Business plan for dog walking service

Are you planning to start a dog walking business? Well, dogs are the most popular pet in the world especially in the United States where 89.7 million dogs were owned as pets in 2017. According to a recent survey, these dog owners need the services of dog walkers which can take their beloved dogs on the very much needed walk when they are not around.
The people of the United States spend extravagantly on their pets, the majority of which are dogs. So, if you are thinking about starting this venture you should know that you can earn some serious cash provided you plan your business efficiently.
The first thing before making any move towards this business is to write a comprehensive plan which will establish the basis of your company’s future operations and decisions. Although dog walking business is relatively simpler and much easier to start as compared to other businesses yet you will need an in-depth business plan dog walking to determine the course of your actions.
So, if you are wondering how to write an effective business plan dog walking then here we are providing you the business plan for a dog walking startup named ‘PupWalk’.

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Executive Summary

2.1 The Business

PupWalk will be located in the New York City at a fifteen-minute drive from the Chelsea neighborhood. The company will be licensed by American Pet Association and equipped with all resources to provide the highest quality of services possible.
The business plan dog walking will be owned and operated by Ted Mills, a renowned dog trainer of the United States. Mills has been serving in various executive positions in major dog training centers of the United States. That’s why he perfectly knows how to start a dog walking business and yield profit even in the first year of launch.

2.2 Management

Starting even a simple business, like a dog walking business, has its own demands. You’d probably think, ‘before starting a dog walking business what do I need?’ Well, the most important thing that you will need for your business plan dog walking is good management. Mills will manage the overall operations of the company and will hire only a few people in the initial phase. He will be assisted by his niece, Lisa Mills- a financial expert, for managing the finance of the company.

2.3 Customers

The company aims to serve one of the richest and the busiest cities in the United States. The community living in the region has the annual mean household income of over $400,000 and is most of the time stuck up in its busy routine. That’s why we are there for them to offer our quality services of walking their beloved dogs.

2.4 Target of the Company

The company aims to provide highest quality service to its customers and become the best dog walking business of the New York City within three years of its launch. Mills also plans to launch a few more centers in other cities as well.
The company’s financial experts have forecasted following sales and profits for the next three years of launch.

Dog Walking Plan - 3 Years Profit Forecast
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Company Summary

3.1 Company Owner

PupWalk will be owned by Mills who has spent nearly his entire life among dogs. Mills was a dog lover even from his childhood. He has been serving in various dog training centers throughout the United States for the last 20 years.

3.2 Why the Business is being started

Mills has always wanted to start a dog walking business out of his love for dogs and had been planning for it for quite a time. He believes that he has fully explored the dog training area and now it was time for him to move on to something new related to dogs. He wants to dedicate his life to serving these voiceless innocent creatures and the best way to do that was to start his own business plan for dog walking. Dog walking business was the most suitable option as it requires a minimum capital and investment group business as compared to other dog businesses.

3.3 How the Business will be started

Mills has planned everything about his business plan dog walking. All the initial investment will be made by Mills himself and he won’t need any loans, at least for the first year of operations. Being experienced in the pet industry, Mill knows how to start and how to promote dog walking business.
PupWalk will be a bonded, insured and licensed dog daycare business. Mills is about to acquire the license for the company and has already procured a beautiful facility near the residential zone of the city. The cost of inventory has been estimated with the help of experts. Mills, with the help of financial experts, has forecasted following costs for expenses, assets, investment, and bank loans for the Start-up.

Dog Walking Plan - Start Up

The detailed start-up requirements, start-up funding, start-up expenses, total assets, total funding required, total liabilities, total planned investment, total capital and liabilities as forecasted by experts, is given below:

Start-up Expenses 
Research and Development$32,750
Expensed Equipment$62,750
Dog Chambers$27,500
Dog Food$22,000
Start-up Assets$0
Cash Required$322,500
Start-up Inventory$52,625
Other Current Assets$222,500
Long-term Assets$125,000
Total Requirements$245,000
Start-up Expenses to Fund$121,875
Start-up Assets to Fund$195,000
Non-cash Assets from Start-up$118,750
Cash Requirements from Start-up$0
Additional Cash Raised$118,750
Cash Balance on Starting Date$121,875
Liabilities and Capital$0
Current Borrowing$0
Long-term Liabilities$0
Accounts Payable (Outstanding Bills)$0
Other Current Liabilities (interest-free)$0
Planned Investment$0
Investor 1$312,500
Investor 2$0
Additional Investment Requirement$0
Loss at Start-up (Start-up Expenses)$113,125
Total Funding$295,000
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    Services for customers

