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Preschool Business Plan Template

Written by Dave Lavinsky

preschool business plan

Preschool Business Plan

Over the past 20+ years, we have helped over 500 entrepreneurs and business owners create business plans to start and grow their preschool companies. We have the experience, resources, and knowledge to help you create a great business plan.

In this article, you will learn some background information on why business planning is important. Then, you will learn how to write a preschool business plan step-by-step so you can create your plan today.

Download our Ultimate Business Plan Template here >

What is a Preschool Business Plan?

A business plan provides a snapshot of your preschool business as it stands today, and lays out your growth plan for the next five years. It explains your business goals and your strategies for reaching them. It also includes market research to support your plans.

Why You Need a Business Plan for a Preschool

If you’re looking to start a preschool business or grow your existing preschool company, you need a business plan. A business plan will help you raise funding, if needed, and plan out the growth of your preschool business to improve your chances of success. Your preschool business plan is a living document that should be updated annually as your company grows and changes.

Sources of Funding for Preschool Businesses

With regard to funding, the main sources of funding for a preschool business are personal savings, credit cards, bank loans, and angel investors. When it comes to bank loans, banks will want to review your business plan and gain confidence that you will be able to repay your loan and interest. To acquire this confidence, the loan officer will not only want to ensure that your financials are reasonable, but they will also want to see a professional plan. Such a plan will give them the confidence that you can successfully and professionally operate a business. Personal savings and bank loans are the most common funding paths for preschool companies.

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How to write a business plan for a preschool business.

If you want to start a preschool business or expand your current one, you need a business plan. The guide below details the necessary information for how to write each essential component of your preschool business plan.

Executive Summary

Your executive summary provides an introduction to your business plan, but it is normally the last section you write because it provides a summary of each key section of your plan.

The goal of your executive summary is to quickly engage the reader. Explain to them the kind of preschool business you are running and the status. For example, are you a startup, do you have a preschool business that you would like to grow, or are you operating a chain of preschool businesses?

Next, provide an overview of each of the subsequent sections of your plan.

  • Give a brief overview of the preschool industry.
  • Discuss the type of preschool business you are operating.
  • Detail your direct competitors. Give an overview of your target customers.
  • Provide a snapshot of your marketing strategy. Identify the key members of your team.
  • Offer an overview of your financial plan.

Company Overview

In your company overview, you will detail the type of preschool business you are operating.

For example, you might specialize in one of the following types of preschool businesses:

  • Parent co-op preschool : Preschools that offer lower-cost enrollment in exchange for the volunteer work of a parent on a regular (typically weekly) basis. This type of preschool employs a teacher and an aide, but also includes parents, which reduces the payroll costs considerably.
  • Academic/play-based preschool: Preschools that stress learning via a number of experiences in academic introductions. Play-based learning is also introduced in math and pre-reading games and other forms of learning-while-you-play interactions.
  • Religious preschool: Preschools that adhere to the religious practices and beliefs of the parents in teaching, while including academic and play-based experiences for preschoolers.
  • Learning system preschool: Systems of specific teaching theories, such as Waldorf and Montessori, are offered at this type of preschool. These preschools are based on proven structures for learning.
  • Development-interaction preschool: Preschools that offer a holistic approach to preschool, focusing on the emotional, intellectual, social and physical growth of each preschool child.

In addition to explaining the type of preschool business you will operate, the company overview needs to provide background on the business.

Include answers to questions such as:

  • When and why did you start the business?
  • What milestones have you achieved to date? Milestones could include the number of programs offered, the number of preschool graduates, reaching X number of preschool locations, etc.
  • Your legal business Are you incorporated as an S-Corp? An LLC? A sole proprietorship? Explain your legal structure here.

Industry Analysis

In your industry or market analysis, you need to provide an overview of the preschool industry. While this may seem unnecessary, it serves multiple purposes.

First, researching the preschool industry educates you. It helps you understand the market in which you are operating.

Secondly, market research can improve your marketing strategy, particularly if your analysis identifies market trends.

The third reason is to prove to readers that you are an expert in your industry. By conducting the research and presenting it in your plan, you achieve just that.

The following questions should be answered in the industry analysis section of your preschool business plan:

  • How big is the preschool industry (in dollars)?
  • Is the market declining or increasing?
  • Who are the key competitors in the market?
  • Who are the key suppliers in the market?
  • What trends are affecting the industry?
  • What is the industry’s growth forecast over the next 5 – 10 years?
  • What is the relevant market size? That is, how big is the potential target market for your preschool business? You can extrapolate such a figure by assessing the size of the market in the entire country and then applying that figure to your local population.

Customer Analysis

The customer analysis section of your preschool business plan must detail the customers you serve and/or expect to serve.

The following are examples of customer segments: parents, grandparents, children, and churches, and schools.

As you can imagine, the customer segment(s) you choose will have a great impact on the type of preschool business you operate. Clearly, parents would respond to different marketing promotions than churches, for example.

Try to break out your target customers in terms of their demographic and psychographic profiles. With regards to demographics, including a discussion of the ages, genders, locations, and income levels of the potential customers you seek to serve.

Psychographic profiles explain the wants and needs of your target customers. The more you can recognize and define these needs, the better you will do in attracting and retaining your customers.

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Competitive Analysis

Your competitive analysis should identify the indirect and direct competitors your business faces and then focus on the latter.

Direct competitors are other preschool businesses.

Indirect competitors are other options that customers have to choose for their preschoolers that aren’t directly competing with your service. This includes private tutors, public schools, nannies and babysitters. You need to mention direct competition, as well.

For each direct competitor, provide an overview of their business and document their strengths and weaknesses. Unless you once worked at your competitors’ businesses, it will be impossible to know everything about them. But you should be able to find out key things about them such as

  • What types of families do they serve?
  • What type of preschool business are they?
  • What is their pricing (premium, low, etc.)?
  • What are they good at?
  • What are their weaknesses?

With regards to the last two questions, think about your answers from the customers’ perspective. And don’t be afraid to ask your competitors’ customers what they like most and least about them.

The final part of your competitive analysis section is to document your areas of competitive advantage. For example:

  • Will you provide options for translation services?
  • Will you offer family-discounts that your competition doesn’t?
  • Will you provide better playgrounds and amenities?
  • Will you offer better pricing?

Think about ways you will outperform your competition and document them in this section of your plan.

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Marketing plan.

Traditionally, a marketing plan includes the four P’s: Product, Price, Place, and Promotion. For a preschool business plan, your marketing strategy should include the following:

Product : In the product section, you should reiterate the type of preschool company that you documented in your company overview. Then, detail the specific products or services you will be offering. For example, will you provide developmental, religious, academic or play-based learning systems?

Price : Document the prices you will offer and how they compare to your competitors. Essentially in the product and price sub-sections of your plan, you are presenting the services you offer and their prices.

Place : Place refers to the site(s) of your preschool(s). Document where your company is situated and mention how the sites will impact your success. For example, is your preschool business located in a new, master-planned community, near a business district, or in a standalone building?  Discuss how your site might be the ideal location for your customers.

Promotions : The final part of your preschool marketing plan is where you will document how you will drive potential customers to your location(s). The following are some promotional methods you might consider:

  • Advertise in local papers, radio stations and/or magazines
  • Reach out to websites
  • Distribute flyers
  • Engage in email marketing
  • Advertise on social media platforms
  • Improve the SEO (search engine optimization) on your website for targeted keywords

Operations Plan

While the earlier sections of your business plan explained your goals, your operations plan describes how you will meet them. Your operations plan should have two distinct sections as follows.

Everyday short-term processes include all of the tasks involved in running your preschool business, including answering calls, placing preschoolers into programs, meeting with parents, planning and providing teaching sessions, billing and collecting revenue, etc.

Long-term goals are the milestones you hope to achieve. These could include the dates when you expect to open your fifth preschool, or when you hope to reach $X in revenue. It could also be when you expect to expand your preschool business to a new community in your city.

Management Team

To demonstrate your preschool business’ potential to succeed, a strong management team is essential. Highlight your key players’ backgrounds, emphasizing those skills and experiences that prove their ability to grow a company.

Ideally, you and/or your team members have direct experience in managing preschool businesses. If so, highlight this experience and expertise. But also highlight any experience that you think will help your business succeed.

If your team is lacking, consider assembling an advisory board. An advisory board would include 2 to 8 individuals who would act as mentors to your business. They would help answer questions and provide strategic guidance. If needed, look for advisory board members with experience in managing a preschool business or successfully leading as a principal of a public elementary school.

Financial Plan

Your financial plan should include your 5-year financial statement broken out both monthly or quarterly for the first year and then annually. Your financial statements include your income statement, balance sheet, and cash flow statements.

Income Statement

An income statement is more commonly called a Profit and Loss statement or P&L. It shows your revenue and then subtracts your costs to show whether you turned a profit or not.

In developing your income statement, you need to devise assumptions. For example, will you open a new preschool every two years, or offer summer school and daycare sessions? And will sales grow by 2% or 10% per year? As you can imagine, your choice of assumptions will greatly impact the financial forecasts for your business. As much as possible, conduct research to try to root your assumptions in reality.

Balance Sheets

Balance sheets show your assets and liabilities. While balance sheets can include much information, try to simplify them to the key items you need to know about. For instance, if you spend $50,000 on building out your preschool business, this will not give you immediate profits. Rather it is an asset that will hopefully help you generate profits for years to come. Likewise, if a lender writes you a check for $50,000, you don’t need to pay it back immediately. Rather, that is a liability you will pay back over time.

Cash Flow Statement

Your cash flow statement will help determine how much money you need to start or grow your business, and ensure you never run out of money. What most entrepreneurs and business owners don’t realize is that you can turn a profit but run out of money and go bankrupt.

When creating your Income Statement and Balance Sheets be sure to include several of the key costs needed in starting or growing a preschool business:

  • Cost of classroom furniture, equipment and office supplies
  • Payroll or salaries paid to staff
  • Business insurance
  • Other start-up expenses (if you’re a new business) like legal expenses, permits, computer software, and equipment

Attach your full financial projections in the appendix of your plan along with any supporting documents that make your plan more compelling. For example, you might include your list of parents who have enrolled their children on contract for the next two years, or the waitlist of parents who want their children to attend your preschool.

Writing a business plan for your preschool business is a worthwhile endeavor. If you follow the template above, by the time you are done, you will truly be an expert. You will understand the preschool industry, your competition, and your customers. You will develop a marketing strategy and will understand what it takes to launch and grow a successful preschool business.

Preschool Business Plan FAQs

What is the easiest way to complete my preschool business plan.

Growthink's Ultimate Business Plan Template allows you to quickly and easily write your preschool business plan.

How Do You Start a Preschool Business?

Starting a Preschool business is easy with these 14 steps:

  • Choose the Name for Your Preschool Business
  • Create Your Preschool Business Plan
  • Choose the Legal Structure for Your Preschool Business
  • Secure Startup Funding for Your Preschool Business (If Needed)
  • Secure a Location for Your Business
  • Register Your Preschool Business with the IRS
  • Open a Business Bank Account
  • Get a Business Credit Card
  • Get the Required Business Licenses and Permits
  • Get Business Insurance for Your Preschool Business
  • Buy or Lease the Right Preschool Business Equipment
  • Develop Your Preschool Business Marketing Materials
  • Purchase and Setup the Software Needed to Run Your Preschool Business
  • Open for Business

Where Can I Download a Free Business Plan Template PDF?

Click here to download the pdf version of our basic business plan template.

Our free business plan template pdf allows you to see the key sections to complete in your plan and the key questions that each must answer. The business plan pdf will definitely get you started in the right direction.

We do offer a premium version of our business plan template. Click here to learn more about it. The premium version includes numerous features allowing you to quickly and easily create a professional business plan. Its most touted feature is its financial projections template which allows you to simply enter your estimated sales and growth rates, and it automatically calculates your complete five-year financial projections including income statements, balance sheets, and cash flow statements. Here’s the link to our Ultimate Business Plan Template.

Don’t you wish there was a faster, easier way to finish your Preschool business plan?

OR, Let Us Develop Your Plan For You

Since 1999, Growthink has developed business plans for thousands of companies who have gone on to achieve tremendous success.   Click here to see how a Growthink business plan consultant can create your business plan for you.

Other Helpful Business Plan Articles & Templates

Daycare Business Plan

How to Write a Business Plan for Daycare and Preschool

  • brightwheel
  • Running a business

People sitting at a table reviewing business graphs

Writing a daycare or preschool business plan is a big task, but due diligence and hard work will help you understand what you’ll need to launch and run a daycare or preschool successfully.

people sitting around a table reviewing a business graph

What do daycare investors want?

Your local government will have rules and regulations you’ll need to follow as a small business owner and childcare provider. Start by reviewing the childcare licensing guidelines for your state and city. Once you’re clear on licensing guidelines, you’re ready to start writing your childcare business plan.

The purpose of a business plan is to help secure funding. You’ll likely need financing to launch your preschool or daycare, especially if you want to avoid the monthly repayment of a loan. 

Investors provide businesses with money in exchange for partial ownership. As a result, they expect a larger return on their initial investment. Because many investors work in business, they prefer to invest in an established company.

Most investors look for:

Industry background and experience

Financial performance and promise.

Investors want to make money. Therefore, they are more inclined to work with experienced entrepreneurs and business owners to guarantee a return on their investment. 

This might sound discouraging for those with little experience or without a business management background, but the opportunity doesn’t end there. You could consider bringing on a partner with a business background. Additionally, many investors act as a source of business advice. 

You need to demonstrate that your business will make money. Investors will likely want to see signs of business growth before they give you money. 

Additionally, investors will want to know about your financial stability. Questions an investor might ask are:

  • What do you plan to do with the money?
  • Has your business been up or down in recent years?
  • Is your company losing money? Are there signs of growth for the future?
  • How do you plan to repay your investment?

Of course, every investor is different, so they’ll consider various factors. While experience and financial promise are at the top of the list for most investors, they might also look for uniqueness, business readiness, an effective business model, and more.

A women using a calculating and holding cash

Writing a daycare business plan

We’ve discussed licensing and investors. Now, you’re ready to begin the framework of your business plan for daycares and preschools. Here’s what you’ll need to get started:

Business description

Needs assessment, insurance policies, operating policies and procedures, marketing strategy.

Start with the basics: what does your daycare do? Detailing the service you’re offering will help you create a clear business plan. Next, you might want to write some goals or even a mission statement outlining your purpose and motivation.

Start by looking at general daycare or preschool industry trends, then narrow your scope to the preschools or daycares in your local area. Next, you’ll need to figure out who your target customers are and confirm that there is a need for a business like yours in your community. 

Are there a lot of young families in your neighborhood? Are you located somewhere convenient for commuting parents? Does your business offer a specific service that your competitors don’t, like early check-in or extended hours? 

Also, check out the competition. Research the existing daycare or preschool options in your community. Look at current preschool or daycare business plan samples. What makes your daycare or preschool unique? 

Developing detailed budgets will help you run your small business. You’ll need to compare your current cash flow and expenditures to determine whether you’ll make a profit.

Build a budget for unexpected costs. For example, how many children do you need to serve to be able to pay your bills and stay afloat? Child Care Aware of America offers some terrific budgeting resources for this process.

Depending on the type and size of your preschool, you’ll need insurance policies of several different types, including liability, property, workers’ compensation, and business insurance. Check the licensing requirements for guidance in building this part of your preschool business plan.

Create a comprehensive handbook for families and staff that includes you center's policies and procedures. For instance, you'll need to develop an emergency plan , daycare sick policy , and other safety protocols according to your local childcare licensing requirements. 

Your staff handbook will be a helpful resource your employees can reference and include all your employment policies including work and pay schedules, benefits, and information about professional growth and development. You can also include information on your center's philosophy and curriculum, classroom procedures, and expectations for working with children and families.

Your marketing strategy is the key to attracting customers. Decide what type of advertising you will use in front of potential customers. For example, list your school in local directories and participate in parenting and kid-friendly community events. Run a social media campaign focusing on your target population.

Another big part of childcare business marketing is differentiating yourself from other preschools. These days adopting daycare software is a surefire way to attract families with young children. A tool like brightwheel's center management feature will streamline your center's admission process, record keeping, and reporting, saving you up to 20 hours per month. 

You can also use brightwheel for recording and tracking daily events and activities, and sending real-time updates to families throughout the day. It also offers secure, digital check-in/check-out and a paperless billing system. This is a great way to keep your families looped in on daily activities and handle all of your administrative tasks in one place.

Your business is ready!

Writing a business plan can be stressful, but it doesn’t have to be. Once you secure the proper licensing, use the information in this article to guide you through creating a solid daycare business plan that drives investors and financing to your business.

These are just the basics to get you started. For further information, the U.S. Small Business Administration’s website has detailed instructions on creating each necessary part of a successful business plan. 

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Illumine childcare software

20 steps to Start A Profitable Preschool and Reduce Expenses

a business plan for a preschool

Congratulations on making the decision to start your own preschool! Whatever your reason, whether you’re a teacher with a vision or a parent who sees a need, opening a preschool isn’t easy. If you want to run a successful preschool, you need expert advice, a clear preschool business plan, and preschool software or a childcare management app to help you stay organized and streamline your operations.

A preschool business can be a good choice if you have a nurturing spirit, plenty of energy, and an interest in stimulating young minds. In this business, you will provide supervision, fun activities, and educational opportunities for small children. In most cases, starting a preschool business means working with 3- to 5-year-old children. You can run a preschool business out of your home, in many areas, or from a commercial space.

So does your community lack quality preschool and childcare programs that prepare them for kindergarten and beyond? Here’s a data source on the number of kids in your area.

Your success in opening a preschool will depend on careful management of the startup process. This guide will explain exactly how to start your own preschool, from writing a business plan and choosing a location, to marketing, hiring, and managing your day-to-day operations with the help of a preschool app .

Before starting any business, you need to determine if it is right for you both personally and professionally. Here are a few items to think about.

Looking to start a daycare? Read step by step guide on how to start a daycare

Related article: 10 common challenges faced by preschool teachers in 2022

1. Create a business plan

The very first step towards opening a preschool is thinking like a business, and a proven way to do so is by creating a business plan.

You’ll need to do your research, with a focus on understanding the costs involved in successfully launching a profitable preschool business.

Writing a business plan is a helpful exercise that forces you to plan ahead and anticipate many of the challenges that can often lead to failure when they are overlooked, such as:

Is there enough demand for a preschool in your area (e.g. are there more families with young children in your area than existing preschools can accommodate)?

  • Are there enough working parents or big offices in your area?
  • Are you able to get a favorable rental term?
  • How much will it cost to operate your business?
  • Validate your idea with your friends and families.
  • How much will you need to charge per child, and do you have enough space?
  • How will you promote your preschool business to get children enrolled?
  • How many families with young children live in your area? How many of them need child care?
  • Who else is providing preschool in your area? Is there a need for preschool for a specific age group?
  • What is the market rate for preschool in your area?
  • How much will it cost you to operate a program on an ongoing basis? What do you need to charge to have a profitable program?
  • How will you attract parents?
  • What will make your preschool or child care program stand out from the rest?
  • Are you using your own money, or are you seeking a small business loan? Have you looked into preschool grants?

2. Find a location for your preschool

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

When making this decision, consider that home-based preschool businesses generally have fewer expenses and lower overhead, have more flexible hours, and are more convenient for you and, likely, the parents whose needs you will be serving. The legal requirements to operate a home-based preschool business are also generally less strict than those for a center-based preschool business.

On the other hand, a center-based business—while probably more expensive to establish and operate—will provide greater space so you can expand your business and earn greater revenue.

