Skip to main content
FranchiseVerdict
Pets Are Inn logo

Pets Are Inn Franchise Cost, Revenue & Review 2026

Pet ServicesMNFranchising since 1993
BAbove averageAbove average51/100Editorial grade from public filings; not investment advice.
Investment
$74K – $122K
Disclosed sales
$243K
gross sales, not profit
SBA charge-off
Not SBA-matched

Investment, fees, disclosed sales, units, SBA record and risk, as one PDF. Free; no spam; one click to unsubscribe.

FV-01937Data QualityExcellent91%FDD 2024 · 2yr old
Owner-operator requiredYes: Protected territory

Data from FDD filing

Analysis by FranchiseVerdict Research · Methodology

This data is from a 2024 FDD. Current terms may differ. Always verify with the franchisor's latest disclosure document.

Pets Are Inn is a pet services franchise offering in-home pet boarding by placing pets with vetted host families. Franchisees run local operations, matching pets with hosts and managing bookings and transport.

FranchiseVerdict summary · 2026

A Pets Are Inn franchise requires a total initial investment of $74K – $122K, including a $65K franchise fee and an ongoing 10.0% royalty[2]. Per the 2024 FDD, average unit revenue was $243K[2]. FranchiseVerdict grade: B (Above average), an editorial assessment, not investment advice. Run a live ROI scan →

Sources, dates and evidence

FDD issued: 2024 filing · Data extracted: · Last cited check: · Staleness risk: high - figures are from a filing two or more years old

Evidence: strong✓ Investment (Item 7)✓ Item 19 status✓ Units and owners (Item 20)✗ SBA loan coverage✓ Litigation (Item 3)✓ Financial statements (Item 21)✓ Franchisor identityhow this is scored7 of 8 headline figures on this page cite a page of the filing; the rest are marked “Not cited” beside the figure.

Overview

Investment
$74K – $122K
21st pct Pet Services
Avg gross sales
$243K
7th pct Pet Services
Royalty
10.0%
82nd pct Pet Services
Units
5
28th pct Pet Services
SBA charge-off
N/A

Quick verdict · Pet Services · color = vs category peers

Total Investment
$74K – $122K
Median $327K
below median ↓, better than category
Franchise Fee
$65K – $65K
Median $49K
above median ↑, worse than category
Liquid Capital Req'd
$2K – $4K
Median $33K
below median ↓, better than category
Avg Revenue
$243K
Median $602K
below median ↓, worse than category
Royalty Rate
10.0%
Median 6.5%
above median ↑, worse than category
Ongoing Fees
11.0% of rev
Median 8.0%
above median ↑, worse than category
SBA Charge-Off Rate
Not SBA-matched
Not matched to SBA 7(a) loans
System Size
5 units
Median 18 units
below median ↓, worse than category
Turnover Rate
N/A
Median 0.0%
Territory
Protected, not exclusive
Limits on the franchisor opening nearby; not an exclusive zone
Owner-Operator
Required
You must run it yourself
Litigation
None disclosed
Clean record

Green = favorable by >10% vs Pet Services median · 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 $74K – $122K including a $65K franchise fee, 10.0% ongoing royalty.
  • RETURNSAverage unit revenue of $243K/year (median $201K).
  • RISKVerdict B (Above average), verdict score 51/100 (higher is better).
  • GROWTHFlat: no net change in franchised outlets in the latest year (0 opened, 0 closed) (Item 20).

Item 1 · who you're contracting with

The Franchisor

Corporate structure & franchisor financials
Legal entity
Pets Are Inn, Inc.
CEO title
Chief Executive Officer and Director
James E. Platt, Jr.
Incorporated in
MN
HQ
7831 East Bush Lake Road, Suite 200J, Edina, Minnesota 55439
Auditor
DJJCPA, LLC
Audited financials

Affiliated brands

  • of ours

Other brands the franchisor or its parent operates (Item 1).

Overview

About

CEO
James E. Platt, Jr.
Headquarters
MN
Founded
1992
FDD year
2024
States available
3

Can you afford it, and what does the money buy?

Entry cost runs 70% below the typical pet services franchise.

