Starting a pet care business in Las Vegas, Nevada
There are several sectors and businesses that have witnessed a spike in growth in the last 5 years. As a result, many entrepreneurs have invested in startups in such sectors. Entrepreneurs are working towards transforming their pet care business ideas into operational businesses and this sector is showing promising growth. The growth of this industry is dependent directly on pet ownership and according to a report by American Pet Products Association (APPA), more than 68 percent of households in the US have pets. In fact, the report revealed that 35 million households in the US have children but 84.6 million households have pets. As ownership grows so does the need for pet care and, if you start a pet care business in Las Vegas then you will be able to benefit from a growing market.
Introduction to a pet care business
A report by the American Pet Products Association (APPA) revealed that the expenditure on pet care in the United States was over $72 billion in 2018 and this is expected to increase exponentially as pet ownership increases. If you are planning to start a pet care business in Las Vegas then you will need to get insight into the pet care industry, which comprises large corporations and small startups and freelancers. We have created this guide to provide you with information necessary to transform your pet care business idea into a startup. The guide provides an insight into the pet care industry in the US, types of pet care businesses, creating a business plan, scope of your business, obtaining insurance, getting pet supplies, and incorporating your business.
Pet care business in Las Vegas, Nevada
Las Vegas has a vibrant life and economy making it one of the best cities for startups and small businesses. It is also a great place to start a dog care business as there are almost 6 dogs per 10 households. In fact, according to a survey by “realtor.com®”, Las Vegas is ranked #3 on the list of dog-friendly cities in the country. The city of Las Vegas is home to pet hotels, an exclusive gated pet community with off-leash social club, indoor play park for dogs, and canine friendly apartments and condominiums among others. Las Vegas also has its own “Licensing Ordinance” for pets, which dog owners have to apply for. All this translates into the fact that there is an unusually high requirement for pet or dog care services and an opportunity to bring your pet care business ideas to life.
Pet care industry
If you are planning to start a pet care business in Las Vegas, it is important to understand this industry, the opportunities, the future growth prospects and much more. According to a 2018 report, the market size of the pet care industry is valued at over $190.1 billion and it is expected to witness a Compound Annual Growth Rate (CAGR) of 5.2% between 2019 and 2025. The growth of this market is due to the following reasons:
- Greater adoption of a variety of pets including dogs, cats, and rabbits as well as other common and uncommon pets
- Higher disposable income to support pet food, lifestyle, and health
- A rising prevalence of zoonoses or zoonotic diseases leading to higher spending on pet healthcare
- Rising demand for pet insurance
- Need for mobile pet grooming services
As a business proposition, you can start a dog care business in Nevada as the economic activity of this industry has been highly growth oriented. A strong pet care business plan will help you in establishing your startup in the Las Vegas market. The U.S. Pet Industry including pet care generated economic activity valued at $221.1 billion in 2015 with $78.9 billion in expenditures. The total expenditures in this market four years later in 2019 were $95.7 billion with pet food and treats accounting for $36.9 billion while vet care and product sales accounted for $29.3 billion.
It is important to note that there are a variety of industries that are responsible for driving the growth in the pet industry from a broader national economic viewpoint and some of those industries include dog and cat food manufacturing, veterinary services, meat processing, and pharmaceutical preparation manufacturing among others. When you start a dog care business in Nevada these industries will be supporting your business directly or indirectly. The economic impact of the Nevada pet industry in 2015 was valued at a total output of $948,441,000. The industry has many opportunities for new dog or pet care businesses but first you need to create a pet care business plan, so that you can maximize your benefits.
Things to consider before starting a pet care business in Las Vegas, Nevada
One of the essential components of a pet care startup is the pet care business plan as it encompasses every aspect of the business right from the scope of your business to registering the entity and applying for licenses or necessary permits. It is considered by economists and analysts as a “Recession-Proof Industry” because during 2008-2009, the spending for pet care was 1.1% of total spending, which was approximately $430.80 per American household and since 2011, the average spending has increased to $502.05. So, yes, the industry is growing but starting a new business and sustaining it are two different areas. There are certain important things that you need to consider before you can start a pet care business in Las Vegas successfully. Let’s take a look!
Choose the Scope of Your Business
As the pet industry continues to evolve and grow, the opportunities to start a dog care business in Nevada have also grown multi-fold over time. The factors for this growth are due to the changing behavior of pet owners and the role of pets in American households. The first step is to prepare a good pet care business plan and it should take into account the scope of your business.
