Checklist for Starting a Childcare Business

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You’ve made the big decision to start your own childcare business. Whatever your reason, whether you’re a nanny with a vision or a parent who sees a need, you’ve got a complicated and arduous task ahead of you. Arm yourself with the right information, develop a clear plan, and stay organized. Your success will depend on careful management of the process from start to finish.  

Find out about licensing guidelines

Your local government will have rules and regulations that will govern you as a small business owner and as a childcare business owner, and you want to strictly comply with both.  Start by checking out Child Care Aware of America’s licensing guidelines, and then research your specific state and city. If you’re in California the Child Care Resource and Renewal Network should have all the info you need.

Write a business plan

This is a big task, but due diligence and hard work at this stage will inform the rest of the process. Here you’ll hash out your mission statement, marketing plan, organizational plan, staffing, operations, budgets, and more. You’ll need to do your research, with a focus on understanding how much money you’ll need to successfully launch a childcare business. Are you using your own money, or are you seeking a small business loan? The U.S. Small Business Association’s website has detailed instructions on creating each necessary piece of a successful business plan. They also provide a helpful, detailed example of a plan for starting a childcare business.

Find a location

Are you opening a small home-based daycare, looking for an existing facility to rent, or starting from scratch building a new facility? In any case, you’ll need to find your business a home. Check your city’s zoning laws and childcare licensing guidelines when you’re making this decision to be sure your location is compliant.

Get insurance

Depending on the type and size of your daycare, you’ll need insurance policies of several different types, including liability, property, workers’ compensation, and business insurance. Again, check the licensing requirements for guidance.

Prepare your facility

You’ll need furniture and supplies, obviously, but you’ll also need safety equipment such as fire extinguishers, disaster supplies, etc.

Develop policies and procedures

Working off of your business plan, write out policies, procedures, and handbooks for your staff and families. Child Care Aware offers a detailed guide to this process. You’ll also develop a disaster or crisis management plan and health, safety, privacy, and nutrition protocols, all under the guidance of your local childcare licensing requirements.

Hire staff

Verify the licensing requirements for staff ratios and teachers’ educational backgrounds. Preschool staff are subject to criminal background checks and fingerprinting, and be sure to rigorously verify references and education levels. A daycare center is only as good as its staff, so make your hiring decisions carefully.

Select tools and resources for managing the day-to-day

Take advantage of the fantastic technology available to childcare businesses these days. Streamline your administrative tasks and you’ll have more time to focus on providing your families a top-notch childcare experience--which is your whole goal anyway, right? Brightwheel is an easy-to-use mobile software app that will help you manage your business and stay in touch with families. Your staff will use brightwheel for recording and tracking daily events and activities, and parents get real-time updates delivered to their mobile device throughout the day. This powerful app also offers secure, digital check-in/check-out, and an automated paperless billing system. This is a great way to keep your families looped in on daily activities.

Market your business and seek applicants

At the very least you’ll need marketing collateral and an online presence. List your daycare center in any local directories of childcare businesses and participate in daycare or preschool enrollment fairs in your area. Advertise through local businesses, parent groups, local events, popular blogs. Try sites like Parenthoods or  Red Tricycle. Run a social media campaign focusing on your target population, or host a grand opening event to attract families. Once you’ve managed to fill your inaugural child roster, continue with ongoing marketing efforts so that you’ll always be building a customer base.

Brightwheel is everything you need for your preschool or daycare, in one simple app. Download it today!

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