Franchising Since: 2003
Headquarters: Livonia, Michigan
Estimated Number of Units: 135
Franchise Description: Fetch! Pet Care, Inc. is the franchisor. The franchise is for the operation of a franchise in a specified territory providing professional care to client’s pets and homes. Franchises feature the daily care of client’s pets in and around their own familiar environment while their owners are away. In addition, franchises offer care of a client’s home while they are away or unable to attend them, which includes bringing in the mail and newspaper, watering the plants, rotating the blinds, and adjusting the lights, to give the home a lived-in look.
Training Overview: Prior to attending in-person training, franchisees must complete an on-line module, which includes preparation of a business plan, marketing plan, cash-flow analysis and other information for the opening and operation of the franchise. It typically takes between 35-45 hours to complete. After completion of the online module to the franchisor’s satisfaction, franchisees then must attend and complete to the franchisor’s satisfaction the training program which generally consists of two to four (as determined by the franchisor in its discretion) full days of training near the franchisor’s franchise support center located in Michigan and two to three evenings of web-based training. Franchisees must attend training in person. The franchisor would prefer that franchisees have one other person trained by the franchisor to assist them or handle their franchise in case they are not able to do so. Most franchisees invite a family member to training, so that another person is trained in the operation of the franchise, even if not directly involved in the operation of the franchise. Currently, refresher training is typically offered quarterly pending class availability. Currently, refresher training is not required. In its discretion, the franchisor may hold Franchisee Owner Summits, which may include some training.
Territory Granted: Franchisees will receive the right to establish and operate the franchise at an approved office location within a “target area.” The approved office location is typically the franchisee’s home. A target area is a geographic area that includes approximately 50,000 targeted households and is defined by ZIP code. The target area is an exclusive territory in which the franchisor will not operate or grant franchises for another Fetch! Pet Care franchise under the franchisor’s system or proprietary marks without the franchisee’s prior written consent.
Obligations and Restrictions: Franchisees must commit to working in their business for at least 20 hours per week. Franchisees must directly supervise the franchise, which includes the devotion of their energy and best efforts to the management and operation of the franchise. Franchisees may hire an assistant, such as a general manager. Franchisees do not have to obtain the franchisor’s prior approval of any assistant, but the management personnel must meet its qualifications and have completed the training program before participating in the management of the franchise. The franchisor requires franchisees to offer and sell only those goods and services that it has approved as meeting its standards and specifications. Franchisees must receive the franchisor’s approval before selling any non-Fetch! goods or services under any proprietary mark or to Fetch! clients.
Term of Agreement and Renewal: The length of the initial franchise term is 10 years from the date of the Franchise Agreement. Franchisees may renew for successive 10-year terms if requirements are met.
Financial Assistance: The franchisor does not currently offer direct or indirect financing. The franchisor does not guarantee a franchisee’s note, lease or obligation.
Investment Tables:
| Name of Fee | Low | High |
|---|---|---|
| Franchise Fee | $62,500 | $62,500 |
| Travel and Living Expenses while Training | $600 | $2,000 |
| Real Estate | Varies | |
| Equipment | $500 | $2,000 |
| Advertising/Marketing | $8,500 | $9,000 |
| Supplies | $367 | $1,000 |
| Insurance | $600 | $1,000 |
| Certification Costs | $50 | $500 |
| Other Prepaid Expenses | $450 | $667 |
| Additional funds – [initial three month period] | $15,000 | $25,000 |
| ESTIMATED TOTAL | $88,567 | $103,667 |
| Type of Fee | Amount |
|---|---|
| Royalty | 7% of weekly gross sales for the preceding week or a minimum payment, whichever is greater. |
| Franchisee Operations Fee | If the gross sales for the preceding week are $1,923 or less, a franchisee operations fee of 15% of gross sales, or the minimum, whichever is higher, will be owed weekly. |
| Local Territory Marketing Expenditures | $3,800 per month for the first target area. If franchisee has additional target areas, an additional $1,000 per month for the 2nd target area, and an additional $500 per month for each additional target area. |
| Additional Training | $500 per session. |
| Franchise Owner Summit Attendance Fee | Up to $500 per attendee. |
| Transfers | For each target area included in the transfer, 25% of the full, undiscounted then-current franchise fee will be charged per target area. |
| Audits | Amounts owing plus interest at prime (as stated in the Wall St. Journal) plus 3% per year plus the cost of the audit in some circumstances. The range of costs for the audit is from $1,500 to $4,500. |
| Renewal Fees | For each target area included in the renewal, 25% of the full, undiscounted then-current franchise fee charged per target area. |
| Purchase of Additional Target Area | One - $62,500 Two - $100,000 Three - $135,000 Four - $165,000 Five - $185,000 Each target area after the fourth, purchased at the same time, may be obtained for an additional franchise fee of $20,000. |
| Indemnification | Franchisees will indemnify the franchisor from all claims arising from the franchisee’s operations, including all costs and attorney’s fees if they breach the franchise agreement. |
| Approval of Supplier Fee | Reasonable cost of inspection of, and actual cost of testing of, a supplier requested by the franchisee. |
| Late Royalty Payment Fees | $25 plus interest of 1.5% per month plus (if charged to franchisee’s credit card) a credit card processing fee of 3%. |
| Attorney’s Fee and Other Costs | Franchisees are required to pay court costs and attorney’s fees incurred by the franchisor to protect its confidential information, to obtain injunctive relief to enforce post termination provisions, to enforce non-competition covenants and in respect to indemnification claims. |
| Credit Card Processing Fee | 3% of total amount debited. |
| Insurance Reimbursement | Amount of expense plus reasonable fee (not yet determined). |
| Lost Brand Standards Manual Fee | As set by the franchisor periodically. Currently: $500. |
| Encroachment Fee | Up to 100% of any revenue generated from one client, and up to 300% of revenue generated from more than one client, from another franchisee’s target area. |
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