Total investment (Item 7)$74K – $122KCited, not corroborated — printed on page 12 of the 2024 FDD (Item 7). Nothing else in our record independently restates or re-derives it.
Franchise fee$65,000Cited, not corroborated — printed on page 12 of the 2024 FDD (Item 7). Nothing else in our record independently restates or re-derives it.
Royalty10.0%Cited, not corroborated — printed on page 8 of the 2024 FDD (Item 6). Nothing else in our record independently restates or re-derives it.
Ad fund1.0%Cited, not corroborated — printed on page 8 of the 2024 FDD (Item 6). Nothing else in our record independently restates or re-derives it.
Working capital$2K – $4K

Source: FDD 2024 · Items 5–7

Full Item 7 breakdown10 line items

Initial investment breakdown

Item 7 initial investment line items
Line itemLowHigh
Initial Franchise Fee$65K$65K
Initial Advertising Fee$0$8K
Real Estate and Improvements$0$3K
Mini Van$2K$30K
Insurance$500$1K
Supplies and Printing$2K$4K
Boarding Supplies$500$2K
Expenses incurred attending Training in Minneapolis$500$1K
Computer Equipment and Software$3K$5K
Additional Funds$2K$4K
Total initial investment$74K$122K

Line items extracted from FDD Item 7. Ranges reflect the franchisor's stated low and high per line. Total is the sum of line-item lows / highs — actual costs may fall outside this range depending on market and build-out scope.

Item 7 · what it costs to open + operate

The Vitals

Total investment
$74K – $122K
Top 40% of category vs category
Liquid capital req'd
$2K – $4K
Top 40% of category vs category
Franchise fee
$65K – $65K
Bottom third — review vs category
Royalty
10.0%
Tiered by sales volume · typical 6–8%
Ad fund
1.0%
typical 3–5%
Total fee load
11.0%
vs 9–13% typical

Ongoing fees · Item 6

Pets Are Inn: Item 6 recurring fees
FeeAmount
Royalty10.0% of gross sales
Marketing / ad fund1.0%
Technology fee$50
Transfer fee$33K
Renewal fee$7K
Inventory (initial)$2K – $4K
Total fee load11.0% of rev

What do units actually make?

Average unit sales run 60% below the pet services norm.

Avg gross sales$243KCited, not corroborated — printed on page 33 of the 2024 FDD. Nothing else in our record independently restates or re-derives it.
Median gross sales$201KNot cited — published from our reading of the franchisor's disclosure document; the page it is printed on has not been located.
Item 19 typegross revenue
Sample size4 outlets

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 Pets Are Inn 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

$101K

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
Blue values = direct from FDD (Item 7 investment, Item 19 revenue, Item 6 fees)Not set = no filing supplies it and we will not substitute one. Enter your own

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 Pets Are Inn unit return on the cash you put in?

From FDDNot set — you supply itYou overrode an FDD value
Revenue · per unit, per yearFDD
FDD Item 19 reports $242,854 per unit
Franchisor take · royalty + ad fundFDD
typ 6–8%
typ 3–5%
Operating costs · not in any FDDnot set

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.

Total invested capital · what you put in to openFDD
FDD Item 7: $74K–$122K (midpoint used)
FDD reports $2K–$4K

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.


Store EBITDA · annual
—
EBITDA margin
—
Total invested
$101K
Payback
—
Single-unit 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 point.

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
$243K
Per unit/yr · from the Item 19 franchised-cohort breakdown (no single system-wide average disclosed)
Median gross sales
$201K

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 revenue
Sample size
4 outlets
vs category median 12 · small
Range (low → high)
$132K→$437KCited, not corroborated — printed on page 33 of the 2024 FDD. Nothing else in our record independently restates or re-derives it.
Cohort dispersion (min → max)
Reporting year
2023
Fiscal year the figures cover
Source filing
FDD 2024
Disclosed in the 2024 filing, covering 2023
Transparency
4 / 10
vs category median 4 / 10 · typical
Gross sales rank7th
Item 19 reporting methods vary across brands
Investment cost rank21th
Lower investment ranks lower (better)
Royalty rate rank82th
Lower royalty = lower percentile (better)
Unit count rank28th
vs Pet Services peers
Risk score rank47th
Lower risk = lower percentile (better)

Compared against 69 Pet Services brands

Showing the headline figures — all 129 extracted fields are in the Full FDD Report · $19 →

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 $243K/year in gross sales. Median is $201K — top performers pull the average up, so a typical unit earns less. Revenue-to-investment ratio: 2.5x.