The scope of your business basically helps you to determine the type of services you are thinking of offering based on market research, industry dynamics, and pet owner requirements. In order to start a pet care business in Las Vegas, you need to identify what options are available or viable in terms of services being offered. After all, there is a lot of difference between a dog walker, vacation pet sitting services, and pet boarding services. Some of the most popular business options include:
- Pet Clothing and Accessories
- Pet Care business insurance
- Pet Sitting
- Dog Day Care
- Vacation pet sitting
- Pet Training
- Pet Boarding
- Dog Walking
- Dog Grooming
- Pet Massage Therapy
- Pet Food
- Pet-Supply Store
- Pooper Scooper
- Gourmet Pet Treats
Write your own Business Plan
A pet care business plan is the most important aspect to consider prior to setting up your business in Nevada. It is essentially a roadmap of your business right from how you will begin operations to where you want to take the business in terms of goals and objectives. A well drafted business plan can help you to not only start a pet care business in Las Vegas but also take into consideration the future obstacles, market requirements, and possible expansion. It is also important to remember that the content of a business plan will depend entirely on the type of dog care services you want to provide. Some of the important aspects of the business plan are:
- Purpose and potential: This area focuses on why you have chosen a specific area, for instance, if you are trying to enter the pet care business insurance market then what is the purpose and what is the existing and future potential.
- Experience: It is all about credentials but at the same time, you have to stress on any experience however small you may have had in the pet care industry. Sometimes, people start a pet care business because they love animals.
- Continuing-education: One of the ways to start a dog care business in Nevada and make it successful is by identifying opportunities for education like attending pet workshops and training. You can also opt for certification courses like the ones offered by the Professional Animal Care Certification Council (PACCC).
- Choosing Services: It is important to identify which specific service you will be offering whether Vet services or multiple services which includes vet services and a pet care store.
- Marketing Plan: A strong marketing plan is integral to any pet care business plan as it outlines the various platforms and vehicles used for marketing including offline and online platforms. A marketing plan will also include creating a budget used exclusively for marketing or promotional activities.
- Gauge your Competition: When you start a pet care business in Las Vegas, you will have to face competition. It helps in gauging your competition in advance so that you can offer something different, something better than what your competitors are offering. You will also need to highlight your Unique Selling Point (USP).
- Financial Plan: A financial plan is probably one of the toughest to create and the most essential part of any pet care business plan as without a solid financial plan, your business might not achieve sustainability. You need to clearly lay emphasis on various expenditures as you expect along with a plan of how revenue would be generated. You can also create your own or download a “start-up cost checklist” to help you prepare the plan.
Choose a location to start your pet care business
If you want to start a dog care business in Nevada then location is important. The location of your business should also complement your business objectives or goals. Let us look at an example: If you are planning to offer dog boarding or grooming services then you need to have enough space for dogs and their owners, their equipment, as well as adequate parking space out in the front. In reality, a dog training facility will require a much bigger space with a lot of green areas. Once you have scouted your location, you will need to form your new business and simultaneously apply for pet care business insurance while making inquiries with the city hall regarding zoning regulations and restrictions if any.
Choose a name
Once you are ready to turn your pet care business ideas into reality, it is time to identify an appropriate business name. While identifying a business name, you need to check the “Restricted Word List” as highlighted by the office of the Nevada Secretary of State. You will have to ensure the name is compliant with all requirements as mentioned in Nevada Statutes & Regulations. Once you have checked for name availability, the next step is to reserve or register the name of your business with the Nevada SOS. You will have to identify and reserve a business name before you start a dog care business in Nevada.
Choose a business structure and form your business in Nevada
Once you have decided to start a pet care business in Las Vegas, it is important to choose the right business structure. There are several types of business structures you can choose from in the state of Nevada like Business Corporation, limited-liability Company, general partnership, sole proprietorship, and limited partnership among others. Different types of businesses have different structures, tax benefits, application and formation processes, and advantages. Whatever business structure you choose, IncParadise can help you with the process of registration. We are an expert incorporation specialist and can help you bring your pet care business ideas to life!