3. Competitor Research

You will be able to compare services provided by competitors must be considered and compared to your own services. For example, what kind of curriculum is being offered? Is it new and innovative? If not, how can this be capitalized on? Other concerns might be special services such as longer hours, pick-up and drop services for kids, special needs children, sick child care, or after-school program. Also, what are the rates for these services? The bottom line is provided the parents with the best value!

4. Curriculum

You need to spend a lot of time in research for a good curriculum for your preschool.

Your business plan should include a mission statement that will guide your curriculum and program philosophy.

Whether you adopt an existing pedagogy or create your own written framework, provide a learning environment that starts children down a road toward academic success and enhances their skills and knowledge. You should keep the following in mind before choosing a curriculum for your preschool

Based on current child development research. It is not acceptable to just throw out a program that is purely “fun.” You must actually research how children learn best and incorporate that into their model.

Practical to implement. It should have guidelines for not only how to structure the learning activities themselves, but also on how to set up the learning environment, how to interact with parents (if you are a classroom teacher), and how to adapt lessons to meet individual’s needs.

Provide support and training. This is especially important in the beginning when teachers and support staff are learning the materials themselves.

Appealing to children. Of course, the activities that the children participate in should be engaging, as well as be instructional.

Broadly there are these curriculums which are followed the most in the world

Ace childcare marketing with these actionable strategies 

The Montessori program

Founded by pediatrician/psychiatrist Maria Montessori in 1907, Montessori school programs (there are over 5,000 in North America) emphasize the importance and connection of all living things, and the need for each person to find meaningful work and his or her own place in the world. Children learn about other cultures, animals, and plants in addition to reading, language, and mathematical skills.

Who it’s best for

“Kids who want a hands-on learning environment suited to their own needs,” says Chelsea Howe of the Montessori Foundation. Special needs children thrive, especially those with attention deficit disorder (ADD) or other learning or psychological problems, because of the individual attention teachers pay to each student.

The Waldorf approach

According to Rudolf Steiner, founder of the first Waldorf school at the Waldorf Astoria cigarette factory in Stuttgart, Germany, in 1919, a person is made up of three aspects — spirit, soul, and body. The more than 750 Waldorf programs around the world aim to stimulate and develop these three elements in young children by immersing them in nurturing surroundings. Kids are encouraged to engage in creative free play rather than watching TV and videos and playing computer games because those activities get in the way of using all five senses to absorb and actively engage in life.

Waldorf programs tend to be more group-oriented than those at Montessori schools, for instance. If your child thrives on order and rhythmic repetition, this may be the best option. But a Waldorf education can benefit almost any child, says Patti Regan of the Waldorf Early Childhood Association of North America. Waldorf teachers believe that even children with special needs can bring something important to a group. However, the program is not recommended for children with severe developmental disabilities.

The HighScope approach

The HighScope program is based on the theory that children need active involvement with people, materials, ideas, and events. It is a curriculum of “shared control” in which adults and children learn together. Like Montessori, the core belief is that children learn best by pursuing their personal goals and interests. In HighScope, however, children are encouraged to make their own choices about materials and activities — teachers are trained to support this independence and decision-making. The HighScope approach is newer than the Montessori approach but has four decades of research proving its effectiveness in promoting children’s development

The HighScope program is a good fit for any child who needs individual attention. It was originally created for at-risk urban children and used successfully in conjunction with the government’s Head Start program. Today it is more widely used in a variety of preschool settings. It’s also effective for children with developmental delays and learning disabilities because it is tailored to each child’s individual level and pace, explains Ann Epstein, a developmental psychologist and director of the preschool department at the HighScope Educational Research Foundation. If you want your child in a very structured, adult-directed environment, HighScope may not be the way to go.

In a nutshell, hundreds of independent preschools and childcare centers around the country don’t follow any one of the preceding approaches to the letter, but instead, mix and match various elements of them to form their own program. Activities and curricula based on the work of Jean Piaget, a Swiss development/education pioneer who died in 1980, are also popular, as are schools modeled after hugely successful preschools in Reggio Emilia, a town in Italy.

4. Invest in preschool software

One of the best ways to start a successful preschool in 2019 is to take advantage of the amazing preschool technology at your disposal. Streamline your administrative tasks with the best preschool app and you’ll have more time to focus on providing your families a top-notch preschool experience–which is your whole goal anyway, right?

Illumine is an easy-to-use child care app that will help you manage your preschool and stay in touch with families. Your staff can use illumine for recording and tracking daily events and activities , and parents get real-time updates delivered to their mobile devices throughout the day. Delight parents and bridge the gap between learning that happens in your program and learning at home using our preschool app for parents . Our powerful preschool app also offers secure, digital check-in/check-out , live streaming, and an automated paperless preschool billing system . This is a great way to keep your families looped in on daily activities .

5. Prepare your preschool facility

When you are starting a preschool business, you could expand or renovate an existing facility, open a small home-based program, or find a new site. Whichever option you choose, evaluate the site and neighborhood, verify with your city’s zoning laws and preschool licensing guidelines that your location is compliant, and check your state standards to learn how much space you will need based on the number of children you plan to accept.

Depending on type and size of your preschool and the state it is located in, you’ll need a different type (or types) of insurance. This will include general liability insurance, property insurance, professional liability insurance, and workers’ compensation insurance. Contact an insurance agency or your state insurance commissioner’s office for more information.

Now the fun part.

Transform your center into a place that is safe, clean, comfortable and inviting to parents and children. Purchase child-size tables and chairs, nap mats, art materials, educational toys and games, books, outdoor play equipment, and other furniture and educational supplies for your preschool or child care business. Don’t forget safety equipment such as fire extinguishers, smoke detectors and locked medicine cabinets.

6. Live Streaming / CCTV access

In our last blog, we had highlighted why allowing preschool and childcare parents to give access to school’s cctv is a good idea .Parents are full of anxiety, apprehension, and doubts when they leave their children in a school. The best way to relieve them of their anxiety is to give them live access of the classroom. You can buy preschool software that has an integrated live streaming feature so you can control the access of the parents.

Schools realized the parental concerns and apprehensions. Over time these reduce too once the child gets comfortable. But research has shown that parents prefer to put their kids in schools which has live streaming access for them. The modern chains realized that and now even smaller ones have started following it. Some of the schools that were the first movers in this were

7. Obtain necessary licenses.

In the vast majority of cases and countries, you will have to apply for and be granted the proper licensing in order to care for children. The type of licensing you will need will depend on your jurisdiction and country. Your local municipal government office should be able to tell you what licenses you will need to obtain in order to run your preschool business. Your state’s licensing office should also be able to provide you with an overview of the licensing requirements applicable to you, which you should read carefully. This process will likely involve some or all of the following .

Attending an orientation session where you will learn about state and local requirements for operating your business and complying with applicable state law.

Filling out a licensing application.

Paying a licensing fee.

Working with the licensing agency as it reviews your business plan, inspects your facility, and completes the licensing process.

Taking classes focused on CPR, first-aid, and the like. Have these instructions pasted on the prominent locations of your preschool facility?

Undergoing a background check (and fingerprinting) for you and any prospective employees.

Undergoing medical testing/immunizations for you and any prospective employees.

Get a license from the fire safety department. You should have a fire evacuation plan as well as fire-extinguishers in place.

Parents always appreciate transparency since they are leaving a piece of their heart with you. If you explain to them your process and that you have met all the safety requirements then they will have a sense of assurance.

8. Market your preschool business and seek applicants

At the very least your child care center will need marketing collateral and an online presence. Make sure you register yourself in the google business directory. You should hire a digital agency to make sure your business is marketed to parents who are searching schools for their kids. You should create a Facebook page. The Facebook page should have your business philosophy and pictures of your facility. List your business in local child care directories and participate in preschool enrollment fairs in your community. You should definitely have a professional design your website and also install live inquiry software on the website.

Let others know about your new preschool business by posting fliers in places parents frequent, such as libraries, grocery stores, and community centers. Place ads in local newspapers and phone directories as well. In addition, ask local schools that do not have preschool programs to refer parents of preschoolers to you or allow you to post fliers on their bulletin boards.

Starting a preschool center can be challenging, but running a successful childcare business is extremely rewarding. Make things easier for your preschool with the best preschool app for kids , teachers, and parents. Wishing you the best of luck on the journey to open your own preschool.

9. Arrange capital

  • Here are some tips for raising capital for your preschool: Maintain a good credit score. A positive balance in your business bank account is a good sign for your investors and comes in handy in a financial crisis.
  • Take a loan for investing in long-term assets like your preschool building, interiors, equipment, or furniture from the bank. Many banks fund small businesses by offering attractive low-interest rates and a long duration to return the money.
  • Remember that the bank cannot fund operational expenditures such as staff salary, bills, rent, and building maintenance. You can raise capital for these utilities by getting your investors to cover for you or relying on liquid funds.

10. Name the preschool

Choosing a memorable name for your preschool is significant as your domain name will reflect it. Here are some suggestions for preschool names:

  • Miles of Laughter
  • Play and Discover
  • Smart Start
  • Sacred Steps
  • Smart Beginnings
  • New Adventure
  • Rainbow Sparks
  • Stepping Stones

When you’re buying a domain name, make sure you choose a trustworthy domain registrar like GoDaddy or A2. Secondly, use a domain availability checker tool like Namecheap to confirm that your business name is unique. If you can purchase the domain name you want, complete the registration and confirm ownership of your domain. If that domain name is owned by somebody else, find the owner’s information. Negotiate a fair price for which they’ll transfer the domain ownership to you. Opt for the former as it’s more cost-effective, and you get the bang for your buck.

11. Register your preschool

You can self-register your preschool, but getting an expert’s help understanding the law before applying would be beneficial. Consider hiring an advocate or a consultant. They will reach out to the business registration firm on your behalf and apply for your preschool’s registration.

The Private School Education Act has different regulations globally concerning opening hours, staff qualifications, taxes, etc. It can take 15-20 weeks to complete the registration process. Instead of sitting tight and waiting for your preschool’s registration, we recommend prioritizing other aspects of the business, like marketing and infrastructure in the waiting period.

12. Hire teaching and non-teaching staff

Concentrate on hiring trained staff who carry out their responsibilities efficiently and have experience looking after young children. Experienced teachers bring classroom knowledge to the table and show complete dedication and devotion to the role.

Here are a few things to keep in mind while hiring staff for your preschool:

Verify teachers’ educational qualifications and the preschool certification criteria of staff ratio.

  • Do a thorough background check, criminal check, and take down the staff’s biometrics. The safety and security of the children should be your utmost priority. If something goes amiss with a child, remember that word spreads fast in the neighborhood, and you’ll be subjected to harassment and humiliation.
  • The first day of school can be just as scary for moms and dads as it is for the kids. Transitioning from the comfort of the home to the unchartered school space where everything is uncertain and new can be overwhelming. Concerned parents want to ensure their kids stay safe.

To ease their worried minds, Illumine’s bus tracking feature ensures students’ safety. It lets parents track their children’s movement in real-time with a GPS on the driver’s phone. This feature enables two-way communication between the parent and the driver and smoothens operations.

13. Continual professional development

One of the ways to retain quality staff is to train them to keep up with the advancements in computers and technology. As the world has gone digital (aftermath of the pandemic), it is important to enroll teachers in workshops, activities, and seminars that hone their skills and expertise.

The teacher attrition rate has grown exponentially in the childcare industry. Preschools all over the US, India, and the world are facing low teacher ratios. Teachers are either pivoting to other fields or experiencing burnout, leading to resignations in mass numbers. Not to mention, hiring new staff can cost 1.5-2x more than retaining your staff.

Automating assessment recording, lesson planning , and observations can save teachers 45 hours monthly. With the time they save, you can arrange mental health workshops for them to show them you care. Consider investing in a childcare management tool like Illumine to un-complicate the administrative tasks teachers are haunted by.

14. Choose the right infrastructure

While equipping your preschool with child-safe furniture, keep these things in mind:.

  • As children bring their fair share of food and drink spills, opt for durable furniture that offers water and stain protection. It will save you time and money in the long run.
  • Pick equipment with rounded or soft edges to avoid the children from getting hurt.
  • Use slipcovers on cushions and sofas to avoid reupholstering furniture in case of damage or tear.

15. Comply with tax regulations

Pay your tax on time annually to avoid incurring a late fee. The amount you pay for your income tax will depend on the type of entity you own, i.e., profit or not-for-profit. The following preschool items are exempted from service taxes in the majority of countries:

  • Preschool education
  • Education up to higher secondary
  • Vocational education classes

Note: Check your country’s service tax regulations to make an informed choice.

16. Set operational hours

Running your preschool in the morning and evening shifts would be a good idea if you want to boost enrolments. You can have AM and PM class options to double your capacity and add to the choices parents seek. The PM classes can be held for older students, while the AM classes can be reserved for young kids.

17. Invest in automation

Childcare automation allows you to be in control of your preschool instead of your preschool controlling you!

a business plan for a preschool

Source: Agility CMS

Extending your market reach to new parents may seem a daunting task, but in reality, it can be 10x simpler with automation. Automation tools reduce costs, improve efficiency, eliminate manual errors, and encourage organizations to go paper-free. They’re a godsend, really.

At Illumine, we aim to provide parents with a top-notch preschool experience by streamlining parent communication. Your teachers can use our app to monitor classroom activities, and parents receive instant updates about them throughout the day. Moreover, Illumine provides a safe, digital check-in/check-out and a paperless billing system. When teachers are free to focus on more productive and critical tasks, you spend less paying them to do mundane tasks.

Another advantage of using automation is student reporting. You can use student data to predict their performance and suggest data-driven measures to improve it. With Illumine, You will have visual charts and cues to support your feedback during parent-teacher meetings.

The data also allows you to increase your productivity. You can track student and teacher attendance, perform cost analysis, and generate bills on the Illumine app. Our app can also integrate with Razorpay, UPI, and other digital payment tools for managing student fees. When you’ve got data at your fingertips, anything is possible.

Teachers who are a message away from the parents inspire trust in families. Thus, Illumine provides teachers a seamless platform to converse with parents and solve their problems. Our communication feature ensures you can chat with parents quickly, effectively, and meaningfully.

19. Improve business efficiency

Regular day-to-day operations require you to be on your toes all the time. Every day, there’s a fire to blow out. Your pre-defined schedules are thwarted by a pandemic, errant students, non-responsive parents, and kitchen mishaps.

We’re here to tell you that while running a business, you’ll see both good and bad days. On the bad days, remember that childcare management tools are your friend and can help you nip a problem at its bud quickly. To file paperwork for day-to-day operations, look into childcare management tools like Illumine, Himama, and Brightwheel. These platforms can help you streamline operations and expand your efficiency in conducting business.

20. Stay organized

It’s difficult to stay on top of your daily tasks while managing children, operations, and staff. That is why we’re huge proponents of color coding. Color coding is an age-old productivity hack to streamline your work. The Illumine app allows you to manage your lead inquiries by filtering them based on color cards.

  • The advantage of color coding is you can filter the leads based on the creation month, status, and source, like a referral, online, etc.
  • You can also filter them by leads you have to follow up with, leads you have closed, or those you haven’t.
  • The best part is that you can customize these color cards, which makes it super convenient to remain organized. Unlike other childcare tools, you can track your leads on our app without spending money on another management platform to keep score. The feature is supported on the web portal for now.

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Child Care Director Resources How to Make a Preschool Business Plan

How to Make a Preschool Business Plan

11th August 2020

An important early step for starting any new business is to make your business plan. Starting a preschool is no different! What expenses do you need to take into consideration? How can you think about setting your pricing? What ages should you take? What hours should you operate? Here’s how to think through each of these decisions to form your preschool business plan.

Preschool Business Plan Basics: Wonderschool’s Iron Triangle of ECE Finance

Before you think through specific business decisions you’ll need to make, it’s important to understand what you’re striving for. Meet the iron triangle. For a preschool business to be financially stable, the iron triangle must be met:

  • Full enrollment: ensure that all of your spaces are full.
  • Full fee collection: ensure that you are collecting all of your tuition and on time.
  • Revenue covers real cost-per-child: you need to ensure you are priced in such a way that your revenue is truly covering the cost of caring for each child.

Important Business-Related Decisions You’ll Need to Make

Type of license: Most states have at least two options for in-home child care licenses . Often there’s a “small” license and a “large” license, with a large license allowing you to have more children. If you’re just getting started you’ll have to choose which type of license you want. There are usually different requirements for each. For example, in California, to obtain a large license for up to 14 children, your home must meet certain fire safety requirements like number of exits and you need to have previous experience working in a licensed child care program.

One thing to keep in mind is that just because you have a license for a certain number of children, does not mean that you need to fill all of those spots. If you qualify for a larger license, you can get it and still only serve 6-8 children if you so choose.

Regardless of what you choose to do, you’ll want to make sure you understand the details of your particular license. How many children can you have at one time? What ratio of staff to children are you required to maintain?

Hours of operation: Do you plan to run a full day program? Or a half-day program? Will you operate a more “normal” school day schedule and offer before and after care for an extra fee?

Families need all sorts of care options. Think about your immediate community when thinking about your hours of operation. If you have a lot of stay at home parents, a part-day program might be perfect. If you have a lot of dual-earning parents who commute a long distance to get to their workplaces, you might need to offer extended hours.

Keep in mind that what you decide on initially does not have to be set in stone. You can always change it later, if needed. You’ll know if you’re not offering a good match for what the families in your community need if you’re not getting much interest, or if families aren’t enrolling once they tour.

Schedules you’ll offer: Related to your hours of operation, you’ll need to think about what schedules you’ll make available. Will you allow parents to enroll part time? Or do you only want full time enrollments? If you have part time schedules available, what does that look like? Is it Monday, Wednesday, Friday? Or is it half days?

Keep in mind that you can charge a higher rate for part time spots because it can be very hard to fill the alternative spots, plus the added paperwork for you. That said, not everyone wants to offer part time care.

Ages you’ll enroll: Deciding who you’ll enroll will depend on your comfort and background. If you have a lot of experience caring for and educating a specific age group, that might be your starting point. Most in-home programs serve a variety of ages, so even if your experience is with preschoolers, you may want to consider branching out from that. If your goal is to fill up quickly, infant care might be your ideal starting place, because that is an age group that is in constant high demand.

The ages you enroll will also dictate what you can charge. Because of the lower ratios required for infant care, you can charge more for infants. Often programs have separate pricing for children under 2 and children over 2.

Meals or other things you’ll offer: Will you provide snacks or meals? Or will you ask parents to provide those every day? Will you hire a yoga teacher to come once a week? Will you provide diapers, or will parents provide diapers? These are all expenses you’ll need to account for in your tuition pricing. Remember that one part of the iron triangle is ensuring your pricing covers the actual cost of care per child. These expenses should be taken into account.

Your plan for hiring staff: You may not need to hire staff until your enrollments surpass a certain number. Determine what that number is for you– do you feel comfortable caring for three children alone, but not four? Decide at what point you’ll hire help, and how many hours you intend for them to work. Will you have a full time assistant? Or two part time assistants?

Decide on how many hours per week you will need to pay your staff, and then determine what you can afford to pay them. Researching on Indeed can be a great way to get a sense of pay scale for assistant teachers in your area. Keep in mind that paying a higher amount will likely yield more higher quality and more reliable candidates. If you’re priced too low you either won’t find anyone, or will have to deal with increased staff turnover.

Your vacation policy: You’ll want to think through your vacation policy, both for time you take off, and for time your families take off. Will parents need to pay while they’re on vacation? Or will you give them a discount? Will parents need to pay while you’re on vacation? Or will you give them a discount? There are pros and cons however you do it, but you’ll want to think this through and include your policy in your parent handbook so the expectations are set from the start. However you structure it, you deserve to get paid vacation, so if parents aren’t continuing to pay while you’re closed, you’ll want to make sure that gets added to your tuition calculations.

