Learning how to start a daycare center business opens the door to a profitable and meaningful venture. With more parents working full-time, the global demand for quality childcare keeps growing.
This is not just about watching children. It involves licensing, staffing, safety, curriculum planning, and running a structured business that meets both parental expectations and regulatory standards.
In this guide, you will learn how to set up a daycare center from scratch, with or without money. You will also find practical tools and resources, including our Entrepreneurs Success Blueprint Program and business plan templates, to help you launch with confidence.
Key Takeaway
- Starting a daycare center requires proper licensing, a clear business plan, and a child-friendly setup to build trust with parents.
- Success depends on hiring qualified staff, offering a well-structured curriculum, and maintaining a safe, engaging environment.
- Effective marketing and consistent communication are essential to attract, retain, and grow your client base.
- With the right systems and support, your daycare center can evolve into a scalable, high-impact business.
How To Start a Daycare Center Business – Step-by-Step
Starting a daycare center business involves careful planning, licensing, facility setup, and staffing.
Whether you are launching from home or a commercial space, following a clear process helps you build trust and stay compliant.
Step 1: Choose the Right Daycare Model
Start by selecting the model that fits your goals and resources. Options include home-based care, commercial centers, Montessori setups, and mobile daycare services.
Consider capacity, licensing needs, budget, and long-term vision.
Model Type | Best For | Typical Start-up Cost |
---|---|---|
Home-Based | Low-cost startup, smaller scale | $500 – $5,000 |
Commercial Center | Scalable business operations | $10,000 – $50,000+ |
Montessori/Specialty | Education-focused offerings | $15,000 – $60,000+ |
Mobile Daycare | Event-based or corporate care | $1,000 – $10,000 |
Step 2: Conduct Market Research
Research local demand, competition, and pricing. Find out how many families in your area need daycare services, what hours they prefer, and what they are willing to pay. Also, assess competitor services and identify gaps you can fill.
Useful tools: surveys, online forums, social media groups, and national childcare databases.
Step 3: Write Your Business Plan
Develop a detailed daycare center business plan that outlines your vision, market analysis, services, financial projections, and operations.
This document is essential for funding, decision-making, and long-term strategy.
If you need help, get the editable business plan template from the Entrepreneurs.ng Shop to save time and stay focused.
Step 4: Register and License Your Daycare
Choose a legal structure (sole proprietorship, partnership, or limited company) and register your business name. Next, obtain the required licenses and certifications based on your country or region. These may include:
- Business registration certificate
- Childcare license
- Health and safety inspection clearance
- Staff background checks
- Insurance for liability and property
Our business registration service can help streamline this process for you. Reach us on WhatsApp- 08038874148.
Step 5: Secure a Suitable Location
If operating from home, ensure you meet safety and zoning standards. If using a commercial space, find a child-friendly environment with space for sleeping, playing, eating, and learning.
Key features to consider:
- Natural lighting and ventilation
- Secured fencing and entry points
- Non-slip flooring and soft furniture
- Dedicated bathrooms and diapering areas
- Outdoor play area (if possible)
Step 6: Purchase Equipment and Supplies
Create a checklist of everything needed to run your daycare center efficiently and safely. These include:
Essentials
- Cribs, cots, and mats
- Age-appropriate toys and books
- Tables and child-sized chairs
- First aid kits and safety gates
- Cleaning supplies and child-proof locks
Optional Enhancements
- Whiteboards or learning boards
- Projectors or screens for educational videos
- Music and sensory tools
- Cameras for live parent monitoring
For a complete breakdown, refer to the “List of Items Needed to Start a Daycare” section later in this guide.
Step 7: Hire and Train Your Staff
Recruit caregivers, assistants, cooks, and cleaning staff depending on your size. Look for people who are certified, experienced, and genuinely enjoy working with children.
Define roles clearly and offer regular training in:
- Child safety and supervision
- First aid and emergency response
- Curriculum delivery
- Communication with parents
Our Employer-Employee Super Protection Bundle can help you formalise contracts and compliance documentation.
Step 8: Design a Daily Schedule and Curriculum
Structure your day to balance learning, play, meals, rest, and personal care. Your curriculum should support language development, motor skills, emotional growth, and basic math or literacy.
Sample Daily Routine (Ages 2–4)
Time | Activity |
---|---|
8:00 – 9:00 | Arrival and Free Play |
9:00 – 10:00 | Circle Time and Storytelling |
10:00 – 10:30 | Snack Break |
10:30 – 12:00 | Guided Learning Activities |
12:00 – 1:00 | Lunch |
1:00 – 2:30 | Nap Time |
2:30 – 3:30 | Outdoor Play / Movement |
3:30 – 4:30 | Creative Arts and Music |
4:30 – 5:30 | Wrap-Up and Parent Pick-Up |
Tailor your program to each age group, and include milestone tracking and regular parent updates.
Step 9: Market Your Daycare Center
Build awareness before launch using flyers, posters, social media, and partnerships with local schools, clinics, and businesses.