    Our dog walking service is primarily aimed to serve those people who cannot spare some time for their dogs due to their busy schedule or those people who are unable to go on a walk due to health issues.
    We will walk our customer’s dogs while they are at work, or away on a vacation, or enjoying a weekend trip. Besides the dog walking service, we will also provide training, exercising, feeding, and veterinary services for the dogs.


    We will also provide transportation services to pick and drop the dogs from their owners hence facilitating them by every means.

    Marketing Analysis of dog walking business

    The most important component of the business plan of dog walking service is its accurate marketing analysis. Mills paid a lot of emphasis on it before developing the dog walking business plan. He even acquired the services of marketing experts to help him make the business plan of dog walking service.

    Business plan for investors

    5.1 Market Trends

    The pet industry has seen a tremendous increase over the past few years. According to the American Pet Products Association, the residents of US spent a staggering amount of $60.28 Billion in 2015, $66.75 Billion in 2016, and are $69.36 in 2017. These stats show that this industry can be immensely profitable provided that you market yourself successfully.
    In the pet industry, the dog walking business has seen a consistent increase and the number of businesses providing dog services have found to increase exponentially. After carrying out a thorough research, our experts found that dog walking service is very much required especially in the busy cities like New York.

    5.2 Marketing Segmentation

    A successful and efficient marketing strategy can only be developed after we know our potential customers. That’s why our marketing experts carried out an extensive research to identify our target customers. Our experts have identified the following type of target audience which can become the future consumers of our services and products:

    Dog Walking Plan - Market Segmentation

    The detailed marketing segmentation of our target audience is as follows:

    5.2.1 Individual Households

    The biggest consumer of our services and products will be the community living in the Chelsea neighborhood of the city. The residential community includes three main types of people who will need our services.

    • The first is the youth who due to their involvement in busy academic and social life has no time to walk their dogs themselves.
    • The second is the working class men and women who also cannot spare time for walking their dogs due to their busy schedule.
    • The third is those elderly people whose health doesn’t allow them to go for a walk.

    These residents are also much likely to acquire our dog training, exercising, and veterinary services. Furthermore, the first two groups will need our services only during the official days of the week. We will see a reduction in sales from these groups in summer when most of the young residents will be on the vacation.

    5.2.2 Corporate Organizations

    Many corporate organizations like police or security agencies own detective dogs. They need their dogs to remain healthy and hence will require our services throughout the year.

    5.2.3 Dog Dealers

    There are also various dog dealers in the New York City. They also need their dogs to stay healthy but can’t walk such a large number of dogs themselves. Hence we will provide our services to them. We hope that these dealers will also help us generate a lot of revenue. They will also need our services throughout the year.

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    5.2.4 Animal Shelters

    There are more than 3500 animal shelters in the United States for accommodating abandoned, stray, or lost animals. Usually, these shelters lack the dog walking staff, hence we hope to target the animal shelters located near us.
    The detailed market analysis of our potential customers is given in the following table:

    Market Analysis       
    Potential CustomersGrowthYEAR 1YEAR 2YEAR 3YEAR 4YEAR 5CAGR
    Individual Households42%22,33432,34443,66552,54466,43210.00%
    Corporate Organizations27%11,43313,34416,55318,74520,54513.43%
    Dog Dealers19%8,3229,45510,65512,86714,43315.32%
    Animal Shelters12%4,3335,6556,8777,8779,54315.00%

    5.3 Business Target

    We aim to become the best dog walking business in the New York City within next three years. Our business target can be subdivided as follows:

    • To achieve the net profit margin of $20k per month by the end of the first year
    • To increase the profit margin by at least 15% each year
    • To balance the initial cost of a startup with earned profits by the end of three years

    5.4 Product Pricing

    We have priced our products and services in similar ranges as our competitors. The reason behind this pricing policy is to attract as many customers towards us as possible. We will offer three types of packages which are:

    • Daily package starting from $15
    • Weekly package starting from $60
    • Monthly package starting from $500

    These packages also include transportation charges. Training and exercising will be inclusive of the monthly package. Veterinary services are free to cater all unforeseen circumstances.