Use the Above Information to Determine Your Pricing

Pricing can be a bit of trial and error. Generally, it can be a good idea to price yourself a bit lower when you’re just getting started. Then, when you’re full, you can gradually increase your prices.

To determine your starting point, add up all of your anticipated monthly expenses. You’ll need to price yourself to make sure you cover those expenses, and also pay yourself. Keep in mind that as a business owner, you’ll be responsible for paying your own taxes. You can generally expect to pay 30% of your revenue to taxes.

Keeping it All Organized

Pricing might feel like a bit of a puzzle that needs to be fit together, and it should. You want to make sure your pricing reflects your real costs as a business owner. The final piece to your business plan is that you’ll want to make sure you figure out how you’re going to track all of your business expenses. This will make it easier when it comes time to pay taxes, but it will also help you keep an eye on the health of your business. There are a variety of tools available to purchase to track this stuff, or you can start out with your own spreadsheet or pen and paper system. Whatever works for you is fine, just set it up and use it. Sometimes our tendency with money is to bury our heads in the sand, but that won’t help you make informed decisions down the road.

Starting a new business always comes with a certain amount of risk. By thinking through all of the different facets of your child care business, you will better be able to mitigate that risk. It can be scary to stand up and say “this is what my time as an early educator and care provider is worth,” but your business plan should give you confidence to do just that. Good luck with your successful and sustainable child care business!

Essential reading

New york state family child care licensing: types of licenses.

19th July 2017

As you start your in-home child care program, you will ...

Maryland family child care licensing: Home requirements

14th December 2017

This post is a part of our series on Maryland ...

Child Care Marketing Tips During a Pandemic

16th December 2020

Enrollment is a constant concern for many child care programs ...

Meredith Downing

Meredith Downing

Meredith Downing is the Curriculum Lead at Wonderschool, where she supports directors to build high-quality programs that help students grow and succeed.

a business plan for a preschool

The Daycare Business Plan Blueprint (Examples + Template)

a business plan for a preschool

April 14, 2022

Adam Hoeksema

Starting a daycare business can be a daunting task. There are so many things to think about and plan for. You need to find the perfect location, get the right licenses and permits, hire qualified staff, and, most importantly, create a daycare business plan. 

Creating a daycare business plan is one of the most important steps in starting your business. A well-thought-out business plan will help you get funding, attract investors, and operate your business effectively. 

The bad news is that there is a lot of advice out there on writing a business plan. With so much information and tons of daycare business plan examples to choose from, it can be overwhelming to know where to start. 

The good news is, we've got you covered. In this article, we'll give you a comprehensive guide on how to write a daycare business plan. We will also provide some examples and a free daycare business plan template to get you started. 

But First...Is a Daycare a Good Business to Start? 

Before we talk about how to create a daycare business plan, let's first answer the question: is starting a daycare a good business to get into? 

The answer is a resounding yes! The daycare industry is growing rapidly. It is one of the few businesses that are not only recession-proof but also thrives in uncertain economic times. 

According to the National Association of Child Care Resource & Referral Agencies (NACCRRA), the demand for child care services has increased by 26% over the last decade. This demand is only expected to grow in the coming years. 

When it comes to profitability, the daycare industry is very attractive. According to IBISWorld , the average profit margin for a daycare business is around 15%. That's higher than the average for most other industries! 

If you're thinking about starting a daycare business, know that you are getting into a very profitable and in-demand industry. Now let's talk about how to write a daycare business plan that will help you start and grow your business successfully.

How to Create a Daycare Business Plan 

A daycare business plan is as simple as a word document with the following sections:

  • Business Description
  • Market Analysis

Business Model

  • Location and Facility
  • Marketing Plan
  • Financial Plan

Executive Summary

This article will provide context of what to include in each section of your daycare business plan. As you work on writing your business plan, you will want to grab our daycare financial projection template as well in order to complete the financial plan section.

Your daycare business plan should be an elevator pitch in itself. It should be attractive to potential partners and investors. Basically, it should give them a clear idea of your business, where it is located, what services you offer, who your target market is, and how you plan to make money. 

Creating a daycare business plan doesn't have to be complicated. In fact, the cheapest and easiest approach is to simply start with a blank word document and work through each of the above sections, it can be pretty easy. Here is a step-by-step guide on how to create a daycare business plan: 

Create a Compelling Business Description

Your daycare business's unique selling point (USP) should be the first thing you include in your business plan. What is it that makes your daycare center different from all the others? 

This description should be the foundation of your marketing efforts as well.

There are a few questions you should answer in your company description. They include:

What's your Curriculum Based On?

Potential investors, partners, and even customers will be interested in knowing what your curriculum is based on. This will help them understand the environment children will be in a while under your care. 

When describing your curriculum, make sure to include:

  • What age ranges do you cater for?
  • The type of care you offer (full-time, part-time, drop-in) 
  • Your educational philosophy 
  • The activities and programs you offer 

For example, if your daycare is unique by offering a Montessori curriculum, you will want to highlight that.  In fact, you can learn more about how to start a Montessori program here . 

How Big is Your Facility? 

The size of your facility will say a lot about the type of operation you're running. Are you a small, home-based daycare or a large center with multiple classrooms? 

This section of your business plan may include: 

  • A floor plan of your facility 
  • The capacity of your facility 
  • The number of employees you have 
  • Type of equipment and furniture you have 

Who Is Your Target Market? 

You can't market to everyone, so you must identify your target market. This will help you focus your marketing efforts and ensure that you're reaching the right people. 

Below is a daycare business plan example that shows how your business description should be:

“ABC Daycare is a small, home-based daycare located in San Francisco, CA. We cater to children aged 0-12 years old and offer full-time, part-time, and drop-in care. 
Our curriculum is based on the Reggio Emilia approach, emphasizing hands-on learning and collaboration. Activities and programs include arts and crafts, music, and outdoor play. 
Our facility can accommodate up to 12 children at a time. We have a staff of four employees who are all CPR and First Aid certified. 
Our target market is working parents in the city who need quality child care but can't afford the rates of larger daycare centers.  We've created an affordable subscription-based pricing model for our target market to fulfill the demand. We generate revenue through monthly subscriptions and have low operating costs due to our small size. 
Our suppliers are local businesses that provide us with food, toys, and other supplies.” 

Do a Thorough Market Analysis

After writing a compelling description of your business, you need to do a thorough marketing analysis. This analysis will help you determine your target market, what type of advertising and promotion will work best, and how to price your services. 

You should also research the competition and see what they are doing right and wrong. This information will be invaluable as you create your daycare business plan.

Keep these things in mind when doing a market analysis:

The Size of Your Market

This is determined by the number of potential customers in your area who need or want your services. 

For example, if you live in a small town with only a few thousand people, there may not be enough demand to support a large daycare facility. 

On the other hand, if you live in a city with hundreds of thousands of people, there may be room for multiple daycare facilities. 

Your target market is the segment of the population that is most likely to use your services. This includes factors like age, income, education, and location. 

After you've identified your target market, you need to show how you plan on fulfilling the demand. This is where your business model comes in. 

Your business model is a detailed description of how your daycare will operate daily. It should include: 

  • How do you plan on acquiring customers? 
  • What are your pricing strategies? 
  • How will you generate revenue? 
  • What are your operating costs? 
  • Who are your suppliers? 

Your business model should be detailed and easy to understand. It should also be realistic and achievable. 

Here is a daycare business plan example of a business model for a small daycare center: 

“The daycare will be open Monday through Friday from six in the morning to six at night. We will offer care for children ages six weeks to twelve years old. 
Our rates will be $50 per week for one child and $40 per week for each additional child from the same family. We will offer a discount of $20 per week for families who enroll their children for an entire year. 
We will generate revenue by charging weekly rates for our services. Our operating costs will include rent, utilities, supplies, and salaries for our employees. Also, we will acquire customers through online advertising and word-of-mouth.” 

As you can see, a business model is a detailed description of how your business will operate. It's essential to have one in place before promoting and selling your services. 

One thing you should not forget to include in your daycare business plan is the location of your business and your rental agreement. If you are renting a space, including the terms of your agreement and how long you have the space. If you are purchasing a property, include information on the property, such as square footage and any special features that will help your business stand out. 

This daycare business plan example shows you how to include this vital information: 

“The daycare will be located at 123 Main Street in a commercial space currently leased by the owner. The lease agreement is for three years with an option to renew for an additional three years. The monthly rent is $2000, and the security deposit is $3000. 
The daycare will have exclusive use of the main floor, including a large open play area, a small kitchen, two bathrooms, and four classrooms. The daycare will also have access to the outdoor playground.
80% of our space will be used for childcare, with the other 20% used for our administrative offices and staff lounge. 
We have chosen this location because it is close to several residential neighborhoods and has easy access to public transportation. The space is also large enough to accommodate our future growth.” 

There are many daycare business plan templates you can use to help you get started. This is a basic outline of what should be included.

Daycare Marketing Plan

Most daycare business plan templates will include a section for your marketing plan. Most people overlook the marketing aspect of their business, but it is one of the most important pieces of your puzzle. 

In your business plan, you need to outline your target market, your marketing strategies, and how you plan on executing those strategies. 

You also need to set aside a budget for your marketing efforts. Many people make the mistake of thinking that they don't need to spend money on marketing, but that couldn't be further from the truth. 

The following daycare business plan example shows you how you should describe your marketing efforts:

"Our target market is working for families with children between six weeks and five years old. We will reach our target market through online and offline marketing efforts. 
Some of the offline marketing strategies we will use include print advertising, flyers, and word-of-mouth referrals. We will use a mix of SEO, content marketing, and social media for online marketing. 
We have set aside a budget of $500 per month for our marketing efforts."

As you can see from the example above, your marketing plan should be clear, concise, and to the point. Don't forget to include a budget!

Daycare Financial Plan

Your business plan should include a financial plan section. This is where you'll lay out how much money you need to start or grow your business. Be specific and include dollar amounts. If you're seeking a loan, including information on how much you're requesting and how you'll use the funds.

You should also include a detailed budget in your business plan. Your budget should include all of your projected income and expenses for at least the first year of operation. Creating a budget will help you get a clear picture of what it will cost to start and operate your business.

This section should include projected costs for:

  • Rent or mortgage payments
  • Advertising and marketing
  • Operating expenses such as utilities, supplies, and more. 

Startup costs are another vital item to include in your business plan. This is the money you need to purchase equipment, furniture, or any other items to get your business up and running.

If you plan to secure a loan, your lender will want to see a detailed business plan with information on how you plan to use the loan funds. Ensure you include this information in your business plan to increase your chances of securing funding.

If you're seeking funding from investors, you'll need to include information on how they will be compensated. This is typically done through equity, a percentage ownership stake in your business. 

For example, if you seek $100,000 in funding and offer a 20% equity stake, the investor will own 20% of your business. 

Make sure you use a daycare business plan template that includes a section on funding to ensure you include all the necessary information. If you’re planning to get a loan or seek investment, you’re going to need full financial projections. Our daycare financial model will provide up to 5 years of projected income statements, cash flow and balance sheet forecasts.

Next I want to answer some key financial questions for you as you consider how to forecast your daycare financials. I am going to hit on:

  • Daycare Startup Costs
  • Daycare Revenue 
  • Daycare Facility Operating Expenses
  • Daycare Profitability

Let’s dive into some key questions. 

How much does it cost to start a daycare? 

It costs between $10,000 and $50,000 to start an in-home daycare business according to Bizfluent . 

It costs between $59,000 and $3 million dollars to start a daycare facility according to Bizfluent . 

So obviously this is a huge range in startup costs.  The main thing that will determine your startup costs is your daycare facility.  Depending on how large your daycare is, whether you are buying, building, or leasing the space, and how much renovation needs to be done, your startup costs can vary drastically.  

Some tips to help you estimate a cost of a daycare facility:

  • A daycare facility should have 35 square feet of open floor space indoors per child. 
  • So if you wanted a facility that could care for 100 children you would need 3,500 square feet of indoor space for children, plus additional space for offices, kitchen, bathrooms, etc.  Let’s assume that you would need at least 5,000 square feet of space for a daycare facility that served 100 children.  
  • A daycare center would cost at least $295 per square foot to construct in the U.S. based on data from Levelset . 
  • Constructing a new 5,000 square foot daycare center would likely cost at least $1,475,000 based on $295 per square foot.  
  • Now you might not be constructing new, rather you might rent an existing facility which could require renovations.  You will need to get a specific quote for the specific renovations that you need for your space. 

How much revenue can a daycare business make?

A daycare facility can generate $17,680 in revenue per year per child according to Zippia .  

A daycare business with 100 children can generate over $1.75 million per year in annual revenue based on our average revenue per child of $17,680. 

How much does daycare cost?

The average cost of daycare is $17,680 per year, per child in the U.S. according to Zippia . 

This means that the average monthly cost of daycare in the U.S. is roughly $1,475.

What is the typical child to staff ratio for a daycare? 

The typical child to staff ratios for a daycare are:

  • 1 adult staff for every 4 infants (age 0 to 12 months)
  • 1 adult staff for every 6 toddlers (age 1 to 3 years)
  • 1 adult staff for every 10 pre schoolers (age 3 to 5 years)
  • 1 adult staff for every 12 school aged children (5+ years old)

Source -

These ratios will help you estimate how many staff members you will need.  Our financial projection template makes this easy.  Just enter in your ratios and the number of children you expect to have in each age group and the model will automatically calculate the number of staff required to maintain your ratios.  See the input daycare staffing table below:

a business plan for a preschool

What are the typical operating costs for a daycare? 

Your largest operating expense for a daycare facility is likely to be your rent. 

It should cost between $20 and $30 per square foot to rent a daycare center space based on available spaces on Loopnet . 

Other operating costs for a daycare center include:

You can see how you can enter in your operating costs into our financial model below:

a business plan for a preschool

How much profit can a daycare make? 

The average daycare profit margin is 6.5% according to Daycare Business Boss . 

Once you complete your projections you will want to take a look at our At a Glance tab to make sure that your projected profit margins aren’t way out of line with the industry norms.  You can find projected profit margins for your daycare below:

a business plan for a preschool

This is an important aspect that you may not find in most daycare business plan templates, but it's still essential. An appendix includes any additional information to help you understand your business plan. This might include things like your:

  • Business licenses 
  • Insurance policy 
  • Lease agreement 
  • Sample contracts 
  • Staff bios 

This section adds credibility to your daycare business plan and shows that you've done your homework. Including all of the necessary details in your appendix will give investors peace of mind and show that you're serious about starting a daycare center.

An executive summary is a brief overview of your business plan and is often considered the most important section. It should be two pages long, with a clear description of your business, your goals, and why you will achieve them.

There are several key elements to include in your executive summary:

  • Business Name: This is the name you have chosen for your business.
  • Location: Include the city, state, and country where your business will be located.
  • Business description: Describe what type of business you will be operating.
  • Target market : This is the group of people you will be targeting as customers.
  • Competition: Who are your competitors, and how will you compete with them?
  • Product or service : What product or service will you be offering?
  • Sales and marketing: How will you generate sales?
  • Financials: Include a five-year income statement, balance sheet, and cash flow statement.
  • Management team: Introduce your management team and their experience.
  • Exit strategy : This is the plan for how you will eventually sell or otherwise exit the business in case you decide to retire or move on to other projects.

The executive summary is the most crucial section of your business plan because it gives investors and lenders a quick overview of your company and its prospects. Be sure to include all of the key elements listed above, and keep it under two pages in length.

What Are The Benefits of Creating a Daycare Business Plan?

Research shows that a business plan helps business owners make better decisions, turn abstract goals into tangible objectives, and track progress over time. But what does this mean for those who want to open a daycare? 

Creating a business plan forces you to think through every step of starting your company. It's a valuable exercise that can save you time and money in the long run. Even if you don't end up following your business plan to a tee, the process of writing it will help you better understand your business and what needs to be done to make it successful. 

There are many benefits to creating a daycare business plan, including: 

Gives You a Roadmap to Follow

As with any journey, it's always helpful to have a map. A business plan is that map for your daycare business. It will give you a clear idea of where you want to go and how you can get there. 

Helps You Secure Funding

A business plan is essential if you're looking for investors or loans. It will show potential lenders and investors that you've put thought into your business and have a solid strategy for making it successful. 

Ensures Your Daycare Business is Feasible

When you're starting a business, it's easy to get caught up in the excitement and overlook potential problems. A business plan forces you to take a step back and assess whether your business is truly viable. It also helps you identify any areas where additional research is needed. 

Final Thoughts

A daycare business plan is a valuable tool to help you make your business successful. 

It is worth noting that your business plan is not a one-time exercise but should be updated regularly as your business grows and changes. This document is meant to be a living document that evolves as your business does. 

If you're unsure where to start, there are plenty of resources available to help you, including daycare business plan examples online, books, and daycare business plan templates. 

You can also use our daycare projection template to get your financial plan ironed out and ready for your business plan.

The most important thing is just to get started. The sooner you create your business plan, the better prepared you will be for success.

You can get the Daycare Facility financial projection template here!

The template is simple to use and will save you loads of time while still producing professional looking daycare projections. ProjectionHub has helped more than 50,000 businesses create financial projections so you can be confident that you can do it too.

The daycare business projection template includes:

5 Year Daycare Facility Pro Forma Financial Statements

CPA Developed & Completely Customizable

Free Support & Projections Review

Compatible with Google Sheets

Free expert review of your completed projections

The template is easy to use and you do not need to be an excel wizard to fill it out. Editable cells are highlighted in blue, a video guide is included, and our team is available to answer any questions you have.

You can see the complete walkthrough and demonstration of the daycare business forecast template here:

Get the template today for just $79

a business plan for a preschool

If you have any questions before purchasing, please feel free to begin a live chat or email us at [email protected]

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About the Author

Adam is the Co-founder of ProjectionHub which helps entrepreneurs create financial projections for potential investors, lenders and internal business planning. Since 2012, over 40,000 entrepreneurs from around the world have used ProjectionHub to help create financial projections.

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How to Write a Preschool Business Plan

preschool business plan

Are you thinking about starting your own preschool? If so, it’s crucial to create a plan before you open your school. There are many factors that go into running a successful preschool. Your plan’s action items will depend on the specifics of your vision for your business.

In this blog post, we’ll discuss the steps that go into writing a comprehensive business plan for a preschool business. We’ll outline the essential components of a solid business plan. And we’ll also provide some helpful tips so you can write your own!

Ask yourself: What will the purpose of your preschool be?

One of the first steps of outlining your preschool business plan is determining your preschool’s purpose. Creating your mission statement will help guide you through all aspects of running your preschool. It ensures that your mission’s intended purpose is aligned with your vision.

There are a number of different types of preschools out there. Whether you’re looking to create an inclusive school environment or you intend to open an all-day preschool that caters to children who have autism or other special needs, it’s important to identify what type of preschool you intend to run before moving forward.

Determine the costs & revenue for your business plan

The next step in writing your preschool’s business plan is to determine the cost of starting your preschool. This includes the most common expenses. For example, monthly rent or mortgage payments, equipment and furniture, registration fees, and advertising/marketing materials (like flyers or brochures).

All of these expenses add up fast! You’ll want to do some research into the tuition prices of similar schools in your area. This will not only give you a helpful benchmark but can also give you a competitive edge as well.

Examine your market needs

Next, you’ll want to examine your market. This includes looking at the size of your target demographic and who they are. It also includes children’s age range and where your prospective families live in relation to where you plan to open up shop.

You’ll also need to develop a  grasp of the types of families that might be interested in enrolling their children at your school so that you can tailor your marketing materials specific to them.

