Zoom Room Franchise Costs $318K – $489K (2024 Fees & Profits)
Founded in 2008 by Kevin Heffernan in Denver, Colorado, Zoom Room quickly established itself as a unique concept in the pet industry. The company started franchising opportunities in 2009, allowing entrepreneurs to bring their dog-loving passion to their communities.
Zoom Room isn’t your typical dog training facility; it focuses on creating an “indoor dog gym” experience. They offer playtime, socialization events, and dog training classes, all designed to strengthen the bond between furry companions and their human owners.
Zoom Room emphasizes a people-centric approach to training, believing that effective communication is key to a well-behaved pup. This focus, along with their commitment to fun and socialization, sets them apart from traditional dog training businesses.
Zoom Room Financial Plan
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Initial investment
Here’s what you can expect to spend to start a Zoom Room franchise.
| Type of Expenditure | Amount |
|---|---|
| Initial Franchise Fee | $49,500 |
| Design & Construction Consulting Fee | $10,000 – $10,000 |
| Real Estate/Rent | $13,500 – $27,000 |
| Security and Utility Deposits | $4,500 – $12,500 |
| Leasehold Improvements | $162,000 – $236,000 |
| Initial Inventory | $12,000 – $24,000 |
| Office Equipment and Supplies | $4,400 – $8,000 |
| Travel and Lodging | $1,500 – $4,000 |
| Signage | $8,000 – $20,000 |
| Furniture, Fixtures and Equipment | $17,800 – $25,800 |
| Grand Opening | $2,000 – $4,000 |
| Subscriptions and Dues | $350 – $350 |
| Licenses Permits | $0 – $4,000 |
| Professional Fees | $19,500 – $28,000 |
| Software Set-up Fees | $400 – $400 |
| Weekly Software Fee | $2,400 – $2,400 |
| Insurance | $750 – $3,500 |
| Additional Funds (3 months) | $9,000 – $30,000 |
| Total Estimated Initial Investment | $318,000 – $489,000 |
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
The Initial Franchise Fee for Zoom Room is $49,500 for each new store purchased. This fee is non-refundable and must be paid upon execution of the franchise agreement.
Royalty Fee
Zoom Room requires a continuing royalty of 8% of weekly Gross Sales. This fee is payable weekly and supports ongoing franchisee services and corporate branding efforts.
Local Advertising
Franchisees must spend at least 2% of their monthly Gross Sales on local advertising, with a minimum required monthly spend of $1,000, to ensure local market penetration and brand visibility.
National Advertising Fund Contribution
Franchisees are also required to contribute 1% of weekly Gross Sales to a National Advertising Fund. This contribution is used for system-wide marketing efforts to enhance brand recognition and drive customer traffic.
Software Fee
An initial setup fee for proprietary operations software is $400 per location, with a weekly software fee of $150 to support the operational efficiency of the franchise.
Zoom Room Financial Plan
Get a professional business plan and get funding for your franchise.
How to apply
Opening a Zoom Room 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 Zoom Room franchise.
1. Conduct Preliminary Research
- Explore the Zoom Room franchise opportunity through their official website or franchise portals to understand their business model, philosophy, and unique selling propositions.
- Familiarize yourself with the pet industry, focusing on dog training and related services, to gauge market potential and competition.
2. Submit an Inquiry
- Reach out to Zoom Room via their franchise inquiry form available on their official website or through franchise directories.
- Provide your contact details and any preliminary questions you might have about the franchise opportunity.
3. Attend a Franchise Discovery Session
- Participate in a discovery session, webinar, or meeting organized by Zoom Room to present detailed information about the franchise, including financial requirements, support systems, and success stories.
- Use this opportunity to ask detailed questions about operations, training, support, and any other aspects of running a Zoom Room franchise.
4. Review Franchise Disclosure Document (FDD)
- Obtain and thoroughly review the Franchise Disclosure Document (FDD) provided by Zoom Room. This document contains essential information about the franchise, including fees, initial investment, contractual obligations, and performance expectations.
- Consider consulting with a franchise attorney or advisor to understand the legal and financial implications of the FDD.
5. Develop a Business Plan
- Prepare a comprehensive business plan that outlines your strategy for launching and operating a Zoom Room franchise. Include financial projections, marketing strategies, and operational plans.
- Your business plan should also address how you intend to incorporate Zoom Room’s unique offerings and business model into your local market.
6. Secure Financing
- Evaluate your financial readiness and consider various financing options to meet the initial investment requirements, which may include franchise fees, leasehold improvements, equipment, and operating capital.
- Zoom Room may offer financing advice or partnerships with lenders familiar with the franchise model.
7. Finalize the Franchise Agreement
- Once you’re ready to proceed, you will work with Zoom Room to finalize the franchise agreement. This legally binding contract outlines the terms and conditions of your franchise ownership, including rights, obligations, and the duration of the agreement.
- Review this document carefully with your legal advisor before signing.
8. Undergo Training and Preparation
- Complete the comprehensive training program provided by Zoom Room, which covers operational procedures, dog training methodologies, customer service, and business management.
- This phase may also include selecting a location, securing the site, and beginning the build-out of your Zoom Room facility, guided by the franchisor’s specifications and support.
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.
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