Apple PayApple
Mandatoryogy systems. However, you may have to purchase two credit card machines directly from the designated vendor at a cost of approximately $500 per machine to utilize touchless pay or Apple Pay type servi
From the filings
HQ-led decisions
PetSmart Veterinary Services
Health servicesSoftware purchasing at PetSmart Veterinary Services is controlled at the corporate headquarters level, where a mandated tech stack leaves little room for operator-level discretion. The system currently mandates platforms from Covetrus, Idexx, Midmark, Intuit, and Rhapsody across its 37 franchised veterinary hospitals. With a 2% royalty rate and a 10-year initial term, vendors must understand the centralized procurement model and the specific contract renewal windows to time their pitch effectively.
For software vendors selling into US franchise brands.
Live signals
Total units
37
37 franchised
Unit growth YoY
-2.632%
vs prior filing
AUV
—
Item 19, 2025
Royalty
2%
of gross sales
Ad fund
1.5%
national + local
Initial fee
$10K
per unit
Investment range
$206K–$316K
all-in, Item 7
Procurement
Approved supplier
from the filing
Non-compete
1 years
from the filing
Item 19
No claims
from the filing
Ongoing fee load
What the operator pays every month
The recurring percentage of gross sales named in this filing, before rent, labour or any technology fee.
3.5%of gross sales (FY2025)
15% reference
Mandated & recommended tech
The systems vendors compete with
4 of these are mandated in the franchise agreement. Each is named in Item 11 of the filing, the incumbents a challenger must displace or integrate with.
IDEXXIDEXX
Mandatoryd Supplier for a product or service, you must obtain the product or service from that Designated Supplier. As of the date of this disclosure document, our Designated Suppliers are IDEXX for medical di
IntuitIntuit
Mandatoryired practice information management (PIM) system (but there is no purchase of this system - it is cloud-based and included within the package that PVS provides for the Hospital); Intuit’s QuickBooks
QuickBooksIntuit
Mandatorytice information management (PIM) system (but there is no purchase of this system - it is cloud-based and included within the package that PVS provides for the Hospital); Intuit’s QuickBooks for finan
CovetrusCovetrus
t and accounting; and the American Animal Hospital Association (“AAHA”) for Hospital accreditation. Elanco is the recommended (but not required) supplier of pharmacy supplies, and Covetrus is the reco
MidmarkMidmark
mployment 1 0 Phoenix Home Issues – Avoiding Joint Employment Office and Hospital Total - PVS Training 23 23.5 Vendor Training Idexx – Lab and X-Ray 0 5 Videoconference or On-Site Midmark – Dental
Franchisor behaviours
What the franchisor requires
25 requirements the franchisor states in this filing, each in its own words; 3 explicit no's; 6 questions the text does not settle, which is not a no.
Accounting
Must the franchisee use an accounting or bookkeeping system designated or approved by the franchisor?
YesItem 11
You must obtain a subscription for the QuickBooks financial management and accounting system, PETSMART VETERINARY SERVICES 28 2025 FDD which costs approximately $100 per month which may increase or decrease in Quickbooks discretion.
Does the franchisor have direct or independent electronic access to the franchisee's financial, sales or customer records?
YesItem 11
We will have independent access to your systems and you must configure security settings and/or provide PVS with any usernames and passwords necessary for that purpose.
How the franchisor buys
Does the franchisor reserve the right to change designated suppliers or systems at any time?
YesItem 8
We reserve the right to name ourselves or our affiliates as an approved supplier or the Designated Supplier for any item, at any time.
How much revenue did the franchisor and its affiliates earn from franchisee purchases in the last fiscal year?
0Item 8
In our fiscal year ending February 2, 2025, we did not sell any products or services to franchisees, but we received $189,789 in rebates from unaffiliated suppliers, which was 4.2% of our total revenue for the fiscal year.
Does the franchisor or an affiliate receive rebates, commissions or other revenue from designated or approved suppliers?
YesItem 8
We may earn a profit on products and services we sell to you and other franchisees, and we may receive rebates or other consideration from unaffiliated suppliers with respect to their sales of products or services to you or other franchisees, whether or not the product or service is presently mentioned in this Item.
Item 8 gives this proportion in one of two shapes: separate percentages for establishing the business and for operating it, or one figure covering "establishing and operating" together. Where they are separate, answer with the operating percentage; where the passage gives only the combined figure, answer with that. What percentage of the franchisee's purchases must come from designated or approved suppliers?
50Item 8
We estimate that 50% to 100% of your total purchases and leases in establishing the Hospital and 50% to 100% of your total purchases and leases in operating the Hospital will be subject to at least one of the restrictions described in this item.
Does the franchisor charge a fee to evaluate a proposed supplier?
YesItem 8
We may require you to pay us a fee, not to exceed the reasonable cost of the inspection and the actual cost of the test, whether or not we approve the proposed supplier.
Can a franchisee propose a new supplier for the franchisor's approval?
YesItem 8
you can submit a written request for approval of your proposed supplier, or you can have the supplier itself do so.
