Franchise Fee Breakdown

Initial Franchise Fee (Item 5)

FDD Item 5

Franchise Fee

$0

Paid at signing, before opening

Industry Average

$95K

Pet Services sector avg (47 franchises)

Fee Percentile

0th

Below-average fee vs. peers

0

Ongoing Royalty & Advertising Fees (Item 6)

FDD Item 6

Royalty Rate

25% of Gross Revenues

Paid on gross sales, ongoing

Ad Fund / Marketing Fee

up to 1% of Gross Revenues (not currently charged)

Contributed to brand advertising fund

Combined Ongoing Fee Impact

On a hypothetical $500,000 annual revenue unit, a franchisee would pay approximately royalties plus ad fund contributions each year, in addition to the initial franchise fee. These are separate from other operating costs and the initial investment.

Renewal Fee (Item 10)

FDD Item 10

Renewal Fee

$5K

Paid at end of each 5-year agreement term

Agreement Term

5 years

Initial franchise agreement length

Transfer Fee (Item 17)

FDD Item 17

Transfer Fee

$3K

Charged when selling or transferring your franchise to a new owner

A transfer fee of $3K applies when you sell your Hounds Mounds, Inc. franchise. Factor this into your exit strategy and overall investment analysis.

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Data shown is extracted from the 2025 Franchise Disclosure Document filed with state regulators. Fees, investment ranges, and other terms may have changed since this filing. Always request the current FDD directly from the franchisor before making any investment decisions. This information is not financial, legal, or investment advice. Full disclaimer.