Pet Supplies Plus Franchise Cost, Revenue & Review 2026
Data from FDD filing + SBA 7(a) records
Analysis by FranchiseVerdict Research · Methodology
Pet Supplies Plus is a neighborhood pet-retail franchise selling food, toys, and supplies, often with grooming and self-wash services. Franchisees run a mid-size store managing inventory, staff, and local customers in a protected territory.
FranchiseVerdict summary · 2026
A Pet Supplies Plus franchise requires a total initial investment of $498K – $2.0M, including a $50K franchise fee and an ongoing 2.0% royalty[2]. Per the 2024 FDD, average unit revenue was $2.6M[2]. SBA 7(a) loans show a 6.8% charge-off rate across 233 loans[1]. FranchiseVerdict grade: A (Strongest tier), an editorial assessment, not investment advice. Run a live ROI scan →
Data last verified · figures per the 2024 FDD issuance
Overview
- Investment
- $498K – $2.0M
- 75th pct Pet Services
- Avg gross sales
- $2.6M
- 35th pct Pet Services
- Royalty
- 2.0%
- 0th pct Pet Services
- Units
- 719
- 96th pct Pet Services
- SBA charge-off
- 6.8%
- % of SBA 7(a) loans not repaid · median varies by category
Quick verdict · Pet Services · color = vs category peers
Green = favorable by >10% vs Pet Services avg · No shading = within ±10% · Red = unfavorable by >10% · Source: FDD filings + SBA 7(a)
Data from public FDD filings and SBA records. Not financial advice. Methodology
Bottom line
- COSTTotal investment $498K – $2.0M including a $50K franchise fee, 2.0% ongoing royalty.
- RETURNSAverage unit revenue of $2.6M/year (median $2.4M), with an estimated 7% cash-on-cash return (based on Annual EBITDA 15).
- RISKVerdict A (Strongest tier), verdict score 85/100 (higher is better). SBA loan charge-off rate of 6.8% across 233 loans (near or below the 16% franchise average, based on all SBA 7(a) franchise lending, 2010–2025).
- GROWTHSystem growing at 29.7% CAGR over 3 years with 719 total units. Strong expansion trajectory.
Item 1 · who you're contracting with
The Franchisor
Corporate structure & franchisor financials
- Legal entity
- PSP Franchising, LLC
- Parent company
- PSP Stores, LLC
- Ultimate parent
- Freedom VCM, Inc.
- Predecessor
- Pet Supplies "Plus"/USA, Inc.
- Prior franchisor entity
- Incorporated in
- DE
- HQ
- 17410 College Parkway, Livonia, MI 48152-2369
- Auditor
- Grant Thornton LLP
- Audited financials
- Franchisor revenue
- $45.3M
- vs $39.0M prior year
Overview
About
- CEO
- Chris Rowland
- Headquarters
- MI
- Founded
- 2010
- FDD year
- 2024
- States available
- 39
Can you afford it, and what does the money buy?
Entry cost runs 75% above the typical pet services franchise.
Source: FDD 2024 · Items 5–7
FDD Item 7 · 2024 filing
Initial investment breakdown
| Cost component | Low | High |
|---|---|---|
| Initial franchise fee | $50K | $50K |
| Working capital (3–6 mo) | $40K | $250K |
| Equipment, build-out, other | $408K | $1.7M |
| Total initial investment | $498K | $2.0M |
Source: Pet Supplies Plus 2024 FDD, Items 5 and 7[2]. “Equipment, build-out, other” is computed as total minus disclosed line items above.
Item 7 · what it costs to open + operate
The Vitals
- Total investment
- $498K – $2.0M
- Bottom third — review vs category
- Liquid capital req'd
- $40K – $250K
- Bottom third — review vs category
- Franchise fee
- $50K – $50K
- Middle of category vs category
- Royalty
- 2.0%
- Tiered by sales volume · typical 6–8%
- Ad fund
- 3.5%
- typical 3–5%
- Total fee load
- 5.5%
- vs 9–13% typical
- Payback period
- 13.7 yrs
- From FDD / Item 19
Ongoing fees · Item 6
| Fee | Amount |
|---|---|
| Royalty | 2.0% of gross sales |
| Marketing / ad fund | 3.5% of gross sales |
| Technology fee | $1K |
| Training fee | $300 |
| Transfer fee | $5K |
| Renewal fee | $3K |
| Inventory (initial) | $170K – $290K |
| Total fee load | 5.5% of rev |
A 5.5% total fee load is unusually lean. More of each revenue dollar stays with the franchisee.
