I could seriously CRY here...

[jec]

((((Hugs))))
When I started up my daycare here, I experienced the same!! Seems like every other house is charging less but offers less as well with more kids.
It's taken me about 9 months with having to terminate one family to rebuild after we moved. Seems talking to other providers who have established daycares....that move, have to rebuild just like someone starting off again.
Stick to your guns- you offer quality care which again soon you will have your reputation as an excellent daycare provider to back you up again!!
Don't know if this will help but I found that there were sooooo many in my area and when I posted on Kijiji ( which is where they do in this area) my web site was just getting stripped of ideas and showing up on the other provider's sites/advertisements. So I had to think outside the box to attract new clients. I changed my way of advertising and posted that anyone can paint a playroom, fill it with toys and have someone create a web site. The best way to know a provider is through references. I got a few past and my current 2 famlies at the time to write me a testimonial for my site- putting that forward- I got more calls. Maybe it will work for you too?
Good luck on your interview with this lady again
Keep positive- hard to do when your getting so many doors slammed but you know your worth every penny.