Starting a kennel business.

spadoosh

Good morning everyone, after some advice regarding starting a boarding kennel business.

Its something me and the good lady have been quite keen on for a few years but its always been a long term goal. I think we're getting to a stage where its something that might be feasible within the next 5 years. The largest hurdle is going to be the property, with the idea being to have a detached property that could accommodate or have existing kennels/outbuildings and a fair amount of field space.

The current situation is both working, have property with a fairly conservative £35000 equity in, mortgage affordability is around the £240,000 mark. I believe we would be pushing it taking the buy a business outright route as they can cost anything up from £300k (quite small scale). I think the more afforadable way would be to go the property route without kennels and then get them built and permits once bought, however that could also be the most stressful and expensive way.

Basically after any advice you can offer regarding start up kennels or buying a kennel business with particular interest in the property side of things. The actual business side of things isnt so much a concern right now but the financing stage is, with me having little understanding of how decisions are made based on what figures you provide (current earnings will be initially higher than earnings when the business starts etc.) What would a decision maker use to calculate our affordability?

Think we have the skill set and passion to make a good business from a kennel. Im a bookkeeper and the boss is a retail manager, both had a fair amount of business education so not completely blind but struggle to find comprehensive guides or information.

Try not to be too brutal is your going to smash our hopes!

Thanks for taking the time to read.

pathtofreedom

I use a kennels for both day and over nights so know the people that run the one I use quite well.

I guess it depends how many kennels you're thinking of having, how many staff both perm and seasonal, and how much you're looking to charge really. With changes with pension enrolment and minimum wage changes coming in the next few years, it is an expensive business so you'd need a solid business plan if this isn't just going to be a hobby. You'd be pricing yourselves again dog walkers, or home stay kennels which might be able to do cheaper rates than yourselves as they won't have the same sort of staff / heating / insurance overheads as yourselves.

Kennels is a very seasonal business too. You will need as many as possible so you don't have to turn lots of people away at peak times, but possibly try and section them off so in quieter times in term time you can close a section down if needed so you're not heating that whole block.

You might be able to bid for the contract for the local council as well for the dog warden, but you'd need to think how that would work so you don't run out of room for regulars or busy times.

Other things like depending where you're based, could you do a drop off / collection service, if you are in a place that is good for commuting to london, if you could do that it would make it easier for people who can't drop off / pick up between 8am-6pm but running that means more of your time and extra costs for a van, insurance etc etc.

You can look at teaming up with a local groomer too a couple of days a week if you have room to build a place for this to be done. I find this very helpful that I can just drop my dog off on days I'm in the office, and pick her up with a groom done after work so I don't have to find more time out of my weekends or whatever to arrange that.

It will be a lot more work I think than you'd imagine, with a lot of hours every day, people messing you about not turning up, so having a very clear cancellation policy is important as you'll still have to pay any extra staff you've put on for that time if half the people don't show.

Being a kennels where people don't have to book a time just to come have a look is a big bonus as well, as if you can only view by appointment, it looks a bit dodgy I think, as they could panic tidy beforehand. There will always be some poo / wee in a kennel somewhere as soon as you jet wash the place a dog will make a mess, but at least if you can go any time to look it feels more honest reflection of the place.

You could do a test stay at a discount as well, for dogs that aren't used to kennels, so just 1-2 nights, before a longer stay, so it isn't so stressful for the dog.

You'll need to decide your policy on kennel cough vaccinations too, some places don't require it, some do, but if they do it means you might have to turn people down if they don't have it done far enough in advance of the stay.

pathtofreedom

Oh I am looking for a new kennels as I'm moving areas soon, it is annoying as the one I'm with now is so good. I did view one recently though that had a portacabin with a couch and tv as well as normal style kennels, just so they could do a version of home stay as well as just normal kennels. So I guess it depends if where you're buying there is room to have a section in the house to offer that to people, or to have a portababin type thing with a more homely setup as well onsite. That would cost more in wear and tear etc though I'd think to maintain it so it still looked nice.

Where I go they normally over book in the summer, but as they are so flexible with me, and my work schedaul can change without warning, if they are over booked they just keep her in their office for the day with them. They also have a day kennel section they use for day dogs in the summer, but it depends what sort of customers your likely to get I guess. If it is too far out of town it will be too far for day customers to get to you and then to work in time, unless you have longer hours or collection / drop off.

missbiggles1

Would one of you be able to carry on working after you open your business until you've built up a reputation and regular trade?

If/when you're both working in it, I wouldn't worry too much about employing staff, all the kennels I've ever used were run just by a couple on their own.

pathtofreedom

missbiggles1 wrote: »

Would one of you be able to carry on working after you open your business until you've built up a reputation and regular trade?

If/when you're both working in it, I wouldn't worry too much about employing staff, all the kennels I've ever used were run just by a couple on their own.

The one I use has 30 odd kennels, 10 day/ summer kennels, a padock, a cattery and an area for hamsters and things, they have the owners who run it, one perm guy, a couple of work experience people at the moment helping with dog walking, and normally a couple of people in over peak times.

spadoosh

What we're thinking is the fiancee does an animal grooming course when she goes off on maternity. Over the next few years build up a bit of a customer base as this could easily be done where we are whilst still earning a bit of a regular wage.