What do units actually make?
Average unit sales run 232% above the pet services norm.
Source: FDD 2024 · Item 19
Single-unit · not modelled
Returns at a glance
An FDD discloses gross sales, not profit, and the operating costs that turn one into the other are in no filing. We publish no modelled return for Pet Supplies Plus until someone supplies them — yours, in the models below.
—
Not modelled yet
An FDD discloses gross sales, not profit. We hold no sourced figure for COGS, labour, rent / occupancy and other operating costs, and will not substitute an assumed one. Enter your own and the model runs on your assumptions.
Total invested capital · disclosed
$1.4M
Item 7 initial investment plus working capital, as filed — the one figure here that needs no assumption.
ROI & LBO modelsSingle-unit · 25-unit portfolio · editable
FDD-reported earnings
The FDD reports $165K as Annual EBITDA 15. This is a disclosed figure, not our estimate — we publish no modelled profit for Pet Supplies Plus.
What one unit earns on your invested capital
Model A · Single-Unit Return
Computes unlevered return on invested capital (ROIC) for a single franchise unit, read against the 30–60% reference band · Yale SOM, Post-MBA Path Exhibit 2 (2023). Below that band a passive index fund likely outperforms; above it the franchisor has pricing power you're subsidizing.
Note: Item 19 revenue is what the franchisor discloses, and it is the top line only — gross sales are not profit. No FDD discloses the operating costs that turn one into the other, so those fields start empty and nothing is modelled until you supply them from your own lease quote, labor market and build-out budget.
Returns model · single-unit ROIC
What would one Pet Supplies Plus unit return on the cash you put in?
Illustrative category typicals — not sourced to any filing, survey or sample. Replace them with figures from franchisee validation calls before you rely on the output.
Unlevered ROIC · per unit
Your modelled return on total invested capital, before any debt financing.
—
An FDD discloses gross sales, not profit. We hold no sourced figure for COGS, labour, rent / occupancy and other operating costs, and will not substitute an assumed one. Enter your own and the model runs on your assumptions.
What 25 units return when you use SBA financing
Model B · Return on Equity: Debt-Financed Acquisition
Models a 25-unit portfolio acquisition financed with an SBA 7(a) loan. Shows equity IRR (your return on cash invested), DSCR (how safely the cash flow covers debt service), and the capital stack (SBA + seller + equity breakdown).
This is the “search fund” or “entrepreneurship through acquisition” scenario: you buy an existing multi-unit operator, use leverage to amplify returns, and either operate or hire management. The 25-unit size is the typical minimum for an SBA-backed franchise portfolio acquisition to pencil as a full-time income.
What “return on equity” means here: if you put in $500K of your own cash and the business generates enough EBITDA to pay down debt and grow, your equity IRR is the annual return on that $500K, including the value created when you eventually sell. Target IRR for a search fund is typically 25–35%.
Not modelled yet
An FDD discloses gross sales, not profit. We hold no sourced figure for COGS, labour, rent / occupancy and other operating costs, and will not substitute an assumed one. Enter your own and the model runs on your assumptions.
A 25-unit return is built on a per-unit EBITDA. Fill in the operating costs in Model A above and this model runs on that figure, or take the whole scenario to the full ROI workbench, where the portfolio and LBO models accept your own per-unit economics directly.
These models are for research and scenario planning only. Not investment advice. Actual results depend on your specific location, management, and market conditions. Consult a franchise attorney and accountant before signing any franchise agreement.
Item 19 · Source: 2024 FDD
Financial Performance
- Avg gross sales
- $2.6M
- Per unit, per year
- Median gross sales
- $2.4M
- Avg annual ebitda 15
- $165K
- Reported as Annual EBITDA 15 in FDD Item 19
- Cash-on-cash
- 7.3%
- Based on Annual EBITDA 15 / investment midpoint
Gross sales are revenue before expenses — not profit. Actual owner earnings depend on rent, labor, royalties, marketing fees, and debt service.
- Item 19 type
- gross sales and ebitda
- Sample size
- 346 outlets
- vs category median 12 · large
- Range (low → high)
- $777K→$7.0M
- Cohort dispersion (min → max)
- Reporting year
- 2023
- Fiscal year the figures cover
- Source filing
- FDD 2024
- Disclosed in the 2024 filing, covering 2023
- Transparency
- 9 / 10
- vs category median 4 / 10 · above
Compared against 69 Pet Services brands
Operator outlook
What the numbers say
Data-driven interpretation of this brand's financial disclosures, fee structure, and system trajectory.