If you don’t complete this step first, it will be hard to know how much time or money you’ll need to allocate toward advertising or how to determine your school’s enrollment fees. No preschool business plan is complete without this very important step!

Establish policies and procedures

Your next step in outlining your preschool business plan is establishing the policies and procedures you plan to implement. The best way to communicate your policies and procedures to new families and employees is through handbooks.

For employees, you need to ensure that you include information in your handbook about policies and procedures for requesting time-off, reporting children’s absences, your dress code if applicable, and more!

For new families, their handbook should include information about the registration process, pick-up and drop-off times, student attendance policies, and whom to contact if there is a problem with your services or facilities, for example. All of these little things go a long way with new parents and employees.

Promote your new preschool

Nowadays, most businesses have a website so people can find information including that business’s location, contact details, and what types of services they provide. Preschools are no exception. Make sure that when you set up your website , it is user-friendly, loads quickly, and reflects your preschool’s core values.

Not only does a stellar website legitimize your preschool in the eyes of prospective parents, but it also acts as a hub for all of the other channels to which you need to promote your preschool… which brings us to our next mode of promotion: social media!

If your social media presence is lacking (or even worse, nonexistent), you are almost guaranteed to be missing out on reaching an entire audience of prospective families in your area. We recommend you start by establishing pages on platforms like Facebook and Instagram.

Make sure that you post regularly (about three to five times per week), and ensure that your content is consistent across the board. With the availability of new automation tools that can help you schedule your posts, not having enough time is no longer an excuse!

While online marketing initiatives make it easier to measure your results, it’s also wise to incorporate some more traditional marketing methods as well. Hanging flyers at local businesses and organizations is an easy, low-cost way to get the word out about your school.

Once you start gaining enrollments, you can even offer parents incentives if they make referrals to their friends and family!


Your preschool business plan needs to be clearly outlined before you open your doors. This will ensure that everything goes as smoothly as possible, in both the short-term and long-term. You’ll need to make decisions regarding costs, operating policies, and procedures, examine your market needs, and develop an effective promotion strategy for attracting families.

From there, your main focus will be driving and retaining enrollments so that your preschool can thrive!

Are you thinking about opening your own preschool? Contact No Joke Childcare today for a free consultation!

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Preschool Business Plan [Sample Template]

By: Author Tony Martins Ajaero

Home » Business Plans » Education Sector » Schooling

Preschool industry operators provide daycare services for children under the ages of three and four to prepare them for kindergarten.

The dispersion of the preschool programs reflects in the geographic distribution of the children, which is also influenced by the cost and supply of preschool programs, income and housing affordability patterns, labor, and child care subsidy policies.

Also, varying state and local regulations and licensing requirements affect employment in this industry. Preschools are under the Early Childhood Learning Centers Industry and the market size, measured by revenue of the Early Childhood Learning Centers industry is $10.7bn in 2023. The industry is expected to increase by 4.6% in 2023.

Steps on How to Write a Preschool Business Plan

Executive summary.

Auntie Lavendar® Preschool, Inc. is a standard and well–equipped preschool that will be located in a well-populated residential estate in Ashville – North Carolina, USA. We provide daycare services for children under the ages of three and four to prepare them for kindergarten.

Aside from the fact that we will operate a preschool center, we will also propvide in-home tutoring – we will go to the homes of our students as demanded by their parents. Donald Derrick is the founder and CEO of Auntie Lavendar® Preschool, Inc.

Company Profile

A. our products and services.

Auntie Lavendar® Preschool, Inc. will provide a wide range of services that revolves around providing daycare services for children under the ages of three and four to prepare them for kindergarten. Our services are designed to give early childhood education to kids under the age of 4 and also help provide relief to parents when they need to be away from their kids for a period of time.

b. Nature of the Business

Auntie Lavendar® Preschool, Inc. will operate the business to consumer business model (B2C).

c. The Industry

Auntie Lavendar® Preschool, Inc. will operate under the Early Childhood Learning Centers Industry.

d. Mission Statement

Our mission is to provide safe and secured daycare facility and services geared towards educating and taking care of kids of a certain age. We are all out to prepare kids for kindergarten.

e. Vision Statement

Our vision of establishing our preschool is to grow the business to be amongst the top three preschools in the whole of the United States of America.

f. Our Tagline (Slogan)

Auntie Lavendar® Preschool, Inc. – Rasing and Educating Golden Kids!

g. Legal Structure of the Business (LLC, C Corp, S Corp, LLP)

Auntie Lavendar® Preschool, Inc. will be formed as a Limited Liability Company (LLC). The reason why we are forming an LLC is to protect our personal assets by limiting the liability to the resources of the business itself. The LLC will protect our CEOs’ personal assets from claims against the business, including lawsuits.

h. Our Organizational Structure

  • Head of Preschool (President)
  • Preschool Administrator
  • Account Officer
  • Early Childhood Educators
  • Front Desk Officer
  • Cleaners and Nannies
  • Security Guards

i. Ownership/Shareholder Structure and Board Members

  • Sophia Lavendar (Owner and Chairman/Chief Executive Officer) 51 Percent Shares
  • Solomon Lavendar (Board Member) 19 Percent Shares
  • Adrain Lavendar (Board Member) 10 Percent Shares
  • Larry Brad (Board Member) 10 Percent Shares
  • Lauren Williams (Board Member and Secretary) 10 Percent Shares.

SWOT Analysis

A. strength.

  • Ideal Location for preschool business
  • Highly Experienced and Qualified Employees and Management
  • Highly Secured and Clean Facility
  • Highly structured programs aimed at giving kids early childhood education and to prepare them for kindergarten.

b. Weakness

  • Financial Limitations
  • Operating from a leased facility (restriction to fully modify the facility to suit our style and taste)
  • Inability to retain our highly experienced and qualified employees longer than we want

c. Opportunities

  • Growth in per capita disposable income influences demand for early childhood learning centers. Households with higher disposable income are more likely to be able to afford higher-quality child care and, thus, will be more likely to demand higher-cost services. Per capita disposable income is expected to increase in the coming year, presenting an opportunity to the industry.

i. How Big is the Industry?

The early childhood learning industry is indeed a big industry. The market size of the is projected to be over $10.7 billion in 2023.

ii. Is the Industry Growing or Declining?

Available statistics point to the fact that the industry is presently not growing and revenue for the industry has been adjusted from an increase to a decline.

Please note that from 2022 the revenue of the industry is anticipated to start growing as the economy recovers and COVID-19 (coronavirus) cases subsequently drop in line with the nationwide vaccination rollout. As a matter of fact, available data shows that the industry is projected to grow by 4.6 percent in 2023 recovering from a decline of -3.8 between 2017 and 2022.

iii. What are the Future Trends in the Industry

The early childhood learning centers industry is changing, and players in the industry are improvising. No doubt, technology, kids-friendly legislature and customized software will change the landscape of the industry going forward.

iv. Are There Existing Niches in the Industry? If YES, List them

No, there are no niche ideas when it comes to preschool line of business.

v. Can You Sell a Franchise of your Business in the Future?

Auntie Lavendar® Preschool, Inc. has the plans to sell franchise in the nearest future and we will target major cities with a growing numbers of parents in the United States of America.

  • Lack of support from stakeholders and the government
  • Unfavorable government policy and regulations.
  • Community resistance (May not want such facility to be located in their community)
  • Liability problems
  • Arrival of competitors within our market space.

i. Who are the Major Competitors?

  • The Episcopal School
  • Pacific Northern Academy (PNA)
  • Westside Neighborhood School
  • Lowell School
  • East Linn Christian Academy
  • Cambridge-Ellis School
  • Saint Ann’s
  • The Children’s School.
  • Germantown Friends School
  • Beyond ABCs
  • Mary Institute and Saint Louis Country Day School
  • Avenues World School
  • National Child Research Center
  • Wetherby-Pembridge School
  • University of Chicago Laboratory Schools
  • Greenhill School
  • Presidio Knolls
  • Ecole Bilingue de Berkeley
  • Gems World Academy
  • Bank Street School.

ii. Is There a Franchise for Preschool?

Yes, there are franchise opportunities for preschool and here are some of them;

  • Genius Kids (Initial investment: from $122,000)
  • KLA Schools (Initial investment: from $1,100,000)
  • Adventure Kids Playcare (Initial investment: from $385,000)
  • Primrose Schools (Initial investment: $652,000)
  • Discovery Point (Initial investment: from $405,570)
  • Lightbridge Academy (Initial investment: from $581,000)
  • Building Kidz School (Initial investment: from $214,000)
  • KidsPark (Initial investment: from $261,000)
  • Montessori Kids Universe (Initial investment: from $424,000)
  • The Goddard School (Initial investment: from $698,000)
  • Kiddie Academy (Initial investment: from $400,000)
  • The Learning Experience Academy of Early Education (Initial investment: from $544,000).

iii. Are There Policies, Regulations or Zoning Laws Affecting Preschools?

Yes, there are county or state regulations and zoning laws for preschools, and players in this industry are expected to work with the existing regulations governing such business in the county or state where their business is domiciled.

For example, the designated area for children’s activities should contain a minimum of forty-two square feet of usable floor space per child. A usable floor space of fifty square feet per child is preferred. However, you may be subject to local permits depending on how you plan to operate your preschool.

Marketing Plan

A. who is your target audience.

i. Age Range

We will admit children between the ages of 2 and 4 years old.

ii. Level of Educational

We don’t have any restrictions on the level of education of those we will admit their kids to our preschool.

iii. Income Level

We don’t have any cap on the income level of those we will admit their kids in our preschool.

iv. Ethnicity

There is no restriction when it comes to ethnicity of the people we are looking forward to admit their kids in our preschool.

v. Language

There is no restriction when it comes to the language spoken by the people we are looking forward to admitting their kids to our preschool, however, we will prefer people who speak the English language.

vi. Geographical Location

Any parent from any geographical location will be welcome to enroll their kids in our preschool.

vii. Lifestyle

Auntie Lavendar® Preschool, Inc. will not restrict any parent from accessing our facility and services based on their lifestyle, culture or race.

b. Advertising and Promotion Strategies

  • Host Themed Events That Catch The Attention of Parents.
  • Tap Into Text Marketing.
  • Use FOMO to Run Photo Promotions.
  • Share Your Events in Local Groups and Pages.
  • Turn Your Social Media Channels Into a Resource
  • Develop Your Business Directory Profiles
  • Build Relationships With Other Parent Associations in our Area

i. Traditional Marketing Strategies

  • Marketing through Direct Mail.
  • Print Media Marketing – Newspapers & Magazines.
  • Broadcast Marketing -Television & Radio Channels.
  • OOH Marketing – Public Transits like Buses and Trains, Billboards, Street shows, and Cabs.
  • Leverage on direct sales, direct mail (postcards, brochures, letters, fliers), referral (also known as word-of-mouth marketing).

ii. Digital Marketing Strategies

  • Social Media Marketing Platforms.
  • Influencer Marketing.
  • Email Marketing.
  • Content Marketing.
  • Search Engine Optimization (SEO) Marketing.
  • Affiliate Marketing.
  • Mobile Marketing.

iii. Social Media Marketing Plan

  • Start using chatbots.
  • Create a personalized experience for our clients.
  • Create an efficient content marketing strategy.
  • Create a community for young parents and intending parents.
  • Gear up our profiles with a diverse content strategy.
  • Use brand advocates.
  • Create profiles on the relevant social media channels.
  • Run cross-channel campaigns.

c. Pricing Strategy

When working out our pricing strategy, Auntie Lavendar® Preschool, Inc. will make sure it covers profits, insurance, premium, license, and economy or value and full package. In all our pricing strategy will reflect;

  • Cost-Based Pricing
  • Value-Based Pricing
  • Competition-Based Pricing.

Sales and Distribution Plan

A. sales channels.

Our channel sales strategy will involve using partners and third parties—such as referral partners, affiliate partners, parent clubs, and clinics to help refer parents to us.

Auntie Lavendar® Preschool, Inc. will also leverage the 4 Ps of marketing which are place, price, product, and promotion. By carefully integrating these marketing strategies into a marketing mix, we can have a visible, in-demand service that is competitively priced and promoted.

b. Inventory Strategy

The fact that we will need toiletries, change of beddings, supplies and food per time means that Auntie Lavendar® Preschool, Inc. will operate an inventory strategy that is based on a day-to-day methodology for ordering, maintaining and processing items in our warehouse. We will develop our strategy with the same thoroughness and attention to detail as we would if we were creating an overall strategy for the business.

c. Payment Options for Customers

Here are the payment options that Auntie Lavendar® Preschool, Inc. will make available to her donors and contributors;

  • Payment via bank transfer
  • Payment with cash
  • Payment via credit cards
  • Payment via online bank transfer
  • Payment via check
  • Payment via mobile money transfer

d. Return Policy, Incentives and Guarantees

At Auntie Lavendar® Preschool, Inc., we offer services, and the nature of the services we offer does not accommodate return policy, but we will guarantee parents that their kids will get the best of early childhood learning and education.

e. Customer Support Strategy

Our customer support strategy will involve seeking customer’s feedback. This will help us provide excellent customer service to all our customers, it will help us to first understand their needs, experiences, and pain points. We will work with an effective CRM software to be able to achieve our aim of surpassing our customer’s need.

On a regular basis, we will work towards strengthening our Customer Service Team and also Leverage Multi-Channel Servicing as part of our customer support strategy.

Operational Plan

We plan to expand our revenue by 45 percent in the second year and the plan will include a marketing, sales and operations component. The operations component of the plan would include attracting more customers and additional service offerings that will enable the organization to boost our service offerings and support revenue growth.

a. What Happens During a Typical Day at a Preschool?

  • The facility is open for the day
  • The facility is cleaned and prepared for the day’s activities
  • Parents are welcome and their kids are received from them
  • Early childhood learning activities, as well as playing with kids to encourage mental and physical stimulation are carried out as required
  • Administrative works are done
  • Parents come to pick their kids and the facility is closed for the day.

b. Production Process

There is no production process when it comes to a preschool.

c. Service Procedure

There is no service procedure when it comes to a preschool.

d. The Supply Chain

Auntie Lavendar® Preschool, Inc. will rely on parent associations and other stakeholders in our city to refer parents to us. So also, we have been able to establish business relationship with wholesale supplies of beddings, toiletries, and other supplies.

e. Sources of Income

Auntie Lavendar® Preschool, Inc. make money from;

  • Providing daycare services for children under the ages of three and four to prepare them for kindergarten.
  • Offering home tutor services for toddlers as requested by their parents
  • Retailing early childhood learning materials.

Financial Plan

A. amount needed to start our preschool.

Auntie Lavendar® Preschool, Inc. would need an estimate of $250,000 to successfully set up our preschool in the United States of America. Please note that this amount includes the salaries of all our staff for the first month of operation and the renting of our operational facility.

b. What are the Cost Involved?

  • Business Registration Fees – $750.
  • Legal expenses for obtaining licenses and permits – $1,300.
  • Marketing, Branding and Promotions – $3,000.
  • Business Consultant Fee – $2,500.
  • Insurance – $5,400.
  • Rent/Lease – $120,000.
  • Other start-up expenses including, commercial satellite TV subscriptions, stationery ($500), and phone and utility deposits ($2,800).
  • Operational Cost (salaries of employees, payments of bills et al) – $30,000
  • start-up inventory – $15,000
  • Store Equipment (cash register, security, ventilation, signage) – $4,750
  • Furnishing and Equipping – $45,000
  • Website: $800
  • Opening party: $3,000
  • Miscellaneous: $2,000

c. Do You Need to Build a Facility? If YES, How Much Will It Cost?

Auntie Lavendar® Preschool, Inc. will not build a new facility for our preschool; we intend to start with a long-term lease and after 5 years, we will start the process of acquiring our own facility.

d. What are the Ongoing Expenses for Running a Preschool?

  • Cost of stocking up supplies such as toiletries, change of beddings, and other supplies
  • Utility bills (gas, internet, phone bills, signage and sewage et al)
  • Salaries of employees

e. What is the Average Salary of your Staff?

  • Head of Preschool (President) – $45,000 Per Annum
  • Preschool Administrator – $36,034 Per Annum
  • Account Officer – $35,000 Per Annum
  • Early Childhood Educators – $33,300 Per Annum
  • Front Desk Officer – $28,000 Per Annum
  • Cleaners and Nannies – $22,000 Per Annum
  • Security Guard – $22,000 Per Annum.

f. How Do You Get Funding to Start a Preschool?

  • Raising money from personal savings and sale of personal stocks and properties
  • Applying for a loan from your bank/banks
  • Pitching our business idea and applying for business grants and seed funding from the government, donor organizations, and angel investors
  • Source for soft loans from our family members and friends.

Financial Projection

A. how much should you charge for your service.

At Auntie Lavendar® Preschool, Inc. it is important to note that we will charge $4,460 to $13,158 per year ($372 to $1,100 monthly) on average, depending on the services involved.

b. Sales Forecast?

  • First Fiscal Year (FY1): $250,000
  • Second Fiscal Year (FY2): $350,000
  • Third Fiscal Year (FY3): $450,000

c. Estimated Profit You Will Make a Year?

  • First Fiscal Year (FY1): (65 percent)
  • Second Fiscal Year (FY2): (45 percent)
  • Third Fiscal Year (FY3): (50 percent)

d. Profit Margin of a Preschool Product/Service

Auntie Lavendar® Preschool, Inc. will work towards achieving between 25 percent to 45 percent.

Growth Plan

A. how do you intend to grow and expand by opening more retail outlets/offices or selling a franchise.

Auntie Lavendar® Preschool, Inc. will grow our preschool by first opening other outlets in key cities in the United States of America within the first five years of establishing the business and then will start selling franchise from the sixth year.

b. Where do you intend to expand to and why?

Auntie Lavendar® Preschool, Inc. plans to expand to Dallas – Texas, New York City – New York, Sumter – Florida and then to Liliano – Texas, Lancaster – Virginia, Alcona – Michigan, Los Angeles – California and Catron New Mexico.

The reasons we intend to expand to these locations is the fact that available statistics show that the cities listed above have the highest number of people with kids below the age of 5 in the United States.

The founder of Auntie Lavendar® Preschool, Inc. plans to exit the business via family succession. We have placed structures and processes in place that will help us achieve our plan of successfully transferring the business from one family member to another and from one generation to another without hitches.

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Home » Sample Business Plans » Education » School

How to Write a Preschool Business Plan [Sample Template]

Do you want to start a preschool and need to write a plan? If YES, here is a complete sample preschool business plan template & FREE feasibility report. There are various business ideas that you may want to start.

However there are some businesses that guarantee good returns on investment. Chief amongst it is the preschool business. One of the reasons why this business is good is the point that you are able to help mound lives whilst you are making good money.

Why Start a Preschool?

Running a preschool can be a very rewarding and profitable venture. An entrepreneur who is interested in children education and also having a business might find that opening a preschool would meet both desires. Before starting a preschool, one must be prepared by ensuring that they carefully plan out the venture from the beginning, by researching on local and state laws that govern pre – school education business.

What Does It Take to Start a Preschool Successfully?

There must also be planning as regards space, getting insurance, developing a curriculum, hiring additional staff, advertising and registration of children. A pre – school program is a business that requires that no details be overlooked.

The first thing that needs to be done before starting out is in contacting the local governing body of child care for relevant information regarding the opening of a preschool. When approaching the governing agency, ask to meet with the administrators, so as to discuss your business idea, and get information on how to become a licensed preschool program provider.

After gathering all the information that you would need including written literature, you would need to contact the local government as regards getting a license to start. Depending on the state you will be operating in, you might be required to register and pay a fee to obtain licensees.

You will also need to ensure that the property you intend to use as a facility is in an acceptable area from which the business can be started, even if it is a section of your own residence, this can be done by contacting the zoning department of your local government, and if the area you choose is not suitable, you will be advised on suitable areas.

