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What is Pupalito?
At our core, Pupalito is in the business of saving vulnerable animals.
We do this by providing humane relocation of animals from high-kill shelters with extreme pet overpopulation (known as sending shelters), to destination shelters (belonging to us), where there is a high demand for adoptable animals.
While this concept is not new. The way we are able to fund it is.
We have combined the best processes of nonprofits and for-profits, by operating as a Benefit Corporation, to create an innovative and sustainable solution. Using tried-and-true methods that major corporations like Petsmart and Petco use to drive retail sales like Pet Adoptions, Vaccination Clinics and Boarding, we will flip the script on their business model, focusing on a hands-on approach to saving lives through adoptions and not retail.
Here's How We Do It!
#1
We will purchase existing, commercial boarding kennels. Income from boarding fees will offset the cost of housing rescue pets. Empty boarding kennel space solves the capacity problem that most rescue groups face.
#2
We will run vaccination clinics that will add to the bottom line and enable us to employ veterinarians that will also provide services to the pets that are rescued.
#3
Each adopter may receive a package containing one share of stock in Pupalito, a discount package for products and services and a certificate memorializing their “Pet-It-Forward” rescue. The annual return for this program could exceed $120,000 a year and would create a potential lifelong bond between Pupalito and pet adopters (virtual rescuers).
#4
The elimination of pet housing and extreme veterinary care costs mean adoption fees of $400-$600 per pet go right to the bottom line. 1,000-2,000 adoptions annually mean $500,000 to $1,000,000 in income, before boarding and veterinary income is added.
#5
Income from boarding, vaccinations and adoptions will more than double the income of the existing boarding kennel and supercharge the value of the overall business, real estate and shareholder equity.
#6
We will work with the best non-profit rescue groups, providing a landing spot for their animal rescue transports. We will also provide assistance with adoption event space, housing and local internet listings, on a shared revenue basis.
Turning Donors Into Owners
We estimate that more than 50% of Pupalito’s primary investments will be in real estate, using the proceeds from its public offering to acquire boarding kennels and animal-related properties in which to operate. We will acquire this real estate using proceeds from a public offering of shareholders.
Having shareholders gives us the ability to raise money to accomplish goals and use equity to attract and retain the best and brightest staff.
Many donors to national nonprofits (HSUS that operates no animal shelters, ASPCA operates only one) express frustration with the fact that very little of their donations go to hands-on animal care. In fact, the ASPCA spends a reported $52 million a year on fundraising. ASPCA’S CEO earns a reported $840,000 a year!
Pupalito’s mission is of utmost importance, which means that we are looking for like-minded animal lovers understanding that our incorporating as a Benefit Corporation will demonstrate that purpose beyond profit is integrated into our legal operating system.
Our commitment to animal welfare provides a strong signal to our future investors, employees and consumers that the company will generate profits without sacrificing our humane goals.
What is A Benefit Corporation?
A Benefit Corporation is a relatively new way to do business—one that places people and planet alongside profits on the “business success” scale. Pupalito chose to form a Benefit Corporation to attract investors and to achieve its mission to meet humanitarian goals now and in the future.
What’s wrong with a nonprofit? Nothing! However, nonprofits have a constant need to solicit donations to cover the never-ending costs of care and overhead (vet care, housing, transport, wages etc.). The Benefit Corporation is able to use profit-making animal services (boarding, vaccination clinics, pet insurance etc.) to offset the overhead that cripples many, if not most, animal-welfare organizations.
Similarly, pet adoptions by wonderful, but poorly funded animal rescue groups, are frequently held at pet supply stores with major retailers like Petco and PetSmart being primary financial beneficiaries of the rescue’s lifesaving efforts. That’s why we are flipping the script! Pupalito will solve the adoption destination problem and benefit by owning and maintaining it’s own kennel-based adoption destinations with many profit making add-ons such as vaccination clinics, supplies, insurance and annual vet care subscriptions.
For us, it’s clear; forming a benefit corporation will help Pupalito raise capital from caring and like-minded investors to become the differentiator in animal-related businesses, both nonprofit and for-profit. Together, we will be able to do a better job of saving homeless pets and earning a return on your investment.
