Wag N Wash Franchise Costs, Fees & Profits (2024)

Wag N’ Wash is a unique franchise that began with the goal of providing high-quality care and products for pets, focusing primarily on dogs and cats. The franchise was founded in 1999 by Dan and Jef, who were motivated to spend more quality time with their beloved dog, Geni. 

They launched a business that initially featured a dog bakery and a self-wash station, which quickly found success and began expanding in the early 2000s to include retail and professional grooming services. Headquartered in Livonia, MI, Wag N’ Wash started its franchising operations in 2006. 

Wag N’ Wash distinguishes itself in the pet care market by offering a wide range of services and products. This includes professional pet grooming, self-service dog wash stations, and a vast selection of pet foods, supplements, toys, and other supplies. They also feature unique offerings like a gourmet pet deli and bakery, where pets can enjoy special treats such as birthday cakes and gotcha day cookies​​.

Number of locations

Here’s how many franchised and company-owned Wag N Wash there have been in the United States over the past few years.

Initial investment

Here’s what you can expect to spend to start a Wag N Wash franchise.

Note: The table above provides a snapshot of the main costs associated with starting the most common franchise format (as disclosed in the Item 7 of the Franchise Disclosure Document). For a complete overview of all the expenses involved with the various formats offered by the franchisor, please consult the Franchise Disclosure Document.

Franchise fees & Royalties

Here are the main ongoing fees the franchisor will ask you to pay going forward to run the franchise.

Initial Franchise Fee

A lump-sum initial franchise fee of $49,900 is required upon signing the Franchise Agreement. For existing franchisees opening additional stores, this fee is reduced to $35,000 for each subsequent store.

Royalty Fee

The royalty fee is calculated as a percentage of monthly Gross Sales with varying rates:

• 2% for the first 12 months of operation
• 3% for months 13-24
• 4% after the first 24 months.

Advertising Fee

Franchisees must contribute 3% of Gross Sales towards advertising, split between local spend directed by the franchisor and contributions to the National Advertising Fund. For new stores in their first 12 months, a fixed amount of $3,350 per month for local advertising and $1,000 for the National Advertising Fund is required.

Technology Fee

Franchisees are invoiced monthly for technology fees, covering costs associated with the operation and maintenance of the point-of-sale system. The fee is generally invoiced on the first of each month with 10-day payment terms.

Renewal Fee

Upon renewal, a fee of 25% of the royalty on unreported Gross Sales plus the standard royalty and other required fees, along with applicable late fees, is required. A fixed renewal fee of $2,500 is also mentioned.

Transfer Fee

A transfer fee of $5,000 is applicable upon approval of a transfer.

Profits

Here’s how much revenue and profits you can expect to make with a Wag N Wash franchise, as indicated by the franchisor.

How to apply

Opening a Wag N Wash franchise involves several steps, designed to ensure you are a good fit for the franchise. Here are the main steps to follow to open a Wag N Wash franchise.

1. Personal and Financial Qualifications

• Pet Lover: A genuine passion for pets is crucial.
• Community Focused: Engagement and contribution to local community well-being.
• Organized and Highly Motivated: Essential traits for business management and growth.
• Customer Service: A strong orientation towards delivering exceptional customer experiences. Retail or management experience is beneficial.
• Financial Requirements: Prospective franchisees should have a minimum total net worth of $500K and liquid assets of $250K​​.

2. Understanding the Investment

• The initial franchise fee is $49,900 for a single unit, with a royalty fee of 3% of monthly sales for the first 12 months, and 4% thereafter. There’s a 20% discount off the franchise fee for veterans.
• Total investment can range from $296,670 to $960,200, covering inventory, equipment, construction, and other startup costs​​.

3. Make Introductions

• Initial contact with Wag N’ Wash’s Franchise Development Director to discuss your goals, the business model, and whether this opportunity aligns with your aspirations​​.

4. Review the Franchise Disclosure Document (FDD)

• After an introductory presentation, you’ll receive the FDD to understand the detailed aspects of the franchise opportunity​​.

5. Connect with Existing Franchise Owners

• Gain insights by talking to current Wag N’ Wash Franchise Owners to understand the operational realities of the business​​.

6. Meet the Team

• Attend a “Meet the Team” day to interact with executive leadership and learn from the experiences of existing franchisees​​.

7. Franchise Agreement

• Following approval from the executive team, the franchise agreement documents are prepared for your new venture​​.

Disclaimer

Disclaimer: This content has been made for informational and educational purposes only. We do not make any representation or warranties with respect to the accuracy, applicability, fitness, or completeness of the information presented in the article. You should not construe any such information or other material as legal, tax, investment, financial, or other professional advice. Nothing contained in this article constitutes a solicitation, recommendation, endorsement, advertisement, or offer to buy or sell any franchises, securities, or other financial instruments in this or in any other jurisdiction in which such solicitation or offer would be unlawful under the franchise and/or securities laws of such jurisdiction.

All content in this article is information of a general nature and does not address the detailed circumstances of any particular individual or entity. Nothing in the article constitutes professional and/or financial and/or legal advice, nor does any information in the article constitute a comprehensive or complete statement of the matters discussed or the law relating thereto. You alone assume the sole responsibility of evaluating the merits and risks associated with the use of any information or other content in this article before making any decisions based on such information or other content.