The 1990’s birthed a new concept for pet care, the self-service pet wash for D.I.Y. pet owners. Now two decades later it is still a good idea. Where did this idea come from? What are the challenges in establishing one? Where do they work best? How do you discover how to build and operate one? These are but a few of the questions asked of us by visitors here. In this section we will attempt to answer questions and lead you to sources for more information.
No doubt about it; there is a grooming demand for self-service pet washes. A growing number of full-service groomers are adding an an average of 2 to 4 self-service tubs to increase their sales income. Mom & Pop and larger independent pet supply retailers are also adding self-serve tubs for the same reason, even car wash owners are adding them!
Since 1996 we have visited several and spoken with their owners. According to them, many pet owners prefer to the lower expense of bathing their pets versus paying for a full-service groomer except where pets require styling. Adding self-service tubs allows grooming businesses to capture a larger share of the pet owner market serving both self-service oriented families as well as full-service grooming clients.
On the average, the pet washes we visited were busiest on Saturdays and Sundays, averaging around 100 pets per weekend. Monday through Friday the demand may be significantly less but of course good marketing and advertising can make a difference. Mid-week evenings may draw pet owners coming home from work and taking care of their pet grooming chores then rather than weekends.
About one-third of the pet washes we visited had a part-time groomer and the business operated the rest of the time without a groomer. However, most of these pet wash owners advised us they expanded their retail selection to increase sales revenue from self-service because they have little or no revenue generated by full-service grooming. Therefore, self-service is especially keen for increasing “ancillary income” in addition to the business’ primary operation, grooming and/or retail sales. It’s relatively easy to setup, and today there are even tubs that are coin-operated.
Medium and large dogs comprise most of the self-service demand. Anyone with a large dog knows that fitting them into the household tub is nothing less than a challenge, a mess and perhaps risky. It usually more work to clean the bathroom or utility room after bathing a pet than taking it to the pet wash, and we’ve heard many stories of dogs breaking shower and bath doors, and worse. Then there is the towel clean-up and washing out the tub before the next use by you or a family member. In many climates it is not always appropriate to let the dog air dry, and self-service pet washes often have driers available. Washing your pets in your bathrooms is simply very inconvenient, messy and potentially dangerous and more work than using a self-service pet wash on your regular trips to town.
More About Self-Service Pet Wash Operations
Self-service pet washes are here to stay, but they will not eliminate pet groomers. In fact, every owner save one that we visited had at least one pet groomer employee. Some breeds and mixed breeds still require styling by a skilled groomer, and many pet owners desire a groomer to clean their pets’ ears, expel the anal sac and cut nails.
At Find A Groomer, Inc. we continue to sell our pet grooming management books to self-service owners expanding with full-service grooming. Our opinion that in some areas the addition of a self-service pet wash as part of an expansion of an existing pet grooming salon could be an excellent idea to attract more new customers and expand the revenue base. We believe few of the present full-service bathing clients would switch to self-service, but certainly the clientele could grow with new self-service oriented pet owners. According to one self-service owner we spoke with about 20% of their self-service clients eventually become full-service clients for the convenience.
Can you operate a self-service only pet wash and be profitable? Of course. As always it amounts to choosing the right market area, being open for business at the hours needed by target pet owners, maintaining a professional operation and effective marketing and client relations.
We’ve seen estimates of 500 to 1,200 pet wash businesses in the U.S. today. No one is doing a formal count though. They are popular in beach communities, but you will find them in urban, suburban and rural areas as well. One owner in the South U.S. told us that in their opinion the demand for self-service is weak but growing compared to the West Coast. It is important to note that the “superstores” with grooming departments have yet to add pet washes in large numbers. In fact, some of these stores were actually purchased by the superstores where self-service pet wash departments already existed.
Grooming Business Plan Software & Samples
Owning a self-service often attracts the entrepreneur who doesn’t want to be full-charge groomer, and instead hires a pet groomer where there is a demand for full-service grooming as well as self-service facilities. Because the business of self-service pet wash may be concentrated on weekends and not mid-week as well, the owner of full-service pet grooming salon may earn a higher gross business income.