Marketing channels to focus on:
- Google Business Profile
- Facebook and Instagram
- Local parent groups and forums
- Community noticeboards
- Referral incentives for enrolled families
If you need help with branding, logo design, or a website, check out our creative and marketing services on Entrepreneurs.ng.
Step 10: Launch and Monitor Progress
Plan a soft launch with a limited number of children to fine-tune operations. Collect parent feedback regularly and adjust processes, staffing, or services as needed.
Track these key performance indicators:
- Enrollment numbers
- Parent satisfaction
- Child progress reports
- Staff turnover
- Profitability
Continuous improvement is vital for long-term success. Use the insights to refine your approach, expand your offerings, or open a second location when ready.
With a clear roadmap, strong planning, and the right support, starting a daycare center business becomes a structured, manageable process.
Understanding Daycare Center Business Models
Before you start a daycare center, it is important to choose a business model that matches your goals, resources, and the needs of your community.
The model you select will determine how much you spend, how you operate, and the kind of licenses you will need.
Home-Based Daycare Center
This model allows you to start a daycare center from your home with minimal investment. It is ideal if you are working with limited funds or want a smaller setup.
You will need to meet zoning and safety requirements, and depending on your location, you may still require licensing.
Commercial Daycare Center
A commercial center operates from a dedicated facility. It often serves more children and employs a larger team.
This model demands more capital, formal licensing, insurance, and regulatory oversight, but it can also deliver higher returns and long-term growth opportunities.
Franchise Daycare Model
Franchising offers a structured entry into the childcare industry. You operate under a known brand, with training and business systems provided.
This model suits entrepreneurs looking for a plug-and-play solution, though startup costs are often higher due to franchise fees.
Mobile or Pop-Up Daycare
Mobile daycare services provide care at events, conferences, or corporate locations. They are flexible and low-cost to set up, and they cater to niche markets such as businesses looking to support working parents.
Montessori and Specialty Models
Some daycare centers follow specific education philosophies like Montessori, Reggio Emilia, or language immersion. These models often attract parents seeking enriched learning environments, but they require trained staff and curriculum alignment.
Comparison Table of Daycare Center Business Models
Model Type | Start-up Cost | Space Required | Max Capacity | Licensing Needs | Suitable For |
---|---|---|---|---|---|
Home-Based | Low | Small | Limited | Moderate | Low-budget entrepreneurs |
Commercial | High | Large | High | High | Scalable business ventures |
Franchise | High | Varies | Medium-High | High | Brand-focused entrepreneurs |
Mobile/Pop-Up | Low | Flexible | Low-Medium | Low | Event/corporate markets |
Montessori/Specialty | Medium-High | Varies | Medium | Moderate-High | Education-focused operators |
Choosing the right daycare center business model is your first step toward building a stable, trusted, and profitable childcare service. It also helps you determine your budget, staffing needs, and daily operations.
Why Start a Daycare Business (Even From Home)
Starting a daycare center is one of the few businesses that balances purpose with profit. Whether you are launching from home or a commercial space, the potential for steady income and long-term growth is strong.
Consistent Demand Worldwide
Parents need reliable childcare to work, study, or run their businesses. According to Statista, over 60 percent of children under age six in the United States are in some form of regular childcare.
The demand is also rising across Europe, Africa, Asia, and Latin America as more families rely on dual incomes.
Low Entry Barrier
You can start a daycare center with minimal capital by using your home, second-hand equipment, and word-of-mouth marketing.
Home-based models require less space and fewer staff, making them ideal for first-time entrepreneurs.
Recession-Resistant Industry
Even during economic downturns, parents still need childcare. Daycare services fall under essential services in many countries. This makes the business more stable than many others that rely on discretionary spending.
Opportunity to Work From Home
Running a daycare from home gives you flexibility, especially if you are a parent yourself. You earn while spending time with your own children, avoiding commuting costs and rigid work schedules.
Community Impact
Beyond profits, starting a daycare center allows you to support working families and contribute to early childhood development. Many daycare owners also become trusted figures in their communities.
Key Advantages at a Glance
Advantage | Description |
---|---|
High Demand | Driven by dual-income households globally |
Flexible Startup Options | Operate from home or scale to a large facility |
Predictable Income | Recurring revenue from enrolled families |
Purpose-Driven Work | Contribute to child development and community support |
Growth Potential | Expand to multiple locations or offer specialty services |
If you are looking for a reliable and meaningful business idea, starting a daycare center offers both financial and personal rewards.
See also: Proven steps to start a successful business.
Can You Start a Daycare With Little or No Money
Yes, you can start a daycare center with little or no money if you approach it strategically.
While some expenses are unavoidable, there are smart ways to reduce startup costs and still deliver quality care.
Start From Home
Operating a daycare center from home eliminates the cost of rent or property. You can use existing furniture, convert a room into a child-safe area, and repurpose household items like shelves, rugs, and storage bins for your setup.
Use What You Already Have
You do not need to buy everything new. Ask friends or community groups for gently used toys, books, mats, and safety gates. Many parents and families are willing to donate items they no longer need.
Offer Limited Hours or Slots
Begin with a part-time model or offer fewer slots. This reduces your initial staffing and supply needs. You can gradually expand as you generate income and gain trust in the community.
