subject: How To Start A Daycare Or Preschool [print this page] It is believed by researchers that the most important time in a child's development is from one to six years old. Parents can have a tough decision when choosing a daycare for these impressionable years of their child. There are many factors that you will want to look into when starting a daycare.
Most likely the reason you are starting a daycare is to make money. Whether it is extra money or an extra full income it is necessary to understand what makes a daycare profitable. First you will need to research your state laws. States usually have regulations that will have to be met, such as teacher to child ratios. An example would be 1 teacher per 12 children. These regulations can vary by state and age of the children. The regulations provided by the state can have a direct impact on your bottom line. You can usually very easily find these regulations online or contact your local government.
Starting small, maybe right from your home is typically a good way to start. This will typically bring in minimal extra income, but you can expand as you begin to understand the maintenance and work of a daycare. Start-ups that start with a larger model typically take more time to become profitable and run a higher risk of failing. Starting from your home cuts down on your start-up costs substantially, unless you have a couple hundred thousand to start with and experience, you may want to start small.
You do have some options when starting as larger daycare center. Methods known as boot strapping or shoestring startups can offer ideas of starting with minimal start-up costs. Look to rent a vacant building or sublet from a business that is closing. Many times you can sublet a space from a dying company much less than what they pay for rent. You will have lower payments until the terms of lease are up, than you could agree on a new lease with the landlord. Rent will be your single most expensive investment over the life of your business. Finding an existing space also makes the zoning easier, usually has parking, and can cut down on remodeling costs.
Location, location, location. As with any business this is a tried and true statement. The location of your daycare can directly influence your success. Finding a location that is convenient and on the way to work for most parents. Look at the flow of traffic for your city and position your location accordingly. Also, beware of high traffic areas and make sure that it sets back from major streets. You want to be aware of anything that might alarm a parent.
Remodeling and creating a daycare atmosphere can be fun and rewarding. Unless you have remodeling experience you may want to call on professionals to choose the layout. You can save money by doing some things yourself. Painting, choosing and arming the furniture, decorating are all things that you can do on your own.
Finding and purchasing equipment can be timely and costly depending on the size of the daycare. Companies like Children's Factory and Jonti Craft offer popular, industry leading furniture and education products. Buying quality furniture, tools, and equipment can be a wise choice. Used or poorly built furniture and equipment may cost you more in the long run. Kids naturally are tough on things so buying strong and durable equipment is recommended.
Advertising will be an important part of your business, especially in the beginning. You have many different advertising mediums to choose from. Billboards, direct mailers, radio, TV commercials, and the internet are just a few. Some of these mediums can be costly, so choosing the best mode for your budget can be difficult. If you have a great location in a high traffic area than maybe you can skip on billboards. Ultimately you want to focus on a medium that can target your customer base, parents. A good idea for budget conscious start-ups would be creating relationships with companies and churches in the area. Offering discounts or special offers to employees or members of the companies and churches can drive inexpensive customers to your daycare. Once you become more established in the area, word of mouth advertising will become invaluable. Taking care of your clients will directly affect the long term success of a daycare.
There are many expenses that you will have to consider when the daycare is in operation. You will need to consider everything from the build out costs to cost per child. Here are a few of costs to consider.
-Equipment cost, including children's furniture, toys, desks, carpet.
-Advertising costs include your company sign, billboards, radio ads, etc.
-Cost per Child. This could include food, arts and crafts, and possible field trips. Breaking down the cost per child is very important in determining your breakeven point.
-Employees. Depending on the size of your daycare you may have substantial employee costs. This can range from teachers to cooks.
It may be important for larger daycare centers to focus on education and not just babysitting. Most parents can find an acquaintance or friend that can babysit their kids for a minimal price. The importance of a daycare is providing a safe learning environment. This will help parents see more value in your services.
You have many options and ways to start a daycare. Your success will mainly depend on your research, planning, and implementation of correct business practices. Researching your competition before beginning can provide valuable information. You can see what has brought them success and also what they may not be capitalizing on. Starting your own business can be rewarding and provide a since of accomplishment, but is also take hard work.
