Are you thinking of investing in a Camp Bow Wow franchise? Many think that it could be a great idea, but this franchise comes with hefty start-up costs compared to its competitors. Counting with the average income a Camp Bow Wow franchise gets, you might be wondering whether owning their franchise makes sense.
In this article, we will talk about Camp Bow Wow, its franchise system, associated costs, training, and any other thing you can expect when opening its franchise.
About Camp Bow Wow And Camp Bow Wow History
Camp Bow Wow is an American dog daycare franchise using the traditional kennel model to create a unique experience for the dogs. They were founded in 2000 and started franchising in 2003, which allowed them to grow at an extremely fast pace.
They are an experienced franchised business, even ranked in the Entrepreneur Franchise 500 list for 14 years.
Now, the company has over 200 camps, and they are the industry’s largest pet care franchise in terms of operating camps. They are still franchising and have an established franchising system that allows their entrepreneurs to succeed as fast as possible.
Franchise Model Table
|Cost Or Fees||Amount|
|Initial Investment||$1 million-$1.7 million|
How Much Does It Cost To Open A Camp Bow Wow Franchise?
The total average cost to open a Camp Bow Wow franchise is between $1 million and $1.7 million. This expected cost is all-inclusive and includes all kinds of start-up costs like the franchise fee, construction, lease, equipment, and other necessary things.
The franchise fee can vary between $30,000 to $50,000 depending on several factors.
There are two very important requirements to comply with when you want to open a Camp Bow Wow franchise. The first one is the liquidity, which has to be a minimum of $200,000, and the second is the net worth, which needs to be at least $500,0000.
The company doesn’t look for any experience as a business owner or as a business manager. It’s important to have an understanding of the industry, but that’s not limited to your professional experience.
Profit & Revenue Of Camp Bow Wow
The company’s total revenue for the year 2022 was close to $200 million. There is no official information on the net profit of the company, but we can make an estimation based on the profit margin of the franchised stores. On average, a franchised store’s profit margin is between 18% to 20%.
With these numbers, we estimate that the net profit of Camp Bow Wow is between $36 million and $40 million annually.
Overall Sales Of Camp Bow Wow
According to the Franchise Disclosure Document of Camp Bow Wow, the average overall sales among all revenue-reporting franchised locations was almost $1 million. Among these locations, the 25% highest earning ones made $1.4 million on average.
How Much Is The Salary Of Camp Bow Wow Franchise Owner?
For 2022, the average franchise owner’s salary, which is the net profit per franchised store, was about $180,000 annually, which represents an 18% profit margin.
The top 25% highest earning store owners made an average of $316,475, and the bottom 25% made $120,896.
|Financial Overview||Percentage of Revenue||Amount ($)|
|Individual Franchise Annual Revenue||100%||1000000.00|
|Franchise Royalty Fees||5.13%||(51250.00)|
|Cost of Goods Sold (COGS)||25.62%||(256250.00)|
Note: The displayed expenses are estimates based on industry averages and standard costs. Actual expenses may vary due to factors like location, business size, and market conditions. We recommend conducting detailed research or consulting with a financial advisor for a tailored financial analysis.
Payback Period Of Camp Bow Wow
With an investment of $1,700,000 and an estimated 18% profit margin, the yearly profit would be $180,000.
So, to find out how long it will take to earn back the initial investment:
Payback Period = Investment / Yearly Profit = $1,700,000 / $180,000= 9.4 years
Based on these figures, it will take approximately 9-10 years to pay back the initial investment for Camp Bow Wow. This time period could be longer or shorter depending on your sales, revenue, and profit figures.
Failure Rate Of Camp Bow Wow
|Year||Outlets at the Start of the Year||Outlets at the End of the Year||Net Change|
For the Franchised outlets:
- In 2020, the growth rate was (13)/161×100≈8.07%
- In 2021, the growth rate was (17)/174×100≈9.77%
- In 2022, the growth rate was (8)/191×100≈4.18%
According to the above-mentioned data, there is no failure rate for franchised outlets as the outlets at the end of the year increased during the span of 3 years.
We can see that the franchised outlets for Camp Bow Wow grew from 2020 to 2022, showing a growth rate between 8.07% and 4.18%.
Training and Support Of Camp Bow Wow
There is an initial training program that lasts for 8 days and includes classroom and in-camp training programs. This training generally takes place in their Colorado headquarters or a location designated by the franchisor.
They also have an ongoing support mechanism that includes both operational and marketing support.
On the operational side, they help with newsletters, toll-free lines, grand opening, site selection and negotiation of the lease, necessary software, and the intranet platform. On the marketing side, they cover everything from SEO to email marketing.
Terms of Agreement and Renewal
The initial term of the agreement is for ten years. Once the initial ten years are over, a renewal might be possible if the franchisee meets certain conditions. This renewal is possible for an additional two ten-year terms.
Obligations and Restrictions
The franchisee is not obligated to participate in the daily operations of the store at all times, but they are the main responsible for the general operations of the store. There might be a delegated manager to oversee the daily operations who has completed the initial training program successfully.
Each franchise store must keep the franchised store open for the minimum hours and days that the franchisor states in the manual. The location of the franchised store can not be used for any other purpose than running a Camp Bow Wow franchise store.
The franchisor doesn’t offer direct or indirect financial assistance to any of the franchisees. They do not guarantee any kind of financial obligation during the opening process. However, they have a discount program for veterans that gives a 10% discount on the franchise fee.
Camp Bow Wow Comparison
|Name||Franchise Fee||Royalty Fee||Initial Investment|
|Pet Supplies Plus||$49,900||2%-3%||$440,600-$1.3 million|
|Camp Bow Wow||$30,000-$50,000||7%||$1 million-$1.7 million|
Being the industry’s largest pet care franchise with over 200 dog daycare camps, Camp Bow Wow is a famous name in its industry. They have a long franchising history, which gives them enough experience to help entrepreneurs reach success way faster than most other franchises out there in the industry.
The average Camp Bow Wow franchised store makes about $1 million in annual overall sales and about $184,000 in annual net profit.
This gives the franchise owners an average payback period of 5 years, which is quite short. The numbers show that Camp Bow Wow could be a lucrative opportunity if you are looking to own their franchise. It is also one of the 10 best pet service franchise opportunities.
How much is the Camp Bow Wow franchise fee?
The franchise fee for Camp Bow Wow is between $30,000 to $30,000, depending on several factors.
What do I need to open a Camp Bow Wow franchise?
You don’t need any business experience. However, you need minimum liquidity of $200,000 and a minimum net worth of $500,000.
How much is a Camp Bow Wow franchise?
The total expected average cost to open a Camp Bow Wow is between $1 million and $1.7 million. This includes all of the initial start-up costs, from the franchise fee to the equipment and training costs.
Who owns Camp Bow Wow?
Camp Bow Wow is owned by Vicar Operations Inc. It is a subsidiary of the company.
Where is Camp Bow Wow headquartered?
The headquarters of Camp Bow Wow is located in Westminster, Colorado.
How many locations does Camp Bow Wow has?
Camp Bow Wow is the largest pet care franchise, which has more than 200 locations in North America.
Who founded Camp Bow Wow?
Camp Bow Wow was founded by an entrepreneur and avid dog lover, Heidi Ganahl.