According to the BLS (Bureau of Labor and Statistics), nearly 50% of businesses fail between their second and fifth year, and 90% close by the time they reach their tenth year. One of the sectors witnessing a massive spike in business closures is dog grooming. This review will highlight a couple of reasons dog grooming companies are frequently closing.
According to the narrator in the video, one of the main reasons dog grooming companies shut down is owners having an employee mindset instead of a business owner mindset. While most dog grooming company owners work in their business, they shouldn't see themselves as employees because they can lose track of the business and neglect aspects like how to grow the business, making them fail in the long run.
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The second reason a dog grooming company can fail is when the owners pay themselves incorrectly. Dog grooming company owners should ensure they pay themselves a fair wage as employees of the business, but it's equally important that they focus on the profitability of the business to help them create an owner's wage.
The third reason dog grooming companies fail is pricing their services incorrectly. The owners undervalue their services, meaning when they deduct expenses, they don't have profits.
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