Start a Dog Daycare Business from Scratch

Did you think of making your love of dogs into a business? If you love being with your pet and want to earn money doing something you enjoy, starting a dog daycare may be the perfect option. This guide will show you how to start your own dog daycare business from scratch, even if you have little experience or money. In 2025, the pet owners of the USA will spend upwards of $150 billion on their pets, which shows how much the market for pet care is booming. This guide will walk you through the necessary steps to create a successful dog daycare business, from planning and budgeting to licensing and revenue generation. It will also teach you how to manage your daycare throughout the day and utilize tools to make your business grow more efficiently and effectively.

What is the Dog Daycare Business?

The dog daycare business is a professional service where pet owners leave their dogs under supervision for several hours during the day, typically while the owners are at work. Unlike a traditional kennel, the focus is on providing a safe, interactive environment that includes supervised group play, rest periods, and personalized attention to keep the dogs socially engaged and physically active. This service gives pet parents peace of mind, knowing their dog is receiving quality care and preventing boredom and destructive behaviors that can happen when a dog is left alone for long periods.

Why Start a Dog Daycare Business?

Many ask, “Is dog daycare a good business?” The answer is yes, particularly in 2025, when more families work outside the home or on the road and require secure, enjoyable places to leave their pets during the day. Dogs are part of a family, and pet owners need the best care. That’s where you can help. A well-run dog daycare company is a fantastic way to earn steady revenue. You can earn between $60,000 and $160,000 annually, depending on the number of dogs you care for and your location. Some owners who increase their capacity or offer additional services, such as grooming or boarding, earn more. Beyond that, you will also enjoy your time with dogs and help them remain engaged, social, and loved even when their owners are absent.

Step-by-Step Daycare Business Road Map

Now that you understand the opportunity and the fundamental requirements of this rewarding industry, it is time to move into the actionable plan. The following steps will guide you methodically through the launch process, ensuring you cover every legal, financial, and logistical detail required to open a professional and profitable dog daycare business by 2025.

Step 1 – Build Your Dog Daycare Business Plan

Before starting any project, you must have a business plan for your dog daycare. The plan will help you determine what your daycare will be like, the number of dogs you will care for, the cost, and the services you will provide. Numerous pet daycare businesses online have plans, templates, and examples that can help you. A solid plan should include your objectives, budget, and vision. Additionally, consider your dog daycare’s business model.

Can you run a daycare from your home, lease a space, or provide pet care on the move? Do you offer basic daycare services or add additional features such as training, baths, or overnight stays? A well-planned plan can help you make informed decisions to avoid problems and prove to investors or banks that you’re serious about your venture. If you plan to start an animal daycare business from your home or establish it in a commercial location, your business plan is the foundation.

Step 2 – Know the Costs of Starting Up

The cost of starting a dog daycare company is crucial. The price in 2025 may vary depending on location, daycare size, and whether the daycare is operated from home or in a building. If you plan to start your dog daycare at your home, you could spend between $2,000 and $10,000 to prepare your premises. It could include cleaning materials, fencing, toys, and safety equipment. If you lease or purchase an office space, your costs can be as high as $50,000 or more, including rent, renovations, and other professional expenses. If you hire assistance, you must also plan for insurance, advertising, pet food, licensing, and personnel. Setting aside extra for unexpected costs, such as repairs or medical emergencies, is a good idea. The planning will ease anxiety and help you prepare for any eventuality as your business expands.

Step 3 – Get Licensed and Insured

You must obtain the appropriate documents to operate the daycare legally and securely. It means obtaining an in-home business license to run a dog daycare, if you operate at home, or a general permit to operate a business in commercial buildings. The rules can vary by city or state, so it’s essential to check with your local government offices before making any decisions. Many areas require a zone check to ensure the property is suitable for use as a pet daycare. Alongside permits, carrying insurance for your business’s dog daycare is crucial. Insurance covers you if your dog becomes injured, sick, or causes property damage. A good insurance policy can cost between $400 and $ 1,200 per year, providing you with peace of mind and demonstrating to customers that you are a professional they can be confident in.

