Start-up Funding | |
Start-up Expenses to Fund | $39,450 |
Start-up Assets to Fund | $79,680 |
Total Funding Required | $119,130 |
Assets | |
Non-cash Assets from Start-up | $14,130 |
Cash Requirements from Start-up | $65,550 |
Additional Cash Raised | $0 |
Cash Balance on Starting Date | $65,550 |
Total Assets | $79,680 |
Liabilities and Capital | |
Liabilities | |
Current Borrowing | $0 |
Long-term Liabilities | $60,000 |
Accounts Payable (Outstanding Bills) | $0 |
Other Current Liabilities (interest-free) | $0 |
Total Liabilities | $60,000 |
Capital | |
Planned Investment | |
Owner – Kilpatrick Cash | $45,000 |
Owner – Kilpatrick Credit Line | $12,500 |
Other Assets Invested | $1,630 |
Additional Investment Requirement | $0 |
Total Planned Investment | $59,130 |
Loss at Start-up (Start-up Expenses) | ($39,450) |
Total Capital | $19,680 |
Total Capital and Liabilities | $79,680 |
Total Funding | $119,130 |
Kid’s Community College® will begin with one location – a newly constructed 3,600 square foot campus in Riverview, FL located near the entrance of the upscale Lake St. Charles subdivision. The campus is in the Lake St. Charles Medical Professional center and will boast separate halls for arts and crafts, theatre and dance, information technology, library and quiet study, tutoring, infant care and a cafeteria. The play area will be adjacent to the campus and will be securely fenced and furnished with appropriate playground equipment and facilities.
Three additional campuses are planned in the rural Tampa marketplace over the next four years. Franchise start-ups will be offered in the Orlando, Miami and Jacksonville marketplace after 2 years of successful operation.
Kid’s Community College® is a privately-held proprietorship owned in majority by its founder and president, Timothy Bernard Kilpatrick, Sr. There are also two silent partners, neither of whom owns more than 10%, but will be active participants in daily operations, management decisions and consulting, though they do not own a financial stake in the company.
Once the operation reaches its anticipated growth and profitability goals, the college plans to franchise and will re-register as a limited liability company or as a corporation, whichever will better suit the future business needs.
Kid’s Community College® offers upscale child care services and an advanced collegiate based curriculum designed for kids ages 4 months to 5 years and 1st through 5th grades. Normal operating hours will be 6:45am to 6:30pm, Monday through Friday – with observance of all major legal holidays. Early drop-off service will be offered as needed.
KCC exists to provide Premier child care services that are aimed at enhancing traditional day care methodologies and integrating extracurricular interests (such as arts and crafts, dance, theatre and gymnastics) into one comprehensive program. Our activity based collegiate curriculum is specifically tailored for children and mirrors the arts and sciences taught at colleges, universities and vocational schools around the nation. We offer state-of-the-art technology programs in leading-edge facilities which help prepare students for the technology age in which they live. Our general and “continuing” education programs help mentor and tutor students through “main school” homework assignments and provide a base of understanding and interaction to ensure success in future educational endeavors. Finally, our developmental programs reinforce basic social, listening, independence and motor skills and prepare students for future related interaction.
All of our learning and child care services employ technology, partnerships, professional services and other activities that support and promote higher learning.
In addition to the extensive services and curriculum offered, each campus will also offer weekend specialty classes for children and adults and planned family activities in the community it serves. KCC will also offer children birthday party hosting services, providing great activities for kids and an easy experience for parents. Activity instructors will be assigned for these events and will lead the activities, ensuring a memorable celebration.
Upon its opening, Kid’s Community College® will offer four basic services in the Lake St. Charles community:
Prior to opening, the college will have a two-month enrollment drive. Based on the market reaction to the drive, these services may be altered to meet the needs of the community. The college will always remain nimble enough to respond to the needs of the community in which it serves.
The child care industry as a whole is saturated. However, based on US Census 2000 data, Hillsborough County Child Care Services provider listings and Hillsborough County building permit records, the city of Riverview, Florida itself is growing and has few licensed child care facilities. Kid’s Community College® intends to fill this local market need.
