Buy a Pet Grooming Business in Colorado Springs, CO

The Colorado Springs Pet Market

Colorado Springs has one of the highest dog ownership rates of any major Colorado city, driven by its military population, outdoor culture, and growing suburban footprint. Pet ownership trends here run ahead of national averages, and that translates into steady, recurring demand for grooming services.

The city's median household income of $83,198 supports premium service pricing. Customers in neighborhoods like Briargate, Flying Horse, and the Powers corridor consistently spend more per visit than the national average, and they are loyal when they find a groomer they trust.

For a buyer, that loyalty is the asset. A grooming book with 300 active clients who rebook every four to six weeks is worth more than almost anything else on the balance sheet.

How Much Does a Pet Grooming Business Cost in Colorado Springs?

The 2.5x average multiple is among the lower multiples you will see across service businesses. That is partly because grooming revenue is tied to individual groomers, and lenders know it. The business walks out the door if the lead groomer leaves.

That concentration risk is a discount factor, not a dealbreaker. It just means you negotiate accordingly.

Deal Economics and SBA Financing

Here is what a representative deal looks like at the median asking price, based on current SBA 7(a) terms:

These are rough estimates based on market data. Actual terms depend on individual qualification and lender.

A few notes on the math. The SDE figure from broker listings typically runs 15% to 50% above what a buyer will actually clear after accounting for owner replacement costs, particularly if you are not a licensed groomer yourself. Always discount advertised SDE before running your debt service calculation.

At current SBA rates of approximately 10% to 11% on a 10-year term, this category tends to produce strong DSCR numbers relative to asking price. The 2.5x multiple keeps debt service manageable.

On Regalis deals, we target a full standby seller note at 0% interest, meaning no payments to the seller during the SBA loan term. We achieve that structure on more than 90% of the deals we close.

What Should You Look For When Buying a Pet Grooming Business?

Beyond those three, focus on:

Revenue source concentration. Does the business run on one primary groomer, or is revenue distributed across two or three employees? A single-groomer shop is a concentrated bet on that person staying post-close.

Booking software data. Any grooming business worth buying should have digital appointment records. Verify client return rates, average ticket size, and cancellation patterns. If the seller is still running paper books, treat it as a yellow flag and price accordingly.

Lease terms. Grooming shops depend on foot traffic and signage. Confirm the lease has at least three years remaining, or get a renewal option in writing before closing. A favorable lease in a high-traffic location is a moat.

Equipment condition. Tubs, dryers, tables, and cages depreciate fast and fail at bad times. Budget $15K to $30K for deferred maintenance on a shop that has been running for more than five years without documented equipment upgrades.

Colorado licensing. Colorado does not require a state license to operate a pet grooming business, but El Paso County may require a business license and zoning approval depending on location. Confirm the existing permits transfer with the sale.

Frequently Asked Questions

How much does it cost to buy a pet grooming business in Colorado Springs?

As of Q1 2026, the median asking price is $272,500, with a price range running from $55,000 for small mobile operations to over $2.4M for larger multi-location businesses. Most SBA-financeable deals in Colorado Springs fall between $150K and $500K depending on cash flow and equipment condition.

Can I get SBA financing to buy a pet grooming business in Colorado?

Yes. Pet grooming businesses qualify for SBA 7(a) loans. The minimum equity injection is 10%, typically structured as 5% buyer cash plus a 5% seller note on full standby acting as equity. At the median asking price of $272,500, that means roughly $13,600 in out-of-pocket cash at closing.

What is a good DSCR for a pet grooming acquisition?

Regalis Capital targets a 2.0x debt service coverage ratio, with a floor of 1.5x. At the current median asking price and cash flow for Colorado Springs pet grooming businesses, most deals in this range produce DSCRs well above 2.0x, which is one reason lenders are generally comfortable with the category.

Do I need to be a licensed groomer to buy a pet grooming business in Colorado?

No. Colorado does not require the owner to hold a grooming license. That said, if you are not a groomer yourself, you are dependent on your staff from day one. Buyer transition planning, employee retention agreements, and a minimum 60 to 90 day seller training period are non-negotiable in that scenario.

How long does it take to close on a pet grooming business with SBA financing?

SBA 7(a) closings typically take 60 to 90 days from signed letter of intent to close. Complex deals or lenders with heavy pipelines can stretch to 120 days. The biggest time killers are slow seller document production and appraisal scheduling. Starting lender conversations early in the process shortens the timeline.

Thinking About Buying a Pet Grooming Business in Colorado Springs?

Regalis Capital's deal team reviews 120 to 150 business listings per week, including pet service businesses in Colorado. We handle sourcing, due diligence, financing coordination, and negotiation on a done-for-you basis.

If you are evaluating a specific listing or want to understand what a defensible deal looks like in this market, start with a free deal assessment.

Talk to our team about pet grooming acquisitions in Colorado Springs