Daycare Business Plan Example

Daycare Business Plan Example-50
You will generally need more square-feet-per-kid the younger they are (i.e. Pro tip: things like the arc of a door’s inward swing and required sinks will eat up square footage, so take them into account.Always leave at least 10 percent breathing room when calculating required square footage for the classroom sizes you want.For example, if the area around your future daycare center has 3,000 kids under five-years-old and only two daycare centers serving them, you’re in good shape.

You will generally need more square-feet-per-kid the younger they are (i.e. Pro tip: things like the arc of a door’s inward swing and required sinks will eat up square footage, so take them into account.Always leave at least 10 percent breathing room when calculating required square footage for the classroom sizes you want.For example, if the area around your future daycare center has 3,000 kids under five-years-old and only two daycare centers serving them, you’re in good shape.

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As someone who owns eight successful daycares in the Chicago area, I know the strategies and approaches that work when it comes to developing a sound business plan for a daycare center.

A business plan should look about three to five years into the future.

Opening a new daycare takes a long time for construction build-outs, permits, licensing and many other factors—sometimes up to a year. Alternately, the landlord may agree to defer rent in return for a larger security deposit or added monthly payments.

Asking for free months shows you’re a competent negotiator who takes his business seriously and has a long-term profit goal in mind.

Make sure to find out if it is a gross or net rate.

Daycare Business Plan Example Analytic Rubric Research Paper

How many kids are in your daycare center’s neighborhood and how many daycare centers already exist to serve them?However, as I mentioned above, you want to leave breathing room of between 20 percent to 40 percent (for things like door swing radius, required baby changing tables, required sinks, future building modifications) so you should actually have a room that’s bigger than 700-square-feet.In noting the lease information on your business plan, aim to negotiate free months of rent with your landlord. Consider agreeing to a longer lease in return for a few months free or a landlord investment in build-outs.Projected enrollment growth and market demand can also be tricky to estimate.From knowing your competition to picking the right place to establish your daycare center, there are a lot of lessons to be learned.Take an average daycare center in a city that has, say, 100 kids enrolled.If you’re in a neighborhood that has 2,000 kids you still have room for a few daycare centers to serve demand, assuming around 10 percent to 20 percent of parents will enroll their kids in daycare.Maybe it’s your prime location, your previous experience starting or helping start a daycare center, connections with top-notch staff willing to work for your daycare center, or other unique tools or services you can offer that distinguish you from your competition. Study statistics of the childcare industry: how big is it?How much do economists and experts project that it will grow in the next five years? Using some of the information from real estate websites can be a good approach, like I mentioned above.Pay special attention to the obvious: What is the square-foot-per-child requirement in your town, city, and state, and what is the price-per-square-foot of the daycare center you plan to lease?These two facts are absolutely key to putting together a solid business plan.

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