Partner With Local Institutions
Churches, schools, or community centers often have unused space during certain hours. With the right agreement, you can operate from these venues at little or no cost.
Barter Services
If you have skills in design, marketing, or admin, consider bartering your services with others who can provide what you need—printing, banners, or basic supplies.
Explore Grants and Community Support
Some local governments and NGOs offer small business support for childcare startups. Look into startup grants, micro-loans, or in-kind contributions such as furniture or training.
Cost-Cutting Ideas at a Glance
Strategy | How It Helps Reduce Cost |
---|---|
Home-Based Setup | Avoids rent and commercial utility bills |
Reused Equipment | Cuts down on toy, furniture, and supply expenses |
Limited Hours | Requires fewer staff and lower operational overhead |
Venue Partnerships | Offers rent-free or low-cost spaces |
Community Donations | Provides supplies at no cost |
Government or NGO Grants | Funds startup costs or training programs |
Starting a daycare center with little or no money is possible with creativity and resourcefulness. Once you gain traction, you can reinvest profits to upgrade your space, curriculum, and operations.
Licensing and Certifications You Need For a Daycare Center Business
Before you start a daycare center, you must understand and meet the legal requirements in your location. Licensing is essential to operate legally, gain parent trust, and qualify for grants or partnerships.
What Certifications Do I Need to Open a Daycare
Certifications vary by country, state, or region, but they typically fall into a few core categories:
1. Business Registration and Zoning Approval
You need to register your daycare center as a legal entity. This could be a sole proprietorship, partnership, or limited company. Zoning laws also apply, especially if you are operating from a residential area.
2. Childcare License
Most governments require a daycare center license issued by a designated agency. This confirms your facility meets safety, space, and staff-to-child ratio standards.
In many cases, inspections are required before you are granted a license.
3. Health and Safety Certifications
You and your staff may be required to complete courses in pediatric first aid, CPR, and child safety. These certifications are often mandatory and must be renewed periodically.
4. Staff Background Checks
You will need to show proof that staff have passed background checks and have no history of offenses related to children or abuse.
5. Curriculum Approval (If Applicable)
If you are running a structured learning program such as Montessori or language immersion, some countries may require that your curriculum meets early education standards.
Global Licensing Overview
Country | Licensing Body | Common Requirements |
---|---|---|
United States | State Department of Human Services | Business license, health/safety inspection, CPR certification |
United Kingdom | Ofsted or Local Authority | Registration, DBS checks, first aid training |
Canada | Provincial Child Care Ministry | Facility inspection, certified staff, ratios by age group |
Australia | Department of Education, Skills and Employment | Childcare approval, Working With Children checks |
South Africa | Department of Social Development | Zoning permit, health clearance, staff vetting |
Why Licensing Is Important
- Legal protection: Operate your daycare center without risk of closure or fines
- Parent trust: Licensed centers attract more clients and referrals
- Funding access: Grants and partnerships often require proof of licensing
- Insurance: Valid licenses are usually required to get business liability coverage
Meeting licensing and certification standards is not just about ticking boxes. It sets your daycare center apart as a safe, credible, and professional space for children.
How to Write a Daycare Business Plan
A daycare center business plan is more than a document, it is your foundation. It helps you define your vision, estimate your costs, clarify your operations, and attract the right partners, staff, and funders.
Whether you are seeking government grants, bootstrapping your setup, or applying for a small business loan, your business plan shows that you are prepared and serious.
Here is a full breakdown of what your daycare business plan should include.
Executive Summary
Start with a snapshot of your business. Include the name of your daycare center, the type of model you are launching (home-based, commercial, Montessori, franchise), your target market, capacity, location, and your mission.
Even though this section comes first, write it last so you can summarise everything clearly.
Company Overview
Explain why you are starting the daycare and what problem it solves. Mention your business structure—whether you are a sole proprietor, part of a partnership, or incorporated.
Include your vision, short- and long-term goals, and what makes your daycare unique in the market.
Market Research and Industry Analysis
Market research proves there is a demand for your daycare center. Use real data to describe the local population, birth rates, number of working parents, and average daycare fees in your area.
Include analysis of your competitors—what they offer, their strengths and weaknesses, and how you will position your center differently. Use statistics from your country’s education or child welfare department where available.
Target Market
Define who you are serving. Are you targeting low-income working families, dual-income households, single parents, or corporate clients? Include age groups, income levels, work habits, and location.
Explain how your services meet their needs.
Services Offered
Describe the services your daycare center will provide. List age groups served (infants, toddlers, preschoolers), full-day or half-day care, extended hours, weekend options, after-school programs, or specialty learning (Montessori, language immersion, STEM).
Clarify your curriculum structure and how you plan to support early childhood development.
Business Location and Setup
Explain where your daycare will operate. Will it be in your home, a rented facility, or within another institution?
Detail the features of your space—number of rooms, bathrooms, outdoor play areas, sleep zones, safety features, and accessibility. Attach floor plans or images in the appendix if possible.
