Pets have always been considered part of a family, but every year, they seem to be treated more and more like humans. Think about it. They have their special foods and treats, clothes and accessories, and their section at most big box stores.

Despite how silly this might seem to some, the amount of time and money Americans spend on their pets is no laughing matter. The average pet owner spends about $1,200 a year on their pet. So it’s no wonder the U.S. pet industry is worth $99 billion.

And Colorado is a massive part of that. Nearly half, 47.2% of Colorado households, own a pet. And in Denver, the dog pet population is so high that with 158,000 dogs living with 99,000 families, there are more dogs than children in the city!

But statistics aside, Colorado is universally acknowledged as a great place to have a pet. Forbes named Colorado Springs America’s most pet-friendly city.

Locating a pet business in Colorado is a no-brainer. But there are so many pet-based enterprises to choose from! So before exploring your business options, learn more about what it takes to start a pet-based company in Colorado.

Insurance for Pet-Based Businesses in Colorado

There are numerous opportunities to start a pet-based business in Colorado. But before you do, there’s more you need to know. Every successful business begins with a plan, and every plan includes an insurance coverage strategy.

Insurance coverage is something every entrepreneur needs to consider. Premiums can be high, and depending on the type of pet-based business you choose, you may need a great deal of coverage. Here are a few of the policies you may need.

1. Workers’ Compensation Insurance: Colorado requires all businesses with one or more employees to get workers' compensation insurance. These policies protect owners and employees when accidents happen. In addition, Colorado workers’ comp covers lost wages, medical care, retraining, permanent injury, and survivor benefits.
2. General Liability Insurance: Although not required by law, general liability insurance is something every business owner needs. These policies are a catch-all for all the unforeseen things that can and often do happen. General liability covers bodily injury, medical costs, property damage, advertising harm, court fees, and even lawsuits for libel, slander, and defamation.
3. Tools and Equipment Insurance: Think about the tools and equipment you’ll need to start your pet-based business. If those items are damaged or stolen, you’ll need a policy to reimburse your costs to replace such items. Tools and equipment insurance also covers you when borrowing or lending gear.
4. Professional Liability & Errors and Omissions Insurance: No one is perfect all the time, and for the times you aren’t, there’s professional liability and errors and omissions insurance. These policies are critical for performing specialized services, like veterinary care, grooming, or boarding. You’ll be protected from business errors, missed deadlines, and accusations of negligence.
5. Commercial Auto & Property Insurance: Where do you work? You must protect your space, whether it’s an office or home. And the same goes for your work vehicle. You may think standard property and auto insurance would cover accidents, but don’t count on it. Commercial auto and property insurance protects you from unforeseen property damage, natural disasters, fender benders, and more.
6. Hired and Non-Owned Auto Insurance: Fleet vehicles are expensive, which is why so many businesses use rental vehicles. Get added protection when using rental cars with hired and non-owned auto insurance. These policies are also handy when employees use their personal vehicles for work.

What Are the Best Pet-Based Businesses to Start in Colorado?

There's no shortage of customers in Colorado, with hundreds of thousands of dogs, cats, and other creatures to serve. The question is, which type of pet-based business is right for you? Here’s a rundown of some of the best to start in Colorado.

Pet Watching

OK, there are a few types of pet watching, so let’s start with the least involved: a pet sitter. Pet sitting is when you either bring the pet into your home or go into its family’s home to watch it for anywhere from a few days to a few weeks.

Pet sitting is a great way to start a pet-based business; almost anyone can do it! Teenagers and college students looking to earn extra cash can easily pet sit. But established professionals with work-from-home jobs can also pet sit as a side hustle.

The next step up from pet sitting is doggie daycare. Like pet sitting, you could host a doggie daycare in your home, but the best doggie daycare services have dedicated facilities to keep the pets happy and safe.

Doggie daycare is precisely what it sounds like: a place for dogs to go during the day while their owners aren’t home. This is especially helpful for pet parents who work long hours or pets who just need a little extra TLC throughout the day.

The most involved version of pet watching is boarding. Think of it as a hotel (or even a resort), but for pets. Many owners use boarding services for dogs, cats, and other house pets while they go away for several days or weeks.

While pets are boarded, they are cared for just like at home, but in the company of other animals and caretakers.

Pet Training

This is another excellent option for a pet-based business in Colorado. Most dogs and cats require specialized training to live happily in human homes. Pet trainers teach their students to follow commands, stay calm and use the outdoor bathroom consistently.

And pet trainers aren’t just for the animals! They teach owners how to instruct, reward and discipline pets properly. This way, the owner can reinforce the trainer’s hard work long after training is complete.

Pet Grooming

Many breeds of dogs and some cats require special care for their beautiful coats. Groomers wash, treat (if necessary), cut, and style pet fur to keep animals healthy and comfortable.

Most pet grooming services have offices or storefronts where owners can bring their pets for cleaning and cutting. But more and more groomers are going mobile, with grooming salons in vans they can drive to any pet’s home, anytime.

Pet Photography

After a pet is fresh and clean from the groomers, they deserve to be photographed! Sure, pet parents have loads of photos on their phones, but there’s something special about having professional pictures of the ones they love.

Many people have professional photos taken of their kids and family, so why not the family pet, too? And although this is still a newer sector of the pet-based business category, it's picking up steam.

At-Home Veterinary Care

Going to the vet is a stressful experience for most pets, which is why at-home veterinary services are becoming popular. The vet comes into the pet’s home environment to examine their health and treat them, if necessary.

At-home services like these are also very comforting when it’s time to say goodbye to a pet. Many pet parents would prefer to euthanize their animals where they’re most familiar and comfortable, in their homes with their families.

With so many eager pets living in Colorado, the possibilities for your pet-based business are endless. Take the time to research and determine which business feels right for you before getting started!