DogtopiaFranchise Cost, Revenue & Review 2026
Data from FDD filing + SBA 7(a) records
FranchiseVerdict summary · 2026
A Dogtopia franchise requires a total initial investment of $543K – $1.4M, including a $50K franchise fee and an ongoing 7.0% royalty[2]. Per the 2025 FDD, average unit revenue was $932K[2]. SBA 7(a) loans show a 5.2% charge-off rate across 175 loans[1]. Verdict grade: A. Run a live ROI scan →
Data last verified June 21, 2026 · figures per the 2025 FDD issuance
Overview
- Investment
- $543K – $1.4M
- 73rd pct Pet Services
- Avg gross sales
- $932K
- 46th pct Pet Services
- Royalty
- 7.0%
- 38th pct Pet Services
- Units
- 263
- 84th pct Pet Services
- SBA default
- 5.2%
- system-wide median varies by category
Quick verdict · Pet Services · color = vs category peers
Green = >15% above Pet Services avg · No shading = within ±15% · Red = >15% below avg · Source: FDD filings + SBA 7(a)
Data from public FDD filings and SBA records. Not financial advice. Methodology
Franchised units fell from 222 to 174 over 3 years. Investigate why operators are leaving.
19% cash-on-cash return (based on P&L Bottom Line). Within the 15-30% range most franchise investors consider acceptable.
Bottom line
- Total investment $543K – $1.4M including a $50K franchise fee, 7.0% ongoing royalty.
- Average unit revenue of $932K/year (median $905K), with an estimated 19% cash-on-cash return (based on P&L Bottom Line).
- Verdict A (Top Quintile) with a risk score of 35/100. SBA loan charge-off rate of 5.2% across 175 loans (near or below the 16% franchise average, based on all SBA 7(a) franchise lending, 2010–2024).
- System growing at 27.6% CAGR over 3 years with 263 total units. Strong expansion trajectory.
Item 1 · who you're contracting with
The Franchisor
- Legal entity
- Better Together, LLC
- Parent company
- Dogtopia Enterprises, LLC
- Predecessor
- company
- Prior franchisor entity
- CEO title
- President and Chief Executive Officer
- Neil Gill
- Incorporated in
- DE
- HQ
- 6245 North 24th Parkway, Suite 210, Phoenix, Arizona 85016
- Auditor
- CliftonLarsonAllen LLP
- Audited financials
- Franchisor revenue
- $20.9M
- vs $21.5M prior year
- Management churn noted
- Frequent turnover
- Item 2 disclosed frequent executive changes
Independent franchisee associations
- Franchise Advisory Council (FAC)
Franchisee-led councils or alliances disclosed in Item 20. Indicates operator voice.
Affiliated brands
- owned Dogdrop location in Denver
Other brands the franchisor or its parent operates (Item 1).
Overview
About
Dogtopia franchisees operate pet daycare and boarding facilities providing supervised care, play, and socialization for dogs. Day-to-day operations involve managing staff schedules, overseeing animal care protocols, handling client intake and billing, maintaining facilities, and marketing to local pet owners. Revenue is generated through daycare packages, boarding fees, grooming services, and ancillary offerings.
- CEO
- Neil Gill
- Headquarters
- AZ
- Founded
- 2005
- FDD year
- 2025
- States available
- 37
FDD Item 7 · 2025 filing
Initial investment breakdown
| Cost component | Low | High |
|---|---|---|
| Initial franchise fee | $50K | $50K |
| Working capital (3–6 mo) | $30K | $60K |
| Equipment, build-out, other | $464K | $1.3M |
| Total initial investment | $543K | $1.4M |
Source: Dogtopia 2025 FDD, Items 5 and 7[2]. “Equipment, build-out, other” is computed as total minus disclosed line items above.
Single-unit · estimated
Returns at a glance
Indicative numbers using FDD Item 7 / Item 19 inputs and category-benchmarked cost ratios. Full single-unit, 25-unit portfolio, and LBO models (with every input editable to stress-test your own scenario) live on the financials page.
Store EBITDA · annual
$130K
14.0% margin
Unlevered ROIC
13%
EBITDA / total invested capital
Payback
7.8 yrs
cash-on-cash, unlevered
Item 7 · what it costs to open + operate
The Vitals
- Total investment
- $543K – $1.4M
- Below avg, review vs category
- Liquid capital req'd
- $30K – $60K
- Near category avg vs category
- Franchise fee
- $40K – $50K
- Near category avg vs category
- Royalty
- 7.0%
- Gross Sales · typical 6–8%
- Ad fund
- 2.0%
- typical 3–5%
- Total fee load
- 9.0%
- vs 9–13% typical
- Payback period
- 5.4 yrs
- From FDD / Item 19
Ongoing fees · Item 6
| Fee | Amount |
|---|---|
| Royalty | 7.0% of gross sales |
| Marketing / ad fund | 2.0% of gross sales |
| Technology fee | $899 |
| Training fee | $2K |
| Transfer fee | $25K |
| Renewal fee | $25K |
| Inventory (initial) | $3K – $3K |
| Total fee load | 9.0% of rev |
Financial Performance
- Avg gross sales
- $932K
- Per unit, per year
- Median gross sales
- $905K
- Avg p&l bottom line
- $181K
- Reported as P&L Bottom Line in FDD Item 19
- Cash-on-cash
- 18.6%
- Based on P&L Bottom Line / investment midpoint
- Item 19 type
- Actual Sales and Key Operating Metrics
- Sample size
- 191 units
- vs category median 12 · large
- Range (low → high)
- $352K→$2.1M
- Cohort dispersion (min → max)
- Transparency tier
- none
- Categorical assessment of disclosure depth
- Reporting year
- 2024
- Fiscal year the figures cover
- Transparency
- 7 / 5
- vs category median 4 / 5 · above
Compared against 75 Pet Services brands
Revenue is only 1.0x the investment. This means each unit may take 5+ years to recoup the initial outlay at typical margins.