Operations Plan
Outline the day-to-day running of your daycare. Include opening hours, staff roles and responsibilities, child-to-staff ratios, cleaning and sanitisation procedures, drop-off and pick-up protocols, food and nutrition plans, and record-keeping.
Mention any technology you will use for parent communication, attendance tracking, or payments.
Marketing and Sales Strategy
Explain how you will attract families and keep enrollment steady. Cover your branding, logo, signage, website, social media strategy, open days, referral incentives, and partnerships with schools or community groups.
Include your pricing model and payment terms. If you plan to offer discounts or flexible plans, mention them here.
For expert help with marketing, explore the services offered by Entrepreneurs.ng, including brand asset creation, logo design, and social media strategy.
Management and Staffing
List your team, even if it is just you for now. Include your qualifications, experience, and any certifications. For each staff member, mention their role, required background checks, and training.
Add job descriptions, planned shifts, and how you will maintain a strong, caring culture. If you will use volunteers or part-time workers, state how you will manage them.
Our Employer-Employee Super Protection Bundle can help you define contracts, rights, and compliance, so your team operates legally and safely.
Financial Plan
Detail your startup costs, ongoing monthly expenses, and revenue projections. Break these down into categories like rent, salaries, equipment, supplies, insurance, marketing, and licensing. Include a breakeven analysis—how many children you need to care for to cover your costs.
Also include your funding sources: personal savings, family contributions, bank loans, or government grants.
If applying for a grant or loan, explain how you will use the funds and how you plan to repay or show results.
Risk Analysis
Address the risks you may face and how you will manage them. These could include staff turnover, low enrollment, safety incidents, or regulatory changes.
Include contingency plans for emergencies, such as illness outbreaks or facility shutdowns.
Appendix
Add supporting documents that validate your plan. These may include resumes, market research data, childcare license copies, insurance details, floor plans, sample curriculum, photos of your setup, supplier quotes, and testimonials.
A detailed daycare center business plan will not only guide your decisions, it will also give parents, lenders, and partners confidence in your business.
If you want a shortcut to get started, check out our ready-to-use Business Plan Template in the Entrepreneurs.ng Shop. It is editable, professionally designed, and built to impress funders and partners.
Cost of Starting a Daycare Center
Understanding the cost of starting a daycare center is critical to setting a realistic budget and avoiding financial surprises.
Startup costs can vary widely depending on your location, business model, facility size, and whether you are starting from home or leasing a commercial space.
Factors That Influence Daycare Startup Costs
1. Business Model
Home-based daycare centers cost less to start than commercial facilities. Specialty models like Montessori or bilingual programs also tend to have higher setup costs due to training and materials.
2. Location and Rent
Renting or purchasing a commercial space significantly increases your startup budget. Costs depend on your city, country, and whether the facility is already child-ready or needs renovations.
3. Licensing and Legal Fees
This includes business registration, inspections, permits, and legal compliance. Some countries require upfront payments for licensing, while others charge annual fees.
4. Equipment and Supplies
You will need age-appropriate furniture, toys, learning materials, safety gear, and hygiene supplies. These can be bought new or second-hand to save costs.
5. Staffing
Hiring qualified caregivers, assistants, and support staff increases operational costs. Even home-based centers may need part-time help.
6. Marketing
Initial promotion through flyers, online ads, banners, and branding materials is essential to attract early clients.
Estimated Cost Breakdown by Model
Expense Category | Home-Based Daycare | Commercial Daycare Center |
---|---|---|
Business Registration | $100 – $500 | $200 – $800 |
Licensing & Permits | $200 – $800 | $500 – $2,000 |
Rent/Renovation | $0 – $500 (home) | $1,000 – $5,000+ |
Furniture & Equipment | $1,000 – $3,000 | $5,000 – $15,000 |
Toys & Learning Aids | $300 – $1,000 | $1,500 – $5,000 |
Staff Recruitment | $500 – $1,500 | $2,000 – $5,000+ |
Marketing & Branding | $200 – $1,000 | $1,000 – $3,000 |
Insurance | $100 – $500 | $500 – $2,000 |
Utilities & Overhead | $100 – $300/month | $500 – $1,500/month |
Total Estimate | $2,500 – $8,000 | $10,000 – $35,000+ |
These figures will vary based on your country, business goals, and whether you are able to secure equipment donations or discounted supplies.
Tips to Reduce Daycare Startup Costs
- Start from home and scale later
- Buy second-hand furniture and toys in good condition
- Use low-cost or free digital tools for marketing
- Apply for grants and local government programs
- Partner with local churches, schools, or organisations for space or referrals
If you are working with limited funds, refer back to the section on how to start a daycare center with little or no money for lean startup strategies.
How to Start a Daycare Center With Government Grants
Government grants can provide critical funding to help you start a daycare center, especially when personal capital is limited.
These grants are often offered to support early childhood education, improve access to childcare, and stimulate local job creation.
What Are Government Grants for Daycare Centers?
These are non-repayable funds given to individuals, nonprofits, or small businesses to launch or expand childcare services.
They typically cover startup costs, facility improvements, training, equipment, or subsidised care for low-income families.