    After carrying out the marketing analysis, the next step was to develop an effective strategy to target them successfully. The strategy developed by our company experts is as follows:

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    6.1 Competitive Analysis

    Luckily there is only a few other dog walking services in the Chelsea neighborhood of the New York City. So we will have a little competition ahead of us. But our biggest competitive edge will be the magnitude of our startup and the additional dog training, exercising, and veterinary services. Our second competitive edge will be our transportation services which are not provided by any of our competitors in the neighborhood.

    6.2 Sales Strategy

    Sales experts gave many dog walking business ideas to Mills for the purpose of increasing sales. It was decided that we will arrange special transportation facilities for our customers so that they can easily send their dogs to us. We will also offer special packages and discounts for organizations, dealers, and shelters.

    6.3 Sales Forecast

    Considering the market demand and the quality of our services, our sales pattern is expected to increase with years. Our experts have forecasted the following sales on the yearly basis which are summarized in the column charts.

    Dog Walking Plan - Unit Sales

    The detailed information about sales forecast, total unit sales, total sales is given in the following table.

    Sales Forecast   
    Unit SalesYear 1Year 2Year 3
    Feeding Services539,3207702301,002,310
    Exercising Services265,450322,390393,320
    Dog Walking Services1,435,3201,250,4301,762,450
    Training Services134,240394,340842,230
    TOTAL UNIT SALES2,374,3302,737,3904,000,310
    Unit PricesYear 1Year 2Year 3
    Feeding Services$700.00$800.00$900.00
    Exercising Services$650.00$750.00$850.00
    Dog Walking Services$1,400.00$1,200.00$1,000.00
    Training Services$1,150.00$1,300.00$1,450.00
    Feeding Services$50,110$71,600$93,000
    Exercising Services$139,350$194,600$249,850
    Dog Walking Services$602,350$723,000$822,050
    Training Services$229,500$365,500$501,500
    Direct Unit CostsYear 1Year 2Year 3
    Feeding Services$0.30$0.35$0.40
    Exercising Services$3.00$3.50$4.00
    Dog Walking Services$0.70$0.75$0.80
    Training Services$3.00$3.50$4.00
    Direct Cost of Sales   
    Feeding Services$17,900$35,000$52,100
    Exercising Services$19,400$67,600$115,800
    Dog Walking Services$87,700$89,200$90,700
    Training Services$64,200$224,700$385,200
    Subtotal Direct Cost of Sales$294,100$699,400$1,104,700
    Any questions? Get in Touch!

      Personnel plan


      7.1 Company Staff

      Mills will manage the overall operations of the business plan dog walking while the finances will be managed by Lisa. The company will initially hire a small team during the first year of its launch. The staff will increase with the increase in sales over the course of three years. The initially hired staff includes:

      • 1 Accountant to maintain financial records.
      • 4 Sales and Marketing Executives responsible for dealing with corporate businesses, dog dealers, and animal shelters
      • 15 Dog Walkers to provide the main dog walking service
      • 5 Dog Trainers which will also help them in exercise
      • 4 Drivers to transportation of dogs owned by dealers, organizations, and shelters
      • 1 Front Desk Officer to act as a receptionist in the company office
      • 1 Veterinary Doctor to provide first-aid in case of an emergency

      To ensure the best quality service, all employees will be selected through vigorous testing and will be trained for a month before starting their jobs.

      7.2 Average Salary of Employees

      The following table shows the forecasted data about employees and their salaries for next three years, as calculated by the financial experts of the company.

       Personnel Plan   
       Year 1Year 2Year 3
      Sales and Marketing Executives$145,000$152,000$159,000
      Dog Walkers$410,000$440,000$480,000
      Dog Trainers$55,000$65,000$75,000
      Front Desk Officer$20,000$23,300$30,000
      Veterinary Doctor$10,000$12,000$15,000
      Total Salaries$745,000$807,600$888,000

      Financial Plan

      The finance experts helped Mills in setting the dog walking business prices and developing a financial plan for the company. The financial plan developed by them outlines the development of company over the next three years.