Once we feel comfortable enough that we could make the business a success look at moving property to somewhere that has the space and capacity to hold enough kennels to support at least 1 full time wage (thatll be inline with covering any mortgage costs), I would continue to work regularly whilst the business grows and eventually getting to a stage where we would both be working full time at the kennels.

Got a few ideas to try and help us stand out and where we currently are i wouldnt say over saturated with kennels but hard to be sure when you dont know occupancy rates.

With regards to staff we'd only really be looking towards a few walkers and probably look at those self employed to avoid unneccessary costs but that would depends on the needs as and when.

I spent too long studying business and accounts and its my job so can handle the financial running side of things also been heavily involved with the family business for 10 years handling all things finance. Just no idea on the process for financing a business thats your home too or the complications it will cause when trying to prove affordability. Anyone can write a business plane that says theyll be millionaires next year rodney but i can imagine convincing the bank will be more difficult.

Not really about money, this is us trying to find something we would enjoy doing that gives us plenty of time together and means we can earn enough so we wouldnt have to work for another company.

missbiggles1

pathtofreedom wrote: »

The one I use has 30 odd kennels, 10 day/ summer kennels, a padock, a cattery and an area for hamsters and things, they have the owners who run it, one perm guy, a couple of work experience people at the moment helping with dog walking, and normally a couple of people in over peak times.

My current kennels has the capacity to take 20 dogs (about half in double kennels) and around the same number of cats - the couple run it between them, as well as caring for a young family.

For someone who's never run a kennels before, it might be better to run a more manageable size operation and avoid the hassle of employing staff.

Feral_Moon

You will also need to apply to your local council for a Boarding Licence. Each council has its own criteria which you must follow to the letter so worth doing your research before even thinking of constructing anything to ensure everything complies to regulations.

More info about licences in your particular area here: https://www.gov.uk/animal-boarding-establishment-licence

elsien

It's a lot of work for one person. My regular kennels is just about making a living but that's because they already had some land so didn't have to take out a large mortage.
According to the owner, he found it hard to find regular reliable staff on minimum wage which is all he could afford to pay. So he stopped walking the dogs because this was very labour intensive and built a communal area for the dogs to play and exercise in. This probably lost him some trade as one of the reasons I went there in the first place was because the dogs had two walks a day. However there are some dogs like mine which can't be in with other dogs so need time to exercise separately. Plus the cleaning, feeding, daily washing of bedding and baths/grooming for those that want it also takes up a lot of time.
What will you do for reliable cover for holidays (bank holidays being the busiest time), days off, the main person being unwell?
My kennels now offer day care ( I say day care, it's not individual quality time, it's the dog kept safe and dry while I'm at work, that's all) and do a discount if they're there all week. I think that's more profitable and less work than the boarding side of things as a rule.
Not trying to put you off, but it's not necessarily an easy choice.

Ozzuk

I had a property a few years ago that had permission for kennels but I never made use of it. That is a key point though - if you are intending on buying a property and then building kennels then that is a real gamble.

You'll need to make a planning application for change of use and you can bet your neighbours (if any) will object.

You'll also need a license, plus awareness of the insurances requires, business rates, waste disposal etc...

Some useful info here:

http://www.pet-owners.co.uk/Expert-Advice/Money-Matters/Setting-Up-A-Cattery-Or-Boarding-Kennel.aspx

spadoosh

Ozzuk wrote: »

I had a property a few years ago that had permission for kennels but I never made use of it. That is a key point though - if you are intending on buying a property and then building kennels then that is a real gamble.

You'll need to make a planning application for change of use and you can bet your neighbours (if any) will object.

You'll also need a license, plus awareness of the insurances requires, business rates, waste disposal etc...

Some useful info here:

http://www.pet-owners.co.uk/Expert-Advice/Money-Matters/Setting-Up-A-Cattery-Or-Boarding-Kennel.aspx

From my understanding its the people that get permission and not the property naturally you need a suitable property (and all the requirements seem to be based on common sense and hygiene). Do understand its a gamble though, but the alternative is buying an existing business which tends to make it out of reach. If we just buy a house we can afford that has enough potential to become a kennels theres less risk than buying a business that we couldn't afford. Size is the things looked at with neigbours. A 50 dog kennel is always going to cause some issue no matter where it goes but you get inner city kennels that are only allowed to house 2-3 dogs. Not going to be put off by a neighbour ive not met yet for a property ive not bought yet.

Need to look at the waste licence things a bit more because everything ive seen pretty much says you have to go the waste management route but think a poo powered bio digester would be a much better way of handling it. Poo powered kennels!


ETA we actually saw a property that had keenels built a couple of years ago that was well within budget but it was sold as a home not a going concern because like you they hadnt been practicing as a kennel, they just happened to have kennels. Thatd be ok but in all likelihood we'd be looking at building new kennels to make sure they are compliant and up to date.