Types of Government Grants You Can Explore
1. Childcare Start-Up Grants
Many local and national governments offer grants specifically for opening new daycare facilities, especially in underserved or rural areas.
2. Facility Improvement Grants
These cover renovation, safety upgrades, and accessibility enhancements for daycare buildings.
3. Training and Certification Grants
Some programs reimburse you or your staff for completing childcare training, first aid, or curriculum certifications.
4. Subsidy Grants for Families
While not direct startup grants, these provide consistent income by covering part of the fees for eligible families, ensuring steady enrollment and cash flow.
Examples of Grant Sources by Region
Region | Possible Grant Sources | Focus Area |
---|---|---|
United States | Child Care and Development Block Grant (CCDBG), SBA grants | Startup, staff training, subsidies |
United Kingdom | Early Years Capital Fund, Local Authority Start-up grants | Facility improvement, setup |
Canada | Canada Child Care Workforce Grant, provincial programs | Training, new center development |
Australia | Community Child Care Fund, Start Strong Capital Works Grant | Remote/rural childcare support |
South Africa | Department of Social Development Initiatives | Equipment, licensing, registration |
Nigeria & Africa | International donor funds, state-level programs | Training, renovations, pilot centers |
Tip: Grant programs often come with eligibility criteria such as registration status, community need, or nonprofit status. Ensure your business plan and licenses are ready before applying.
How to Apply for a Daycare Center Grant
- Research Local Programs: Visit government, municipal, or social services websites.
- Prepare Your Documents: You will typically need a business plan, proof of registration, budget estimates, and sometimes community needs analysis.
- Follow Submission Guidelines: Complete forms accurately, and submit before deadlines. Some grants are reviewed only once a year.
- Track and Report: If you receive funding, be prepared to show how the money was used through receipts, reports, or audits.
What to Include in a Grant Proposal
- Executive summary of your daycare center
- Mission and community impact
- Detailed budget and use of funds
- Staffing and training plan
- Timeline and projected outcomes
List of Items Needed to Start a Daycare Center Business
Setting up a daycare center requires the right tools and equipment to ensure safety, comfort, and effective learning for children.
Your specific list will vary depending on the age groups you serve, your space, and your daycare model. However, there are essential items that every setup must include.
Categories of Daycare Essentials
1. Furniture and Room Setup
- Cribs, cots, or nap mats
- Child-sized tables and chairs
- Shelving units for storage
- Lockers or cubbies for personal items
- High chairs or feeding tables (for infants and toddlers)
- Comfortable seating for staff
2. Learning and Activity Materials
- Age-appropriate books
- Puzzles, blocks, and stacking toys
- Art supplies (crayons, paper, glue, safety scissors)
- Flashcards, alphabet charts, and educational posters
- Music instruments and sensory play items
- Rhymes, storytelling kits, and dramatic play costumes
3. Safety Equipment
- Baby gates
- Socket covers and corner protectors
- Non-slip rugs or mats
- First aid kits
- Fire extinguishers and smoke detectors
- Security cameras or intercom systems (optional but recommended)
4. Hygiene and Sanitation Supplies
- Handwashing stations or sinks
- Soap dispensers and sanitiser
- Diaper changing stations with storage
- Gloves, wipes, and disinfectants
- Trash bins with lids
- Child-sized toilets or potty chairs
5. Kitchen and Meal Equipment (if providing meals)
- Small refrigerator
- Microwave or cooker
- Food storage containers
- Child-safe dishware and cutlery
- Cleaning supplies and dish racks
6. Office and Admin Tools
- Attendance registers or digital check-in system
- Parent communication books or software
- Enrolment forms and consent sheets
- File cabinets and stationery
- Computer or tablet for administration
Suggested Inventory Table
Category | Key Items |
---|---|
Furniture | Cribs, nap mats, tables, chairs, storage |
Learning Materials | Books, puzzles, blocks, art and craft supplies |
Safety Equipment | Baby gates, outlet covers, fire extinguishers |
Hygiene Supplies | Changing tables, gloves, sanitiser, bins |
Kitchen Tools | Mini fridge, child-safe utensils, containers |
Admin Tools | Registers, folders, communication apps |
Tips for Smart Purchasing
- Buy in bulk to reduce cost
- Mix new and gently-used items to manage budget
- Choose durable, easy-to-clean materials
- Prioritise safety-certified toys and furniture
- Create an inventory checklist before shopping
If you are launching on a tight budget, revisit the earlier section on how to start a daycare center with little or no money for tips on sourcing free or low-cost supplies.
The right setup not only supports child development but also reassures parents that their children are in a safe and enriching environment.
How to Set Up Your Daycare Center
Once you have secured your licenses, space, and supplies, the next step is to set up your daycare center for daily operations.
A well-designed setup supports child development, safety, and efficiency while giving parents peace of mind.
Prepare the Physical Space
Your space should be divided into clear zones for learning, play, eating, sleeping, and hygiene. Each area should be age-appropriate and safely accessible.
Key Areas to Set Up:
- Reception or Sign-In Area: Near the entrance, with a secure gate or locked door. Include sign-in sheets, parent info, and security protocols.
