About Natural Hounds Franchise
Natural Hounds is a franchise business that offers and sells fresh, handmade, and all-natural dog food and other related products from retail store locations.
Franchisees operate a Natural Hounds Store where they prepare, package, and sell dog food products including fresh dog foods, jerkies, biscuits, CBD oil, chews, bully sticks, and beef tracheas to dog owners.
The target customers are individuals who own dogs and seek premium, all-natural pet food options as an alternative to mass-produced commercial pet food.
Natural Hounds Franchise Cost & Fees
| Fee Type | Amount | Notes |
|---|---|---|
| Initial Franchise Fee | $30,000 | One-time payment upon signing |
| Royalty Fee | 4% of Gross Sales of gross sales | Ongoing; paid monthly |
| Marketing/Ad Fund | Up to 2% of Gross Sales (currently 1% of Gross Sales) | National brand fund |
| Total Investment Range | $195,456 – $462,508 | Includes build-out, inventory, working capital |
The investment range of $195K–$463K reflects variability in build-out costs, store size, lease terms, and market. The combined royalty (4% of Gross Sales) and marketing fee (Up to 2% of Gross Sales (currently 1% of Gross Sales)) are ongoing costs paid as a percentage of gross sales.
Investment Breakdown (Item 7)
| Item | Low | High |
|---|---|---|
| Initial Franchise Fee | $30,000 | $30,000 |
| Construction and Leasehold Improvements | $5,000 | $100,000 |
| Lease Deposits - Three Months | $15,556 | $21,875 |
| Furniture and Fixtures | $2,500 | $5,000 |
| Equipment Package and Other Required Equipment | $81,430 | $195,000 |
| Signage | $3,500 | $5,000 |
| Computer, Software and Point of Sales System | $1,500 | $3,000 |
| Grand Opening Marketing | $15,000 | $20,000 |
| Initial Inventory | $10,000 | $20,000 |
| Utility Deposits | $1,000 | $2,000 |
| Insurance Deposits - Three Months | $500 | $1,500 |
| Travel for Initial Training | $1,000 | $3,100 |
| Professional Fees | $3,000 | $6,000 |
| Licenses and Permits | $1,000 | $2,000 |
| Printing, Stationery and Office Supplies | $1,000 | $2,500 |
| Additional Funds - Three Months | $23,470 | $45,533 |
Additional Fees (Item 6)
| Fee Type | Amount |
|---|---|
| Transfer Fee | $10,000 plus any third party broker or finder's fees |
| Renewal Fee | $10,000 |
| Technology Fee | $525 per month plus per-transaction fees |
| Audit Fee | Actual costs incurred if underreporting of 2% or greater |
| Local Store Marketing | Minimum 1% of Gross Sales |
| Annual Conference Attendance Fee | Up to $1,500 |
| Additional Employee Initial Training | $500 per person per day |
| Supplemental On-Site Training | $500 per day plus expenses |
| Interest on Overdue Amounts | 18% per annum |
| Reporting Non-Compliance | $150 per occurrence |
| Operations Non-Compliance | $450 to $1,000 per occurrence |
| Payment Non-Compliance | $150 per occurrence |
| NSF Check/Failed EFT Fee | 5% of amount or $50, whichever is greater |
| Management Service Fee | 20% of Gross Sales plus expenses |
| Operations Manual Replacement Fee | $500 |
| Supplier Review Fee | Actual costs |
| Quality Assurance Audit | Actual costs |
Training Program (Item 11)
| Detail | Information |
|---|---|
| Total Duration | Approximately 2 weeks (80 total hours) |
| Classroom Training | 23 hours |
| On-the-Job Training | 57 hours |
| Training Location | Babylon, New York, or another location designated by franchisor |
| Additional Training | 2 days of on-site support following pre-opening process. System-Wide Training Program may be required (up to 5 days per calendar year). Supplemental on-site training available at $500 per day plus expenses. |
Territory Rights (Item 12)
| Detail | Information |
|---|---|
| Territory Type | Protected (non-exclusive with territorial protections) |
| Exclusive Territory | No |
| Territory Size | Generally a radius of at least 0.5 miles in urban areas and either a radius of 5 miles or an area comprising at least 250,000 people in suburban areas, but no minimum size |