Data and IT
Must the franchisee comply with PCI, data-security or cybersecurity standards set by the franchisor?
YesItem 11
If you accept payment from customers by credit and/or debit card, you must comply with the then- current PetSmart Veterinary Services and Payment Card Industry Data Security Standards (PCI- DSS), as those standards may be revised by the PCI Security Standards Council, LLC (see www.pcisecuritystandards.org) or…
Franchise management
Does the franchisor conduct periodic inspections, audits or evaluations of the franchised business?
YesItem 9
s. Inspections and audits 8.21, 27, 30.5 Items 6 and 11
Can the franchisor change the operations manual and brand standards unilaterally?
YesItem 11
We can modify the Brand Standards Manual as we think fit to reflect changes in the methods, standards, specifications and services we approve for the PVS System.
Must the franchisor approve the franchisee's site or location before opening?
YesItem 12
You must operate the Hospital only at the approved location.
Marketing
Is the franchisee prohibited from operating its own website or social media accounts, or required to use pages the franchisor provides?
YesItem 11
Unless we have agreed to it in writing, you will not use, register, maintain, or sponsor any website, URL, social media, blog, messaging system, email account, user name, text address, mobile application, or other electronic, mobile or Internet presence that uses or displays any of the Marks (or any derivative…
Is a minimum grand opening advertising spend required?
YesItem 11
You must spend at least $5,000 for grand opening marketing approved by us.
Is the franchisee required to spend a minimum amount on local advertising or marketing, as a percentage of sales or a fixed amount?
YesItem 11
You will spend at least 0.5% of Hospital Revenue annually on local marketing of the Hospital (“Local Marketing”), in a format and using materials and designs approved by us.
Must the franchisee participate in a customer loyalty or rewards program?
YesItem 16
You must participate in any customer loyalty program we prescribe.
Must the franchisee participate in a regional advertising cooperative when one exists?
YesItem 11
You will participate in each applicable joint marketing program and comply with the rules of the program.
Operations
Must the franchisee buy products from a designated distributor?
YesItem 8
If we have named a Designated Supplier for a product or service, you must obtain the product or service from that Designated Supplier.
Must equipment be purchased from designated or approved suppliers?
YesItem 8
If we have named a Designated Supplier for a product or service, you must obtain the product or service from that Designated Supplier.
Payments
Must the franchisee use a payment processor or merchant-services provider designated or approved by the franchisor?
YesItem 8
If we have named a Designated Supplier for a product or service, you must obtain the product or service from that Designated Supplier.
Are royalties and other fees collected by automatic bank debit (ACH or electronic funds transfer) from the franchisee's account?
YesItem 6
If we require payment by electronic funds transfer (EFT), such as an automated clearing house transfer (ACH), you will designate an account at a commercial bank of your choice (the “Account”) and furnish the bank with authorizations as necessary to permit PVS to make direct debit withdrawals from the Account.
Must the franchisee participate in a gift card program?
YesItem 16
We may also require you to participate in programs we establish relating to online or mobile customer engagement, gift cards, gift certificates, stored value cards, coupons or credits.
Point of sale
Must the franchisee use a specific point-of-sale system designated or approved by the franchisor?
YesItem 11
We have the right to specify the point-of-sale (POS) system, practice information management system (PIMS), back-office system, financial management and accounting system, software applications, audio/visual equipment and programs, electronic payment devices, and other hardware and software that you must install and…
Training
Can the franchisor charge the franchisee for additional, refresher or remedial training?
YesItem 11
We will provide additional or refresher training as we deem necessary.
Is attendance at an annual convention or conference mandatory for the franchisee?
YesItem 6
If we decide to hold a franchise person convention, you must attend.
The filing answers no to 3 questions
- Is the franchisor or an affiliate itself a supplier of required products, services or systems?Item 8
- Is there a franchisee advisory council, association or committee?Item 20
- Must the franchisee participate in a customer-satisfaction or net-promoter survey program?Item 16
The vendor opportunity at PetSmart Veterinary Services
PetSmart Veterinary Services operates a small but tightly controlled network of 37 franchised veterinary hospitals. The system is entirely franchised, with no company-owned units disclosed in the 2025 FDD. The top states by unit count are Hawaii (2), Michigan (1), and Minnesota (1). Year-over-year unit growth declined by 2.6%, signaling a period of consolidation rather than rapid expansion. For software vendors, this means the addressable market is limited to 37 locations, but the centralized purchasing model means a single deal can cover the entire system.
The royalty rate is set at 2.0%, and the initial franchise term runs for 10 years. Average unit volume (AUV) is not disclosed in the most recent FDD. The operator footprint is highly fragmented: four mapped operators control approximately four located units, all of which are single-unit operators. There are no multi-unit operators with two or more locations. This fragmentation reinforces the HQ-controlled purchasing dynamic, as individual franchisees lack the scale to negotiate independent software contracts.