After applying for a business license as required by the state and meeting any other special requirements needed in order to become a preschool, you should then consult with insurance agencies regarding the right coverage for your facility. Ensure you choose a plan that will adequately cover you, your clients, as well as your business.

Lastly, ensure that you prepare your location for safety inspections, while ensuring that your facility has emergency evacuation plan in place for any unforeseen circumstances or disasters. Also prepare a curriculum for your pre – school program.

You can either choose an established program from a particular publisher or choose various materials from several publishers, while not forgetting that you have an option of creating your own curriculum. Do not also forget to hire qualified staff after running background checks, and marketing your school.

A Sample Preschool Business Plan Template

1. industry overview.

The Preschool industry operators provide day care services for children under the ages of three and four to prepare them for kindergarten.

The dispersion of the preschool programs reflects in the geographic distribution of the children, which is also influenced by the cost and supply of pre – school programs, income and housing affordability patterns, labor, and child care subsidy policies. Also, varying state and local regulations and licensing requirements affect employment in this industry.

According to research and statistics, this industry generates $53 billion annually, and is projected to have an annual growth rate of 2.5% by 2016. The number of business in this industry amounts to 768,021, employing 1,664,311 people.

There are about 53,000 commercial facilities, plus about 21,000 facilities run by non-profit organizations. The industry is highly fragmented as the top 50 companies generate less than 20% of revenue for the entire industry.

Preschool programs became popular especially as more percentage of women in the workforce grew by nearly 71% in 2007. According to the Bureau of Labor Statistics (BLS), 28% of mothers with young children worked in 1975, which has more than doubled by 60% by 2013.

Over the same period, employees in the daycare industry increased by nearly 250%. The bureau also noted that investment in childcare by non-profit and government agencies, as well as new tax credits, also helped to fuel the industry’s growth.

According to the Child Care Aware group, about 11 million children under the ages of 5, spend an average of 35 hours a week in childcare. Infants in center-based care had an average annual cost that ranged from $5,496 in Mississippi to $16,549 in Massachusetts; 4 year olds had care in a center ranging from $4,515 in Tennessee to $12,320 in Massachusetts; with the quality of care and degree of regulation varying widely.

Also, childcare workers were seen to be paid the lowest wages in any professional field, $21,490 on average. However, the recovery of the economy is already impacting greatly on the preschool market.

Parents and especially mothers are going back to work, thereby causing the demand for preschools and preschool services to grow. This means that disposable income will increase which will let parents especially women put more resources towards child care like the high value early educational programs.

Even though this might seem like a saturated field, it isn’t, as there is always a constant demand for parents to prepare their children for proper schooling. The incentives in venturing into or starting a pre – school are having an impact on toddlers who are struggling academically and getting them engaged so that their parents will carry out their businesses or other activities.

2. Executive Summary

Future Stars® Pre – School is a standard and well – equipped pre – school that will be located in a well – populated residential estate in Ashville – North Carolina, united states of America. We are a preschool that provide day care services for children under the ages of three and four to prepare them for kindergarten.

Aside from the fact that we will operate a preschool center, we will also engage in home tutoring – we will go to the homes of our students as demanded by their parents.

Future Stars® Preschool is a client-focused and result driven preschool that provides day care services and broad-based learning approaches and experience at an affordable fee that won’t in any way put a hole in the pocket of our clients (parents).

We will offer a standard and professional pre – school daycare and teaching services designed for toddlers in a highly secured, neat and conducive learning environment. We will ensure that we work hard to meet and surpass all our parents’ expectations and educational goals whenever they enroll their kids in our pre – school.

At Future Stars® Preschool, our kids’ and their parents’ overall best interest would always come first, and everything we do is guided by our values and professional ethics.

We will ensure that we hire professional educationist and care – giver who are well trained to handle kids that are of pre – school age in various kids development learning areas who are well experienced and passionate in imparting knowledge to toddlers at various learning ladder (potty training, rhymes, walking, dancing and talking et al).

Future Stars® Preschool will at all times demonstrate her commitment to sustainability, both individually and as an educational organization, by actively participating in our communities and integrating sustainable business practices wherever possible.

We will ensure that we hold ourselves accountable to the highest standards by meeting our clients’ (parents) needs precisely and completely. We will cultivate a working environment that provides a human, sustainable approach to earning a living, and living in our world, for our partners, employees and for our students.

Our overall business goal is to position Future Stars® Pre – School to become the leading Pre – School brand in the educational industry in the whole of Ashville – North Carolina, and also to be amongst the top 50 pre – schools in the united states of America within the first 10 years of operations.

This might look too tall a dream but we are optimistic that this will surely come to pass because we have done our research and feasibility studies and we are enthusiastic and confident that Ashville – North Carolina is the right place to launch our pre – school; they have the right demographic composition that can support and sustain our business model.

Future Stars® Preschool is founded by Mrs. Clara Jake – MacPherson. She has a Degree in Education with bias in children education and she has well over 16 years of experience in the educational industry in the United States of America. She will be bringing in her wealth of experience to help build Future Stars® Pre – School to enviable heights.

3. Our Products and Services

The Future Stars® Preschool is going to offer daycare services within the scope of the education board in the United States of America. Our intention of starting our pre – school is to soundly prepare toddlers who are under the ages of three and four for kindergarten and of course to make profits from the education industry and we will do all that is permitted by the law in the US to achieve our aim and business goal.

Our service offerings are listed below;

  • Provide daycare services for children under the ages of three and four to prepare them for kindergarten.
  • Running a Standard and licensed Daycare Center
  • Offering Home Tutor Services for toddlers as requested by their parents
  • Retailing of Kids Educational Books and Materials

4. Our Mission and Vision Statement

  • Our vision is to build a highly competitive pre – school / daycare center that will become the number one choice for parents in the whole of Ashville – North Carolina.
  • Our vision reflects our values: integrity, service, excellence and teamwork.
  • Our mission is to provide professional, safe and conducive daycare and learning environment to toddlers.
  • Our overall business goal is to position our tutorial college to become the leading pre -school brand in the educational industry in the whole of Ashville – North Carolina, and also to be amongst the top 50 preschools / daycare center in the United States of America within the first 10 years of operations.

Our Business Structure

Future Stars® Pre – School will build a solid business structure that can support the growth of our pre – school. We will ensure that we hire competent hands to help us build the business of our dream. The fact that we want to become the leading pre – school / daycare brand in the educational industry in the whole of Ashville – North Carolina makes it highly necessary to deliberately build a well – structured business from the onset.

At Future Stars® Preschool we will ensure that we hire people that are qualified, hardworking, creative, customer centric and are ready to work to help us build a prosperous business that will benefit all the stake holders (the owners, workforce, and customers).

As a matter of fact, profit-sharing arrangement will be made available to all our long serving senior staff members and it will be based on their performance for a period of five years or more as agreed by the board of trustees of the company. In view of the above, we have decided to hire qualified and competent hands to occupy the following positions;

  • Head of The Pre – School (Daycare) / School Coordinator

School Administrator

  • Tutors for Various Learning Areas
  • Nannies / Caregivers / Aux Nurse

Marketing and Sales Executive

Accountant / Bursar

  • Client Service Executive / Front Desk Officer
  • Security Officer

5. Job Roles and Responsibilities

Head of the Pre – School / School Coordinator:

  • Responsible for providing direction for the pre – school / daycare center
  • Creating, communicating, and implementing the organization’s vision, mission, and overall direction – i.e. leading the development and implementation of the overall organization’s strategy.
  • Responsible for handling high profile clients and deals
  • Responsible for fixing fees and signing business deals (partnership)
  • Responsible for signing checks and documents on behalf of the tutorial college
  • Coordinates all arms of the pre – school
  • Evaluates the success of the pre – school / daycare center
  • Reports to the board of the pre – school / daycare center
  • Responsible for overseeing the smooth running of HR and administrative tasks for the pre – school
  • Design job descriptions with KPI to drive performance management for all staff members
  • Regularly hold meetings with key stakeholders (parents and member of the school board) to review the effectiveness of the schools’ Policies, Procedures and Processes
  • Maintains office supplies by checking stocks; placing and expediting orders; evaluating new products.
  • Ensures operation of equipment by completing preventive maintenance requirements; calling for repairs.
  • Defining job positions for recruitment and managing interviewing process
  • Carries out staff induction for new team members
  • Responsible for training, evaluation and assessment of employees
  • Responsible for arranging travel, meetings and appointments
  • Updates job knowledge by participating in educational opportunities; reading professional publications; maintaining personal networks; participating in professional organizations.
  • Oversee the smooth running of the daily activities of the tutorial college.

Tutors for Various Learning Areas for Toddlers

  • Effectively teach subject / subjects as assigned by the school coordinator
  • Access the progress of kids under their care
  • Ensure that kids participate in learning activities such as potty trainings, rhymes and dancing et al
  • Contributes his / her quota towards growing the pre – school
  • Receives complaints from parents and channel it to the appropriate quarters
  • Handle any other duty as assigned by the school coordinator.

Nannies / Caregivers / Aux Nurses

  • Responsible for changing diapers for kids and cleaning them up when they messed up themselves
  • Responsible for feeding toddlers
  • Ensures that toddlers sleep as at when due and help calm them when they are crying
  • Goes the extra mile to ensure that toddles are comfortable and well taken care of.
  • Contributes his / her quota towards growing the pre – school / daycare center
  • Handles any other duty as assigned by the school coordinator.
  • Identifies, prioritizes, and reaches out to new parents, and business opportunities et al
  • Identifies development opportunities; follows up on development leads and contacts; participates in the structuring and financing of projects; assures the completion of development projects.
  • Writing winning proposal documents, negotiate fees and rates in line with organizations’ policy
  • Responsible for handling business research, market surveys and feasibility studies for clients
  • Responsible for supervising implementation, advocate for the customer’s needs, and communicate with clients
  • Develops, executes and evaluate new plans for expanding increase sales
  • Document all customer contact and information
  • Represents the company in strategic meetings
  • Help increase sales and growth for the company
  • Responsible for preparing financial reports, budgets, and financial statements for the organization
  • Provides managements with financial analyses, development budgets, and accounting reports; analyzes financial feasibility for the most complex proposed projects; conducts market research to forecast trends and business conditions.
  • Responsible for financial forecasting and risks analysis.
  • Performs cash management, general ledger accounting, and financial reporting for one or more properties.
  • Responsible for developing and managing financial systems and policies
  • Responsible for administering payrolls
  • Ensuring compliance with taxation legislation
  • Handles all financial transactions for the tutorial college
  • Serves as internal auditor for the tutorial college

Client Service Executive

  • Welcomes toddlers and their parents by greeting them in person or on the telephone; answering or directing inquiries.
  • Ensures that all contacts with parents (e-mail, walk-In center, SMS or phone) provides them with a personalized customer service experience of the highest level
  • Through interaction with parents on the phone, uses every opportunity to build their interest in the school’s products and services
  • Manages administrative duties assigned by the school coordinator in an effective and timely manner
  • Consistently stays abreast of any new information on the schools’ products, promotional campaigns etc. to ensure accurate and helpful information is supplied to students when they make enquiries
  • Receives parcels / documents for the Pre – school
  • Handles any other duties as assigned by the school authority
  • Maintain a clean daycare facility by sweeping, vacuuming, dusting, cleaning of glass doors and windows, etc. if required.
  • Ensures that toiletries and supplies don’t run out of stock
  • Responsible for handling laundry

Security Officers

  • Ensure that the daycare facility is secured at all time
  • Control traffic and organize parking
  • Give security tips to staff members from time to time
  • Patrols around the building on a 24 hours basis
  • Submit security reports weekly
  • Any other duty as assigned by the school coordinator.

6. SWOT Analysis

Future Stars® Pre – School engaged the services of a core professional in the area of business consulting and structuring to assist our pre – school in building a well – structured educational business that can favorably compete in the highly competitive education industry.

Part of what the team of business consultant did was to work with the management of our organization in conducting a SWOT analysis for Future Stars® Pre – School. Here is a summary from the result of the SWOT analysis that was conducted on behalf of The Future Stars® Pre – School;

Our core strength lies in the power of our team; our workforce. We have a team that has the right passion and drive for taking care of toddlers, a team with excellent qualifications and experience in daycare / pre – school education. We are well positioned in a community with the right demographic composition and we know we will attract loads of parents who would want to enroll their kids from the first day we open our doors for daycare services.

As a new pre – school / daycare center in Ashville – North Carolina, it might take some time for our organization to break into the market and gain acceptance in the already saturated pre – school / education industry; that is perhaps our major weakness. Also we might not have the required money to pump into advertising and promoting our brand the way we would want to.

  • Opportunities:

The opportunities in the pre – school / education industry is massive considering the number of parents who would want their kids under school age to be in safe place and to get them prepared for kindergarten. As a standard, safe and highly comfortable daycare center, we are ready to take advantage of any opportunity that comes our way.

Every business faces a threats or challenges at any part of the life cycle of the business. These threats can be external or internal. This shows the importance of a business plan, because most threats or challenges are to be anticipated and plans put in place to cushion what effect they might bring to the pre – school.

Some of the threats that we are likely going to face as a pre – school operating in the United States of America are unfavorable government policies that might affect daycare centers, the arrival of a competitor within our location of operations and global economic downturn which usually affects spending / purchasing power. There is hardly anything we can do as regards these threats other than to be optimistic that things will continue to work for our good.


  • Market Trends

The trend in the pre – school / daycare center line of business is that the keys to attracting parents to enroll their wards is the safety, cleanliness, location and of course the overall comfort of their toddlers.

The trend in the daycare center industry is such that players in this industry can now comfortably start their daycare business in an business district; a place where it is easier for working class parents to take advantage of their launch breaks and even tea breaks to dash down to breast – feed and cuddle their children before dashing back to work.

The demand for pre – schools is driven by the fact that most parents work or are engaged in businesses that takes them away from their kids that are under school age and one of the options left is to enroll such kid in a daycare center.

The economic downturn hasn’t really affected this industry, especially in countries that believe in the efficacy of early education. The areas you would need to spend heavily on is in ensuring that your school is up to standard, is the facility, your advertisements, and insurance.

8. Our Target Market

As a standard preschool / daycare center, Future Stars® Pre – School offers a wide range of pre – school services hence we are well trained and equipped to services a wide range of kids are different growth level irrespective of any challenges et al.

Our target market as a preschool / daycare center cuts across parents with kids under school age of different class and people from all walks of life.

We are coming into the pre – school / education industry with a business concept that will enable us work with the toddlers at different learning stages. Below is a list of the parents / toddlers that we have specifically design our pre – school services for;

  • Working class parents with toddlers under school age
  • Parents with toddlers under school age who run their own business and are too busy to take care of their wards during business hours

Our Competitive Advantage

This field is a highly intense one because of the level of quality service offerings by the pre – schools, who are more pressured to deliver better services. Due to this pressure, there is a jostling amongst the different pre – schools to get more parents to enroll their toddlers in their daycare center, thereby increasing their earnings as well.

We are quite aware that to be highly competitive in the preschool / education industry means that you should be able to deliver consistent quality service, parents should be able to experience remarkable difference and improvement in their toddlers and you should be able to meet the expectations of the educational governing board in the United States of America.

Our competitive advantage lies in the power of our team; our workforce. We have a team that has the right passion and drive for taking care of toddlers, a team with excellent qualifications and experience in daycare / preschool education. We are well positioned in a community with the right demographic composition and we know we will attract loads of parents who would want to enroll their kids from the first day we open our doors for daycare services.

Lastly, all our employees will be well taken care of, and their welfare package will be among the best within our category (startups pre – school / daycare center in the United States) in the industry meaning that they will be more than willing to build the business with us and help deliver our set goals and achieve all our business aims and objectives.


  • Sources of Income

Future Stars® Preschool is established with the aim of maximizing profits in the preschool / education industry and we are going to go all the way to ensure that we do all it takes to attract parents on a regular basis.  Future Stars® Preschool will generate income by offering the following services;

10. Sales Forecast

One thing is certain; there would always be parents who may want their kids under school age to be in safe place and to get them prepared for kindergarten. As a standard, safe and highly comfortable daycare center, we are ready to take advantage of any opportunity that comes our way.

We are well positioned to take on the available market in Ashville – North Carolina and we are quite optimistic that we will meet our set target of generating enough income / profits from the first six month of operations and grow the pre – school and our student base.

We have been able to critically examine the preschool / daycare center market and we have analyzed our chances in the industry and we have been able to come up with the following sales forecast. The sales projection is based on information gathered on the field and some assumptions that are peculiar to similar startups in Ashville – North Carolina.

Below is the sales projection for Future Stars® Pre – School, it is based on the location of our daycare center and of course the wide range of pre – school services that we will be offering;

  • First Year-: $75,000
  • Second Year-: $150,000
  • Third Year-: $350,000

N.B : This projection is done based on what is obtainable in the industry and with the assumption that there won’t be any major economic meltdown and natural disasters within the period stated above. So, there won’t be any major competitor offering same additional services as we do within same location. Please note that the above projection might be lower and at the same time it might be higher.

  • Marketing Strategy and Sales Strategy

We are mindful of the fact that there is stiffer competition amongst pre – schools / daycare centers in the United States of America hence we have been able to hire some of the best marketing experts to handle our sales and marketing.

Our sales and marketing team will be recruited base on their vast experience in the industry and they will be trained on a regular basis so as to be well equipped to meet their targets and the overall goal of Future Stars® Pre – School. We want to build a standard and first – class pre – school / daycare center that will leverage on word of mouth advertisement from satisfied parents

Our goal is to grow our preschool to become one of the top 50 pre – schools / daycare center in the United States of America which is why we have mapped out strategy that will help us take advantage of the available market and grow to become a major force to reckon with not only in Ashville – North Carolina but also in other cities in the United States of America.

Future Stars® Pre – School is set to make use of the following marketing and sales strategies to attract clients;

  • Introduce our pre – school / daycare center by sending introductory letters alongside our brochure to parents / household and key stake holders in Ashville – North Carolina.
  • Print out fliers and business cards and strategically drop them in religious centers, libraries and public facilities.
  • Use friends and family to spread word about your pre – school / daycare center
  • Post information about our pre – school / daycare center on bulletin boards in places like churches, maternity clinics, parks, libraries, and local coffee shops et al
  • Place a small or classified advertisement in the newspaper, or local publication about our pre – school / daycare center
  • Leverage on referral networks such as agencies that will help match parents with toddlers under school age with our pre – school/ daycare center.
  • Join relevant association or body that will enable you network and meet others in same industry.
  • Advertising online by using an advertising platform such as Google Adwords, that will allow us place text advertisements alongside on websites with related contents, and along results from search engines.
  • Advertise our pre – school in relevant educational magazines, newspapers, TV stations, and radio station.
  • Attend relevant educational expos, seminars, and business fairs et al
  • Engage direct marketing approach
  • Encourage word of mouth marketing from loyal and satisfied parents

11. Publicity and Advertising Strategy

We have been able to work with our brand and publicity consultants to help us map out publicity and advertising strategies that will help us walk our way into the heart of our target market. We are set to become the number one choice for both parents and students in the whole of Ashville – North Carolina which is why we have made provisions for effective publicity and advertisement of our pre – school / daycare center.

Below are the platforms we intend to leverage on to promote and advertise Future Stars® Pre – School;

  • Place adverts on both print (community based newspapers and magazines) and electronic media platforms
  • Sponsor relevant community based events / programs
  • Leverage on the internet and social media platforms like; Instagram, Facebook , twitter, YouTube, Google + et al to promote our brand
  • Install our Bill Boards on strategic locations all around Ashville – North Carolina.
  • Engage in road show from time to time in targeted neighborhoods
  • Distribute our fliers and handbills in target areas
  • Contact corporate organizations by calling them up and informing them of our pre – school / daycare center, and the advantage we over the others.
  • Passing general information via our social media handles like twitter, Facebook, Google hangouts etc.
  • Ensure that all our staff members wear our branded shirts and all our vehicles are well branded with our schools’ logo et al.