Step 4 – Choose the Right Location

Finding the right place to set up is among the most crucial aspects of starting a dog daycare business. If you are operating from home, ensure that your space is neat, quiet, and spacious enough for your dog to play and relax in a safe environment. A well-kept yard with a fence and easy-to-clean flooring is ideal for. When renting out a building, choose a location that is easily accessible for visitors, has adequate parking, and is spacious enough for dogs of different sizes to roam freely. Avoid noisy or crowded areas that frighten pets or make it difficult for owners to take them away. A well-lit area helps your business stand out and makes clients feel more secure leaving their pets with you.

Step 5 – Set Up Your Facility

Setting up your dog’s daycare is about creating an environment where dogs feel secure, enjoy themselves, and receive the required attention. In the home or an independent building, your daycare must include safe areas for play, rest, eating, and taking toilet breaks. It is also wise to keep small and big dogs separated during playtime. Dogs require supervision, so ensure that someone always watches them when they play. Your home should be tidy and fresh, including plenty of toys, clean water, and comfy places where dogs can nap. They might require beds or crates to sleep peacefully if they stay longer. A tidy and well-organized space simplifies your work and allows you to earn the confidence of dog owners.

Step 6 – Run Daily Operations Efficiently

To run a successful dog daycare business, it is essential to establish a daily routine that keeps your dogs safe and happy. The dogs should be inspected in and out according to the exact timetable. During the daytime, they should be allowed time to play, nap, have snacks, and have meals. Keep track of your pet’s health, eating habits, behavior, and feeding schedule. It helps determine if something is wrong and makes owners aware that you are concerned for their pets. Cleaning is a significant element of your daily routine. Toys, water bowls, and sleeping areas must be kept clean to prevent the growth of bacteria. If your dog is injured or sick and needs to be contacted by the owner promptly, establish a strategy to handle emergencies. A well-run daycare helps increase the number of clients who return repeatedly because they appreciate the care you provide for their dogs.

Step 7 – Track Income and Manage Profit

The new owners’ most frequent question is, “How much does a dog daycare business make?” In 2025, the earnings can be lucrative. If you care for 10 dogs per day and charge $30 daily, you could earn $300 per day, or $6,000 per month, if working for 20 days. That’s around $72,000 annually, and you could make more when you expand or introduce new services. Profits from dog daycare businesses depend on the cost you charge, the number of dogs you allow to stay, and how you manage your finances. Keep track of the money you make and how much you spend. So, you can determine how much money you are spending and discover ways to increase your profits. An experienced business owner knows their numbers and helps keep the company strong through sensible decisions.

Step 8 – Use Software to Automate Your Business

To aid in the growth of your business and remain well-organized, you can use software designed specifically for the dog daycare business. These software programs enable you to track appointments, send reminders to pet owners, collect payments, and maintain health records for each pet. A few of the most popular choices include PawLoyalty, ProPet, and Gingr, which are perfect for both large and small companies. Dog daycare automation streamlines the process, enhances your business’s efficiency, and gives it a more professional appearance. You will never forget to book appointments or lose documents, and your clients will appreciate how well everything is. Even if you are starting to use Dog Daycare Management Software early, it can allow you to grow quickly and minimize errors.

Step 9 – Marketing and Attracting Your First Customers

Once your facility is ready, you need a brilliant plan to fill those play yards! Your goal is not only to find dog owners but to find the right kind of client who will trust you completely.

A successful business needs a solid identity. Determine what sets your service apart in your area. Will you be the cozy spot specializing in small, gentle dogs, or the high-energy destination for big breeds? This Unique Selling Proposition (USP) is what you must communicate in your name, logo, and every advertisement you create.

The dog daycare business thrives on local trust, so you must be visible where pet owners already spend time. Start by claiming your Google Business Profile (GBP). This is how you appear on Google Maps when locals search for “dog daycare near me.” Ensure you upload high-quality, appealing photos of your clean facility and happy dogs promptly.

Word-of-mouth is your most powerful marketing tool. Encourage your first satisfied clients to refer friends by offering them a tangible incentive, such as a referral discount on their next week of service. Additionally, build partnerships by visiting local veterinarians and groomers, leaving professional flyers, and offering their staff a discount. These professionals are your best source of qualified, trustworthy clients.

