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We have experience in this industry for the valuation of the business, equipment and real estate. Let us help you with our valuation consultation in all areas of the valuation of kennel businesses. Below is a brief synopsis of the industry.

Description of Business

Establishments primarily engaged in providing overnight boarding services for pets, equines, and other animal specialties. These establishments typically do not include veterinarian care.

General Industry Information

According to the American Boarding Kennels Association, approximately $2.4 billion is spent annually on animal boarding and grooming. Kennels operate as temporary homes for pets when owners are away on vacation, or otherwise unable to care for the animal. Pets (usually dogs) are fed, often cleaned, and supervised for short periods of time.

Operation of a successful Kennel necessitates a good operational space layout. Large, secure pens are important to maintain an orderly business.

Red Flags and Risks

There are several industry-specific risks that a potential owner should investigate. Firstly, the work environment may be hazardous to employees, should any malicious animals, especially dogs, turn on their handlers. Well trained and experienced staff can typically gage animals for violent and aggressive behavior. Keeping pets in such close proximity for boarding purposes may result in an infection of animals. Although proper hygiene may reduce the risk factor, illnesses comparable to the human cold have been known to spread amongst kennels. It would be wise to avoid caring for animals which may contaminate the others, and to ensure that all animals have been vaccinated prior to admission. Finally, it would be wise to consider the layout of the kennel, as the design can greatly affect the noise factor. Most employees will be adverse to the volume of barking. An owner should thoroughly examine fencing within the kennel to avoid runaway pets. Most recently, with fewer people traveling, there has been a significant reduction in revenue for these businesses.

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