Unit economics
Average unit generates $2.6M/year in gross sales. Revenue-to-investment ratio: 2.1x.
Fee burden
Total ongoing fee load of 5.5% — below the Pet Services average of 9.1%.
Disclosure
Transparency score 9/10 — this franchisor discloses detailed breakdowns (quartiles, segments, or cohort data). Buyers can model unit economics with higher confidence.
Operator retention
System expanding at 29.7% CAGR over 3 years across 719 units — operators are staying and new ones are joining.
Source: FDD Item 19 financial performance representations and publicly filed FDD data. Past performance is not indicative of future results. Verify all figures with the franchisor and current franchisees before making any investment decision.
vs Pet Services averages
How Pet Supplies Plus Compares
Is the system healthy?
Source: FDD 2024 · Item 20
Unit growth
Item 20 · unit dynamics
The Growth Chart
- Total units
- 719
- Opened
- 60
- Last reporting year
- Closed
- 4
- Turnover rate
- 0.6%
- Company-owned
- 234
- Corporate units in the system
- % franchised
- 68%
- vs corporate-owned
- Net growth (3-yr)
- +29.7%
- Net unit change over 3 years
- 3-yr CAGR
- +29.7%
- Compounded over last 3 years
3-year detail · Item 20
- Opened (3yr)
- 60
- Closed (3yr)
- 4
- Terminated (3yr)
- 0
- Non-renewed (3yr)
- 0
- Transfers (3yr)
- 33
- Reacquired (3yr)
- 0
- Franchisor bought back
Year-over-year franchised unit counts and net change. Source: FDD Item 20.
Item 20 · 44 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.
SBA loan performance
Government records
SBA Loan Data
Aggregated from SBA 7(a) and 504 loan disclosures, public data unique to FranchiseVerdict.
- Total loans
- 233
- Loan volume
- $191.7M
- Median loan
- $825K
- 50th percentile
- Charge-off rate
- 6.8%
- 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)
- 93.2%
- 5-yr charge-off
- 0.0%
- Loans approved 2021+
- Active lenders
- 56
- Defaults
- 5
- Typical loan rate
- 7.1%
- avg rate to borrowers
- Franchised industry avg
- 24.6%
- brand beats franchise avg ↓
- Jobs supported
- 3,657
- 2.2 per loan
- Lender concentration
- 18%
- top lender's share
Borrower mix: 81% went to startups / new businesses, 19% to established operators
Franchise vs independent — in pet and pet supplies stores, franchised businesses charge off at 24.6% vs 23.3% for independents — franchising is associated with 6% higher SBA default risk in this category.
Vintage analysis
Pet Supplies Plus charge-off rate by loan vintage
Top lenders financing Pet Supplies Plus franchisees
Showing 3 of 56 lenders. The full breakdown — every lender, state distribution, interest rates & risk ratings — is in the SBA Lending Report below.
Explore lender portfolios on Bank Reports or regional data on State Reports.
Premium insight
SBA Lending Report
Deep-dive into Pet Supplies Plus'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
- 13-year lending trend
- SBA 504 real estate/equipment data
Instant access. No subscription.
What could kill this investment?
SBA loans charge off at 6.8% — 58% below the 16.0% national norm, i.e. lower lender-observed risk.
Source: SBA 7(a) FOIA · FDD Items 3, 21
Risk analysis
FranchiseVerdict rating + FDD Items 3, 4, 8, 16, 21
Risk & Legal
Litigation (Item 3)
Three affiliate litigation matters involving Buddy's Franchising and Licensing LLC: two cross-arbitrations with former franchisee MMS Group/Joseph Gazzo over breach of franchise agreement, Lanham Act, Defend Trade Secrets Act (in settlement negotiations); one FTC consent order (2020) regarding antitrust compliance for rent-to-own operators. No direct PSP Franchising LLC litigation disclosed.
Bankruptcy (Item 4)
None disclosed
Audited financials (Item 21)
Yes · Grant Thornton 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: Yes
- Must buy proprietary products: Yes
- Restricted to system-approved products: Yes
- Can negotiate own supplier terms: No
Score breakdown · what drove the 85 / 100 verdict
- 01HIGHLitigation involving affiliate (Buddy's) regarding franchise agreements and unfair competition raises questions about corporate governance and potential systemic franchise agreement issues
- 02MINORFTC settlement with Buddy's Newco regarding reciprocal purchase agreements suggests franchisor may have imposed unfavorable supplier relationships or tied purchasing arrangements
- 03MINORNet income of $164,676 on $2.6M average revenue (6.3% net margin) is thin—high operating costs relative to gross sales limit franchisee profitability cushion
- 04MINORRoyalty structure escalates from 2% to 3% after year one, reducing already-modest net margins in years 2-10 when many franchisees struggle past break-even
- 05MINOR13.1% YoY unit growth is modest for a 719-unit system; suggests market saturation or competitive pressure in pet retail sector
Severity inferred from the FDD text · not a regulatory classification
What are you signing up for?
