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  1. #1
    Euphoric !
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    Starting out- when to cut rate

    Hey,

    So I have only been advertising for a week so I know these things take time but I am wondering if my rates are too high for parents. I have had a ton of interest but once they hear my rate they loose interest. Based on Daycare Bear I am within the range, not even the top end. I am just wondering if it is too early looking at cutting my rate a bit to acquire clients with all the competition. There seems to be a surplus of care providers in my area at the moment. I had an interview with a family and they were clear that they loved me and the program but they would need to think about things as they felt my rate was too high. That being said they have recently moved and had been paying a cheaper amount elsewhere so they may not know what they will have to pay for care in their new neighborhood.

    I am in a unique situation as I am also not currently taking infants so I need to attract some toddlers which are harder to find. Any suggestions?

  2. #2
    Euphoric !
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    Just starting out a bigger problem than price is that you are not established as in no other kids in care, no reputation, nothing that would attract someone. It is very hard to get started and get that first client through the door.

    For price, you do need to stay within the "normal" range but maybe being closer to the bottom of normal to start would be an incentive. You can always raise the rates a dollar or two for the next group that signs on till you have a reputation and are at the level you want to be at.

    When you say not taking infants - at what age do you consider a toddler in the sense that kids are already a year old when they start care so they are 15 month old todders very quickly after starting. Have you considered starting a couple one year olds now while you are still looking and then only adding older children as those two grow.

  3. #3
    Euphoric !
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    My just starting out doesn't seem to bother people. I have a ton of experience and 2 kids of my own so they will be in the daycare as well. It really seems to be that the people that have inquired are interested until they ask price. Also, there have been no indications on my website or anywhere else that I am "just starting out."

    I decided not to take infants only because of the amount of lifting and additional care they require and I have an infant of my own. I am leaning toward starting to advertise for all ages though. Now that my own baby is becoming more independent and is walking really well I think I can handle another.

  4. #4
    Expansive...
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    I'm in ottawa, my first 2 clients were 12 month olds. After that I started advertising for 18 months+, since about November, and I have hardly had ANY calls. Luckily I'm not desperate or anything, but still....The demand is for 12 month olds.

  5. #5
    Euphoric !
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    I wouldn't jump to lower your rates at this point. If you do and then some families sign on, you may end up regretting it later on and it is harder to raise the rates substantially once they are already with you ($1 per year is fine, but it would be hard to justify a $3-4 jump). Hang in there and you will find the right families! When I started I had several interviews that went nowhere...they may not say it's because you are new, but they might still be thinking it. As Playfelt suggested, maybe you could consider taking at least one 12 month old to get started...once you have a child in care, it is easier as you have a reference.

  6. #6
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    I agree that you need to open up to infants for sure. its better to train them and get them on your schedule sooner than later. who knows what bad habits you have toworry about breaking with 18month or 2 yr olds that have been in other daycares.

    If you are withing the norm for your area then I wouldnt lower your rates. Try to focus on what makes your daycare standout. try to research the other daycares in your area to see what they offer for their price. check out their websites for photos etc.

  7. #7
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    Jul 2012
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    Peterborough, ON
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    I began in September, and was full before I opened. My rate is standard for this area. I did not want to charge a "beginner" rate and be perceived as a beginner. I'm a grandma, so I have tons of experience raising my own children, and then being with my grandchildren. I wanted to attract clients who were willing to pay to have a grandma-like environment, and I'm also a retired university professor, so they knew the children would get lots of music and storytime. No one seemed the least bit bothered by the fact that I was just starting. I've said before, however, that I think the biggest factor was having a very popular daycare provider send me the clients she couldn't accommodate. Even though I've been full since I started, I get one to two new inquiries a week, and they almost always say Bethany sent them LOL. So, my advice, is fine a daycare provider who shares your philosophy on things, and who is full. If she will recommend you to her overflow, that is golden! You still have to sell them on yourself when they meet you, but you might get more inquiries.

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