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  1. #1

    Post Starting a daycare Centre

    Hi there,

    I am willing to start a daycare center but I don't know from where to start.
    I read the Child Care Early Years Act. I am aware of the required documentations but how to start.

    Finding a place to rent or starting with the zoning?
    Would sb. help me with advice?
    Thank you in advance.


    Sall

  2. #2
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    It really depends, three friends opened their daycares one bought a duplex around $450.000 changed the zoning and transformed it in to a centre (it was expensive she incurred in remodelation costs of almost $300,000) but at the end it was worth it. Still operating and still paying her remodeling debt.

    Another friend, leased premises in a commercial/ industrial section, also had to invest to equip it and transform it for a daycare centre, it still operating but her complain is that she has to pay a high monthly lease, they are doing ok but the centre becomed mostly family operated so, the overhead fees are low (no extra fees to pay to educators neither benefits, etc) took her two years between paper work and remodeling and about $300,000 seven years ago.

    A third friend with less capital opened by leasing half of a school, her licensing was fast (schools already are set with safety measures and are builted for children) so she only needed to buy equipment and materials. I think she invested only $25,000 on all, 6 years ago, and she was opened in short time. She still open and her daycare capacity has increased. In order to keep with a good quality up, she invest as much as she can in materials and good teachers.

    The cons. First friend cannot sell the house because now it is a centre with a commercial zoning, and so far her net income still shows negative for the expenses incurred. She will have to find a buyer interested to buy it as a business, so actually she still working hard to show a good positive net income to make her business attractive to potential buyers.

    Second friend, she is ok but her industrial leased site just announced that will be demolished and they will built a big and modern hospital, she still trying to figure out if they are will be able to keep leasing a space and run her daycare. The big announcement also attracted more daycare operators and are opening around the neighbourhood (now she has to deal with competition too).

    Third friend, still doing great but 80% of the income goes to salaries and benefits. Also with a full day kindergarten she has lost a large group of children. So, her income is ok but not greater she told me it fluctuates. She has noticed that going non-for-profit is looking more attractive those days.

    Answering your question, I think you should do a marketing Analizing and then make a decision that suits you best. Also call the ministry of education the licensing sector and ask. Mi friends started first with a site proposal an agent went and approved to start the process. One had to work with an arquitec and remodeling plans etc. The last friend had just a short list to come up with it was done almost in two moths.

    It takes more time and money to start with a change of zoning from residential to commercial and all the neighbourhood has to be consulted and agree.

    It is easier if you get a place with a commercial zoning. Or a school.

    Ask the agent that visits you or visit them they will guide you.

    I'm familiar with all these because I was also thinking but after seeing my friends aND their businesses, I decided to take a less stressful life.

    I hope it helps.

  3. #3
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    also it helps us to know what Prov. you are in.

  4. #4
    Euphoric ! bright sparks's Avatar
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    Some time ago I considered opening a center in my town, I live in Ontario. There is a significant need and our population is growing extremely fast due to lots of new build projects and increasing home costs in TO. I have no doubt that a new center would be full in a matter of a few weeks.

    I did a lot of research and did a financial analysis and what was clear to me was that it is difficult to make a profit. Aside from the initial capital to set up, the monthly expenses are always going to be high. Minimum amounts of staff for a number of children and the wage they would be paid is a significant expense and that is before rent, utilities, insurance, food, etc etc. To an individual who requires a decent wage each month, I don't believe a center is a profitable business. To me, that is the deciding factor above all else. I work to make money, and if it is unrealistic to think I will be able to draw a decent full-time wage and not be in the red or on the breadline all the time, which I believe it is, this is not the kind of stress I would willingly walk into. After expenses running a daycare, my money isn't great, but it is far better than if I were to set up and run a center.

    Just be careful with your research and planning.

  5. #5
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    Also do not forget that a centre to become popular needs to offer quality and quality comes with a price tag. That is the reason so many Ece's keep changing jobs, they will always leave for better benefits and pay. So, to keep good staff it really takes a great investment.

  6. The Following User Says Thank You to Peacefulbird For This Useful Post:


  7. #6

    Hi are you still into opening up a day care ?

    I am interested in opening a day care, I am looking for a supervisor that is able to help me to start the process of starting a daycare.




    Quote Originally Posted by Sall View Post
    Hi there,

    I am willing to start a daycare center but I don't know from where to start.
    I read the Child Care Early Years Act. I am aware of the required documentations but how to start.

    Finding a place to rent or starting with the zoning?
    Would sb. help me with advice?
    Thank you in advance.


    Sall

  8. #7
    Thank you so much for sharing all the information. I was wondering if you are willing to help me in opening a day care ?

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