Help...not sure what to do.

Hi there I am fairly new to running a daycare business. (since September) I need opinions! So I have a family that was five days a week at $30/day from the end of September to Mid December at which time they went to three days a week. Now this is where I made the mistake of not charging $35/day for a P/T rate. I mentioned that most daycares have a slightly higher P/T rate and the dad said to me, " well ya, only daycare centres, not home daycares". So since they said they would come back to full time in the spring and I didn't want to loose them I didn't raise the rate. My policy was also that any missed days required a $10 payment. So soon enough they were cancelling one day a week only comeing twice and giving me $10 for the missed day.

We had a "snow day" last week. The mom called to see how many school kids I had and I assured her that since it was a regular day for her child to come that I was expecting her to come and that I only had one extra child that day. (which still was under the limit) So then after she tried to drive to work, she ended up returning home due to the weather conditions and she kept her child home. After she confirmed that she was bringing her child I turned away a family that wanted to bring their two kids. (I could only take one more) By the time I phoned them to say that they could come, they had made other arrangements. So the next day I told her that because she cancelled and I lost out on two others coming that I had to change the policy. Pay a minimum of three days per week at the P/T rate. When they retuen to F/T then they go back to the F/T rate.

So this morning they told me they want to come only for two days a week and they are not coming back full time. They also may occasionally want a third day. I feel bullied. I need them but seriously I feel like they are trying to have the upper hand always. They said that they just made changes in December to the contract and I said, that I didn't make changes that they just went to P/T and that I really should have raised my rates then. It was their decision to go to three days a week. The Grandmothers both want to watch the child. Poor child will be confused where she is going every day.

So what would you do? I think if I am feeling bullied I should say no and obviously if I have put a policy in place it is for a reason. I changed the policy for all of my families by the way.

I think it's unfair of a parent to ask to change their arrangment as a passing conversation at the front door in the am. So, try this next time a parent tries to catch you off guard.

"ok, let me look at my business plan and I will get back to you. Would you do me a favour and email me that request so I have it on file and can respond appropriately"

it buys you a little bit of time to decide. Changing your scheduling isn't something you should be able to do on the fly. I have spread sheets... business plans... budgets. All of these things I have to consult if someone wants to so much as take vacation in 3 weeks.

If you need these clients for the $$$ then you should agree for now, give them a $40 a day price point and start looking to replace. Once you find the right family give this one the term letter based on financials. You give them the choice at that point to either pay X amount for X amount of days regardless or find someone else.

Hi thanks for the reply. Yes i thought about raising my rate for a two day week.

Ok I think they believe you work for them. It is up to you to make and enforce the rules. My policy book says you pay for the day regardless of attendance. And it's the full day fee not a $10 charge. My part time rate is more then my full time rate and my part time is a min 3 days/week. My policy book also says I can make changes that I deem necessary with a two week notice for these changes to take effect. So if this were me I would hand them a new contract with a new rate at 3 days per week ...set days .... No changes and if they want to add a day then it's extra. At this point they are paying you $70/week (2 days at 30/day plus the 10$ for the third day they don't come) I think I would be okay if they went else where because they don't respect you or your business, and I could find a way to shave $70 a week off my expenses just to get my self respect back.
I would raise my rates and make part time even higher and set a minimum days attendance and give it to this family and all future families. Hopefully you already take a two week deposit to be used for the last two weeks of care so you don't get stiffed. Let this family try and find someone else to look after their child for that little bit of money.

they definately think you are to follow their rules. I agree with Crayola if you can deal with the loss of 70 per week then i would give notice. Change your policies to cover yourself. part time is more expensive $$ per day and definately have a minimum number of days per week. They pay for spot regardless of attendance. It takes time to develop the confidence to stand up for ourselves but you'll find lots of support here.

Yes he basically told me he phoned a whole bunch of daycares on the weekend that would do two days plus one with notice. And yes that is exactly what I have done. F/T $30 for 5 days minimum. P/T $35 for 3 days minimum. Paid missed days and stat holidays. Yes I am not getting respect.

I would want to let this family go just based on the disrespect. Don't tell us what we charge. We tell you. That and you can't commit to a full time slot and flip flop back and forth.

I think i would be inclined to tell him to go ahead and go to one of the many daycares that will cater to what he wants. In my experience fewer and fewer providers are doing part time or part time casual care because of the loss of income. its different depending on where you are but i would call his bluff.

How much do you need them? I think that will determine your course of action. If you can't afford to lose them, then I guess there is nothing you can do, but continue to take their crappy attitude. If you decide that you can afford to lose them and find someone else to fill the space, then tell them what YOU want. You're raising the rate and that's that. If they don't like it, they can go somewhere else. :)

Do you have a contract? If not, you should. Parents need to commit to and pay for any days their child should attend. So, you make them commit to however many days they need and WHAT days of the week those days are and they MUST be consistent (so, always Mon, Wed for example). If they don't attend they pay anyway.

I would simply tell them that since they NOW have changed from 3 days to two days that you need to re-evaluate the deal. Give them a CONTRACT, make them sign it to have care and then stick to the contract.

If you need a contract I am happy to email you mine. Simply PM me with your email address.

Thanks again everyone. I plan on telling them that i am sticking with my decision. I do have a contract that they signed but at the time the rate was $30. My contract states two weeks notice is required to end contract. No i did not get a deposit. (Another learned mistake). I live in a very small community and unfortunately they have lived here much much longer and know many many people so I need to keep my reputation in tact and gracefully end the relationship. I will insist on the full payment for the remaining two weeks. Dont get me wrong, I'm not a push over. My contract states two weeks full amount must be paid. thanks again, I love this site!

Does your contract have anything in it that states that your rates are subject to change at your discretion? I have a clause in my contract that states I can change my rates with 30 days written notice given to the family.

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Originally Posted by Smitty

Thanks again everyone. I plan on telling them that i am sticking with my decision. I do have a contract that they signed but at the time the rate was $30. My contract states two weeks notice is required to end contract. No i did not get a deposit. (Another learned mistake). I live in a very small community and unfortunately they have lived here much much longer and know many many people so I need to keep my reputation in tact and gracefully end the relationship. I will insist on the full payment for the remaining two weeks. Dont get me wrong, I'm not a push over. My contract states two weeks full amount must be paid. thanks again, I love this site!

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its always best to handle it in a professional manner no matter how much we might want to do otherwise. If I can offer some advice as I just lost out on pay after giving notice to a family. If you are giving notice, do so after their payment for the week or weeks has cleared. That way they wont walk away and not pay you if they are angry. My contract also says that it must be paid regardless of attendance but they didnt and its too costly to pursue. best of luck

Judy this is what I recieved when i tried to PM you. Judy Trickett has exceeded their stored private messages quota and cannot accept further messages until they clear some space.

Update: I told the dad that I had to stick with my decision to offer a minimum of three days of care. He was suprised and left a bit quiker then usual. Today the mom and I spoke and it did not go well at all. She told me she was not giving me two weeks notice and not paying me two weeks either. It turned ugly. Really ugly. I had to hang up the phone because I could not listen toher yelling any longer. She was so rude and horrible. I have the childs things at the door. I am really tempted to keep it ransom until I get paid but really that is childish so whatever. Live and Learn. I will put a copy of the signed contract in the stuff. not that it matters. She basically tells me how wealthy they are every time she is here and they wont pay. nice.