Who controls software purchasing
The buying center at PetSmart Veterinary Services sits at the corporate headquarters. The FDD lists Rob Pace as President, Alan M. Schnaid as Executive Vice President and Chief Financial Officer, and David Redfield as Executive Vice President and Chief Operating Officer. Lacey J. Bundy serves as Chief Legal Officer, and Jeff Keiser is the Vice President, Corporate Controller and Treasurer. Given the mandated nature of the technology stack, any software pitch must target this executive team, with the CFO and COO likely serving as key economic and operational approvers.
There is no parent company on file; the brand appears to be independently owned. This simplifies the sales process by removing a layer of private equity or conglomerate oversight. Vendors should prepare for a direct conversation with the C-suite, focusing on how a new solution integrates with or replaces the existing mandated systems.
Mandated and current tech stack
The 2025 FDD mandates a specific set of technology systems that franchisees must use. Covetrus serves as the Account Ordering System. Idexx is mandated for lab and X-ray services. Midmark is the required vendor for dental X-ray equipment. QuickBooks by Intuit Inc. is mandated for accounting. Rhapsody is mandated and also specifically named as the PIM System. The FDD also lists “Gateway” as a mandated Afterlife Service.
This stack covers core clinical, inventory, and financial workflows. Notably, no point-of-sale system is explicitly named in the available extract. Vendors offering POS, practice management, client communication, or data analytics tools should investigate whether these functions are bundled within the mandated platforms or represent a gap they can fill. The presence of QuickBooks suggests financial management is handled outside of a comprehensive ERP, potentially creating an opening for more robust financial or operational reporting tools.
Procurement, renewals, and timing
The FDD does not include an extract from Item 8, so the formal procurement and supplier approval process is not detailed in the available data. However, the mandate of specific vendors indicates a designated-supplier model. Franchisees are not free to choose alternative systems for the mandated functions. To become a designated supplier, a vendor would need to navigate a corporate approval process involving the executive team.
Contract timing is tied to the franchise lifecycle. The initial term is 10 years. Renewals are available for one additional term of 5 years, contingent on several conditions: the franchisee must provide written notice no later than 12 months before the initial term expires, must not be in default, must have a good record of customer service, and must sign a renewal agreement and general release. This creates a natural review window around the 9-year mark of each franchise agreement. With 37 units, renewal dates are staggered, but the recent negative unit growth suggests some locations may not renew, slightly shrinking the addressable base over time.
How to read the PetSmart Veterinary Services FDD
The FDD is the foundational document for understanding the legal and operational constraints on technology purchasing within the franchise system. Item 11 details the franchisor’s obligations regarding site selection, training, and the mandated technology stack. Item 17 outlines the renewal terms, which define the long-term stickiness of the customer base. Item 19, if present, would contain financial performance representations, though AUV is not disclosed in the available extract.
For a software vendor, the key takeaway is that PetSmart Veterinary Services operates a small, centrally controlled system with a locked-down tech stack. The path to a sale runs through the C-suite, not through individual hospital owners. Understanding the mandated systems and the renewal cycle is essential to timing a pitch. For a ranked target list of franchise systems matched to your software category, talk to FranCloud.
Questions vendors ask
PetSmart Veterinary Services, answered from the filing
The FDD lists Rob Pace (President), Alan M. Schnaid (CFO), and David Redfield (COO) as key executives. Given the mandated tech stack, purchasing decisions are centralized at the C-suite level, not made by individual franchisees.
The 2025 FDD mandates Covetrus for account ordering, Idexx for lab and X-ray, Midmark for dental X-ray, QuickBooks by Intuit for accounting, and Rhapsody as the PIM system. No POS system is explicitly named.
There are 37 total units, all of which are franchised. The FDD does not disclose any company-owned locations. The top states by unit count are Hawaii (2), Michigan (1), and Minnesota (1).
The procurement model is not explicitly detailed in the available FDD extract. However, the presence of multiple mandated technology systems indicates a designated-supplier model where franchisees must use specific, named vendors.
The initial franchise term is 10 years. Renewals are for one additional 5-year term, requiring 12 months' written notice. With a recent -2.6% unit decline, contract churn may be limited, but renewal cycles create periodic review opportunities.
The FDD was filed with state franchise regulators in 2025. You can review the full document in the embedded PDF viewer below to analyze the complete Item 11 and Item 19 disclosures.
Source
Read the filing itself
Every number on this page traces back to this document. Read it in full, page by page. Buy the original PDF to download, search, and annotate it.
View only A one-time purchase: the original filing, yours to keep.
FDD alert
Tell me when this brand refiles.
We’ll email you the moment PetSmart Veterinary Services files a new annual FDD, usually the freshest signal of a vendor change.
Operator footprint
Who runs the locations
2 operators run 35 mapped locations. 2 of them are multi-unit. Aggregate counts from the filing; no names.
Operators by units owned
2–9 units1
25+ units1
Ownership
The portfolio behind PetSmart Veterinary Services
unknown of petsmart llc f k a petsmart.
Related Health services brands
Primary franchise filings · updated June 2026. Every figure is source-traceable and QA-checked.