12. Our Pricing Strategy

Generally for pre – school and daycare services flat fees on a weekly or monthly basis is what is obtainable. As a result of this, Future Stars® Pre – School will charge our parents who enrolled their toddlers in our daycare center flat fees except for few occasions where there will be need for us to charge special students on hourly basis.

At Future Stars® Pre – School we will keep our fees below the average market rate for all of our students by keeping our overhead low and by collecting payment in advance. In addition, we will also offer special discounted rates to all our students at regular intervals.

We are aware that there are some kids that would need special assistance, we will offer flat rate for such services that will be tailored to take care of such kids’ needs.

  • Payment Options

At Future Stars® Pre – School, our payment policy will be all inclusive because we are quite aware that different people prefer different payment options as it suits them. Here are the payment options that we will make available to our clients;

  • Payment by via bank transfer
  • Payment via online bank transfer
  • Payment via check
  • Payment via bank draft
  • Payment via mobile money
  • Payment with cash

In view of the above, we have chosen banking platforms that will help us achieve our plans with little or no itches.

13. Startup Expenditure (Budget)

In setting up a pre – school business, the amount or cost will depend on the approach and scale you want to undertake. If you intend to go big by renting a place, then you would need a higher amount of capital as you would need to ensure that your employees are well taken care of, and that your pre – school’s environment is conducive enough to keep kids.

This means that the start-up can either be low or high depending on your goals, vision and aspirations for your business. The materials and equipment that will be used are nearly the same cost everywhere, and any difference in prices would be minimal and can be overlooked.

As for the detailed cost analysis for starting a pre – school business; it might differ in other countries due to the value of their money. However, this is what it would cost us in the United of America;

  • Business incorporating fees in the United States of America will cost – $750.
  • The budget for Liability insurance, permits and license will cost – $3,500
  • Acquiring a facility / property that will accommodate the number of kids that we want to take care of for at least 6 months (Re – Construction of the facility inclusive) will cost – $35,000.
  • Equipping the office (computers, printers, projectors, markers, pens and pencils, furniture, telephones, filing cabinets, and electronics) will cost – $10,000
  • The budget for paying staff members and utility bills for at least 3 months – $70,000
  • The budget for start – up inventories (toiletries, toys, cots, and mats et al) – $2,500
  • Launching an official Website will cost – $500
  • Additional Expenditure such as Business cards, Signage, Adverts and Promotions will cost – $5,000

Going by the report from the market research and feasibility studies conducted, we will need about two hundred and fifty thousand (250,000) U.S. dollars to successfully set – up a medium scale but standard and well equipped pre – school / daycare center in the United States of America.

Generating Funding / Startup Capital for Future Stars® Pre – School

Future Stars® Pre – School is a private business that will be owned by Mrs. Clara Jake – McPherson and family. They are the sole financial of the business which is why they decided to restrict the sourcing of the start – up capital for the business to just three major sources.

These are the areas we intend generating our start – up capital;

  • Generate part of the start – up capital from personal savings and sale of his stocks
  • Generate part of the start – up capital from friends and other extended family members
  • Generate a larger chunk of the startup capital from the bank (loan facility).

N.B: We have been able to generate about $100,000 (Personal savings $85,000 and soft loan from family members $15,000) and we are at the final stages of obtaining a loan facility of $150,000 from our bank. All the papers and document has been duly signed and submitted, the loan has been approved and any moment from now our account will be credited.

14. Sustainability and Expansion Strategy

It is easier for businesses to survive when they have steady flow of business deals / customers patronizing their products and services. We are aware of this which is why we have decided to offer a wide range of tutorial services and other related services to high school students, students with disabilities and elderly students (adult education).

We know that if we continue to deliver excellent daycare services, there will be steady flow of income for the organization. Our key sustainability and expansion strategy is to ensure that we only hire competent and selfless staff members, create a conducive working environment and employee benefits for our staff members.

In the nearest future, we will explore the options of either selling out franchise or expanding our scope beyond Ashville – North Carolina to other major cities in the United States of America. We know that if we implement our business strategies, we will achieve our business goals and objectives in record time.

Check List / Milestone

  • Business Name Availability Check:>Completed
  • Business Incorporation: Completed
  • Opening of Corporate Bank Accounts various banks in the United States: Completed
  • Opening Online Payment Platforms: Completed
  • Application and Obtaining Tax Payer’s ID: In Progress
  • Application for business license and permit: Completed
  • Purchase of All form of Insurance for the Business: Completed
  • Conducting Feasibility Studies: Completed
  • Generating part of the start – up capital from the founders: Completed
  • Writing of Business Plan: Completed
  • Drafting of Employee’s Handbook: Completed
  • Drafting of Contract Documents: In Progress
  • Design of The Pre – Schools’ Logo: Completed
  • Graphic Designs and Printing of Packaging Marketing / Promotional Materials: Completed
  • Recruitment of employees: In Progress
  • Purchase of the Needed furniture, office equipment, electronic appliances and facility facelift: In progress
  • Creating Official Website for the Pre – School: In Progress
  • Creating Awareness for the pre – school in Ashville – North Carolina: In Progress
  • Health and Safety and Fire Safety Arrangement: In Progress
  • Establishing business relationship with vendors and key players in the education industry: In Progress

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Preschool Business Plan Sample

Published Oct.11, 2013

Updated Apr.23, 2024

By: Jakub Babkins

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Preschool Business Plan

Table of Content

Do you want to start a Preschool business plan?

Are you thinking of drafting a business plan for a preschool? If you want to know how to write a business plan for a preschool, you can refer to business plans like the one presented here.

Starting a new business can be hard, especially in the education sector but it can also be very rewarding. So, if you want to know how to develop a business plan for angel investors that will get them excited and interested in your business, then start by following this document. 

Here, we will be presenting a preschool business plan with a focus on tutoring business ideas .

Executive Summary

2.1 what is the business.

This document contains the sample business plan for preschool that will be called LearnALot. LearnALot will be a preschool/ daycare center operated and managed by Theodore Krasinski. It will offer parents a chance to make their kids have fun in a safe environment. Besides, the kids will also be taught the basics.

2.2 Management of Preschool

Starting a preschool business plan can be hard. But the process to plan and manage the business becomes easier if you split it into smaller and more manageable parts. If you want to make a business plan for a preschool center , the first thing you need to do is to draft everything. 

In this business plan for a preschool pdf, we will plan out all the necessary details of LearnALot one by one. If you want to write a business plan for preschool, you can follow the guide. You can also hire business planning services to get a professional business plan written for your startup.

2.3 Customers of Preschool

The customers of LearnALot will belong to all kinds of family backgrounds. Due to our daycare services, parents or families with small or special needs children will make a major customer group.

  • Working Parents
  • Single Parents
  • Concerned Parents
  • Families with special needs kids

2.4 Business Target

The target of LearnALot is to become a reliable daycare and educational center for the residents in Florida. We aim to cater to healthy and normal children as well as those with special needs. 

The financial targets that LearnALot wants to achieve within the first three years of operation are demonstrated below:

Preschool Business Plans - 3 Years Profit Forecast

Company Summary

3.1 company owner.

Theodore Krasinski will be the owner and manager of LearnALot. Theo got his master’s in education three years ago after which he served as a teacher for two years and as a principal in the third year. However, he always felt a need to do more so he decided to open a special preschool himself. 

3.2 Company History

Theo noticed that though public schools were trying their best, they didn’t focus on acquiring the tools to cater to children of different needs. There was also a lack of preschools and daycares in the surrounding. To eradicate this issue, Theo decided to open a preschool that would prepare students of all kinds to keep up when they got into school. 

3.3 How the Preschool will be started

Step1: Evaluate Goals

Starting up a preschool business or any business in that domain requires a lot more than money. Before you start a business, you need to be sure about the goal you want to achieve via it. The goal can be scaling up the business, earning profits or increasing the well-being of the community, or anything else. But there needs to be a solid goal to direct your operations.

In this open driving school business plan , we will list the SMART business goals adopted by LearnALot.

Step2: Plan the Business

Once you are sure about the goals of your business, you can start developing a business plan template for preschool. If you are not sure how to develop a business plan, you can take help from preschool business plan examples like this one to learn how to write a business plan for a preschool. 

Step3: Plan Structure and Logistics

Now that you know the base details of the business, you will be able to sort out the finances. This will include estimating the costs that will be involved in starting the business. 

Step4: Get Funding

Any business needs money to start and function before it can become self-sustaining. To get the initial funding for LearnALot, Theo decided to write up a strong business plan that would wow the investors. 

Step5: Find a Physical Space

Every business, big or small, needs space to function. Therefore, to start a preschool, you will need a building to set up everything. Theo decided to rent out a building with some space in the front so that he could develop an outdoor play area as well. 

Step6: Promote and Market

The final step of the business is to develop a marketing plan to promote the business both in the online and physical realm. Theo will hire a marketing plan specialist to develop a marketing plan that can be easily followed to bring more customers to the business.

Preschool Business Plans - Startup Cost

All business plans including business plans for preschools include details of what services or products the business will provide. Deciding these things ahead of time allows you to develop a preschool business proposal more efficiently. 

A preschool business plan like an e-learning business plan will help you map your business in detail. That will, in turn, allow you to manage it in a better way and gain more funding. 

In the case of this preschool business plan template, Theo decided to include all the major services that he will offer to the customers through his business. 

  • Day Care Services

The primary service provided by LearnALot will be daycare. The business will offer daycare services for all types of parents. This will include parents who just want to drop their kids temporarily for a few hours while they get done with their day-to-day tasks. The other option will be for parents who want to entrust their kids regularly as they are off to work. 

  • Special Education Services

LearnALot will also cater to families and parents who have special needs children. This can include children who need help with physical activities or children, who, perhaps have a different way and speed of learning. 

As Theo wants to offer a one-place-for-everything business, there will also be some learning activities for the kids to learn as they play. Parents will have the choice of opting their kids out of these activities. However, Theo will try to encourage parents to allow their children, a free environment so they can adjust better when they get into school later. 

  • Transportation

LearnALot is primarily a business for children with parents who are busy working for a living. So keeping their busy routines in mind, the business will also offer ‘pick and drop’ services to facilitate such parents. 

Marketing Analysis of Preschool

Excellent work.

excellent work, competent advice. Alex is very friendly, great communication. 100% I recommend CGS capital. Thank you so much for your hard work!

Even though opening a preschool business may look like an easy task, it can be very taxing if not planned properly. To start any business, even a preschool business, you need to thoroughly research the market and understand it. 

The best way you can learn about your target market is to do market analysis as a part of your business plan for preschool center. The marketing will help you understand the past, present, and future conditions of the market, what the gaps are, and where you can fit in. 

If you are thinking of running a preschool business, you will need to learn all about your target market. This will include both your customers and competitors. Learning these things will help you develop a preschool marketing plan targeting your customers. You will not only be able to attract customers in a better way but will also be able to find ways to stand out among others. 

If you want to develop a preschool business plan sample and you don’t possess enough knowledge, you can follow this sample preschool business plan for LearnALot. 

5.1 Market Trends

Daycare and Preschool services are booming services in the US. According to IBISWorld, daycare centers have a market share of around $54 Billion. And according to Bplans, 84% of startups in daycare services succeed enough to make a good profit within the first year. Therefore, opening a business in this domain is very rewarding. 

5.2 Marketing Segmentation

The customers of LearnALot will belong to the following groups:

Preschool Business Plans - Marketing Segmentation

Business plan for investors

5.2.1 working parents.

Our main customers will be working parents living in and around Florida. These parents usually have eight-hour jobs that keep them busy. Therefore, they are expected to utilize our services most often. We will offer them a place where they can leave their children without any worry. At us, they will have a space where their kids can play and learn new things and skills. 

5.2.2 Single Parents

Our second target customer will be the single parents who need as much help as they can get. Single parents usually have to manage everything on their own. Therefore, a service of this sort will be of great help to them. By entrusting their kids to us, they will be able to do daily chores and relax for a while. 

5.2.3 Concerned Parents

A lot of parents usually get concerned that their children are not learning as fast as they could. For these parents, our educational services will be the most attractive. We will offer learning sessions in several niches so that parents can choose what they want their kids to learn. 

5.2.4 Families with Special Care Kids

Lastly, LearnALot will cater to those children as well who don’t learn at the same pace as other students. Parents can bring their children to get assessed and our preschool will try its best to cater to the children in the most helpful way.

5.3 Business Target

The target of LearnALot is:

  • To become a safe and reliable place where parents can drop off their children regularly. 
  • To become the best preschool/ daycare center in Florida.
  • To expand the range of services we offer.
  • To earn a profit margin of $10k/month after the first two years to sustain the business.

5.4 Product Pricing

Our prices for specialized cleaning are a little higher than those of our competitors. However, our other offerings are available to our customers in a similar price range as that of our competitors.

Marketing Strategy

To develop a preschool marketing plan template that will help you succeed, you will need to develop strategies that will work for your market. A good marketing plan is a part of every business plan. Therefore, you will need it for your daycare and preschool business plan as well. In this business plan for preschool pdf, we are providing the preschool business plan sample for LearnALot. 

If you are also offering physical training and game sessions, you can also see the marketing strategy for karate center business plan .

6.1 Competitive Analysis

  • We have versatile offers and services to cater to parents who want to drop off their kids for different periods. 
  • Our customers can directly contact us in case they need any special services.
  • We are offering pick and drop service to facilitate the parents even more.

6.2 Sales Strategy

  • We will advertise through local news channels, posters, and social media posts.
  • We will offer discounted rates to the first 15 customers.
  • We will offer different types of affordable packages to parents so that using a preschool doesn’t break their bank.

6.3 Sales Monthly

Preschool Business Plans - Sales Monthly

6.4 Sales Yearly

Preschool Business Plans - Sales Yearly

6.5 Sales Forecast

Preschool Business Plans - Unit Sales

Personnel plan

A business plan preschool like any other business includes the strategy to hire the employees for your business. To get an idea of how many employees you may need, you may consult a business plan for language school sample . In this preschool business plan pdf we are providing the employee list made by Theo to run the preschool.

7.1 Company Staff

  • 5 Trained Teachers
  • 1 Sales Executive 

7.2 Average Salary of Employees

Financial plan.

When you look at preschool business plan examples, you will notice that all of them outline their finances in one way or another. Financial information is always a part of every preschool business plan sample pdf. Accurate financial planning enables you to fund your business, and earn revenue.

Due to the immense importance of financial planning in a business, it is advisable to not experiment with developing a financial plan. Financial planning is of utmost importance and it impacts the sustainability of a business in the long term. Keeping it in mind, you should hire a professional financial planning expert for the task. Various business frims would do the task for you even online.

Below, we are providing the financial analysis for LearnALot. You can follow this template to do financial analysis for your martial arts business plan as well. 

8.1 Important Assumptions

8.2 break-even analysis.

Preschool Business Plans - Break-even Analysis

8.3 Projected Profit and Loss

8.3.1 profit monthly.

Preschool Business Plans - Profit Monthly

8.3.2 Profit Yearly

Preschool Business Plans - Profit Yearly

8.3.3 Gross Margin Monthly

Preschool Business Plans - Gross Margin Monthly

8.3.4 Gross Margin Yearly

Preschool Business Plans - Profit Yearly

8.4 Projected Cash Flow

Preschool Business Plans - Project Cash Flow

8.5 Projected Balance Sheet

8.6 business ratios.

  • Are preschoolers profitable?

Opening a preschool business can prove profitable if you do a financial analysis to make sure that the cash flows are managed well.

  • How can I grow my preschool business?

You can grow your preschool business by reading preschool business plans for preschools that are running successfully.

  • What are the steps to start a preschool?

The first step is to make starting up a preschool business plan and then deal with every aspect of your business including the finances, marketing, and services you will offer. 

  • How do you write a preschool proposal?

You can write a business plan for the preschool center by following the template provided above.

Download Preschool Business Plan Sample in pdf

OGSCapital’s team has assisted thousands of entrepreneurs with top-rate business plan development, consultancy and analysis. They’ve helped thousands of SME owners secure more than $1.5 billion in funding, and they can do the same for you.

a business plan for a preschool

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a business plan for a preschool

Crafting a Business Plan for Your Preschool: Key Elements to Consider

  • March 26, 2024

Table Of Contents


  • Daycare Preschool Purpose & Unique Selling Point
  • Project Cost & Time to Recover and Profit
  • Daycare Preschool Daily Operation Plan
  • Teaching & Non-Teaching Staff
  • Marketing & Advertising Plan
  • Plan for Continuous Improvement

Starting a daycare preschool is easier when you have a set of guidelines to work according to. This set of guiding points is a preschool business plan. This document is essential, especially for first-time preschool owners. It details several key points and gives edupreneurs an idea of what needs more attention.

This blog takes a look at what these key points are and why they need extra care and thought. This will help budding edupreneurs pay extra attention to these preschool opening requirements.

Must read: Exploring the world of preschool education: Opportunities & Challenges

1. Daycare Preschool Purpose & Unique Selling Point

There may be other preschools in your area. What will set your daycare business apart from them? Preschool purpose and unique selling point help a preschool stand out from the rest.

Some people open preschools thinking about the ability to profit. Edupreneurs open preschools to contribute to the education system. They also do it to enrich children’s lives.

A preschool business plan requires eduprenuers to state how their preschool solves problems. This helps investors to visualise the success chances of your preschool business plan.

2. Project Cost & Time to Recover and Profit

Opening a business such as a daycare preschool will attract costs. The costs will vary in amount and owners need to keep track of them. This is especially true if owners plan to stay within a certain budget.

Costs of the following need consideration at the time of writing up the business plan:

  • Cost of renting/buying preschool premises
  • Furniture and interior designing
  • Exterior designing
  • Teaching and non-teaching staff salaries
  • Security costs (fencing/walls, security cameras, guards)
  • Teaching equipment
  • Other cost (maintenance, food, toys)

Making realistic cost estimations can give owners insight into the actual running costs of a preschool. And more importantly, it gives an idea of costing that will help to cover the initial opening costs.

3. Daycare Preschool Daily Operation Plan

Apart from the setup costs, day-to-day operations will attract costs as well. These apply to utilities, perishable goods, and certain teaching materials. These are some of the basic preschool opening requirements .

Estimating daily costs allows for an estimation of monthly running costs. Comparing monthly costs then allows owners to see the pattern of spending. It can help identify areas which bring the most costs and which bring the least.

Daily operation cost estimation ensures money remains for the running of the preschool.

Check this comprehensive preschool business plan, cost, and essential requirements to get an idea of what to expect.

Crafting a Business Plan for Your Preschool Key Elements to Consider

4. Teaching & Non-Teaching Staff

Staff are an important part of a daycare preschool . They directly influence the quality of education. Ensuring the best staff is important to achieve an excellent standard of education.

Non-teaching staff help in ensuring the smooth running of daily activities at the preschool. This makes hiring the right staff with adequate experience and good character important.

Preschool owners will not want to cut corners when it comes to staffing their preschools. Hence, the importance of considering staff in the business plan.

An effective preschool business plan needs to mention the following:

  • Number of teaching and non-teaching staff
  • Experience and qualifications of all staff
  • Opportunities for teachers’ training programs
  • Salaries of teaching and non-teaching staff
  • Student-to-teacher ratio

Skilled staff are one of the most common preschool opening requirements . Preschool owners need to invest time and money into finding the right staff. After this, they also need to consider improving their staff in terms of teachers’ skills and character.