Operating a profitable pet wash has its challenges, but with the establishment of so many pet washes things have improved. When we did a tour of self-wash businesses in 1997 we were advised by owners that finding adequate business insurance was difficult. However, today we are advised that is no longer a problem. Keep in mind that in this world of bizarre litigation, the owner of a self-service pet wash could be sued for the actions of a pet owner in not safely bathing and supervising their pet. For example, if a self-service client lets their dog socialize with another and the result is a dogfight and injuries to people or pets, couldn’t the owner be held liable, at least in part? It is very possible. What if a pet owner harms their pet using too hot of water, or even misuses a shampoo and burns their pet’s eyes? What if the dog bolts and the another pet owner is walking in the door and the loose dog takes off, possibly getting hit by a car? Of course the owner is not fully-responsible but the owner is also not immune to interpretations of liability by opposing counsel, and the cost of defensive litigation may be substantial. One pet wash owner said their biggest concern was someone slipping in a water spill, and they wipe up spills and splashes all day every business day.
In order to reduce exposure to liability, we have long suggested that owners of self-service pet washes publish a safety guide and employ a full-time supervisor to assist pet owners. Just as there are “release and hold harmless” for full-service pet groomers, perhaps self-service pet wash owners should consider one to reduce their exposure to liability. Just as Find A Groomer, Inc. published Madson’s Safety Program in From Problems to Profits, self-service pet washes could benefit from advanced safety design, client relations, and supervision programs. Insurance companies would be more likely to write policies for pet washes where there were written standards of operation for safety and supervision, and facilities design.
How do you go about opening a pet wash? We’ve seen franchise opportunities but no, we don’t make recommendations of company names. You may be able to find a franchisor of self-service pet washes or a consultant in that field by using an Internet search engine using the keywords “self service”, “pet wash” and perhaps “franchise” and “consultant.” We’ve counseled clients opening pet washes, and here is a link to one of them. PetDaddy.
We get many requests for build out information for a pet wash. If you are serious about opening a business, actually of any trade, you should always visit leading businesses and see what they have done. Incorporate their ideas, improve upon them if possible, but don’t copy them. Improve upon what you have seen and add your signature to your business. That’s part of the fun of a small business and it keeps the industry alive with interest.
Don’t overlook the needs of your target pet owners. If they are working people Monday – Friday 9 to 5 types, you must be open evenings during the week to accommodate them. Even with evening hours mid-week a good share of them may wait till the weekend, so opening on Sundays can be very important. The hours and days may be inconvenient for you, but as a business owner you must accommodate the customers. That may seem obvious, but having counseled thousands of groomers we found a surprising share were open hours based on their lifestyle rather than their clients, and that was the leading problem in developing a growing business keeping up with the growing costs of operating a business. Survey pet owners in the area you want to establish your business. Ask them what they want in a self-service business and try to deliver it within reason.
Do your homework for your business! It’s also important that you create a business plan for a new business. You can be sure one will be required if you seek a business loan or investor. It’s no small task but perhaps the most important task to protect your investment in your business.
Chart generated by Pet Grooming Business Plan Helper & Sampler, a Grooming Business in a Box® product.
Copyright 2007-2015 Find A Groomer Inc. All rights reserved
You need to project your business sales income for 3 to 5 years in advance from the day you open for business (see graph above). Then you need to project the operating expenses and deduct them from your projected sales income thereby giving you an estimate of what personal income you can expect to earn from your business (see graph below). Going into business in the dark without knowing what you can expect to earn in sales and personal income is an unacceptable risks to banks or investors, and for good reason.
Chart generated by Pet Grooming Business Plan Helper & Sampler, a Grooming Business in a Box® product.
Copyright 2007-2015 Find A Groomer Inc. All rights reserved
How much do you need to invest? That’s another question that must be answered with financial planning. Some self-serve pet wash operations are simple to build out while others add a small full-service grooming department, and a retail pet products department and perhaps other revenue services.