      8.1 Important Assumptions

      The company’s financial projections are forecasted on the basis of following assumptions.

      General Assumptions   
       Year 1Year 2Year 3
      Plan Month123
      Current Interest Rate10.00%11.00%12.00%
      Long-term Interest Rate10.00%10.00%10.00%
      Tax Rate26.42%27.76%28.12%

      These assumptions are quite conservative and are also expected to show deviation but to a limited level such that the company’s major financial strategy will not be affected.

      8.2 Brake-even Analysis

      The following graph shows the company’s Brake-even Analysis.

      Dog Walking Plan - Brake-even Analysis

      The following table shows the company’s Brake-even Analysis.

       Brake-Even Analysis 
      Monthly Units Break-even5530
      Monthly Revenue Break-even$159,740
      Average Per-Unit Revenue$260.87
      Average Per-Unit Variable Cost$0.89
      Estimated Monthly Fixed Cost$196,410

      8.3 Projected Profit and Loss

       Pro Forma Profit And Loss   
       Year 1Year 2Year 3
      Direct Cost of Sales$15,100$19,153$23,206
      TOTAL COST OF SALES$15,100 $19,153 $23,206
      Gross Margin$293,969$366,781$439,593
      Gross Margin %94.98%94.72%94.46%
      Sales and Marketing and Other Expenses$1,850$2,000$2,150
      Leased Equipment$0$0$0
      Payroll Taxes$34,510$40,726$46,942
      Total Operating Expenses$188,766$220,744$252,722
      Profit Before Interest and Taxes$105,205$146,040$186,875
      Interest Expense$0$0$0
      Taxes Incurred$26,838$37,315$47,792
      Net Profit$78,367$108,725$139,083
      Net Profit/Sales30.00%39.32%48.64%

      8.3.1 Profit Monthly

      Dog Walking Plan - PROFIT MONTHLY

      8.3.2 Profit Yearly

      Dog Walking Plan - PROFIT YEARLY

      8.3.3 Gross Margin Monthly

      Dog Walking Plan - GROSS MARGIN MONTHLY

      8.3.4 Gross Margin Yearly

      Dog Walking Plan - GROSS MARGIN YEARLY

      8.4 Projected Cash Flow

      The following column diagram shows the projected cash flow.

      Dog Walking Plan - Projected Cash Flow Diagram

      The following table shows detailed data about pro forma cash flow, subtotal cash from operations, subtotal cash received, sub-total spent on operations, subtotal cash spent.

       Pro Forma Cash Flow   
      Cash ReceivedYear 1Year 2Year 3
      Cash from Operations   
      Cash Sales$40,124$45,046$50,068
      Cash from Receivables$7,023$8,610$9,297
      SUBTOTAL CASH FROM OPERATIONS$47,143 $53,651 $59,359
      Additional Cash Received   
      Sales Tax, VAT, HST/GST Received$0$0$0
      New Current Borrowing$0$0$0
      New Other Liabilities (interest-free)$0$0$0
      New Long-term Liabilities$0$0$0
      Sales of Other Current Assets$0$0$0
      Sales of Long-term Assets$0$0$0
      New Investment Received$0$0$0
      SUBTOTAL CASH RECEIVED$47,143 $53,651 $55,359
      ExpendituresYear 1Year 2Year 3
      Expenditures from Operations   
      Cash Spending$21,647$24,204$26,951
      Bill Payments$13,539$15,385$170,631
      SUBTOTAL SPENT ON OPERATIONS$35,296 $39,549 $43,582
      Additional Cash Spent   
      Sales Tax, VAT, HST/GST Paid Out$0$0$0
      Principal Repayment of Current Borrowing$0$0$0
      Other Liabilities Principal Repayment$0$0$0
      Long-term Liabilities Principal Repayment$0$0$0
      Purchase Other Current Assets$0$0$0
      Purchase Long-term Assets$0$0$0
      SUBTOTAL CASH SPENT$35,296 $35,489 $43,882
      Net Cash Flow$11,551$13,167$15,683
      Cash Balance$21,823$22,381$28,239

      8.5 Projected Balance Sheet

      The following projected balance sheet shows data about total current assets, total long-term assets, total assets, subtotal current liabilities, total liabilities, total capital, total liabilities and capital.