Take a look at how to hire and train preschool staff .

5. Marketing & Advertising Plan

Marketing and advertising sections are a vital part of a preschool business plan . It details how owners intend to spread awareness about their preschool.

Furthermore, it also mentions an advertising plan. This details how to ensure steady admissions. Using various marketing and advertising methods will draw positive engagement from the community.

Ideas or campaigns for spreading awareness of admission offers are also important. Not sure how to market a preschool. These are marketing strategies to build your preschool brand.

6. Plan for Continuous Improvement

Like all businesses, an improvement plan needs to be in place. This will ensure that the preschool business maintains a high level of education. It will also make sure that the preschool will grow over time.

This part of the business plan will show what the owner’s ambitions for the daycare preschool are. Whether they wish to expand, open more branches, or offer additional services for more grades.

This may prove helpful when starting the preschool as it leaves the scope open for the future.

Are you an Edupreneur looking for guidance in starting a successful preschool? You can consult an expert like Kreedo. As the leading preschool solutions provider, Kreedo helped start 2200+ schools in India.

Ready to start your preschool ?

Stuck between franchise and non-franchise preschool models? Here are the facts: Everything you should know about preschool franchise .

A daycare preschool business plan acts as a roadmap for edupreneurs when it comes to starting their preschool. Making it highly detailed and accurate can help later on. Ideally, key business plan points to consider are:

  • Preschool’s Purpose & Unique Selling Point
  • Daily Operations Plan

Undertaking the time to assess each of these points now makes it easier to work later. They are all key aspects of starting and running a business. Creating clarity around them in the preschool business plan will help.

Q 1) What are the benefits of choosing preschool solutions?

Ans) There are several benefits of partnering with a solutions provider like Kreedo. You get support, guidance, and benefit from their knowledge. Kreedo will help you select a daycare preschool location. They will also help hire and train teachers and put in place a successful curriculum.

Q 2) What is a business plan?

Ans) Business plans are documents that highlight various aspects of a business venture. This includes objectives, strategies, operation details, and prospective costs.

Q 3) Why is having a business plan important?

Ans) A preschool business plan will be essential for better decision-making. It will also aid in the long-term success of a business. Owners must draw up a business plan before starting a business. It helps to provide a realistic idea of what costs it will attract and how it will operate with success.

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How to Write a Business Plan for a Daycare: Complete Guide

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  • January 30, 2023

a business plan for a preschool

👇 Check all our resources on daycares 👇

Whether you’re looking to raise funding from private investors or to get a loan from a bank (like a SBA loan) for your daycare, you will need to prepare a solid business plan.

In this article we go through, step-by-step, all the different sections you need in your daycare business plan. Use this template to create a complete, clear and solid business plan that get you funded.

1. Executive Summary

The executive summary of a business plan gives a sneak peek of the information about your business plan to lenders and/or investors.

If the information you provide here is not concise, informative, and scannable, potential lenders and investors will lose interest.

Though the executive summary is the first and the most important section, it should normally be the last section you write because it’s the summary of the different sections included in your business plan.

Why do you need a business plan for your daycare?

The purpose of a business plan is to secure funding through one of the following channels:

  • Obtain bank financing or secure a loan from other lenders (such as a SBA loan )
  • Obtain private investments from investment funds, angel investors, etc.
  • Obtain a public or private grant

How to write an executive summary for your daycare?

The executive summary of your daycare business plan should include the following important information:

Business Overview

Introduce your company (its name, its mission) and the history behind it: why did you decide to create a daycare in your area today? Why you? 

Also, that’s where you should expand on the business: where will the daycare facility be located? How old are the children you target? How many children will you be able to take care of? What are the amenities (classrooms, playground, cafeteria, etc.)? 

Market Overview

Provide here a deep market analysis that backs your decision to open a daycare business in your area today. Why would your business succeed given current market conditions? 

For example, the market analysis should include information like: what are your competitors in the area? What are their characteristics, strengths and weaknesses ? Who are your target audience (parents and children)? Is that in line with the demographics in your area?

Management & People

Who is the management team? What is your/their experience in the daycare industry?

Financial plan

What is your expected revenue and profitability for the next 5 years? When do you expect to break-even? Simply include here a chart of your key financials (e.g. Revenue, Gross Profit, Net profit )

Funding Ask

What loan/investment/grant are you seeking? How much do you need? How do you intend to spend the money?

a business plan for a preschool

Daycare Financial Model

Download an expert-built 5-year Excel financial model for your business plan

2. Daycare Business Overview

The business overview section of the daycare business plan summarizes the basics of your facility, including the background information, business model, services, target audience, and legal structure. 

a) History of the Project

When you launch a daycare business, you want it to grow and even become the best in the region if possible. One small element that can catalyze your company’s growth is its history. You don’t have to exaggerate the information here, but try to include useful details that will make your daycare business stand out. 

For a business as sensitive as daycare, trust overrides anything else. So, make sure to include in your business plan your experience and passion for children to demonstrate to investors you are qualified and the right person to successfully run a new daycare facility.

Also, flesh out the history behind the project: why are you starting a daycare now? For example, you may have noticed a lack of child care services for toddlers and infants in the city.

b) Business Model

Next up is the business model. This is the revenue-generating plan that identifies how your business operates. A daycare business model should be succinct and address specific things about the business. 

For instance, is it a commercial daycare facility or a family daycare? Is it an independent facility or a partnership? And should you opt for a daycare franchise? 

Keep in mind that daycare facilities vary by the target age group. So, you can opt for a childcare center, a family daycare, a kindergarten/pre-school, or a nursery school.

a business plan for a preschool

c) Daycare Services

It takes a lot to raise a child. So, be clear on the services you want to offer in your newly founded daycare facility. The quality of services will make your business more attractive. But an even bigger factor will be the type of services you provide at the facility.

Indeed, a lot happens inside a daycare facility, from hands-on learning (classrooms, private tuition) to field trips, games and community events. 

d) Pricing Strategy

Age is a key factor when setting the prices of your daycare services. On average, parents across the US pay about $9,400 per year on child care per child. Of course, the actual figure will vary based on a number of factors, but this is a great starting point when getting into the industry. 

An accurate pricing strategy can help you outshine your biggest competitors. However, don’t forget that setting cheaper prices isn’t necessarily the best strategy, just in the same way overpriced services may turn off potential clients. 

e) Target Audience

Daycare centers are so named because they are about a child’s well-being. However, the final decision rests with the parents, who must buy into your idea and long-term vision for the facility. 

For this type of business, you have a definite target market . And all you have to do is ensure your facility is closer to a busy neighborhood with many children. Find out if the families truly need child care services, why they need these services and the children’s average age. 

Finally, make sure your services are aligned with your target audience. For example, you wouldn’t necessarily succeed with a daycare operating 9am – 4pm in an area where parents typically work long hours in the city and need time to commute back to their neighborhood to pick up their kids.

Same goes for pricing: if you offer high-quality expensive daycare services, make sure your daycare is either located close to offices or in an area where affluent parents work or live.

a business plan for a preschool

f) Legal Structure

Finally, your business overview section should specify what type of business structure you opt for. Is this a corporation or a partnership (LLC)? Who are the investors? How much equity percentage do they own? Is there a Board of Directors? If so, whom? Do they have experience in the industry?

3. Daycare Market Overview

In the market overview section of your business plan, you must cover 2 important areas:

  • Market trends : how big is the daycare industry in your area? How fast is the market growing? What are the trends fuelling this growth (or decline)?
  • Competition analysis : how many competitors are there? How do they compare vs. your business? How can you differentiate yourself from them?

a) Daycare Market Trends

How big is the daycare industry in the us.

It’s always helpful to base your business decisions on the latest trends in the US market. For instance, the US daycare market had a value of approximately $54.3 billion in 2019 . And it is projected to grow at an annual rate of 3.9% from 2020 through 2027. 

According to reports, the high number of parents occupying full-time and part-time jobs is a major driving force behind the increasing demand for daycare services. No matter how you look at it, these statistics make the daycare business even more lucrative, provided you get all the basics right through your business plan. 

a business plan for a preschool

How big is the daycare industry in your region?

After the US, assess the size of the daycare market in your city or area. Focus on the zone where you plan to offer daycare services.

Naturally, you might not be able to get the data for your specific city or region. Instead, you can estimate the size of your market, for more information on how to do it, read our article on how to estimate TAM, SAM and SOM for your startup . To give you an example, let’s assume you plan to operate in an area where there are already 10 competitors:

As we know the US daycare industry is worth $54 billion today, and there are about 230,000 child care centers , therefore the average annual turnover per child care center is around $235,000.

Now, we can safely assume that the daycare industry is worth $23 million in your area (10 centers).

How fast is the daycare industry growing in your region?

Growth is an important metric for assessing the status of the daycare industry in your region. 

Here if you don’t find information online or via your research, you can calculate growth using the total number of competitors in your area. 

For example, assuming there were 8 daycare competitors in the region in 2018, and 10 in 2022, the annual growth rate is 6% per year.

a business plan for a preschool

b) Daycare Competitor Analysis

At the very least, your competitor analysis should answer all the questions below:

  • How many daycare businesses are the area where you plan to open yours?
  • What type of daycare businesses are there: home-based vs. center-based home care, early care vs. early education & daycare, etc.
  • What age range do they specialise in?
  • What services do your competitors offer?
  • What amenities do your competitors have (playground, classrooms, etc.)
  • What’s their average price (daily rate / monthly rate)?
  • What is the child / staff ratio of your competitors?

4. Sales & Marketing Strategy

For some existing daycare facilities, marketing isn’t the most important aspect of running the business. But you’ll probably have to implement a few marketing strategies at the beginning to attract the first families , especially if you’re starting a new daycare facility.

a) Daycare Market Channels

A daycare business doesn’t have diverse marketing channels like retail stores or other businesses. So, this may limit your options when it comes to new marketing channels. 

Apart from word of mouth, other marketing channels include;

  • Social media
  • Online listing (Google business, Facebook business page)
  • Word-of-mouth

a business plan for a preschool

b) What are Your Unique Selling Points (USPs)? 

Daycare facilities offer pretty much the same services, and it’s not easy to stand out from the competition. However, a few factors can be useful when evaluating your opportunities in a competitive market, including:

  • Target age group : You may cover a unique age group as opposed to your competitors
  • Opening hours : you may offer longer opening hours to accommodate for different parents’ jobs and availabilities
  • Price : Your services may be cheaper than your competitors
  • Quality & amenities : Quality services and extra amenities (outdoor playground, etc.) will make your daycare facility more attractive vs. competitors
  • Services : Your services may go beyond the standard hands-on learning and kid games 

5. Management & People

The 5th section of your daycare business plan should be about people. It should include 2 main elements:

  • The management team and their experience / track record
  • The organizational structure: what are the different teams and who reports to whom?

a) Management

Here you should list all the management roles in your company.

Of course, the amount of details you need to include here varies depending on the size of your company. For example, a small daycare business run by 1 or 2 persons doesn’t need the same level of detail vs. a large center with 50 children or more.

If you plan on running your business independently, you may write a short paragraph explaining who are the co-founders and/or senior managers (if there are any in addition to yourself). It’s important to highlight their experience in the industry and previous relevant professional experiences.

b) Organizational structure

No matter how many leadership roles there are, you should now explain how you intend to run the company from a management standpoint.

What are the different teams (management, childcare staff, cooking staff, human resources, finance, etc.)?

Note that you should include these details even if you haven’t hired anyone yet. It will show lenders and investors that you have a solid hiring and management plan to run the business successfully.

A great addition here is to add an organizational chart that list all the roles, from Directors to managers, key supervisory roles and employees. Make sure to highlight with reporting lines who manages/supervises whom.

a business plan for a preschool

6. Financial Plan

The financial plan is perhaps, with the executive summary, the most important section of any business plan.

Indeed, a solid financial plan tells lenders that your business is viable and can repay the loan you need from them. If you’re looking to raise equity from private investors, a solid financial plan will prove them your daycare is an attractive investment.

There should be 3 sections to your financial plan section:

  • Your historical financials (only if you already operate the business and have financial accounts to show)
  • The startup costs of your project (if you plan to start a new daycare facility, or add capacity to an existing daycare center, renovate your facilities, etc.)
  • The 5-year financial projections

a) Historical Financials (optional)

In the scenario where you already have some historical financials (a few quarters or a few years), include them. A summary of your financial statements in the form of charts e.g. revenue, gross profit and net profit is enough, save the rest for the appendix.

If you don’t have any, don’t worry, most new businesses don’t have any historical financials and that’s ok. If so, jump to Startup Costs instead.

b) Startup Costs

Before we expand on 5-year financial projections in the following section, it’s always best practice to start with listing the startup costs of your project.

For a daycare, startup costs are all the expenses you incur before you open the space to your customers. These expenses typically include: renovation costs, equipment and furniture, etc.

The startup costs for opening a child care center depend on various factors such as the location and size of your daycare facilities, the capacity (the number of children you plan to have), the quality of the amenities, etc. 

We’ve identified that it costs anywhere between $130,000 to $490,000 to start a daycare business with 50 children . See below the cost estimates.

Note that these costs are for illustrative purposes and depend on several factors which might not fully apply to you. Let’s first start below with startup costs. 

c) Financial Projections

In addition to startup costs, you will now need to build a solid daycare financial model over 5 years.

Your financial projections should be built using a spreadsheet (e.g. Excel or Google Sheets) and presented in the form of tables and charts in your business plan.

As usual, keep it concise here and save details (for example detailed financial statements, financial metrics, key assumptions used for the projections) for the appendix instead.

Your financial projections should answer at least the following questions:

  • How much revenue do you expect to generate over the next 5 years?
  • When do you expect to break even?
  • How much cash will you burn until you get there?
  • What’s the impact of a change in pricing (say 10%) on your margins?
  • What is your average customer acquisition cost?

You should include here your 3 financial statements (income statement, balance sheet and cash flow statement). This means you must forecast:

  • The number of children over time ;
  • Your expected revenue ;
  • Operating costs to run the business ;
  • Any other cash flow items (e.g. capex, debt repayment, etc.).

When projecting your revenue, make sure to sensitize pricing and the number of members as a small change in these assumptions will have a big impact on your revenues.

When it comes to the costs, consider both startup and operating costs. For more information, read our complete guide here .

a business plan for a preschool

7. Funding Ask

This is the last section of the business plan of your daycare center. Now that we have explained what type of daycare services your company would offer, at what price, your marketing strategy , management and people, this section must now answer the following questions:

  • How much funding do you need?
  • What financial instrument(s) do you need: is this equity or debt, or even a free-money public grant?
  • How long will this funding last?
  • Where else does the money come from? If you apply for a SBA loan for example, where does the other part of the investment come from (your own capital, private investors?)

Use of Funds

Any business plan should include a clear use of funds section. This is where you explain how the money will be spent.

Will you spend most of the loan / investment to buy the real estate and do the renovations? Or will it cover the cost of the salaries of your childcare staff and other employees the first few months?

Those are very important questions you should be able to answer in the blink of an eye. Don’t worry, this should come straight from your financial projections. If you’ve built solid projections like in our daycare financial model template , you won’t have any issues answering these questions.

For the use of funds, we recommend using a pie chart like the one we have in our financial model template where we outline the main expenses categories as shown below.

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How to do a Preschool Business Plan


  • November 20, 2021



1. executive summary -.

- The first and crucial step of preparing a preschool business plan is to start with an executive summary. The executive summary must consist of your objective and unique selling point. It should talk about the aspects that make your preschool stand out from the rest.

- DRS Kids aims to function as a fun and nurturing play school for children from 1.5 - 6 years. We stand out as we provide a rich, stimulating environment to satisfy the learning needs of children. We strive towards the development of their social, emotional, physical, and academic skills.


- Yes, you need to talk about your preschool in the plan. Mention what, when, how, and every other possible question, but briefly. Firstly, the organization itself needs to understand what they are. Then comes the plan on how they plan to execute their identity to the general public.

- DRS Kids, a preschool chain, provides a joyous learning environment. The curriculum provided is scientifically researched to maximize the development of children. The preschool environment is safe, educational, and nurturing. The creche cum daycare facilities and market segmentation makes DRS Kids feasible for urban as well as rural areas.


- Marketing is an integral part of business. The extent to which you market your business is what determines your success. It aims at building brand awareness using various ways. One is even open to select the type of marketing they wish to do for their business. The requirement is to strategize the further proceedings of their plan based on that.

- We, at DRS Kids, provide major support to our preschool franchises when it comes to marketing. We plan a customized marketing strategy for them and provide them with all the marketing collateral required. We also offer them training for admission counselling as a part of marketing. Additionally, we do national brand marketing through televisions ads, official websites, social media platforms, etc.


- The functioning strategy of your business is it's operation plan of actin. Mention the location of your preschool and the number of employees that you plan to employ. Make sure to form the departments that will exist in the organization. Specify the possible division strategy of employees into each department. Ensure that the operational plan has a list of the tasks assigned to each department or each member. The list should also mention the deadlines of each task.

- We, at DRS Kids, make the whole process of operational planning easy for our preschool. We provide them with the operational expenditure plan, the staff recruitment plan, and the student enrollment plan. We even provide them with a welcome and consolidated kit that consists of essential manuals & documents.

- Team is the core aspect of a business, both in the plan and in the implementation. A business is highly dependent on the team that works to build it. Mention all your team members in the business plan. It should include all the members from all the departments.

- DRS Kids provides overall support to our clients to recruit the entire team for their preschool.


- Plan your finances and lay down the same plan firmly. It familiarizes you with the expenses that await you shortly. This way of strategizing helps in the proper implementation of your plan and promotes organized spending.

- DRS Kids preschool franchises are affordable as they do not burn a hole in your pockets. We provide our clients with a revenue projection list, which is a part of our business proposal. We currently have a zero franchise fee offer which further adds to our clients’ savings.

Also Read:- How to start a preschool in india

7. projected profit & loss statement -.

- The profit gained out of a business is the definition of its success. Profit and loss statements help in target setting and better functioning. Similarly, loss will possess this application too. Hence, while making a business plan, it is important to add a combined projected profit and loss statement

- The DRS Kids business proposal shares a project feasibility report with the franchisee. This way the process is hassle-free for them. The business proposal provided is completely informative in itself. We simplify the process for making business plan for clients.


- So far it is clear that a preschool business plan is a written document. It consists of the organization’s business-related activities and goals. It also gives information about how it wishes to execute its plan to achieve the mentioned goals. The business plan document is not supposed to remain constant. This is mainly because growth and evolution are important aspects of a business. Hence, as the business grows, the modification of information in the document is important too. In simpler words, we can say that it is a document that develops and evolves as your business grows. At DRS Kids, we provide you with a business proposal that satisfies all the above-mentioned requirements. The process of building a business with us is effortless.

Mr. Garv Agarwal


  • Curriculum for preschool , Government permission to open a preschool , How much area is required for preschool , How much investment to start a preschool , How to start a preschool , How to start a preschool in India , How to start playschool & daycare , Legal procedure to start a preschool in India , Open a preschool , Permission to start a preschool , Permission to start a preschool in India , Preschool affiliation in India , Procedure to start a preschool , Process to open a Playschool in India , Registration of a playschool

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Day Care Business Plan

Start your own day care business plan

Safe Kids Child Care

Executive summary executive summary is a brief introduction to your business plan. it describes your business, the problem that it solves, your target market, and financial highlights.">, opportunity.

There are an increasing amount of families who have become dependent on two incomes, which has created the necessity of the child care industry. Increasing need means that there are more children that are in need of a safe enriching place to go. 

