I completely understand about Fred. I have had dogs all my life, my mother bred german shepherds when I was a child, and as an adult I have adopted several dogs myself. I have a small dog now called Shorty, hes the center of my world :)
If I'm to include Fred in the logo, it would have to be an illustration of him. A line drawing. This is because a regular picture cant be resized like a vector image can be. Because of the details, it will take me a day or 2, to get it right and get all the details. If you have other images of Fred you can upload them to the upload area, and not just I, but other designers too, can try and capture him in vector :)