Acquiring A Dog Boarding Business: Client Case Study

Client: Animal People Dog Boarding & Day Care
Location: Charlotte, NC

Company Overview

Animal People Dog Boarding & Day Care, an established dog boarding facility in Charlotte, NC, recently underwent a successful business acquisition. This transition was expertly facilitated by the Small Business and Technology Development Center (SBTDC) in Charlotte, with Michael Moore serving as the primary business consultant. The SBTDC’s comprehensive support spanned from initial financial assessment to a deep understanding of business operations and strategic business consulting.

Challenge: Acquiring a Business

Ashley and Aaron Babaa of Animal People Dog Boarding & Day Care were enthusiastic but lacked experience in the complexities of acquiring an established doggie day care business. They needed guidance on evaluating the financial health of the business, understanding its operations, and navigating the acquisition process smoothly. Ensuring the continuity of high-quality service and maintaining customer trust during the transition were also paramount concerns. They were also looking to expand on and improve Ashley’s pet-sitting company.

Solution: Four-Pronged Approach

The SBTDC Charlotte team provided a structured approach to facilitate the acquisition.

Financial Analysis

Assessment: The first step involved a thorough review of the financial statements of Animal People Dog Boarding & Day Care. The Charlotte team helped Ashley and Aaron understand revenue streams, profit margins, operating costs, and potential financial risks.

Valuation: The SBTDC conducted a detailed business valuation, providing the buyers with a realistic price range for the acquisition. This valuation was crucial in negotiating a fair purchase price.

Understanding Business Operations

Operational Review: The SBTDC guided Ashley and Aaron through a comprehensive review of the facility’s day-to-day operations. This included staff management, customer service protocols, and the unique requirements of running a successful dog boarding business.

Best Practices: The SBTDC provided insights into industry best practices to ensure the business would continue to operate smoothly post-acquisition. 

Business Consulting

Strategic Planning: The Charlotte team worked with Ashley and Aaron to develop a strategic plan for the transition period and beyond. 

Risk Management: The SBTDC helped identify potential risks associated with the acquisition and developed mitigation strategies. They also helped connect Aaron with the necessary financial SBA lending institutions that would help finance the acquisition.

Ongoing Support

Mentorship: The Charlotte team offered ongoing mentorship and support to the new owners, ensuring they had a trusted advisor to turn to as they navigated the complexities of business ownership.

Resources: The SBTDC provided access to various resources, including workshops, networking opportunities, and additional consulting services, to support the business’s growth and sustainability.

Results: A Smooth Transition 

With the expert guidance of the SBTDC, the acquisition of the Charlotte Dog Boarding and daycare was completed successfully. Ashley and Aaron were able to confidently take over the business, equipped with a thorough understanding of its financial health and cash-flow analysis and helped position them to qualify for SBA funding. The smooth transition ensured that the facility continued to provide excellent care for its canine clients, maintaining the trust and satisfaction of its customer base.

Conclusion

The Small Business and Technology Development Center (SBTDC) in Charlotte, NC, played a pivotal role in the successful acquisition of Animal People Dog Boarding & Day Care. The SBTDC’s expertise in financial analysis, operational understanding, and strategic consulting provided Ashley and Aaron with the necessary tools and confidence to embark on their entrepreneurial journey. This case study underscores the value of professional business consulting in navigating the complexities of business acquisitions and ensuring long-term success.

Animal People Dog Boarding & Day Care
2908 Rozzelles Ferry Rd, Charlotte, NC 28208
(980) 272-6067
https://animalpeoplecompany.com/