Quick Verdict · who it fits
Hounds Mounds, Inc. fits owner-operators looking for a mid-scale pet services concept.
The numbers a buyer needs first — straight from the filing.
Initial investment (Item 7)
$4K - $26K
Royalty (Item 6)
25% + 1% ad
System size (Item 20)
254 +67
Agreement term
5 yrs
Company-owned units
14
Item 3 litigation
3 suits
Buyer qualifications
✓Exclusive territory•Owner-operator required✓No bankruptcy disclosed•3 Item 3 cases
Data extracted from the 2025 FDD filed with state regulators. Fees and terms may have changed since filing — request the current FDD from the franchisor before deciding. Not legal, financial, or investment advice. Full disclaimer.
Drag to your projected annual sales. Royalty 25% + ad fund 1% on gross sales.
PROJECTED ANNUAL SALES$500,000
$100k$2M
Royalty (25%)
—
Ad fund (1%)
—
Total / year
—
▪ Of-sales fees only · excludes rent, labor, COGS, and one-time costs · for illustration
Free AI summary — the first read on the filing.
268
Total units open
67 franchised units, 0 company-owned units
Units opened last year
5 franchised units ceased operations
Units closed last year
59 units
Net unit growth
as of December 31, 2024
What our analysis flagged across the 2025 filing.
5
Risks to review
4
Strengths identified
5
Questions to ask
How Hounds Mounds ranks against 48 Pet Services peers we've analyzed.
Initial investment
0th pct · of 48 peers
Franchise fee
0th pct · of 48 peers
System size
91st pct · of 48 peers
Pet Services industry averages
Avg investment
$300K - $645K
Avg franchise fee
$46K
Avg system size
82
Franchises analyzed
48
Closest concepts by category and investment.
| Brand | Item 19 | Fee | Investment | Royalty | Units |
|---|---|---|---|---|---|
| Hounds Mounds | None | — | $4K - $26K | 25% | 254 |
| FairytailSimilar price | Disclosed | $13K | $23K - $44K | 9% | 5 |
| PspBiggest system | Disclosed | $50K | $541K - $2.0M | 2–3% | 735 |
| PetlandTop-rated in category | Disclosed | $50K | $316K - $1.1M | 2.25–4.5% | 69 |
Free explainers to go deeper before you sign.
Hounds Mounds, Inc. requires a $0 initial franchise fee and a total initial investment range of $3,620–$25,970, per the most recent FDD on file.
No. Hounds Mounds, Inc. does not include a financial performance representation in its FDD. Prospective buyers should rely on validation calls with existing franchisees and benchmark against industry medians.
Franchisees pay a royalty of 25% and an advertising fund contribution of 1% on gross sales as defined in Item 6 of the FDD.
As of their 2025 FDD, Hounds Mounds, Inc. has 254 total locations, with 67 new locations opened in the most recent reporting year. This information comes from Item 20 of the FDD.
Yes. Hounds Mounds, Inc. grants franchisees an exclusive territory under Item 12 of the FDD. Note that exclusive territories often carve out online sales, alternative distribution channels, and non-traditional venues — review the full Item 12 language before signing.
Per the FDD, Hounds Mounds, Inc. discloses an initial agreement term of 5 years, a renewal fee of $5,000, a transfer fee of $3,000. Review Items 10 and 17 for the full renewal and termination provisions.
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