Fee burden

Total ongoing fee load of 11.0% — above the Pet Services median of 8.0%.

Disclosure

Transparency score 4/10 — this franchisor discloses detailed breakdowns (quartiles, segments, or cohort data). Buyers can model unit economics with higher confidence. Sample size of 4 outlets — treat as directional only.

Operator retention

System shrank 20.0% over 3 years. Ask existing franchisees about local market conditions.

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 medians

How Pets Are Inn Compares

Metric
Pets Are Inn
Category median
vs median
Investment
$98K
$327Kmiddle half $123K–$679K · n=66
Below median, better than category
Revenue
$243K
$602Kmiddle half $281K–$925K · n=26
Below median, worse than category
Unit Count
5
18middle half 4–70 · n=66
Below median, worse than category

Category median of published Pet Services brands that report the figure; the middle half spans the 25th to 75th percentile and n counts the brands behind it. Medians are used because a few very large systems pull an average far from the typical brand. Revenue is disclosed gross sales, not profit.

Is the system healthy?

Total units5Verified — printed on page 34 of the 2024 FDD (Item 20), and the table's own arithmetic closes on it two ways.
3-yr growth-20.0% (worth scrutinizing)

Source: FDD 2024 · Item 20

Unit growth

Item 20 · unit dynamics

The Growth Chart

Total units
5
Opened
0
Last reporting year
Closed
0
Turnover rate
N/A
Company-owned
1
Corporate units in the system
% franchised
80%
vs corporate-owned
Net growth (3-yr)
-20.0%
Net unit change over 3 years
3-yr CAGR
-20.0%
Compounded over last 3 years

Last fiscal year · Item 20 exits and transfers

Signed, not yet open
0
0.00 per open outlet · Item 20 Table 5
Projected new
0
Franchisor's next-year forecast
Continuity rate
100.0%
Units that stayed open
Ceased ops
16.7%
Units that stopped operating
2021
5
Franchised units
2022
4-1
Franchised units
2023
4±0
Franchised units

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

Item 12 · 3 states reported

The Territory Map

FDD Item 12 reports the state count, but the specific list isn't in our current data. The map will appear once we re-extract from the FDD or enough franchisee contacts are available.

3

states with franchisees (per FDD Item 12)

SBA loan performance

Government records

SBA Loan Data

Aggregated from SBA 7(a) and 504 loan disclosures, public data unique to FranchiseVerdict.

No SBA loan data available for this brand.

What could kill this investment?

SBA charge-offNot SBA-matched
Verdict score51/100 (higher is better)
Litigation0 cases
Auditor going-concern doubtNo (favorable vs category)

Source: SBA 7(a) FOIA · FDD Items 3, 21

Risk analysis

FranchiseVerdict rating + FDD Items 3, 4, 8, 16, 21

Risk & Legal

BAbove average51Verdict score 51/100
Low confidence±15 pts
3666

Litigation (Item 3)

0 case reference(s): 0 pending, 0 settled.

Bankruptcy (Item 4)

None disclosed

Audited financials (Item 21)

Yes · DJJCPA, LLC

Franchisor revenue (Item 21)

Total: $0.1M

Franchisor entity revenue (not unit-level)

Item 21 attaches only the audited financial statements of the guarantor, Pets Are Inn LLC (a Minnesota LLC), as of February 29, 2024. The franchisor itself is Pets Are Inn, Inc. The guarantor is a newly-formed shell: balance sheet shows total assets $1,000 (cash), total liabilities $0, total owner's equity $1,000 (contributed capital). Statement of income reports $0 income and $0 net income for the year ended Feb 29, 2024. No franchisor (Pets Are Inn, Inc.) standalone statements are included. Figures are in whole US dollars (not thousands).