Safe Kids Child Care will succeed by offering its clients’ children a safe and secure care environment, and close personal attention. The goals of the center are dual-sided: to help parents feel good about the care of their children, and to make it a safe, educational, and fun experience for the child. 

Safe Kids Child Care has a focus on meeting the local need for child care services within the 10-mile radius of Lynn. Children are taken in flexibly on either a full-time or part-time basis.


There are over 300 child care providers in the local area. The larger commercial chain child care centers, such as KinderCare, have a majority of the market share. These larger chains compete well because of a good reputation among the consumer market. Safe Kids Child Care offers a lower staff to child ratio, which is appealing to most parents. Additionally, the company maintains child care fee levels that are 5-10% below the average of that of the large commercial chain child care fees.

 Safe Kids Child Care offers a lower staff to child ratio, which is appealing to most parents. Additionally, the company maintains child care fee levels that are 5-10% below the average of that of the large commercial chain child care fees.


Safe Kids is an exciting opportunity that provides safe and secure child care to the Lynn, MA neighborhood. Safe Kids will reach sustainable profitability over the next three years. Through a combination of well-priced services, outstanding customer service, and a well seasoned management team, Safe Kids will quickly gain market share and a reputation as a premier child care provider.

Financial Highlights by Year

Financing needed.

We plan on having $40,000 to start our business. Each owner will contribute $20,000 to our opening costs. 

Problem & Solution

Problem worth solving.

The child care market is quite competitive in the Boston area. There are over 300 different facilities. There are two general types of facilities. The larger style is commercially run, typically a corporate franchise center. These facilities are both regional and national. Currently, the four largest child care facilities in the USA account for 29% of the market. There are also many different smaller locally run and owned faculties. While the largest facilities can host between 20-100 children, the locally run centers typically have a maximum capacity of 20 children.

Target Market

Market size & segments.

Full-Time Working Couples

The company wants to establish a significantly large full-time regular client base in order to establish a healthy, consistent revenue base to ensure stability of the business. Customer relations are extremely important, as it is imperative to keep the parents pleased in order to keep their children in the daycare center.

Part-Time Workers / Drop-Ins

Part-time workers and drop-ins comprise approximately 20% of revenues. While this market is not the primary focus, sufficient flexibility to handle this secondary market is important to producing supplemental revenues.

Current Alternatives

Our advantages.

Child care competitive edge is the facility’s efforts in obtaining all appropriate licensing and certifications. Additionally, thorough pre-hire background screenings are performed on all individuals before hired for employment.

Keys to Success

Keys to success for the company will include:

  • Maintaining a reputable and untarnished reputation in the community. 
  • Quality care. 
  • Competitive pricing. 
  • Flexible hours.

Marketing & Sales

Marketing plan.

The differentiating effort will be benchmarked customer service. A customer-centric philosophy will be infused within the entire organization. Safe Kids will spend extra money to attract and train the best employees. This is especially important because it is the employees that interact with both the children and parents and will have the best chance to impress them enough to turn them into a loyal customer as well as to be vocal in telling their friends about their positive child care experience. 

We will have a Social Media Campaign which uses Facebook and Linked in. We will have experts answer child care questions if the public wants. This gives the public confidence that we know what we doing. We will have customer reviews and allow our customers to talk to us. 

Safe Kids Child Care will make a significant profit through the excellent care of children. Even though Safe Kids charges less, the company will see profit within the first year due to beneficial word-of-mouth advertising. The company expects to double its’ clientele every six months, for the first 18 months.

Locations & Facilities

The facility will originally consist of a 1,300 sq. ft. house in a quiet, residential neighborhood. The yard will be fully fenced in, to ensure no one can either come in or wander away. The yard will be furnished with safe, entertaining toys, as well as a sandbox.

Milestones & Metrics

Key metrics.

Our Key Metrics are: 

  • Facebook page views, Twitter re-tweets, and new potential clients calling saying that a current client referred them. 
  • The number of children we take care of daily 
  • The number of children that are signed up for the monthly care 
  • The amount of training our staff has to take care of children and keep incidents down to zero. 

Ownership & Structure

This business will start out as a simple proprietorship, owned by its founders. As the operation grows, the owners will consider re-registering as a limited liability company or as a corporation, whichever will better suit the future business needs.

Management Team

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Personnel Table

Financial plan investor-ready personnel plan .">, key assumptions.

Our key assumptions are: 

  • There are children from families where both parents work or need to work. The children need somewhere safe and enriching where they can grow and make friends while their parents get a chance to get back to him.
  • Adults sometimes have emergencies and they need to have a place to leave their children when they can’t be with them 
  • The community appreciates the it takes a village mentality. They appreciate we have resources and experts that will answer their questions. We assume they will come to us if they need help, we won’t go out of our way to advise. 

Revenue by Month

Expenses by month, net profit (or loss) by year, use of funds.

Our Start-up Expenses are $3000 including: 

Legal $1,000

Brochures $350

Stationery etc. $100

Activity Supplies $250

Food Preparation Supplies $300

First Aid Supplies $200

Cleaning Supplies $150

Nap Time Bedding $250

Sources of Funds

Our two owners will put up 20,000 dollars each, totaling 40,000. 

Projected Profit & Loss

Projected balance sheet, projected cash flow statement.

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5 steps to create a highly effective preschool business plan, 14+ preschool business plan templates, 1. preschool business plan template, 2. preschool business plan example, 3. preschool business plan sample, 4. simple preschool business plan template, 5. preschool business plan format, 6. preschool business plan proposal, 7. preschool academy business plan, 8. preschool community business plan template, 9. preschool business plan preparation, 10. preschool education business plan, 11. preschool business plan development, 12. preschool business plan program example, 13. annual preschool business plan template, 14. standard preschool business plan, 15. preschool business plan description, 14+ preschool business plan templates in google docs | word | pages | pdf.

Whether you are running a restaurant or a preschool it is important to have a business plan. If you are just starting one then you will probably be requiring funds. When you approach an investor for the funds the first thing he or she is going to want from you is a solid preschool business plan . That will give him an idea of whether you know what you need to do and if it would be a good idea to invest money in your venture.

a business plan for a preschool

Step 1: Create the Cover Page

Step 2: create a summary of what you want to build, step 3: give an analysis of the market, step 4: propose how you wish to achieve your goals, step 5: calculate and estimate the costs.

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I Sent My Daughter to Daycare Instead of a Nanny and I Couldn't Be Happier

Everyone warned me it would be difficult, but sending my baby to daycare was one of the best parenting decisions I've made.

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When I was pregnant, I frequently met other pregnant people who could rattle off their philosophies on sleep training and secure attachment, and deliver TED Talk-worthy presentations on the merits of this crib versus that crib or this stroller versus that stroller. I wondered, "How did all these people seemingly already know how to raise children? How did they decide on a nanny vs. babysitter vs. daycare?"

I felt as if my recurring nightmare had come true, the one where I show up for a final exam only to realize I've missed an entire semester's worth of classes. Personally, I had no strong convictions about baby sleeping arrangements, no grand vision for our nursery—and no idea, I thought, about how to be a mother. When I was asked about my future parenting plans, my nonchalant shrug belied the panic I felt in the pit of my stomach.

But, when talk inevitably turned to child care, I was surprised to hear myself express a clear, confident opinion: "My daughter will go to daycare, definitely."

Of course she would. I knew I would keep working—I'd spent over a decade building my career, and I cared about my job, not to mention that it wasn't a financial option for me not to return to work. Daycare was a financial necessity too—it costs a fortune, yes, but a nanny costs two fortunes. Still, finances aside, I loved the idea of my kid spending her days hanging out with other kids and being cared for by a team of child care professionals, all in a setting designed for little ones to play and explore.

Why I Loved Our Daycare

I was sold on our daycare the moment my husband and I walked through the doors. In the bright, cozy playroom, a couple of babies were tucked into the lap of a teacher reading to them, a trio of toddlers was building a block tower, and the owner was playing the ukulele and singing, "She'll be coming around the mountain" to a cluster of kids dancing and rolling around the rug.

The space smelled like cinnamon oatmeal, which the group had eaten for breakfast. By the time we made it to the grassy backyard filled with playground equipment and a small garden, I was ready to hang up my coat on my own designated hook and enroll myself at the daycare. I was thrilled for my daughter—still nestled in my belly at the time—to learn and grow in this sweet environment.

I loved the idea of my kid spending her days hanging out with other kids and being cared for by a team of child care professionals, all in a setting designed for little ones to play and explore.

My maternity leave spanned a gorgeous summer. When autumn arrived and it was time to go back to work, I felt anxious about a dozen things: the commute, the breast-pumping, the challenging assignments I'd need to complete on very little sleep. But among my anxieties was not the fact of sending my daughter to daycare. I'd enjoyed several beautiful months as a full-time mother, but I didn't wish to keep at it permanently, and I didn't feel guilty about it.

When people inquired about my childcare plans, some told me they could never leave their kids like that—with strangers in a strange place. Others lamented the high cost of living, assuming that I'd be staying at home if I could. And many who'd sent their own kids to daycare responded with sympathy: A friend told me her child's first day there was the worst day of her life; she assured me it would get easier. A co-worker related that he felt so distraught after dropping off his daughter, he ended up picking her up 10 minutes later, never to return.

Most of these people meant well, and I respected their opinions and experiences. But I simply didn't share their fears, their worries, or their regrets. I believed to my core that it would be good for my daughter to have lots of caring, competent adults in her life. It takes a village, right?

As far as I was concerned, the more love and attention she received, the better. When I expressed these feelings to my therapist, she kept prompting me to dig deeper, to get in touch with the sadness or ambivalence I might feel about handing off my baby to other caretakers. I probed and probed my heart and mind, but I felt fine about it—really, truly.

The First Day of Daycare

When it came time to drop off my 4-month-old for day one of daycare, it was strange to watch her handling a rattle that wasn't ours and to see her being held by a woman whose name I'd just learned. I felt a twinge acknowledging the transition—the start of this new chapter, the end of the last one.

But as I waved goodbye, I felt confident my daughter was in fantastic hands—hands that had spent way more time than my own changing diapers and feeding bottles and singing lullabies to countless little ones. When I returned that evening, my daughter greeted me with a wide smile, and I felt a surge of happiness—this would become her place, her community.

Where We Are Today

One year later, my daughter has grown to love her teachers as much as they love her, and she has a slew of friends she eats and plays and naps with every day. When I drop her off and the aromas of bacon and eggs waft through the kitchen, she runs to grab her chair, says hello to her buddies, and gleefully waves me goodbye. She comes home each evening saying new words and demonstrating new skills (and sometimes wearing new clothes).

Most of motherhood still feels like trial and error to me. And I still find myself in conversations with parents who seem to have it all figured out, as they hold forth on screen time or discipline or school districts. But more and more I've realized that different things are important to different parents, and what's right for them isn't necessarily right for us, and vice versa. I feel strongly about this one big thing: Daycare is fantastic for our family. The rest we're figuring out as we go along.

Of course, there are days I would prefer to stay home and be with my daughter all day. And sometimes the weekday math strikes me as ridiculous: the two or three hours I have with my daughter versus the eight hours I spend in front of a computer screen in my office. But one consolation is that I've gotten to know other daycare parents who share my confidence in our childcare choice.

At pick-up the other day, a fellow mom turned to me and said, "Isn't this place amazing? Our kids are so happy here." She said it conspiratorially like we'd discovered some buried treasure. And really, I believe we have.

Lindsey J. Palmer is the author of many novels, including " Reservations for Six ," which came out in May 2022. A former magazine editor and high school English teacher, she's now a senior editor for the ed tech company BrainPOP. Find Lindsey at .

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a business plan for a preschool

Epic Storyworlds acquires Frima’s gaming IP catalogue

Looking to revive the quebec-based developer’s titles with software upgrades, plans are also underway to develop a preschool series based on the cosmo camp brand..

Epic Storyworlds has inked a deal to acquire Québec-based game developer Frima’s catalogue of more than 20 popular gaming titles, including a 14-year-old educational preschool brand called Cosmo Camp (pictured) that it’s putting into development as a TV series. 

Established in 2003, Frima has largely focused on producing multi-platform games for console, web and smartphone apps, as well as dabbling in animation and VFX service work on projects including 2018’s Elliot the Littlest Reindeer film (Awesometown Entertainment) and the 2013 IMAX short Dragons 3D (Thalie Productions).

To revive all of the studio’s brands for today’s fast-changing marketplace, Epic is initially planning to reissue some titles with software upgrades to make them compatible with current platforms. It’s also working on a new game for the family-friendly Chariot brand with support from the Canada Media Fund.

Epic Storyworlds (a sister company of Epic Story Media) builds 360-degree franchises for three- to 12-year-olds. It was co-founded in 2020 by Steve Couture, who also co-founded Frima and served as its CEO for almost 15 years.  

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  1. 14+ Preschool Business Plan Templates in Google Docs

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  2. 14+ Preschool Business Plan Templates in Google Docs

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  1. Preschool Business Plan Template [Updated 2024]

    Traditionally, a marketing plan includes the four P's: Product, Price, Place, and Promotion. For a preschool business plan, your marketing strategy should include the following: Product: In the product section, you should reiterate the type of preschool company that you documented in your company overview.

  2. How to Write a Business Plan for Daycare and Preschool

    Once you're clear on licensing guidelines, you're ready to start writing your childcare business plan. The purpose of a business plan is to help secure funding. You'll likely need financing to launch your preschool or daycare, especially if you want to avoid the monthly repayment of a loan.

  3. 20 steps to Start A Profitable Preschool and Reduce Expenses

    1. Create a business plan. The very first step towards opening a preschool is thinking like a business, and a proven way to do so is by creating a business plan. You'll need to do your research, with a focus on understanding the costs involved in successfully launching a profitable preschool business.

  4. How to Make a Preschool Business Plan

    Meet the iron triangle. For a preschool business to be financially stable, the iron triangle must be met: Full enrollment: ensure that all of your spaces are full. Full fee collection: ensure that you are collecting all of your tuition and on time. Revenue covers real cost-per-child: you need to ensure you are priced in such a way that your ...

  5. Preschool Business Plan Template [2024 Updated]

    Here you go; download our free preschool business plan pdf to start. It's a modern business plan template specifically designed for your preschool business. Use the example business plan as a guide for writing your own. Upmetrics is the #1 business planning software that helps entrepreneurs and business owners create investment-ready business ...

  6. The Daycare Business Plan Blueprint (Examples + Template)

    This daycare business plan example shows you how to include this vital information: "The daycare will be located at 123 Main Street in a commercial space currently leased by the owner. The lease agreement is for three years with an option to renew for an additional three years.

  7. How to Write a Child Care Business Plan

    The executive summary should include all the nitty-gritty details of your daycare such as the address, hours of operation, and the number of children it will serve. It should also include what sets you apart from other daycares. The executive summary sets the tone for the rest of the plan so the more information you include here, the better.

  8. How to Develop a Business Plan for a Preschool

    A business plan is essential for the success of your venture. In this, we'll go over how to develop a comprehensive business plan that will help you launch and grow your preschool. Starting a preschool can be a rewarding and profitable venture. However, it's important to have a solid business plan in place to ensure the success of your ...

  9. How to Write An Effective Preschool Business Plan

    Conclusion: Your preschool business plan needs to be clearly outlined before you open your doors. This will ensure that everything goes as smoothly as possible, in both the short-term and long-term. You'll need to make decisions regarding costs, operating policies, and procedures, examine your market needs, and develop an effective promotion ...

  10. The Ultimate Guide to Launching Your Preschool Business

    3) Research & Identify Licensing & Legal Requirements to Start a Preschool Business. 4) Find Your Dream Preschool Location. 5) Building, Renovating & Decorating Preschools. 6) Hiring & Training Teachers. 7) Choosing the Best Preschool Curriculum. 8) Creating a Profitable Marketing Plan.

  11. Preschool Business Plan [Sample Template]

    Preschool Business Plan [Sample Template] Preschool industry operators provide daycare services for children under the ages of three and four to prepare them for kindergarten. The dispersion of the preschool programs reflects in the geographic distribution of the children, which is also influenced by the cost and supply of preschool programs ...

  12. Preschool Business Plan [Sample Template for 2022]

    A Sample Preschool Business Plan Template. 1. Industry Overview. The Preschool industry operators provide day care services for children under the ages of three and four to prepare them for kindergarten. The dispersion of the preschool programs reflects in the geographic distribution of the children, which is also influenced by the cost and ...

  13. How to Write a Business Plan for a Daycare Center

    Free Download: Sample Daycare Business Plan Templates. Working out a business plan for your daycare center can be a challenge. There are many expenses you must calculate—more than you'd think! Projected enrollment growth and market demand can also be tricky to estimate. From knowing your competition to picking the right place to establish ...

  14. Preschool Business Plan Sample [2024 Updated]

    Step4: Get Funding. Any business needs money to start and function before it can become self-sustaining. To get the initial funding for LearnALot, Theo decided to write up a strong business plan that would wow the investors. Step5: Find a Physical Space. Every business, big or small, needs space to function.

  15. PDF Little Stars Preschool Business Plan Example

    Get access to Upmetrics software, invite your team members and start writing your business plan. 1. Get tried and tested tips. Upmetrics business plan builder gives you everything you need to stay in sync and guides you on every step of your business plan writing. 3. Stunning business plan cover pages.

  16. Preschool Business Plan: 6 Key Points to Consider

    A preschool business plan requires eduprenuers to state how their preschool solves problems. This helps investors to visualise the success chances of your preschool business plan. 2. Project Cost & Time to Recover and Profit . Opening a business such as a daycare preschool will attract costs. The costs will vary in amount and owners need to ...

  17. How to Write a Business Plan for a Daycare: Complete Guide

    In this article we go through, step-by-step, all the different sections you need in your daycare business plan. Use this template to create a complete, clear and solid business plan that get you funded. 1. Executive Summary. The executive summary of a business plan gives a sneak peek of the information about your business plan to lenders and/or ...

  18. Preschool Business Plan

    Documents like a kindergarten business plan, and a play school business plan, among others, will help you survive the initial onslaught of the endeavor while guiding you for months or even years to come. Scroll on to learn more and to find some of the best preschool business plan examples anywhere. Preschool Business Plan Examples & Templates 1.

  19. How to Do a Preschool Business Plan

    1. EXECUTIVE SUMMARY -. - The first and crucial step of preparing a preschool business plan is to start with an executive summary. The executive summary must consist of your objective and unique selling point. It should talk about the aspects that make your preschool stand out from the rest.

  20. 11+ Preschool Business Plan Templates

    1. Business Plan and Needs Assessment. Once you're done evaluating your readiness and are sure about your decision in starting a child care center or preschool business, the next thing you should do before coming up with a sample business plan is conduct a needs assessment for your area. It will not only answer the questions below but also ...

  21. Day Care Business Plan Example

    Cash at End of Period. $139,493. $168,779. $190,402. Download This Plan. Explore a real-world day care business plan example and download a free template with this information to start writing your own business plan.

  22. 14+ Preschool Business Plan Templates in Google Docs

    Download Now. If you are planning to create a daycare center and need a daycare business plan for the same check out this sample business plan template. It should save you a lot of time and research. It should also help you to plan your next steps if this is the first time you are doing business in this field. 3.

  23. Nanny vs. Babysitter vs. Daycare: One Parent's Approach

    Daycare was a financial necessity too—it costs a fortune, yes, but a nanny costs two fortunes. Still, finances aside, I loved the idea of my kid spending her days hanging out with other kids and ...

  24. Epic Storyworlds acquires Frima's gaming IP catalogue

    May 22, 2024. Epic Storyworlds has inked a deal to acquire Québec-based game developer Frima's catalogue of more than 20 popular gaming titles, including a 14-year-old educational preschool ...