Your digital presence should showcase the joy of your business. Use social media platforms like Instagram and Facebook to share daily “Pup-date” photos and videos. Owners want to see their pet having fun while they are at work. Also, create a simple, mobile-friendly website that clearly lists your pricing, operational hours, and, most importantly, the necessary vaccination requirements. After a few successful visits, politely ask owners to leave a positive review on your GBP; these reviews are the gold standard for winning new business.

Step 10 – Hiring and Training Staff (Scaling Your Business)

At some point, you will need help to grow past a small handful of dogs. Bringing on staff is a critical change that requires structure, as they will become the face and the safety net of your business. Do not wait until you are completely burned out to seek help. The right time to hire is when you can no longer provide excellent, focused care for all the dogs and manage all the administrative tasks simultaneously. A good benchmark is consistently reaching your capacity for 10-15 dogs.

While a passion for animals is the starting point, a good dog daycare team member needs specific skills beyond just loving dogs. Staff must possess great patience and observation skills to constantly read canine body language and prevent conflicts before they start. The job is physically demanding, requiring cleaning, lifting, and standing on one’s feet all day, so look for individuals with strong physical stamina. Finally, Daycare Staff require polite and professional customer service skills to ensure clear communication with clients.

To vet candidates thoroughly, look past the standard interview. Conduct a paid “working interview” where the candidate shadows you for a few hours. This paid Interview allows candidates to fully experience the reality of the noise, the mess, and the constant attention required, ensuring they understand the demanding nature of the role before they accept the job.

Step	Key Focus	Summary
Step 1	Create a Business Plan	Develop a comprehensive plan that outlines your objectives, services, expenses, and business strategy. A clear roadmap helps attract investors and guides your decisions.
Step 2	Understand Startup Costs	Budget carefully for equipment, location, and permits. Home-based setups may cost $2,000–$10,000, while commercial spaces can exceed $50,000.
Step 3	Get Licensed & Insured	Obtain the necessary permits and insurance. Expect to spend $400–$1,200 per year for coverage that protects your business and its clients.
Step 4	Pick the Perfect Location	Choose a safe, accessible, and pet-friendly environment. Whether at home or leased, prioritize cleanliness, safety, and comfort.
Step 5	Set Up the Facility	Design areas for play, rest, meals, and bathroom breaks. Keep spaces clean, organized, and separated for different dog sizes.
Step 6	Run Daily Operations	Establish a daily routine with structured playtime, feeding, cleaning, and health checks to ensure safety and customer satisfaction.
Step 7	Track Finances & Profit	Monitor income, expenses, and growth opportunities to optimize financial performance. A 10-dog daycare can earn around $72,000 yearly with intelligent management.
Step 8	Use Daycare Software	Adopt tools like PawLoyalty or Gingr to automate bookings, payments, and records. This boosts efficiency and professionalism.
Step 9	Market Your Business	Build a strong brand and local presence. Use Google Business Profile, social media, and referrals to attract loyal customers.
Step 10	Hire & Train Staff	Expand wisely by hiring skilled, caring staff. Provide training to ensure quality care, safety, and excellent customer communication.

Final Tips to Build a Thriving Dog Daycare

Starting a business in dog daycare is both enjoyable and challenging, requiring dedication and hard work. The critical aspects are keeping your dogs safe, building trust with pet parents, and adhering to all local regulations. Ensure that every dog joining your daycare is safe, friendly, and up to date on vaccinations. Speak to pet owners about their pet’s specific requirements and allow them to visit your facility before signing the contract. If you do a great job, they will refer their family and friends to you, which will help you expand your business. You can share pictures and videos via social media to showcase happy dogs enjoying themselves in your daycare. Soon, you will be recognized as the city’s premier location for caring for pets.

Conclusion:

Now you know how to start your own dog daycare business from scratch. With a solid strategy, the right space, licenses, and innovative equipment, you could create something truly amazing by 2025. It doesn’t matter if you’re building a dog-friendly business in your home or opening an animal daycare in a massive facility. All that matters is that you are passionate about dogs, value security, and are committed to being your best. If you work hard and with determination, you can create a business that brings joy to your pets and peace of mind to their owners, while also generating a profit for you.

How to Start a Successful Dog Daycare Business from Zero

What is the Dog Daycare Business?

Why Start a Dog Daycare Business?

Step-by-Step Daycare Business Road Map