- Learning Zone: Tables, chairs, and shelves with educational materials. Use posters and wall charts to reinforce visual learning.
- Play Area: Open space for active play with soft toys, mats, and puzzles. Ensure all corners and furniture edges are protected.
- Rest/Nap Zone: Quiet corner with cribs or nap mats, soft lighting, and calm colours.
- Feeding Area: Separate from play and learning zones, with tables, high chairs, and easy-to-clean surfaces.
- Toileting and Hygiene: Easy access to clean bathrooms or potty chairs. Include sinks at child height, soap dispensers, and sanitising stations.
Design for Safety and Accessibility
Every inch of your daycare must be child-safe and welcoming. Safety is a top reason why parents choose or reject a center.
Checklist:
- Furniture is rounded or cushioned
- Electrical outlets are covered
- Toys are non-toxic and age-appropriate
- Emergency exits are marked and unobstructed
- Daily cleaning protocols are in place
- Fire extinguishers and first aid kits are accessible
Branding and Visual Appeal
The look and feel of your daycare center reflect your brand and values. Use bright but calming colours, consistent visual themes, and thoughtful décor to create a warm and inviting space.
Branding Elements to Include:
- Logo and signage at the entrance
- Uniforms or branded aprons for staff
- Wall murals or decals that match your theme (e.g., nature, alphabet, animals)
- Organised cubbies or name tags for each child
If you need help with visual branding, logo creation, or signage design, our creative services at Entrepreneurs.ng can bring your daycare’s identity to life.
Digital and Admin Setup
Prepare the tools needed for smooth communication and management.
Admin Essentials:
- Attendance tracking (manual or software)
- Parent communication apps (email, messaging platforms, newsletters)
- Billing and payment tracking system
- Emergency contact records
- Staff schedule and task checklists
By setting up your daycare center with care and intention, you create a trusted, joyful environment where children thrive and parents feel confident.
Hiring and Managing Daycare Staff
The people you hire can make or break your daycare center. Building a strong, trustworthy team ensures that children receive quality care and that parents feel confident leaving their little ones in your hands.
Hiring and managing daycare staff requires planning, training, and ongoing supervision.
Who Should You Hire for a Daycare Center?
Your staff needs will depend on the size and type of daycare center you operate. However, certain roles are essential from the start.
Core Roles to Consider:
- Lead Caregivers or Teachers: Responsible for managing groups of children, implementing activities, and communicating with parents.
- Assistants or Aides: Help with feeding, diapering, supervision, and cleaning.
- Administrative Support: Manages records, enrolment, billing, and scheduling. (Optional for small centers)
- Cooks or Kitchen Assistants: Prepares meals and snacks, ensuring hygiene and nutrition.
- Janitorial or Cleaning Staff: Keeps the space clean and safe. In smaller setups, this may be shared among staff.
What to Look for When Hiring
- Verified background checks
- Experience in early childhood care or education
- CPR and first aid certification
- Soft skills: patience, empathy, communication, and reliability
- Willingness to undergo training
- Alignment with your center’s values and mission
Tip: For smoother onboarding, use our Employer-Employee Super Protection Bundle, which includes templates for contracts, code of conduct, and labour compliance.
Staff-to-Child Ratios
Legal ratios vary by country or state, but maintaining the right balance is vital for safety and quality care. Here’s a general guideline:
Child Age Group | Staff-to-Child Ratio |
---|---|
Infants (0–12 months) | 1:3 or 1:4 |
Toddlers (1–2 years) | 1:4 or 1:5 |
Preschool (3–5 years) | 1:8 or 1:10 |
After-School (6+) | 1:12 or more |
Check your local regulations to ensure compliance with required ratios.
How to Manage Daycare Staff Effectively
- Onboard Thoroughly: Introduce staff to your policies, values, daily routines, and emergency procedures.
- Define Roles Clearly: Give each team member a job description and clear expectations.
- Train Continuously: Provide monthly or quarterly training on child development, communication, and safety.
- Schedule Smartly: Use a rota or calendar to manage shifts and reduce burnout.
- Communicate Often: Hold briefings or check-ins to stay aligned and resolve issues early.
- Reward Excellence: Recognise and reward staff who go the extra mile. Positive morale leads to better care.
Performance Tracking
Keep records of each team member’s training, feedback from parents, and any incidents. This helps in performance reviews, raises, or letting go of poor performers.
Hiring and managing daycare staff is not just about filling positions. It’s about building a team that represents your values and provides consistent, loving care. The better your team, the stronger your reputation and the faster your daycare center will grow.
How to Create a Daycare Curriculum
A well-planned daycare curriculum turns your center from a babysitting service into a nurturing, learning-focused environment.
Parents are more likely to trust and stay with a daycare center that actively supports their child’s development. Your curriculum should be age-appropriate, flexible, and designed to build key early childhood skills.
