How to Write a Dog Park Business Plan
The dog park industry has been growing quite substantially in the last decade. Our business plan writer has found numerous reasons for the above-average growth in the dog park industry.
First, dog parks may have both covered and open area dog playgrounds for puppies to enjoy. The versatility of use enables pet owners to visit dog parks in any type of weather. Also, entrepreneurs starting dog parks have been creatively designing complementary products and services for traditional inside and outside dog parks. For example, some business owners have been serving alcoholic beverages to pet owners to enjoy. Other dog parks have incorporated a coffee shop into their business model.
Regardless of whether an entrepreneur starts an inside, outside, or combination thereof dog park, having a solid foundation for starting up and growth is a welcome opportunity for prospective business owners. From this, our business plan writer has constructed some tips and tricks that may help dog park owners right a well summarized and documented dog park business plan.
Executive Summary for a Dog Park Business Plan.
The executive summary section for a dog park business plan needs to summarize the dog park business plan in its totality. However, the summary should not exceed two pages. Important topics that should be included in the executive section of the dog park business plan would include dog park amenities and complementary products or services. Dog park amenities may include inside playgrounds as well as outside playgrounds, agility courses, separate areas for different size dogs, and other strategies to help pets and their owners must enjoy the facility.
As for complementary services, some dog park operators offer alcoholic beverages in a bar area for patrons. Other owners have devised gift shops where pet owners may buy premium dog food or pet attire for their dog and even the owner. No matter the structure or additional services offered, make sure to be brief yet succinct in describing either aspect.
Company Information and Location for a Dog Park.
Dog park location is a critical component for a dog park company information section. Based on research from our business plan writer, dog park operators often do well on major thoroughfares close to residential areas, especially apartment complexes. Residents in apartment complexes as well as in subdivisions with small yards have little to no room for the pets to roam around. Because of this constriction, visiting the dog park on a daily basis is a welcome opportunity for pets to exercise. With a location near these types of areas, business owners can expect a loyal following to develop quite quickly.
Product Description and Competitive Advantages for a Dog Park Business
A dog daycare’s main revenue generator is almost always the daycare services provided by the company. However, a close second and third revenue generator for this type of business is grooming and boarding services. When discussing the dog daycare service, make sure to first establish the amenities included in a typical dog daycare service. These amenities may include individual candles, 1 to 2 hours of playtime outside, and other free included services. Next, discuss additional services that may be added to a dog daycare service. Some of these services may include a TV in the kennel, premium dog food, or individual playtime. Once this foundation is set, then explore the complementary services like grooming, boarding, and other premium amenities. This strategy will help the reader understand the foundational components of your business, which typically create your competitive advantage, then the additional services often may fall into the category of differentiation.
Target Market
The target market for a dog daycare business plan may focus on a couple of different demographics. First, some dog park business owners will target area residents. Residents may include people living in homes as well as apartment dwellers. Usually, this demographic also has a geographic component, typically approximately a 5-mile radius from the business location. A second target market segment that may be targeted would be individuals working within a 5-mile radius of the dog park. This demographic often includes office workers, healthcare workers, and retail professionals. The strategy behind targeting this demographic is that pet owners are able to drop off their dogs at the park on their way to work and pick them up on the way home. Of course, the strategy would need a dog daycare business component. No matter the target market, our business plan writer recommends first identifying the target market and then describing why this population segment was selected.
Industry research for a Dog Exercise Park Business Plan
The dog park industry is a subcategory of the pet industry as a whole. Unfortunately, some dog park business owners may find it difficult to compile industry-specific information on dog parks in the US or abroad for a well-written industry section for a dog park business plan. Fortunately, there are workarounds. For example, our business plan writer, when writing a business plan for a dog park, will first start with introducing statistics related to dog parks. For example, dog park with restaurants has grown into a $64 billion industry over the last several years. Further, the Trust for Public land website noted that dog park growth leads all other types of parks in the US. These industry-specific statistics will then allow a business plan writer to delve into the broader pet industry for supporting details and facts/figures.
Owner and Management Section
The owner and management section of the dog park business plan should start with introducing the owner and their experiences with pet ownership. These experiences may be personal or professional. For example, if you grew up on a farm with a multitude of different pets, then describe your experiences and how your love of pets and dogs grew from the foundation. If your personal experiences are more professional as compared to personal, then explore this topic as well. Professional experiences may include educational training for dogs or other pets, job positions at kennels, or even other entrepreneurial ventures like dog walking services are important components to include. On a final note, when writing this section, because it is often personal, paragraph form is often preferred as compared to a bulleted segment.
Funding Request for a Dog Park Business Plan
The funding request section for a dog park business plan should start with identifying the total funding needed to start the business. However, in order to get the total amount of money needed to start the dog daycare, specific categories should be outlined in an Excel spreadsheet. The starting category should be startup costs. The startup cost for the dog park business will include deposits for the location, funds needed to build out the facility, working capital, pet supply inventories, hire any and training staff, and technological equipment needed, such as a point-of-sale system. Once a startup cost is identified, then describe the equipment needed like indoor and outdoor playground equipment for dogs, carpeting or floor covering for the inside and outside of the business, and advertising needs to educate your target market about your startup business. Once each category is complete, then total the dollar amount needed for startup and include this number somewhere in the first paragraph of your funding request section.
Financials for a Dog Exercise Park.
The financials section of the dog park business plan should start with assumptions made for the financials. Assumptions may include the number of dog park visitors daily, the variable cost for the business for each dog park visitor, and growth rates for dog park visitors as well. Once your assumptions are complete for the dog park business plan, then create a daily revenue and cost section for your business plan. In the daily revenue section, make sure to include each revenue channel like gift shop sales, dog park admission sales, and alcohol sales if this is part of your complementary services offered. Next, aligned variable costs are expected for each one of the revenue channels. Once complete, subtract your variable costs from your expected revenues, and this leaves you with your daily expected revenues for the dog park. From this number, multiply it by 30, which will give you a monthly revenue expectation, and then subtract your fixed costs like leases, labor, and maintenance. The difference is your net profit for the month. From this foundation, use growth estimates to anticipate your annual sales and even your five-year projection.
Hopefully, these insightful tips and tricks for writing a business plan were helpful. As always, if you need help with a business plan or financial projections, just send us an email or give us a call.
Phone: 321-948-9588
Email: Paulb@Qualitybusinessplan.com
Author: Paul Borosky, Doctoral Candidate, MBA., Author
Owner of: Quality Business Plan, and Quality Business Consultant.
Date: 12/2/2020