Buying a Kennel | Dog Daycares for Sale | Pet Boarding Kennels for Sale

Buyers:

You dream about it: Owning your own pet care facility, providing nurturing care and excellent customer service. You understand that it is less risky to buy an existing facility with a strong track record than starting your own. You still have lots of questions and we can answer all of them. We can educate you about the incredible pet care industry if you are new to it, or we can ‘talk shop’ if you are a veteran dog person.

We provide the following services to buyers:

Assistance in purchasing a facility listed with us

If you are interested in pursuing an animal care facility that is currently listed with us, we are here to help you through the entire process. Buyer services are at no cost to you when you purchase a business listed through us. We will provide the following services to you:

· Providing facility information in the form of a written presentation packet, a movie of the facility (in most cases) and financial information in an easy to understand format

· Assistance in analyzing the financial information and explaining accounting methods

· Assistance in analyzing whether the particular business fits your financial needs

· Assistance in obtaining financing from a lender who is familiar with animal care facilities.

· Assistance in completing loan applications, including SBA application packets

· Preparation of Purchase and Sale Agreements for attorney review

· Assistance with the Due Diligence phase

· Assistance in resolving any issues that might come up during the transaction

· Assistance in structuring a smooth transition between the owners to minimize impact on clients and staff

· Industry expert advice for any questions and concerns that you might have

Buyer’s Agent representation if you are reviewing
a facility not listed with us

We can represent you if you are interested in a facility listed by another agent or an owner (FSBO). Our services include:

· Business valuation for Fair Market Value

· Assistance in analyzing the financial information and explaining accounting methods

· Assistance in analyzing whether the particular business fits your financial needs

· Assistance in obtaining financing from a lender who is familiar with animal care facilities.

· Assistance in completing loan applications, including SBA application packets

· Preparation of Purchase and Sale Agreements for attorney review

· Assistance with the Due Diligence phase

· Assistance in resolving any issues that might come up during the transaction

· Assistance in structuring a smooth transition between the owners to minimize impact on clients and staff

· Industry expert advice for any questions and concerns either side might have

Intermediary between Buyer and Seller

Sometimes the buyer and seller already know each other, or the business might be transferring from the owner to an employee, client, etc. In these cases we can serve as intermediaries and consultants to facilitate the selling process. Our services include:

· Business valuation for Fair Market Value.

· Facilitating negotiations between the parties.

· Assistance in obtaining financing from a lender who is familiar with animal care facilities.

· Assistance in completing loan applications, including SBA application packets.

· Preparation of Purchase and Sale Agreements for attorney review.

· Assistance with the Due Diligence phase.

· Assistance in resolving any issues that might come up during the transaction.

· Assistance in structuring a smooth transition between the owners to minimize impact on clients and staff.

Business valuation

You are interested in a facility but are concerned whether the asking price is justified. We can prepare a written appraisal of the business for Fair Market Value that you can use to either support your offer or make a decision whether to pursue a particular business. Click here for information on our appraisal services.

FAQs for Buyers:

I’m not sure if I want to buy an existing facility, or start my own?

Buying an existing animal care facility with a strong track record is far less risky than starting your own. When you buy an existing business, not only do you get an instant paycheck, but you gain immediate client base, goodwill, staff, equipment, zoning and licenses in place, etc. No struggling for a few years, no entering a saturated market, no fighting for zoning and building permits. Another important reason for buying an existing business is the availability of financing.

What should I look for when reviewing a business for sale?

You should review the financials very carefully and ask the seller (or broker) to justify the asking price. If you are not comfortable reviewing financial statements, or do not know what’s typical for this industry, have a professional do the valuation for you. The financial analysis is the most important aspect when purchasing an animal care facility; does the business generate enough revenue to provide a decent salary after all expenses have been paid (including the mortgage), have revenues been growing steadily, are the expenses aligned with industry averages, etc. Other issues to consider are: does the philosophy of the business match yours? Is there room for improvement / growth in the business? How well trained is the staff? How important is the seller to the business; will the business survive a transition of ownership? Is the location in full compliance with zoning and licensing requirements? Why has the owner decided to sell? Will the owner sign a Non Competition Agreement? Is financing available for the purchase?

How hard is it to finance an animal care facility?

There are lenders who are eager to finance animal care facilities. To qualify for financing, both the business and the buyer are analyzed. The business has to generate enough income to cover debt service (after owner compensation), the buyer has to be credit worthy and have relevant experience (business, management, pet industry, etc.) If the business is strong, and the buyer meets the qualifications, a purchase can easily be financed. We have established relationships with several lenders and will assist a buyer through the loan application process.

Why do you require a Non Disclosure Agreement and a Buyer Profile before I can get details on any of your listings?

Confidentiality is a major concern for most sellers. They do not want news about an impending sale to affect their staff, clients or community. It is also in the buyer’s best interest that rumors are not flying prior to them purchasing a facility. Additionally, this industry attracts a lot of ‘tire kickers’ with no intentions or abilities to buy a facility. Our agreement with the sellers requires us to weed out the ‘shoppers’ and only work with legitimate buyers. We also know how much money it takes to get into one our listings and need to make sure that a prospective buyer has the financial resources to purchase the facility they are inquiring about. We have found that serious buyers appreciate our professional approach to the process.

Is this a good time to buy a facility?

Yes! The pet industry is growing strong and most animal care facilities have not been adversely affected by the downturn in economy. Financing guidelines have tightened a bit, but a good business and a good buyer will still find financing without any problems.