FranchiseVerdict
Dogdrop logo
FV-00771·MODERATEExcellent81

Dogdrop

Personal Services - Pet CareFranchising since 2021Website
Investment
$361K – $650K
75th pct Pet Care
Avg revenue
62nd pct Pet Care
Royalty
2.0%
2nd pct Pet Care
Units
3
20th pct Pet Care
SBA default

Bottom line

  • Total investment $361K – $650K including a $12K franchise fee, 2.0% ongoing royalty.
  • No Item 19 financial performance data disclosed — the franchisor chose not to publish revenue figures.
  • Rated MODERATE with a risk score of 65/100.
  • Auditor disclosed a going-concern note — flagged doubt about the franchisor's ability to continue operations. Verify against the latest FDD.

Item 1 · who you're contracting with

The Franchisor

Legal entity
Dog Franchise Group, LLC
Parent company
DogDrop, Inc.
Incorporated in
California
HQ
905 E. 2nd St. Suite 110, Los Angeles, CA 90012
Auditor
Kezos & Dunlavy
Audited financials
Franchisor revenue
$81K
vs $50K prior year
⚠ Going-concern note
Disclosed in FDD 2025
Auditor flagged doubt about continued operations. Verify against the latest FDD before deciding.

Yale framework · single-unit ROIC

Returns Analysis

Pulls Item 7 (investment) and Item 19 (revenue) from this brand's FDD into the Yale unlevered-ROIC formula. Override any input to stress-test it against your own assumptions.

The model · Yale framework

What would one Dogdrop unit return on the cash you put in?

Revenue · per unit, per year
$
Item 19 not disclosed — typing your own estimate
Franchisor take · royalty + ad fund
Royaltytyp 68%
%
Ad fundtyp 35%
%
Operating costs · category default: automotive
COGS
%
Labor
%
Rent / occupancy
%
Other operating
%
Total invested capital · what you actually put in
Initial investment
$
FDD Item 7: $361K–$650K
Working capital
$
FDD reports $45K–$60K

Unlevered ROIC · per unit

27%

Below typical band (30–60%)

0%30–60% Yale band80%

Store EBITDA · annual
$150K
EBITDA margin
20.0%
Total invested
$558K
Payback
45 mo
Unit-level only. A multi-unit portfolio gives up roughly 5–15% of this to shared services (corporate G&A) before reaching the ~10-unit break-even Yale describes.

Overview

About

Dogdrop franchisees operate dog daycare, boarding, and/or grooming facilities, managing daily operations including pet care staff, client scheduling, facility maintenance, and customer service. Day-to-day work involves staff supervision, health/safety compliance, marketing, and customer relationship management in a service-based retail environment.

CEO
Shaina Denny
Founded
2020
FDD year
2025
States available
2

Item 7 · what it costs

The Vitals

Total investment
$361K – $650K
All-in to open one unit
Liquid capital
$45K – $60K
Cash you must have on hand
Franchise fee
$12K
Royalty
2.0%
Gross Sales · typical 6–8%
Ad fund
3.0%
typical 3–5%
Total fee load
5.0%
vs 9–13% typical

Item 19

Financial Performance

This franchisor did not disclose financial performance representations in Item 19, or our extractor could not parse them.

Item 20 · unit dynamics

The Growth Chart

Total units
3
Opened
0
Last reporting year
Closed
1
Turnover rate
33.3%
Company-owned
3
Corporate units in the system
% franchised
0%
vs corporate-owned
2023
0-1
Franchised units
2024
1
Franchised units
2025
0
Franchised units

Year-over-year franchised unit counts and net change. Source: FDD Item 20.

Item 20 · 4 states with active franchisees

The Territory Map

Derived from franchisee contact records. Shows states with at least one current operator — not where the franchisor is registered to sell new units (that data is re-extracting in a future refresh).

AK
ME
VT
NH
MA
RI
CT
NY
NJ
PA
DE
MD
DC
WA
OR
CA
NV
ID
MT
WY
UT
CO
AZ
NM
ND
SD
NE
KS
OK
TX
MN
IA
MO
AR
LA
WI
IL
MS
TN
MI
IN
KY
AL
OH
WV
GA
VA
NC
SC
FL
HI
Registered · 4 states
Not registered

States derived from franchisee phone area codes (Item 20). Approximate — ported numbers may show the original state, not the franchisee's current location.

Government records

SBA Loan Data

Aggregated from SBA 7(a) loan disclosures, public data unique to FranchiseVerdict.

No SBA loan data available for this brand.

FranchiseVerdict rating + FDD Items 3, 5, 6, 12, 17

Risk & Legal

65
Risk · 0-100
MODERATE65 / 100

Early-stage dog care franchise with dangerously limited operating data, non-transparent unit economics, and questionable system viability despite low litigation history.

Score breakdown · what drove the 65 / 100 rating

  1. 01MINOROnly 3 operating units suggests extremely early-stage system with unproven scalability and minimal peer learning network
  2. 02MINORNo average revenue or net income disclosure (Item 19) prevents ROI validation and raises transparency concerns
  3. 03MEDHigh initial investment range ($360K–$650K) without disclosed average unit economics creates repayment risk visibility
  4. 04MINORMinimal unit count makes territory protection claim difficult to enforce and suggests weak franchisee demand
  5. 05HIGHGoing concern status with only 3 units indicates capital constraints and potential franchisor financial fragility

Severity inferred from the FDD text · not a regulatory classification

FDD Items 5, 6, 12, 17 · continued from Risk & Legal

Contract & Territory Detail

Territory
Radius or zip codes
Protected territory
Yes
Initial term
10 years
Renewal term
10 years
Online sales rights
Restricted
Franchisor can compete
Yes
Hire a manager?
Allowed
Litigation count
0
Right of first refusal
Yes
Franchisor can buy back on resale
Mandatory arbitration
Yes
Jury trial waiver
Yes
Non-compete
2 yrs
Post-termination restriction
Owner-operator
Required
Governing law
California

Item 11

Training & Operations

Classroom training
32 hrs
On-the-job training
16 hrs
POS system
Stripe
Operating tech stack

Item 20

Franchisee Contacts

Phone numbers extracted directly from this brand's FDD Item 20. After purchase, you'll also receive a list of validation questions tailored to this brand.

Franchisee contacts

4 numbers

Locked
(651) 539-••••
MN
(914) 954-••••
NY
(860) 938-••••
CT

One-time purchase · CSV download · Validation questions included

FDD download

Dogdrop · FDD (2025) PDF

Single-page checkout · instant download · CSV export of contacts available separately above