Our mercenary work continues in Chapter 3 of Final Fantasy VII Remake. You'll be able to take on this sidequest after you have completed Rat Problem.
Before you embark on this sidequest make sure you have the Ice Materia equipped on at least one of your characters. By now you should have two — if not, you can buy it from the Item Shop for 500 Gil apiece.
The Wrath Hound
Head to Scrap Boulevard, and make your way to the very far side. Here you'll come across the Wrath Hound for the first time.
It's big, angry, and its attacks can really hurt. He's also pretty fast, and will evade a lot of your physical attacks. He's certainly nothing like his Guard Dog cousins!
You'll need to keep on moving for this fight, making use of the space you have. Unlike regular enemies, his attacks can't be interruped, either.
Hit him hard with Ice spells, and his stagger gauge will quickly fill up. Give him everything you've got then, and after losing a certain amount of HP he'll run off.
Head back to the open space near the entrance. You'll encounter Wymer again, who will tell you the Wrath Hound has escaped through a hole in the fence to the north.
Follow the path to another clearing, where the Hound is waiting. The same strategy applies here — hit it with Ice spells, and build stagger quickly.
A good tactic is to have Tifa get ready to unleash hell once the stagger comes. Boost her attacks twice using Unbridled Strength, and save up two more ATB charges.
This will mean that she can unleash all three levels of her unique ability at once: Rise and Fall, Omnistrike, and Whirling Uppercut, before charging Unbridled Strength twice more to repeat the combo.
This should increase stagger damage past 200%, helping you finish off the Wrath Hound quickly.
Remember to keep healed!
Once defeated, return to Wymer just outside Scrap Boulevard. He'll thank you, and hand you an Elixir as a reward.
Other Sector 7 sidequests can be found below.