Why a Daycare Curriculum Matters
A strong curriculum:
- Supports emotional, physical, cognitive, and social development
- Provides structure and consistency in daily routines
- Prepares children for preschool or formal education
- Helps caregivers stay organised and purposeful
- Adds value to your service, justifying premium fees
Key Elements of a Daycare Center Curriculum
1. Age-Based Learning Goals
Divide your activities by age groups and developmental milestones. Here is a general framework:
Age Group | Focus Areas |
---|---|
Infants (0–12m) | Sensory stimulation, motor skills, bonding |
Toddlers (1–2y) | Language basics, walking, hand-eye coordination |
Preschool (3–5y) | Numbers, letters, social play, problem-solving |
After-school (6+) | Homework help, teamwork, creativity |
2. Daily Activity Plan
Create a daily or weekly schedule that includes:
- Story time
- Music and movement
- Outdoor play
- Arts and crafts
- Snack and meal times
- Nap and rest periods
- Circle time or show-and-tell
This routine should balance structure with flexibility to suit different energy levels and moods.
3. Theme-Based Learning
Use monthly or weekly themes to keep the program fresh. For example:
- Colours and shapes
- Animals and nature
- My family and community
- Seasons and weather
- Feelings and friendships
Link each theme to songs, games, and activities that reinforce the lesson.
4. Developmental Tracking
Track each child’s progress in motor skills, language, emotional regulation, and social behaviour. Use checklists or digital tools to record milestones and share updates with parents.
5. Inclusion and Cultural Awareness
Ensure your curriculum includes diverse stories, music, and celebrations from different cultures. This encourages respect, empathy, and global awareness from an early age.
Tools and Resources
- Use educational kits or online resources designed for early childhood development
- Subscribe to newsletters or training platforms for childcare professionals
- Download age-specific curriculum guides from reputable sources
A quality curriculum is not about academic rigor, it’s about nurturing curiosity, play, and discovery in a safe, loving environment.
How to Market Your Daycare Center
Marketing your daycare center is not about flashy ads, it is about building trust with parents and showing them that your center is the best place for their child’s growth.
With the right strategy, you can fill your slots quickly, maintain high retention, and build a waiting list.
Step 1: Define Your Brand
Your brand is the first impression parents get. It includes your daycare name, logo, colours, tagline, and the feeling your environment creates.
What to clarify:
- Your unique promise (e.g. bilingual care, Montessori, play-based learning)
- Visual identity (logo, colour palette, signage)
- Tone of voice in all communication (professional, warm, nurturing)
If you need branding support, Entrepreneurs.ng offers logo creation and brand development services tailored for small businesses.
Step 2: Build Your Local Presence
Most parents choose daycare centers close to their homes or workplaces. Use hyper-local marketing strategies to build awareness in your community.
Local Marketing Tactics:
- Display clear signage at your center
- Distribute flyers at schools, hospitals, grocery stores, and parks
- Sponsor or attend family-friendly community events
- Network with schools, clinics, and churches
Step 3: Leverage Online Platforms
An online presence is no longer optional. Parents research daycare centers online before ever calling or visiting.
What You Need:
- A mobile-friendly website with photos, pricing, schedule, testimonials, and enrolment details
- A Google Business Profile with accurate hours, address, and reviews
- Active social media pages on Instagram and Facebook showcasing daily activities, events, and parent reviews
Pro Tip: Use short videos or photo reels showing happy children, engaged staff, and a clean, joyful environment. Authenticity builds trust. Learn everything about digital marketing here.
Step 4: Use Word of Mouth and Referrals
Personal recommendations are still the most effective marketing tool for daycare centers.
Encourage Referrals By:
- Offering discounts or free days for every successful referral
- Creating a parent ambassador program
- Asking satisfied parents to leave reviews or testimonials
Step 5: Implement Paid Advertising (If Budget Allows)
Even small budgets can generate great results with targeted ads.
Channels to Consider:
- Google Ads targeting local search phrases like “daycare near me” or “preschool in [your area]”
- Facebook and Instagram ads aimed at local parents with children aged 0–5
- Listing on trusted childcare directories
Step 6: Nurture Leads
Once someone contacts you, follow up quickly. Offer virtual or in-person tours. Send a brochure or welcome packet. Keep a lead tracker to monitor follow-ups and conversions.
Marketing your daycare center is about building relationships, not selling. If parents trust your center, they will enrol, stay, and refer others.
If you are not sure how to begin, our Entrepreneurs Success Blueprint Program includes expert support to launch your brand and marketing system effectively.
How to Retain Clients and Scale Your Daycare Business
Filling your daycare center is just the beginning. The real success lies in retaining clients and scaling your operations sustainably.
Parents want consistency, safety, and results and meeting those expectations can turn your center into a community staple.
Step 1: Deliver Consistent Quality
Parents will stay if their children are happy, safe, and developing well. Make sure your curriculum is engaging, your environment is clean, and your caregivers are attentive.
Key Actions:
- Maintain low staff-to-child ratios
- Offer regular updates on child progress
- Schedule parent-teacher feedback meetings
- Keep your space clean, colourful, and inviting
Step 2: Strengthen Communication With Parents
Great communication builds trust and encourages long-term commitment.
Tools to Use:
- Daily reports or digital check-ins
- Monthly newsletters with learning highlights
- Parent-teacher WhatsApp or email updates
- Surveys to gather feedback and suggestions
Proactive communication helps you catch issues before they become deal-breakers.