The Lake St. Charles and ‘The Villages of Lake St. Charles’ subdivisions have 800 and 100 single family homes respectively. There are only two other child care facilities in the neighborhood. One is in the immediate area, a church based facility and the other is 2 miles away, a facility hosted by a local martial arts academy. There are also three family child caregivers listed in the area, but none in the immediate community. Kid’s Community College® will differentiate itself from its local competitors by offering an alternative to these traditional day care approaches.
The Kid’s Community College® market strategy is based on providing an activity based learning environment that is used in many major colleges, universities and vocational centers around the nation. We will offer a community of professional caregivers with the credentials to not only enhance a child’s early social and motor skills, but to also teach them advanced studies in the arts and sciences found at institutions of higher learning.
Kid’s Community College® will be located in a new medical arts plaza, which has already shown a need and interest for child care services. The center currently has a pediatrics office and fitness center with clientele that has inquired about child care services. By forming collaborative partnerships with these businesses and becoming an active voice in the Lake St. Charles community, the college will position itself as the market share leader in child care services, development and educational offerings.
A copy of the Kid’s Community College® informational brochure is attached in an appendix at the end of this document.
The key fulfillment and delivery of services will be provided by the campus director, licensed campus instructors and staff workers. The real core value is the professional strength and industry expertise of the founder and silent partners, staff experience and certifications, education and hard work (in that order).
We will turn to qualified professionals for freelance back-up in tutoring and educational support, which will enhance the core values provided to the clients.
Since the company founder has an extensive Information Technology background, it’s only natural that Kid’s Community College® will employ and maintain the latest technology to enhance its curriculum, office management systems, payment processing and record keeping.
Three additional campuses are planned in the rural Tampa marketplace over the next four years. Franchise start-ups will be offered in the Orlando, Miami and Jacksonville marketplace after 2 years of successful operation.
Kid’s Community College® offers services which are vitally important in today’s fast paced, dual-income world. As an increasing number of families have become dependent on two incomes, the need for quality child care has skyrocketed. According to Florida Business Statistics, 84.6% of licensed child care facilities succeed and make a profit in their 1st year of operation. Nationally, this number is 66.7%.
Kid’s Community College® has a focus on meeting the local community need for child care services within the 10-mile radius of Riverview. Students will be taken in flexibly on either a full-time or part-time basis.
Full-Time Working Couples
The college will establish a significantly large, full-time, regular client base in order to establish the healthy, consistent revenue base which will ensure stability of the business. Customer and community relations are extremely important, as it is imperative to keep the parents pleased in order to keep their children in the college.
After School Care
Another large segment of the college’s business will be in the after school care market. This client base will provide a higher profit for the college since instructor-to-student ratios are higher, and the students require more educational services, which are the primary focus of the college. By offering tutoring, and advanced studies in technology, theatre, arts and sciences, the college will attract these profitable business clients, producing significant supplemental revenues.
Part-Time Workers/Drop-Ins
Part-time workers and Drop-Ins from the fitness center and locals businesses will comprise less than 1% of the revenues. While this market is not a primary focus, sufficient flexibility to handle this market is important to the local ‘word-of-mouth’ marketing strategy.
Market Analysis | |||||||
Year 1 | Year 2 | Year 3 | Year 4 | Year 5 | |||
Potential Customers | Growth | CAGR | |||||
Under 5 Years | 6% | 2,665 | 2,825 | 2,995 | 3,175 | 3,366 | 6.01% |
5 to 9 Years | 6% | 2,865 | 3,037 | 3,219 | 3,412 | 3,617 | 6.00% |
10 to 12 Years | 6% | 2,771 | 2,937 | 3,113 | 3,300 | 3,498 | 6.00% |
Total | 6.00% | 8,301 | 8,799 | 9,327 | 9,887 | 10,481 | 6.00% |
The target market for Kid’s Community College® is full-time working couples. Referral marketing, direct-mail campaigns and community activity days will be the primary types of marketing strategies utilized. Maintaining and enhancing its reputation with families and in the community will be crucial in obtaining the planned market share growth of this target market.