The graph above shows the start-up funding required for an extensive renovation of a commercial building. The pet wash will also have a pet bakery and a retail department. The owner projects requirements as $90,000 in “start-up assets” and $5,000 for start-up expenses. Every business owner learns basic financial terms and you definitely need to know the difference between an “asset” and “expense.” In accounting and tax reporting your assets and expenses are handled quite differently. Suffice to say that assets for a self-serve is major equipment like high-end grooming tables, tubs and dryers. In this example there is also inventory and furniture. If you use the services of plumbers, electricians and other contractors they might be considered leasehold asset improvements. You must get asset vs. expense determinations from a reliable certified public accountant to avoid problems with tax agencies. Certainly the start-up expenses are easier to understand. They have a short lifetime and include grooming supplies, small tools and equipment, advertising, stationery, licenses, fees to name just a few.
Refer to the chart below once more. We know that the groomer needed $95,000 to cover the purchases of assets and expenses, and some of that asset amount may be cash reserved because you run a new a business at a loss for several months until the clientele and demand increases. The chart tells that the groomer plans to seek a loan (light yellow) of $60,000 and her investment of her own money (light blue) will be $35,000.
Remember if you need a loan or investor they are going to want to know exactly how much of an investment you need and how much you are personally putting up of your own money. Don’t proceed without knowing the numbers, and have them well-documented. You are certain to be asked for that documentation. If you don’t have it you will be perceived as being naive about the conduct required to start-up a business. It’s okay to be naive now, but start learning more today.
Chart generated by Pet Grooming Business Plan Helper & Sampler, a Grooming Business in a Box® product.
Copyright 2007-2015 Find A Groomer Inc. All rights reserved
There’s another very common question someone is likely to ask you. Again, don’t venture into business seeking loans or investors without knowing your projected “breakeven point.” Below you will find the breakeven table for the groomer opening a self-serve business above.
Break-even Analysis (Pet Care Services Only)
Monthly Units of Services to Break-even: 459
Monthly Gross Sales of Services to Break-even: $8,326
Assumptions
Estimated Monthly Fixed Cost: $8,326
Estimated Per Unit Variable Cost: $0.00
Year 1 Sales of Services: $73,704
Year 1 Units of Services: 4,060
Average Per Unit of Services Revenue: $18.15
Figures (above) generated by Pet Grooming Business Plan Helper & Sampler, a Grooming Business in a Box® product. Copyright 2007 Find A Groomer Inc. All rights reserved
Do you understand the table information? It’s not too hard to figure it out once you know your projected average service fee for grooming services you expect in your business, and what your fixed costs are. Fixed costs can include interest payments on your loans to start-up the business, supplies, rent and utilities, etc. In the example above the new business owner knows her business requires $8,326 a month to meet its fixed costs of operation. Because she knew her average grooming fee would be $18.15 it was easy to divide that number into the fixed costs of $8,326. The result is 459; the groomer must sell 459 self-services a month to meet the required bills, and that doesn’t include any personal income for her (unless she included a small base salary in the $8,326 amount). You will impress others if you can share your break-even point, and think about this question. Isn’t it easy to count the number of pets you groom or serve as you work through a month? Sure. Knowing that you must achieve 459 units to meet break-even is an easy way to track your progress at any time during the month. You will be better prepared should you not meet your goal, or to celebrate when you exceed your goal and start boosting your profit.
There’s no simpler way to write a professional self-serve pet wash business plan suitable to present to banks than with Pet Grooming Business Plan Helper & Sampler. In fact, one of the sample plans is a complete self-service pet wash with retail sales and more by one of our clients. No one else has ever released similar information and tools customized to the needs of pet groomers. Take a look at Grooming Business in a Box®.
Talk with Other Grooming Business Owners
We suggest you come to the GroomerTALK Message Board and search the term “self-serve pet wash” and read previous discussions of home grooming related topics. You are also most welcome to register on the Message Board and start some discussions, ask for help and make friends with home groomers and others. Better yet, how about sharing your experiences with home grooming in order to help others. That’s what PetGroomer.com is about, opening up lines of communication between groomers that is still so sorely missing from our industry. ♦