vs Pet Services averages
How Dogtopia Compares
Unit growth
Item 20 · unit dynamics
The Growth Chart
- Total units
- 263
- Opened
- 17
- Last reporting year
- Closed
- 0
- Turnover rate
- 0.0%
- Company-owned
- 41
- Corporate units in the system
- % franchised
- 84%
- vs corporate-owned
- Net growth (yr3)
- +8.3%
- Net unit change last year
- 3-yr CAGR
- +27.6%
- Compounded over last 3 years
3-year detail · Item 20
- Transfers (3yr)
- 11
- Transfer rate
- 4.2%
- Owners selling to other franchisees
- Continuity rate
- 100.0%
- Units that stayed open
Year-over-year franchised unit counts and net change. Source: FDD Item 20.
Item 20 · 20 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).
States derived from franchisee contact records (FDD Item 20). Shows states with at least one current operator on file. Full state registration data (Item 12) will appear on a future FDD refresh.
Available to sell in · Item 12
- California
- Michigan
- South Dakota
States where the franchisor is registered to sell new franchises (FDD registration filings).
SBA loan performance
Government records
SBA Loan Data
Aggregated from SBA 7(a) and 504 loan disclosures, public data unique to FranchiseVerdict.
- Total loans
- 175
- Loan volume
- $128.5M
- Median loan
- $750K
- 50th percentile
- Charge-off rate
- 5.2%
- rates vary by category · see methodology
Historical SBA 7(a) lending data, not predictive of future performance. How SBA charge-off rates are calculated
- Repayment rate (PIF)
- 94.8%
- 5-yr charge-off
- 5.4%
- Loans approved 2021+
- Active lenders
- 51
- Defaults
- 4
Vintage analysis
Dogtopia charge-off rate by loan vintage
Explore lender portfolios on Bank Reports or regional data on State Reports.
Premium insight
SBA Lending Report
Deep-dive into Dogtopia's SBA lending history: lender network, geographic footprint, interest rates, and more.
SBA Lending Report
- Principal loss rate and NAICS industry benchmark
- 10 lenders with concentration factor
- Per-state charge-off rates across 15 states
- Startup risk premium and job creation velocity
- 18-year lending trend
- SBA 504 real estate/equipment data
Instant access. No subscription.
Risk analysis
FranchiseVerdict rating + FDD Items 3, 5, 6, 12, 17
Risk & Legal
Dogtopia presents moderate-to-cautionary risk: opaque unit economics, active litigation, and modest growth in a high-investment model warrant deep validation before committing $500K–$1.4M.
Litigation (Item 3)
Case 1 (Settled): HotBox Enterprises, LLC v. Jamie Weeks et al., Cal. Super. Ct. Case No. 20GDCV00469 (filed June 1, 2020) - Franchisor sued developer for breach of franchise agreements, failure to pay royalties, and improper use of IP. Settled February 22, 2022 for $2,700,000 promissory note. Case 2 (Consolidated/Settled): Jamie Weeks v. Jessica Mortarotti, Nicholas Alexander Samios & Zachary Cox, Cal. Super. Ct. Case No. 20STCV20681 (filed June 1, 2020) - Developer's counterclaim for breach of contract, misrepresentation, and fraudulent concealment. Consolidated with Case 1 on January 26, 2021 and settled under same agreement. Case 3 (Pending): Kimberly Hamm v. Dogtopia Enterprises, LLC and Neil Gill, Maricopa County (Arizona) Superior Court Case No. CV2024-012316 (filed May 17, 2024) - Former VP of Operations suing franchisor and CEO regarding forfeiture of Executive Long-Term Incentive Plan participation units.