       Pro Forma Balance Sheet   
      AssetsYear 1Year 2Year 3
      Current Assets   
      Accounts Receivable$12,613$14,493$16,373
      Other Current Assets$1,000$1,000$1,000
      TOTAL CURRENT ASSETS$201,259 $237,468 $273,677
      Long-term Assets   
      Long-term Assets$10,000$10,000$10,000
      Accumulated Depreciation$12,420$14,490$16,560
      TOTAL LONG-TERM ASSETS$980 $610 $240
      TOTAL ASSETS$198,839 $232,978 $267,117
      Liabilities and CapitalYear 1Year 2Year 3
      Current Liabilities   
      Accounts Payable$9,482$10,792$12,102
      Current Borrowing$0$0$0
      Other Current Liabilities$0$0$0
      SUBTOTAL CURRENT LIABILITIES$9,482 $10,792 $12,102
      Long-term Liabilities$0$0$0
      TOTAL LIABILITIES$9,482 $10,792 $12,102
      Paid-in Capital$30,000$30,000$30,000
      Retained Earnings$48,651$72,636$96,621
      TOTAL CAPITAL$189,360 $222,190 $255,020
      TOTAL LIABILITIES AND CAPITAL$198,839 $232,978 $267,117
      Net Worth$182,060$226,240$270,420

      8.6 Business Ratios

      The following table shows data about business ratios, ratio analysis, total assets, net worth.

       Ratio Analysis    
       Year 1Year 2Year 3INDUSTRY PROFILE
      Sales Growth4.35%30.82%63.29%4.00%
      Percent of Total Assets    
      Accounts Receivable5.61%4.71%3.81%9.70%
      Other Current Assets1.75%2.02%2.29%27.40%
      Total Current Assets138.53%150.99%163.45%54.60%
      Long-term Assets-9.47%-21.01%-32.55%58.40%
      TOTAL ASSETS100.00%100.00%100.00%100.00%
      Current Liabilities4.68%3.04%2.76%27.30%
      Long-term Liabilities0.00%0.00%0.00%25.80%
      Total Liabilities4.68%3.04%2.76%54.10%
      NET WORTH99.32%101.04%102.76%44.90%
      Percent of Sales    
      Gross Margin94.18%93.85%93.52%0.00%
      Selling, General & Administrative Expenses74.29%71.83%69.37%65.20%
      Advertising Expenses2.06%1.11%0.28%1.40%
      Profit Before Interest and Taxes26.47%29.30%32.13%2.86%
      Main Ratios    
      Total Debt to Total Assets2.68%1.04%0.76%67.10%
      Pre-tax Return on Net Worth66.83%71.26%75.69%4.40%
      Pre-tax Return on Assets64.88%69.75%74.62%9.00%
      Additional RatiosYear 1Year 2Year 3 
      Net Profit Margin19.20%21.16%23.12%N.A.
      Return on Equity47.79%50.53%53.27%N.A.
      Activity Ratios    
      Accounts Receivable Turnover4.564.564.56N.A.
      Collection Days9299106N.A.
      Inventory Turnover19.722.5525.4N.A.
      Accounts Payable Turnover14.1714.6715.17N.A.
      Payment Days272727N.A.
      Total Asset Turnover1.841.551.26N.A.
      Debt Ratios    
      Debt to Net Worth0-0.02-0.04N.A.
      Current Liab. to Liab.111N.A.
      Liquidity Ratios    
      Net Working Capital$120,943$140,664$160,385N.A.
      Interest Coverage000N.A.
      Additional Ratios    
      Assets to Sales0.450.480.51N.A.
      Current Debt/Total Assets4%3%2%N.A.
      Acid Test23.6627.0130.36N.A.
      Sales/Net Worth1.681.290.9N.A.
      Dividend Payout000N.A.

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