Step 3: Reward Loyalty and Referrals
Encourage your satisfied families to stay and spread the word.
Loyalty Ideas:
- Offer sibling discounts or priority enrolment
- Celebrate milestones with parents (e.g., birthdays, graduation)
- Create referral incentives like fee discounts or gift cards
This not only drives retention but also boosts new enrolments through trust-based marketing.
Step 4: Build Your Team for Growth
As you grow, hire additional staff strategically. Train team leads who can handle operations, curriculum, or marketing so you can step into a leadership role.
Staffing for Scale:
- Delegate daily operations to a center manager
- Hire a curriculum coordinator or child development expert
- Build a recruitment system for consistent talent sourcing
Step 5: Expand Your Capacity
Once your daycare is running smoothly and demand increases, you can scale by:
Scaling Method | Description |
---|---|
Opening a Second Location | Launch in a nearby area with high demand |
Franchising | License your model to other entrepreneurs |
Expanding Hours | Offer evening or weekend care |
Adding New Programs | Introduce after-school care, summer camps, etc |
Start with one new service or small expansion, monitor its success, then scale further.
Step 6: Streamline Operations With Systems
Use technology and checklists to maintain standards as you grow.
Recommended Tools:
- Billing software or accounting apps
- CRM tools for client management
- Staff rota and scheduling software
- Inventory and supply tracking sheets
Standardising your processes ensures you deliver the same level of quality across every room and location.
Step 7: Invest in Your Brand
Keep marketing as you grow. A bigger brand presence builds trust faster, helps you attract talent, and opens doors to funding, partnerships, or press.
Conclusion
Starting and running a daycare center is a rewarding journey that blends purpose with profit. Whether you are launching from home or opening a full-scale facility, the path is clear when you follow a step-by-step plan and stay focused on quality care.
By investing in a strong business foundation, hiring the right team, and building trust with families, your daycare center can grow into a sustainable, respected brand. From licensing and curriculum to marketing and expansion, every detail matters.
We want to see you succeed, and that’s why we provide valuable business resources to help you every step of the way.
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Frequently Asked Questions
1. What certifications do I need to open a daycare?
To open a daycare center, you typically need the following:
- Childcare license from your local authority or education department
- CPR and first aid certification for you and your staff
- Background checks for all employees and volunteers
- Training in early childhood education—some regions require formal qualifications
2. How much does it cost to start a daycare center?
Startup costs vary depending on your model and location. On average:
- Home-based daycare: $2,500–$8,000
- Commercial daycare center: $10,000–$50,000+
- Larger or specialty centers can exceed $100,000
3. Can I start a daycare with little or no money?
Yes. Many daycare owners begin small by:
- Starting from home
- Using second-hand equipment
- Limiting capacity initially
- Partnering with local community centres or religious organisations
4. What are the staff-to-child ratios?
General guidelines are:
- Infants (0–12 months): 1 adult per 3–4 children
- Toddlers (1–2 years): 1 adult per 4–5 children
- Preschoolers (3–5 years): 1 adult per 8–10 children
Always verify ratios with your local childcare regulations.
5. How do I market my daycare center?
Use a combination of strategies:
- Build a professional brand identity
- List your center on local directories and maps
- Use social media to showcase daily activities
- Offer referral incentives and attend local events
6. Are government grants available for daycare startups?
Yes. Many regions offer grants for:
- Launching new centers
- Improving facilities or training staff
- Offering subsidised childcare to low-income families
Check with your local government, education department, or childcare funding body.
7. What steps are involved in how to start a daycare center business?
The key steps include:
- Choose your daycare model
- Conduct research and draft a business plan
- Register and license your business
- Secure a location and set up the space
- Purchase equipment and supplies
- Hire and train qualified staff
- Develop your curriculum
- Market your center
- Launch and monitor your operations
8. How do I choose between home-based or commercial daycare?
Model | Pros | Cons |
---|---|---|
Home-Based | Lower cost, flexible setup | Limited capacity, zoning laws |
Commercial | High capacity, professional look | Higher cost, stricter licensing |
The right choice depends on your budget, goals, and space availability.
9. Do I need insurance to open a daycare?
Yes. Common types include:
- General liability insurance
- Property and equipment insurance
- Workers’ compensation (if hiring staff)
- Optional: Abuse and molestation coverage for added protection
10. How do I set prices for my daycare?
Evaluate the market rates in your area, calculate your operating costs, and set a price that covers expenses while remaining competitive. Consider offering tiered plans, discounts for siblings, or extended care options.
7 responses
This article was beneficial to me. Thanks keep it up.
Please is it possible to start a daycare and still be a university student at the same time, because I am currently pursuing a degree in education
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Can I start UP my daycare with my CAC then later on do the licencing?
Dear Rebecca,
Thank you for writing back to us. If there are licenses you need, please get the licenses so you can run your business with peace of mind. Learn all the different ways we can work with you and increase your success here -entrepreneurs.ng/services/.
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Wow this is very insightful. Kudos to a job weldone. Everything written was in detail.
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