Bankruptcy (Item 4)
None disclosed
Audited financials (Item 21)
Yes · CliftonLarsonAllen LLP
Franchisor revenue (Item 21)
Franchisor entity revenue (not unit-level)
Supplier relationship · Items 8 & 16
- Franchisor sells you products: Yes
- Kickbacks from required suppliers: No
- Must buy proprietary products: Yes
- Restricted to system-approved products: Yes
- Can negotiate own supplier terms: No
Score breakdown · what drove the 35 / 100 rating
- 01MEDNo Item 19 (Average Net Income) disclosed — impossible to validate ROI claims or unit economics
- 02HIGHActive litigation involving area developer (breach of contract) and former VP (incentive plan dispute) suggests operational and governance issues
- 03MINORModest unit growth of 8.3% YoY in a pet services category with strong consumer tailwinds indicates slower expansion than competitors
- 04MINORHigh initial investment range ($543K–$1.4M) with 7% royalties creates significant leverage risk without transparent profitability data
- 05HIGHGoing Concern disclosure is FALSE but absence of Item 19 raises questions about financial transparency and whether system is underperforming
Severity inferred from the FDD text · not a regulatory classification
FDD Items 5, 6, 12, 17 · continued from Risk & Legal
Contract & Territory Detail
| Initial term | 10 years |
|---|---|
| Renewal term | 10 years |
| Allowed renewalsℹ | 1 |
| Territory type | Radius or density based |
| Protected territory | Yes |
| Exclusive territoryℹ | No |
| Territory radius | 3 mi |
| Territory population | 25,000 |
| Online sales rights | Restricted |
| Franchisor can compete | Yes |
| Hire a manager? | Allowed |
| Owner-operator | Required |
| Non-compete (years)ℹ | 2 years |
| Non-compete (miles)ℹ | 15 mi |
| Right of first refusalℹ | Yes |
| Transfer requires consent | Yes |
| Termination notice | 30 days |
| Mandatory arbitration | Yes |
| Arbitration location | Maricopa County, Arizona |
| Jury trial waiver | Yes |
| Governing law | Arizona |
| Litigation count | 2 |
View Item 3 litigation summary
Case 1 (Settled): HotBox Enterprises, LLC v. Jamie Weeks et al., Cal. Super. Ct. Case No. 20GDCV00469 (filed June 1, 2020) - Franchisor sued developer for breach of franchise agreements, failure to pay royalties, and improper use of IP. Settled February 22, 2022 for $2,700,000 promissory note. Case 2 (Consolidated/Settled): Jamie Weeks v. Jessica Mortarotti, Nicholas Alexander Samios & Zachary Cox, Cal. Super. Ct. Case No. 20STCV20681 (filed June 1, 2020) - Developer's counterclaim for breach of contract, misrepresentation, and fraudulent concealment. Consolidated with Case 1 on January 26, 2021 and settled under same agreement. Case 3 (Pending): Kimberly Hamm v. Dogtopia Enterprises, LLC and Neil Gill, Maricopa County (Arizona) Superior Court Case No. CV2024-012316 (filed May 17, 2024) - Former VP of Operations suing franchisor and CEO regarding forfeiture of Executive Long-Term Incentive Plan participation units.
Items 10, 11
Training & Operations
- Classroom training
- 101 hrs
- On-the-job training
- 80 hrs
- Training location
- Phoenix, Arizona and designated Dogtopia training facilities
- Field support
- 80 hrs/yr
- On-site visits per year
- Site selection
- franchisor
Items 5 & 11
Franchisor Support
Item 20 · call current owners
Franchisee Contacts
99 owners to call
Name · phone · city · state. Extracted from FDD Item 20
FDD download
Dogtopia · FDD (2025) PDF
Frequently asked questions
Frequently Asked Questions
How much does it cost to open a Dogtopia franchise?
The total investment to open a Dogtopia franchise ranges from $543K – $1.4M, with an initial franchise fee of $50K. This includes real estate, equipment, inventory, and working capital as disclosed in their Franchise Disclosure Document (FDD).
What do Dogtopia franchise owners earn?
According to Item 19 of the Dogtopia FDD, the average gross sales per unit is $932K. The median is $905K. Note: this is gross revenue, not profit. Actual owner earnings vary based on location, operating costs, and management.
What is Dogtopia's franchise failure rate?
Based on SBA 7(a) loan data, Dogtopia has a charge-off rate of 5.2% across 175 loans, meaning 5.2% of franchise loans were charged off. Charge-off rates are one proxy for franchise risk, though they do not capture all closures. This data comes from FOIA-sourced SBA lending records.
How many Dogtopia franchise locations are there?
As of their most recent FDD filing, Dogtopia has 263 total units in the United States, including 222 franchised units and 41 company-owned units. 17 new units were opened in the latest reporting year.
Is Dogtopia a good franchise to buy?
FranchiseVerdict rates Dogtopia as a A-grade franchise with a risk score of 35 out of 100, based on our analysis of investment costs, revenue data, SBA loan performance, and growth trends. Our rating is based solely on publicly available FDD and government data; we recommend speaking with current franchisees before making any investment decision. This is not investment advice.
Data sourced from public FDD filings and SBA 7(a) FOIA records. Not financial advice.
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Data extracted from public FDD filings and SBA 7(a) loan disclosures (FOIA). This information is provided for research purposes only and does not constitute financial, legal, or investment advice. Verify all figures with the franchisor's current Franchise Disclosure Document before making any investment decision.