Open a bank account
When you start a pet care business in Las Vegas, one of your first important tasks to undertake is opening a business bank account. Most often than not, business owners opt to have a separate business account to ensure their business and personal accounts are not mixed. This is helpful from a purely financial perspective as it will be easier to maintain your books and file taxes. You can choose the same bank for both accounts or different banks. There are several reasons why dog care businesses in Nevada choose a business bank account and they are:
- It will ensure accurate bookkeeping
- It will reflect the image of a serious business person and not an hobbyist
- If you plan to incorporate your pet care business ideas then it is mandatory to maintain a separate business bank account as per IRS
- The account will be helpful if your business has a point of sale system (POS) or accepts credit card transactions
Review your budget and financing
Budget and financing is integral to any pet care business plan as it will help you in identifying the immediate financial requirements and also your financial limitations or constraints if any. It is not easy to start a dog care business in Nevada unless you have identified all possible expenses and how you will manage the expenses if it exceeds your budget. Hence, it is important to ask yourself the following questions:
- Depending on the type of dog care business, do you think you have the finances required to start basic operations?
- Are you open to the idea of taking out a loan if you exceed your budget on expenses?
- Have you considered the pet care business insurance and licensing costs?
- Do you have a partner or will you be shouldering the entire financing of the startup upfront?
- Are you planning to build in a vacant space or you will be negotiating a lease?
The above questions will provide you with an approximation of the start-up capital required.
Obtain necessary licenses and permits
The Animal Control services in Nevada are responsible for regulation of pet grooming parlors, pet shops, and any other animal or pet related businesses. If you start a pet care business in Las Vegas then you will be required to apply for a business license in accordance with the Las Vegas, Nevada Code of Ordinances. For example: if you start a commercial kennel then it has to be a licensed establishment according to Ord. 3618 § 20, 1991 and on the other hand, if your pet care business ideas deals with professional animal handler services then you will require a permit for the same as per Ord. 3618 § 40, 1991. Apart from these, any new business being formed in the state has to apply for a state business license with the office of the Nevada Secretary of State (SOS).
It is important to know that business licenses will have to be renewed annually. If you start a pet care business in Nevada you may require single or multiple business licenses. Our Business License Check service can assist you with identifying any specific business licenses that your business may require.
Know about the taxes
The Internal Revenue Service is responsible for taxation of new and existing businesses. The different taxes that are charged by IRS are:
- Income Tax
- Self-Employment Tax
- Estimated Taxes
- Excise Tax
- Employment Tax
If you are planning to start a dog care business in Nevada then it is important to check with the IRS what taxes you may be required to file. It is important to understand that the type of business structure will also determine the tax structure.
Pet care business insurance is an integral part of any type of pet care services or business. When you are dealing with pets including dogs, they are practically in your care and accidents can happen. If you invest in good pet care insurance then it will help you to safeguard your business. It is important to know that the type of insurance you need to obtain will vary according to the type of pet care business. For example: if you start a dog care business in Nevada that is focused on pet grooming services then a general liability and business income protection insurance will be beneficial in the long run.
Get pet supplies
Whether you are focusing on a pet shop in Las Vegas or a dog grooming center, purchasing pet supplies can be useful. Normally, pet stores keep pet supplies but in reality any type of pet care business can offer them or retail them. If you start a dog care business in Nevada, it is essential to source dog or cat supplies from only an affordable and reputable wholesale supplier. Apart from internet research, you can check with local pet breeders and local pet shop owners for supplier recommendations. You can also find information by attending pet industry trade shows and other related events.
Promote your business
When you start a pet care business in Las Vegas there are several components that will make your business successful and one of them is promoting your business. You can generate revenue only when prospective pet owners and the intended target audience within the geographical area you are serving know about your business. You may have one of the best pet care business ideas but without proper promotion, you will not be able to establish a customer base or maximize the potential for earning. Some of the areas that will assist with proper promotion include:
- Creating a website and detailing all that you offer including an online store if required
- Maximizing the use of various Social Media platforms to reach out to the customer base
- Encouraging referrals from friends, family, and previous clients
- Listing your business with local associations like the Southern Nevada Association of Professional Pet Care Services (SNAPP)
- Listing your business in all types of local Nevada pet business directories
- Following traditional marketing routes like newsletters, mailers etc
- Attending local pet related trade shows, events, and workshops
How can IncParadise help you?
The scope of the pet care business in Las Vegas is tremendous as the number of pet owners have increased exponentially and so has their requirement for specialized pet services. The first step is to start a pet care business in Las Vegas and the process may seem very detailed and painstakingly long. IncParadise, as one of the reputed registered agents in the state that can assist you with the process of pet care business formation or incorporation.
We at IncParadise have the experience of helping with registration of small businesses right from LLC to C and S corporations. We also believe that each business has unique requirements and hence we provide a range of additional services that you can choose from including filing of annual reports or lists, application for business license, and obtaining a state license among others.