Steps to Opening a Daycare Center

If you are thinking about opening a daycare center, there are many things to consider. Many people are drawn to the idea because quality child care is always in demand and often difficult to find. It is a business that can be run from your home and later moved to a center if you decide to expand. It is also a business that you can personalize in a vast array of ways, from the activities you have for the children to the type of food you serve.

Types

First, decide what type of daycare center you want to open and where it will be located. A home daycare is where care is provided in the giver's home. Group daycare can be either in a home, church or other building that has a separate purpose. Center daycare is where the building's sole purpose and design is to provide care for children. Each type has its own set of rules and regulations, yet regardless of the type of daycare you decide to open, there are some basics requirements that apply to all three.

Requirements

Insurance is essential to operating a daycare center. You must understand the applicable laws and regulations to make sure you and the dwelling in which the service takes place is adequately insured. Most states also require you be licensed. The requirements for vary for providers and home/group/centers from state to state. If you are unsure where to apply for a license, the best place to start is with your local Department of Children and Family Services.

Business Plan

After choosing the type of daycare center you want to open and familiarizing yourself with the requirements, you should draft a business plan. This plan should include the specifics of how your daycare center will operate, including hours, rates and ages of children you will care for, as well as a list of estimated weekly or monthly expenses. Check to see if your community has a small business association to help you draft your business plan.

Funding

Grants are often available, which you can apply for through the federal and local governments. Also ask state and federally funded sources affiliated with child care such as the Child Care and Development Fund and Even Start. If your key target group is young single mothers, local businesses might be willing to contribute. Bank loans require a detailed proposal and you should seek a lawyer's input before applying for a bank loan.

Marketing

Most communities have a central listing of daycare centers that you should put your business on. Another way to market your business is by creating T-shirts. Have your first clients' children paint their hands and then press them on a shirt, then write the name of your daycare on each one with a permanent marker. Not only do the shirts serve as a keepsake for the parents, but each time the child wears it they are advertising for you. Coloring sheets are another marketing idea. Draw a simple picture for kids to color, with your daycare name and phone number on the bottom. Attach a few crayons to each. Then at a local event where kids will be restless and waiting (such as a fireworks display or a parade), hand them out.

References

• Important Daycare Information
• Start Your Own Daycare

Resources

• SCORE: Counselors to America's Small Business
• Grant Opportunities