FranchiseVerdict
Pets Are Inn logo
FV-01937·MODERATEExcellent91

Pets Are Inn

Formerly known as Precision Auto Care

Personal Services - Pet CareFranchising since 1993Website
Investment
$74K – $122K
25th pct Pet Care
Avg revenue
$263K
7th pct Pet Care
Royalty
10.0%
70th pct Pet Care
Units
5
30th pct Pet Care
SBA default

Bottom line

  • Total investment $74K – $122K including a $65K franchise fee, 10.0% ongoing royalty.
  • Average unit revenue of $263K/year (median $208K).
  • Rated MODERATE with a risk score of 63/100.

Item 1 · who you're contracting with

The Franchisor

Legal entity
Pets Are Inn, Inc.
Incorporated in
Minnesota
HQ
7831 East Bush Lake Road, Suite 200J, Edina, Minnesota 55439
Auditor
DJJCPA, LLC
Audited financials
Franchisor revenue
$0
Most recent fiscal year

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

Revenue · per unit, per year
$
FDD Item 19 reports $262,695
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: $74K–$122K
Working capital
$
FDD reports $2K–$4K

Unlevered ROIC · per unit

36%

In Yale's "attractive" band (30–60%)

0%30–60% Yale band80%

Store EBITDA · annual
$37K
EBITDA margin
14.0%
Total invested
$101K
Payback
33 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.

Levered LBO scenario · Yale Crease Capital framing

What would 25 Pets Are Inn units return on equity?

Edit assumptions

Equity IRR · 5-yr

49.9%

7.57× MOIC

Year-1 DSCR

1.88×

EBITDA ÷ debt service

Equity required

$368K

on $1.8M purchase

Total debt

$1.5M

SBA $0.9M + senior + seller note

Overview

About

Pets Are Inn franchisees operate pet boarding, daycare, and/or grooming facilities that provide in-home or facility-based care for dogs, cats, and other pets. Day-to-day operations include managing customer relationships, scheduling pet care services, handling animal care/safety protocols, staffing management, and marketing to local pet owners. Franchisees generate revenue through boarding fees, daycare services, grooming, and ancillary pet care services.

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

Item 7 · what it costs

The Vitals

Total investment
$74K – $122K
All-in to open one unit
Liquid capital
$2K – $4K
Cash you must have on hand
Franchise fee
$65K
Royalty
10.0%
Monthly Continuing Fee · typical 6–8%
Ad fund
1.0%
typical 3–5%
Total fee load
11.0%
vs 9–13% typical

Item 19

Financial Performance

Avg gross sales
$263K
Per unit, per year
Median gross sales
$208K
Item 19 type
Gross Revenue
Sample size
5 units
vs category median 12 · small
Range (low → high)
$132K$437K
Cohort dispersion
Transparency
4 / 5
vs category median 4 / 5 · typical
Revenue rank7th
vs Personal Services - Pet Care peers
Investment cost rank25th
Lower investment ranks lower (better)
Royalty rate rank70th
Lower royalty = lower percentile (better)
Unit count rank30th
vs Personal Services - Pet Care peers
Risk score rank57th
Lower risk = lower percentile (better)

Item 20 · unit dynamics

The Growth Chart

Total units
5
Opened
0
Last reporting year
Closed
0
Turnover rate
0.0%
Company-owned
1
Corporate units in the system
% franchised
80%
vs corporate-owned
Net growth (yr3)
+0.0%
Net unit change last year
3-yr CAGR
-20.0%
Compounded over last 3 years
2022
4±0
Franchised units
2023
4
Franchised units
2024
5
Franchised units

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

Item 20 · 6 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 · 6 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

63
Risk · 0-100
MODERATE63 / 100

Pets Are Inn presents caution-level risk due to an extremely small franchise system (5 units), absence of financial performance disclosure, opaque tiered royalty structure, and unproven franchisor viability.

Score breakdown · what drove the 63 / 100 rating

  1. 01MEDOnly 5 operating units suggests extremely limited franchise system with unclear growth trajectory and viability
  2. 02MINORNo Item 19 financial performance disclosure (Average Net Income not provided) prevents validation of profitability claims despite $262,695 average revenue
  3. 03MINORTiered royalty structure (10%/7.5%/5%) appears designed to obscure total royalty burden—franchisee at $262,695 revenue pays ~$9,826 annually (~3.7% effective rate), creating uncertainty around profitability at different revenue levels
  4. 04MEDHigh franchise fee ($65,000) relative to system size and lack of disclosed franchisor profitability raises questions about business model sustainability
  5. 05HIGHNo 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

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

Contract & Territory Detail

Territory
city boundaries or highways
Protected territory
Yes
Initial term
10 years
Renewal term
5 years
Online sales rights
Granted
Franchisor can compete
Yes
Hire a manager?
Allowed
Litigation count
0
Right of first refusal
No
Franchisor can buy back on resale
Mandatory arbitration
No
Non-compete
2 yrs
Post-termination restriction
Owner-operator
Required
Governing law
Minnesota

Item 11

Training & Operations

Classroom training
24 hrs
On-the-job training
3 hrs

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

10 numbers

Locked
(608) 266-••••
WI
(317) 232-••••
IN
(651) 539-••••
MN

One-time purchase · CSV download · Validation questions included

FDD download

Pets Are Inn · FDD (2024) PDF

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