Ongoing fees run about 5.5% of sales (royalty + ad fund), before rent and labor.
Source: FDD 2024 · Items 11, 12, 17
FDD Items 12, 15, 17 · continued from Risk & Legal
Contract & Territory Detail
| Initial term | 10 years |
|---|---|
| Renewal term | 5 years |
| Allowed renewalsℹ | 2 |
| Territory type | exclusive |
| Protected territory | Yes |
| Exclusive territoryℹ | Yes |
| Territory population | 60,000 |
| Online sales rightsℹ | Restricted |
| Franchisor can compete | Yes |
| Hire a manager? | Allowed |
| Owner-operator | Optional |
| Non-compete (years)ℹ | 2 years |
| Non-compete (miles)ℹ | 5 mi |
| Right of first refusalℹ | Yes |
| RoFR response window | 30 days |
| Transfer requires consent | Yes |
| Termination notice | 15 days |
| Curable defaultsℹ | 2 |
| Mandatory arbitration | No |
| Arbitration location | Oakland County, Michigan (mediation, not arbitration) |
| Jury trial waiver | No |
| Governing law | MI |
| Litigation count | 3 |
View Item 3 litigation summary
Three affiliate litigation matters involving Buddy's Franchising and Licensing LLC: two cross-arbitrations with former franchisee MMS Group/Joseph Gazzo over breach of franchise agreement, Lanham Act, Defend Trade Secrets Act (in settlement negotiations); one FTC consent order (2020) regarding antitrust compliance for rent-to-own operators. No direct PSP Franchising LLC litigation disclosed.
Items 10, 11
Training & Operations
- Classroom training
- 0 hrs
- On-the-job training
- 80 hrs
- Training location
- PSP designated certified corporate training store location
- Ongoing training
- Required
- Site selection
- Franchisee with franchisor assistance and approval
- Franchisor financing
- Not offered
- Item 10
- POS system
- PSP designated POS system (leased at $283-$366/month)
- Operating tech stack
Items 5 & 11
Franchisor Support
Technology: PSP designated POS system (leased at $283-$366/month)
Item 20 · call current owners
Franchisee Contacts
600 owners to call
Name · phone · city · state. Extracted from FDD Item 20
FDD download
Pet Supplies Plus · FDD (2024) PDF
Frequently asked questions
Frequently Asked Questions
How much does it cost to open a Pet Supplies Plus franchise?
The total investment to open a Pet Supplies Plus franchise ranges from $498K – $2.0M, 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 Pet Supplies Plus franchise owners earn?
According to Item 19 of the Pet Supplies Plus FDD, the average gross sales per unit is $2.6M. The median is $2.4M. Note: this is gross revenue, not profit. Actual owner earnings vary based on location, operating costs, and management.
What is Item 19 in the Pet Supplies Plus FDD?
The FDD section where a franchisor may disclose financial performance of its outlets. Disclosure is optional and formats vary; figures are typically gross sales, which is revenue before expenses, not profit. FranchiseVerdict extracts these figures directly from the Pet Supplies Plus FDD and qualifies whose outlets they describe.
What is Pet Supplies Plus's franchise failure rate?
Based on SBA 7(a) loan data, Pet Supplies Plus has a charge-off rate of 6.8% across 233 loans, meaning 6.8% 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 Pet Supplies Plus franchise locations are there?
As of their most recent FDD filing, Pet Supplies Plus has 719 total units in the United States, including 485 franchised units and 234 company-owned units. 60 new units were opened in the latest reporting year.
Is Pet Supplies Plus a good franchise to buy?
FranchiseVerdict rates Pet Supplies Plus as a A-grade franchise with a verdict score of 85 out of 100 (higher is better). The grade is a deterministic score built from six weighted dimensions — financial health, unit economics, unit growth, scale, legal, and transparency — then calibrated against SBA loan charge-off rates and FDD age. Transparency is one of the six, so a filing that discloses less scores lower on that dimension than one that discloses more. 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.
For franchisors
Are you the franchisor?
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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.