Daycares have long been a popular business opportunity. The need for high-quality child care is a constant. Whether parents require care for their children while they’re at work or have a day full of appointments, it’s important to know their child is well cared for. Reputable daycare businesses give busy parents much-needed peace of mind, and by providing child care that parents can trust, entrepreneurs can build the customer base needed to grow a thriving business.
If you’re looking to support families in your community and wondering how to start a daycare business, explore our guide to starting a daycare.
What to Know Before Starting a Daycare
As you might have guessed, there’s a lot that goes into starting and operating a daycare business. First and foremost, daycare owners are required to abide by regulations that keep the children in their care safe. You will also need to think through the costs associated with opening a daycare, as well as the kind of daycare you’d like to open – you have more options than you may realize.
What are the requirements?
Each state sets its requirements for owning and operating a daycare. At a minimum, you will likely need to obtain a daycare license, complete some training (i.e., CPR or first aid), and get liability insurance. Take a look at this state-by-state resource map to learn more about what is required in your state. Your local Child Care Resource and Referral agency will also be an invaluable resource. In states where a license isn’t required to care for children, there are still limits. Be sure to check the specific number of children you can care for without a license in your state.
How long does it take to get a daycare license?
This depends on the requirements set by each state. If you don’t have the training or education needed to qualify for your license, you will need to complete that first. If education is required, you can generally expect that to be two years for an associate degree, three to four years for a bachelor’s degree, and one to three years for an advanced degree. Online and accelerated degree programs are available, and many undergraduate education programs also include licensure.
Many states ask that you have specialized training in child development, which often comes by way of a Child Development Associate (CDA) certification. Lightbridge Academy requires our lead teachers to hold this certification. You don’t need a college degree to receive a CDA credential, but you will need to complete 120 hours of early childhood education training prior to applying and obtain 480 hours of work experience with small children within three years of submitting your application. Once you’ve completed your hours, you’ll need to pass the credentialing exam, as well as an onsite visit to observe you working with children.
You may also be expected to complete training or certification courses offered by the state.
What kind of daycare can I open?
Independent daycares generally fall into two categories: center-based and home-based. If you’re interested in something that provides more services than a traditional daycare, however, we recommend exploring early childhood education franchises.
How much does it cost to open a daycare?
In general, independent daycares cost $10,000 to $100,000 to start and run. Keep in mind that home-based daycares will be close to the low end of that range; brick-and-mortar daycares will cost much more. The exact cost will depend on a number of factors, like rent and utilities, supplies, insurance, payroll, and licensing fees.
How to Open a Daycare Franchise
If you are interested in opening a daycare but don’t have the resources to do so alone, franchising can provide entrepreneurs with a more straightforward path to business success. Independent business owners often find the work of getting their business off the ground complex and cumbersome. When you pursue daycare ownership as part of a franchise system, you’re joining an organization with a proven business model and substantial support. For entrepreneurs serious about adding a thriving business to their portfolio, franchising can be a smart investment.
Why should I choose franchising?
Through your franchisor, you’ll receive a turnkey business model, training, and support, along with resources that have been developed with your success in mind. Daycare franchisees also benefit from their franchisor’s expertise when it comes time to navigate the licensing and certification process. These factors provide owners more time to devote to the success of the business.
Daycare Franchises vs. Childhood Educational Franchises: A different type of offering
With so many daycares for parents to choose from, offering a different solution will help your business stand out. Early childhood education franchises like Lightbridge Academy go beyond traditional daycare services, which are often limited to socializing and supervision. Educational franchises set young children up for a brighter future.
Many child care franchises are centered around respected educational philosophies, like Montessori and Waldorf. At Lightbridge Academy, our proprietary Seedlings Early Childhood Education Curriculum doesn’t limit itself to one kind of thinking. We’ve drawn inspiration from the brightest minds in education to create a nurturing environment where children love to learn. It’s made our centers exactly what families are looking for – and what children need.
Your Competitive Edge in the Child Care Industry
Consumers tend to be risk-averse. Rather than trying something new, they’re more likely to choose a brand they’ve heard of before. And when it comes to the well-being of their children, they may be even less inclined to choose an unproven commodity. Daycare and child care franchises like Lightbridge Academy have reputations that parents can trust, and that may make it easier to attract new families to your child care center in the all-important first years of business.
Franchising with Lightbridge Academy
Curious about how to start a daycare that serves working families? Take the first step by learning more about Lightbridge Academy. We’re more than a daycare; we’re an essential resource for working families and a safe, caring space for children aged six months to six years. And with an AUV of $2.5 million for 2023*, it’s clear that we’re a smart choice for community-minded entrepreneurs, too.
Now is the right time to join Lightbridge Academy’s franchise family. Contact us today for more information.
*See our FDD for more information.
