas #entrepreneur #entrepreneurship
There is a massive opportunity in the pet boarding business field! Check out how I would start this business:
1. You need to know your projected expenses:
- You will need to either buy or lease a building. This will cost you around $18 per sqft per year to lease. For a 6,000 sqft building, this would cost you $108,000 a year. Your monthly lease payment would be $9,000 a month.
- You will need capital to build out your boarding location. This would include the kennels, play area, etc. This would cost around $150,000
- If you don't have the $150,000 on hand, you would need to put 25% down which is $37,500. Your monthly loan would be $2,390.
Tallying up all of your expenses:
- $37,500 down payment
- $108,000 yearly lease
- $26,290 loan payment
--TOTAL FIXED EXPENSES: $171,790

2. How can we be profitable?
Average pricing per day:
- $35 a day for daycare
$55 a day for overnight stay
Our expenses broken down to per day is $511 a day.
- $171,790 a year, $14,315 a month, $3,578 a week, = $511 a day
To breakeven, we will need:
10 dogs overnight
or
15 dogs for daycare.
Average daily revenue:
30 dogs overnight = $1,650
30 dogs daycare = $1,050
TOTAL DAILY REVENUE: $2,700 a day.
Other expenses: Employees. $15 an hour with 3 employees = $45 an hour for labor. 12 hours a day would put us at $540 a day in labor cost.

PROFIT:
$2,700 a day in revenue
$511 a day in Loan, Downpayment, Lease
$540 a day in Labor
===$1,649 profit per day.
===$11,543 profit per week
===$46,172 profit per month
===$554,064 profit per year
Gross Revenue: $907,200

3. Think of all the ways in which it won't work and create strategies to limit those things:
- No dogs show up. You failed on the marketing. No one knows you are in business. Run a local marketing campaign.
- No Workers. You failed to create a hiring strategy.
- No demand for service. You aren't near a city or large town that needs a dog boarder.
- No Returning Customers due to bad reviews. Take care of the customer.

4. Legal Up. Create an LLC, Buy Insurance, Create a customer contract/waiver.

5. Take action and start!

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