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If you are a teacher, former teacher, or just have years of childcare experience and a business plan, you may want to consider starting your own home-based daycare or stand-alone facility. With jobs expected to grow by 7% over the next decade, working in childcare is a solid career choice. So, if you are wondering how to open a kindergarten, you have come to the right place.
How To Open Your Own Childcare Center
However, as with starting a business in any industry, your passion for your business – or in this case, your students – alone is not enough to ensure that your business will succeed, financially or legally. When you’re considering starting a daycare business, you should do your due diligence, pay close attention to licensing requirements, and make sure your facility and program meet your state’s health and safety regulations.
Starting A Home Daycare
If you are an expert in teaching, training, supporting and bringing together large groups of young children, you should worry about the work that needs to be done to start a daycare business. Here’s what you need to know.
While all business startups are different for each owner, there are a few steps that anyone looking to start a daycare should consider in order to create the best possible daycare.
Before you can write a business plan for your regular business, you need to decide what type of business you want to open. Find out if you want to start a home care business or an additional business location – different permits may be required depending on the region you choose. You also need to decide which age groups you want to focus on.
Next, you need to decide on a business entity that will have a major impact on taxation and day-to-day operations. Will you find partners or open your own business? Additionally, you’ll want to consider whether you want a business association that offers you some protection. Setting up the care center as a limited company can be a good move as the company will take responsibility if anything goes wrong.
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You can also choose to purchase a day franchise option. This option will configure the steps you need to take to unlock your daily work.
Once you’ve gathered this information about your business, you can move on to the next step in starting a baby business: writing a business plan.
This is a step you have to take when starting any business, and it can be a bit overwhelming, especially for those who want to jumpstart their business. When you start writing your business plan, start by outlining all the things you want to include.
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Your plan should include a brief business overview, a market analysis that includes an assessment of the needs of businesses similar to yours, a sales and marketing plan, and a financial plan with financial projections. Don’t worry, you can always add to it as your business grows.
However, one thing you should include is market research. The last thing you want to do is go through all those “how to start a daycare business” steps only to find out there’s no market for it or there are already too many daycares in the area. that’s right This is a viable business.
Your business plan should also include a budget. The costs of starting and running a daycare center will never be exact, but setting a budget will give you some parameters to work with (and stay calm).
Also, keep in mind that day care centers may be eligible for some tax deductions, which can ease your annual financial burden.
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You’ll also want to include an advertising plan. If you’re doing a lot of research on how to start a daycare business, you’ve probably spent some time babysitting in your area and built a network of local parents. This is an important way to attract customers (aka word of mouth) to closing. However, even implementing a basic marketing plan can help define and legitimize your business – and if you have to implement a waiting list, that’s okay too!
Your marketing efforts can be simple and inexpensive. You can start by creating a Facebook page for your daycare and creating a business website, making sure to include your contact information and a little about your business. If possible, plan to include photos of your workplace and testimonials from satisfied customers.
If you’re a social media geek, don’t forget to create an Instagram, LinkedIn, and/or Twitter account to let current and potential customers know about your business. Of course, be sure to get permission from parents or guardians before posting photos of their children.
Analog marketing tactics will also work well here. If possible, consider distributing letters or pamphlets to nearby libraries, schools, places of worship, or local gatherings.
Checklist For Starting A Home Daycare » Hopping In!
You may not need a master’s degree in education to become a kindergarten teacher, but each state requires a certain combination of licensure and certification to open a daycare center. Visit your state’s Department of Child Care Services (or equivalent) to learn about the training, experience, and certifications needed to legally operate a day care facility.
For example, in New York State, a daycare director must be one of the following:
You will likely find that there are certain requirements that usually come up when you are looking for how to start a daycare business at home or elsewhere. Your state may require you and anyone you hire to be CPR certified. Another safety point to keep in mind is that you should at least be trained in first aid for children. You and your employees may be required to be fingerprinted and screened before they are allowed to work.
Even if your state doesn’t require you to get a license, you should consider doing so because your licensing process will check off all the items you need to check off to run your regular business in your state, including health and safety laws, amenities and more . . cooking and the ratio of children to adults.
What To Expect At A Daycare
In some states, in order to obtain the appropriate license or registration to start your regular business, you must first demonstrate that your establishment meets your state’s health and safety requirements.
So, whether you decide to start a daycare in your home or buy or rent a new property, you need to make sure the facility complies with zoning, fire safety and health laws. When it comes to starting a home daycare, you may need to make changes to your home to meet your state’s daycare requirements, so be sure to factor that into your budget.
What is required to obtain a license? Get insurance. In some states, you will need to obtain a license from the Department of Health and Human Services to operate your own treatment center, but you will first need liability insurance.
The exception is home day care centers, which do not require a DHHS license. However, home daycares should seriously consider small business insurance. You’re always at increased risk running your own business, but the risk is even greater when you’re looking after other people’s children, so protect yourself when you can.
What Certifications Do I Need To Open A Daycare
There are many types of insurance that cover day-to-day maintenance — general liability insurance, workers’ compensation, property insurance, abuse and damage insurance, and more — so talk to an insurance broker to help you decide which coverage is best for your business.
Answer a few questions and we will match you with an insurance partner who will help you get a reliable quote.
Get a business credit card and business checking account in time to separate business expenses from personal expenses when you start childcare.
It’s important to keep your personal and business finances separate for many reasons, not the least of which is to reduce your (or your accountant’s) burden at tax time. It’s just
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