| Description | Franchisor will not establish or grant another franchisee the right to establish a Natural Hounds Store within the Designated Territory during the term of the agreement, subject to Reserved Rights. Reserved Rights include operating at Captive Market locations within the territory, using alternative channels of distribution within the territory, and acquiring or merging with competing businesses. |
Renewal, Termination & Transfer (Item 17)
| Detail | Information |
|---|---|
| Initial Term | 10 years |
| Renewal Term | One additional 10-year term |
| Renewal Fee | $10,000 |
| Renewal Conditions | Must be in compliance with Franchise Agreement, provide 180 days prior written notice, sign then-current form of Franchise Agreement, sign general release, pay renewal fee, remodel and upgrade Store to current standards, secure legal right to occupy premises through renewal term, complete additional training if required |
| Transfer Fee | $10,000 plus any third party broker, consultant, or finder's fees |
| Transfer Conditions | 30 days prior written notice, no defaults, transferee must meet qualifications and agree to all terms, owners must sign general release, transferee must complete training, franchisor has right of first refusal |
| Termination for Cause | Immediate termination for insolvency, bankruptcy, abandonment; 10-day cure for failure to pay fees; 30-day cure for operational non-compliance, failure to open on time, failure to maintain insurance |
| Non-Compete Period | 24 months |
| Non-Compete Details | No involvement in any competing business within Designated Territory, 25-mile radius of Designated Territory, and 10-mile radius of any other Natural Hounds Store for 24 months after termination or expiration. Period tolled during non-compliance. |
Operations & Supply (Items 8 & 15)
| Detail | Information |
|---|---|
| Owner-Operator Required | Yes |
| Participation Details | The Managing Owner must be personally responsible for the management and overall supervision of the Store and must complete initial training. An Operating Manager may be hired for day-to-day on-site operations if they meet minimum standards, complete training, and sign confidentiality agreements. Each Store must be managed on-site by either a Managing Owner or Operating Manager at all times. |
| Required Suppliers | HoundsCorp, LLC is designated as an exclusive supplier of certain equipment and inventory. Franchisees must purchase System Supplies from franchisor, affiliates, or designated suppliers. |
| Supply Restrictions | Approximately 80% of total purchases for establishing the business and 70% of ongoing operating expenses must come from designated or approved suppliers. Franchisor may designate itself or affiliates as exclusive suppliers. |
| Franchisor Revenue from Suppliers | As of June 30, 2025, franchisor has not received revenue from suppliers from franchisee purchases. HoundsCorp, LLC did not earn any revenues from franchisee purchases during fiscal year ending June 30, 2025. |
Financing (Item 10)
| Detail | Information |
|---|---|
| Financing Available | No |
| Description | We do not offer direct or indirect financing. We do not guarantee your note, lease or other obligation. |
Natural Hounds Franchise Earnings — Item 19
Past financial performance does not guarantee future results. Individual results will vary.
Natural Hounds Litigation & Risk Flags
Litigation and bankruptcy data is sourced from Items 3 and 4 of the FDD. Always verify current status directly from the most recent FDD.
Natural Hounds System Growth
Natural Hounds currently operates 0 franchised locations and 2 company-owned units. Unit count data is sourced from Item 20 of the FDD.
Unit History (Item 20)
| Year | Opened | Closed | Total |
|---|---|---|---|
| 2023 | 0 | 0 | 2 |
| 2024 | 0 | 0 | 2 |
| 2025 | 0 | 0 | 2 |
Transfers: 0 | Closures: 0
State Registrations
Registered in 3 states: MD, NY, VA
Franchisor Financials (Item 21)
Audited by Metwally CPA PLLC for year ending June 30.
Natural Hounds Franchise — FAQ
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