ⓘ These are the parent company's consolidated financials (the parent guarantees the franchisor), not this brand's standalone results — the figure reflects the whole corporate group, not this brand alone.

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: No

Score breakdown · what drove the 51 / 100 verdict

  1. 01MEDOnly 5 operating units suggests extremely limited franchise system with unclear growth trajectory and viability
  2. 02MEDHigh franchise fee ($65,000) relative to system size and lack of disclosed franchisor profitability raises questions about business model sustainability
  3. 03MEDNo disclosed going concern issues but minimal system size and lack of financial transparency creates elevated risk of franchisor instability

Severity inferred from the FDD text · not a regulatory classification

Showing the headline figures — all 129 extracted fields are in the Full FDD Report · $19 →

What are you signing up for?

Ongoing fees run about 11.0% of sales (royalty + ad fund), before rent and labor.

Initial term10 yrs
Renewal term5 yrs
TerritoryProtected, not exclusive
Initial training27 hrs

Source: FDD 2024 · Items 11, 12, 17

FDD Items 12, 15, 17 · continued from Risk & Legal

Contract & Territory Detail

Initial term10 years
Renewal term5 years
Territory typeProtected territory
Protected territoryYes
Exclusive territoryℹNo
Territory population10,000
Online sales rightsℹGranted
Franchisor can competeYes
Hire a manager?Allowed
Owner-operatorRequired
Non-compete (years)ℹ2 years
Non-compete (miles)ℹ60 mi
Right of first refusalℹNo
Transfer requires consentYes
Termination notice30 days
Curable defaultsℹ5
Mandatory arbitrationNo
Arbitration locationMinneapolis, Minnesota (mediation)
Jury trial waiverNo
Governing lawMN
Litigation count0
View Item 3 litigation summary

0 case reference(s): 0 pending, 0 settled.

Items 10, 11

Training & Operations

Classroom training
24 hrs
On-the-job training
3 hrs
Training location
Minneapolis, Minnesota metropolitan area
Ongoing training
Required
Time to open
1 mo
From signing to launch
Site selection
Franchisee
Franchisor financing
Not offered
Item 10

Items 5 & 11

Franchisor Support

✗Site selection assistance
✗Grand opening support
✗Lease negotiation help

Item 20 · call current owners

Franchisee Contacts

8 owners to call

Name · phone · city · state. Extracted from FDD Item 20

Unlock 8 contacts · $49
Free preview
(952) 473-••••
Unlock all 8 contacts
303.346.••••
(651) 292-••••
(972) 424-••••
720.542.••••

Frequently asked questions

Frequently Asked Questions

How much does it cost to open a Pets Are Inn franchise?

The total investment to open a Pets Are Inn franchise ranges from $74K – $122K, with an initial franchise fee of $65K. This includes real estate, equipment, inventory, and working capital as disclosed in their Franchise Disclosure Document (FDD).

What do Pets Are Inn franchise owners earn?

According to Item 19 of the Pets Are Inn FDD, the average gross sales per unit is $243K. The median is $201K. Note: this is gross revenue, not profit. Actual owner earnings vary based on location, operating costs, and management.

Who owns Pets Are Inn?

Pets Are Inn is franchised by Pets Are Inn, Inc.. Source: FDD Item 1, 2024 filing.

What is Item 19 in the Pets Are Inn 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 Pets Are Inn FDD and qualifies whose outlets they describe.

What is Pets Are Inn's franchise failure rate?

SBA 7(a) loan charge-off data is not available for Pets Are Inn (fewer than 10 loans on file). Charge-off rates are one way to gauge franchise risk, but not all franchise loans go through the SBA program. We recommend reviewing turnover and closure data in the FDD and speaking with current franchisees.

How many Pets Are Inn franchise locations are there?

As of their most recent FDD filing, Pets Are Inn has 5 total units in the United States, including 4 franchised units and 1 company-owned units.

Is Pets Are Inn a good franchise to buy?

FranchiseVerdict rates Pets Are Inn as a B-grade franchise with a verdict score of 51 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?

If you represent Pets Are Inn, you can request corrections or provide updated information.

Other Pet Services franchises

Compare similar franchise opportunities in the Pet Services category

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.