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BIZBITE

Dog Daycare & Boarding

Americans spend more on their dogs than their kids' extracurriculars

Bottom line

Operator-friendly model; diligence should focus on acquisition price.

Dog daycare and boarding facilities provide supervised daytime care and overnight stays for pets while owners are at work or traveling. The U.S. pet care industry surpassed $150B in 2024, with boarding and daycare as one of the fastest-growing segments. BizBuySell data shows median revenue of $569K and a 34.2% profit margin in 2025 — and these businesses sell for 3–4x earnings due to recession-resistant demand and strong repeat clientele.

63
Acquisition score
Strong

Avg Revenue

$500K

Profit Margin

30%

Acquisition Multiple

3x - 5x

Startup Cost

$80K - $300K

How It Works

Dogs are dropped off by owners for daytime supervision or overnight stays. Facilities charge $30–$60/day for daycare and $45–$85/night for boarding. Revenue is amplified through add-ons: grooming, training, one-on-one playtime, and retail. Memberships and packages create recurring revenue and smooth cash flow.

Revenue Range

Low End
$200K
Typical
$500K
High End
$1.2M

BizBite underwriting snapshot

Watch / verify

Dog Daycare & Boarding has enough high-level data for a first look, but BizBite has not assigned a category-specific operating model yet. Treat the score as preliminary.

49
Speculative / 100
Data confidence
medium
52/100
Financing fit
medium

Category-level fit before lender-specific diligence.

Confidence cap
78

Weak source data caps the final score.

Why it may work

  • +Attractive 30% estimated margin profile
  • +SBA dataset shows 134 recent comparable loans

Be careful

  • !Source link status has not been verified yet
  • !No last-checked date yet
  • !No category operating model yet
  • !No category model yet

Real Acquisitions in This Category

SBA 7(a) change-of-ownership loans · NAICS 812910 · Pet Care (except Veterinary) Services

Deals tracked
302
134 in last 24 mo
Median loan
$531K
$250K–$1.0M p25/p75
Implied deal size
$625K
median · ~85% LTV
Charge-off rate
not enough resolved loans

Deal Size Distribution

<$150K
44
$150K–500K
104
$500K–1M
70
$1M–2M
59
>$2M
25

Deal Flow Over Time

12-month momentum
-2.9%
deal volume vs prior 12 mo
Median loan Δ
+58.0%
66 recent · 68 prior

Financing Profile

Median rate
8.75%
14% fixed · last 24 mo
Median term
120 mo
standard 10-yr
Collateralized
0%
of loans secured
Median jobs
10
supported per deal
Top lenders in this space
Live Oak Banking Company45
First Financial Bank43
The Huntington National Bank31
BayFirst National Bank5
Peoples Bank5
Where deals happen
CA25
TX24
FL18
MN17
NC16
OH14
WI14
GA13
IL12
NY12
Franchise vs independent
Franchised acquisitions finance at $675K median vs $496K for independents — a +36% franchise premium. Franchises make up 15% of deals tracked.

Recent Comparable Deals

ClosedStateLoanImplied deal
Mar 2026NE$2.5M$3.0M
Mar 2026WI$290K$342K
Mar 2026NY$3.4M$4.0M
Mar 2026MN$380K$447K
Mar 2026CA$50K$59K
Mar 2026CA$2.9M$3.4M
Mar 2026CA$357K$419K
Mar 2026MO$175K$206K
Mar 2026CA$50K$59K
Mar 2026WI$982K$1.2M
Volume rank #23/544Deal-size rank #367/544Momentum rank #196p90 loan: $1.8MData as of Mar 2026

Source: SBA 7(a) FOIA dataset, filtered to acquisitions (loans where business age is "Change of Ownership"). Implied deal size assumes an 85% loan-to-purchase ratio, a common SBA change-of-ownership structure. Charge-off rate shown only when 10+ loans have resolved (paid in full or charged off). Interest rates reflect last 24 months only. Actual deal values vary with equity injections, seller financing, and working capital terms.

Pros

  • +Recession-resistant — pet spending holds even in downturns
  • +Strong repeat business: loyal customers come weekly
  • +Multiple revenue streams: boarding, daycare, grooming, retail
  • +Low-tech operations with high margins once at scale

Cons

  • -Zoning and kennel licensing can be restrictive
  • -Requires staff who are reliable and animal-experienced
  • -Liability risk from dog bites or illness incidents

Best For

Animal lovers who want a semi-passive business with community ties

Operating Costs

Staff wages represent 40–50% of revenue. Major costs: rent/mortgage, liability insurance, supplies, utilities, and veterinary relationships for health protocols.

SBA Financing Estimator

Adjust the deal — see if it cash flows after debt service

$-816/mo
after debt service
Deal price — $1.3M
Range: $1.3M (3×) to $3.0M (5×+)
Down payment — 15% ($188K)
SBA minimum equity injection is 10% for change-of-ownership
Interest rate — 8.75%
SBA median for this category: 8.8%
Loan term — 10 years (120 mo)
SBA median for this category: 120 months
Down payment
$188K
15% equity injection
Loan amount
$1.1M
85% SBA-financed
Monthly payment
$13K/mo
$535K total interest
Monthly profit
$12K/mo
at 30% margin
Monthly cash flow after debt service
$-816/mo
Margin does not cover debt service at these terms. Lower the deal price, increase the down payment, or extend the loan term.

Estimates only. Excludes owner compensation, capex, working capital draws, and taxes. Margin assumes average occupancy and volume. Actual SBA terms vary by lender and borrower profile.

Where to Buy

BizBuySell

Largest marketplace for dog daycare and boarding businesses for sale

BizQuest

Browse pet care and boarding business acquisition opportunities

Dogtopia Franchise

New franchise opportunity for branded dog daycare with national support

63/100Strong

Acquisition Score

Profit margin
20/30
Entry multiple
13/25
Market depth
18/20
Risk (charge-off)
8/15
Deal momentum
4/10

Scores margin (30), entry multiple (25), SBA market depth (20), category risk (15), and deal momentum (10). Higher = better acquisition candidate.

Quick Facts

Category
service
Difficulty
2/5
Buy price
$1.5M$2.5M

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