According to US Census 2000 data, the population growth rate for Hillsborough county is approximately 2%, which is reflected in the market analysis summary. However, the Riverview area of Hillsborough County is experiencing a residential construction boom, yielding well over a 14.6% growth. This is supported by data obtained from the Hillsborough County Building Permits office and is included in the appendix of this plan. This suggests that more families continue to move into the Riverview area, thus becoming potential customers.
In our market analysis, we suggest a modest 6% yearly growth in the number of potential customers.
With inflation continuing to rise each year, the typical American family now requires dual or supplemental incomes. This trend has created a need for quality child care services. We do not see this model changing in the foreseeable future. In fact, based on the growth in the Riverview area, specifically the new Lake St. Charles and Village of Lake St. Charles communities, we expect the need to increase.
Currently there are more family caregivers than licensed child care facilities nationwide. However, this business model can’t keep up with the needs of the growing child care industry. In the family care giver paradigm, space is limited and quality of care is questionable – in many cases viewed as only slightly higher quality than babysitter services.
Kid’s Community College® is in the child care services industry, which includes several models:
Price, service, certification and reputation are critical success factors in the child care services industry. Kid’s Community College® will compete well in our market by offering competitive prices, high-quality child care services, and leading-edge educational programs with certified, college-educated instructors, and by maintaining an excellent reputation with parents and the community in which we serve.
Kid’s Community College® will focus on two subdivisions: ‘Lake St. Charles’ and ‘The Villages of Lake St. Charles,’ which are new upscale community developments within a 2 square mile radius and boast over 900 new homes.
The target customers are dual income, middle-class families who value the quality of education and child care provided for their children ages 4 months to 12 years.
Kid’s Community College’s® value proposition is quite clear and quite easily distinguished from others in the market. We offer uniquely premium child care services, as measured by the curriculum and activities offered, experience and educational level of the instructors, community involvement and community college theme.
We start with a critical competitive edge: there is no competitor in our market that is offering our concept, quality of educational program and child care services. Our educational approach is unique and we have a resource with over 25 years of child care expertise and over 17 years of technology savvy. Our positioning on these points is very hard to match, but only if we maintain the focus in our strategy, marketing, business development, and fulfillment. We should be aware that the tendency to dilute this expertise with bargain shopping could weaken the importance of our competitive edge, but we must continue to bolster our value proposition.
Marketing in the child care industry depends largely on reputation and referral. At Kid’s Community College® that reputation will start within our community bolstered by our involved commitment to those we serve.
1. Advertising –We’ll be developing our core positioning message: “A community college for kids!” to differentiate our service from the competition. We will be using direct mail campaigns, pre-enrollment drives, and local community newspaper advertising to launch the initial campaign.
2. Sales Brochure –Our theme and curriculum will help sell the college to prospective clients.
3. Direct Mail –We will send quarterly direct mail campaigns to the housing developments in a 10-mile radius of the campus. We will also offer monthly calendars for parents and the Lake St. Charles community, noting weekend family days and other open house approaches.
4. Community Involvement –We will be active in the Lake St. Charles community, sponsoring events at the community center for families and residents.
Catered open houses, parent survival days/nights, clubhouse pool parties and weekend movie matinees are but a few approaches we will utilize to reach out to our community. We will also develop and maintain partnerships with local businesses that cater to the needs of children.
Our pre-opening effort will include an application fee waiver, free children ID cards, T-shirts and a community block party sponsored and hosted by Kid’s Community College®.
For families who value the importance of higher education and quality child care services, Kid’s Community College® offers a great alternative to traditional child care services and specific interest based programs. Unlike those programs, KCC combines child care services with a modified collegiate level curriculum, just for kids!
Kid’s Community College® must charge appropriately for the high-end, high-quality educational and care giving services we offer. Our revenue structure has to support our cost structure, so the salaries we pay to assure quality services must be balanced by the revenue we charge.
We will be price competitive in the market we serve; however, we will not subscribe to the “low price leader” concept. The quality of our service will support the prices we charge.
Kid’s Community College® will sell its community college theme, services and offerings, separating itself from traditional daycare-only offerings.
We will be a one-stop shop for child care services, advanced learning and specialized program offerings. We will also be active in the community, building a solid reputation with parents and the community. By succeeding in these areas, we expect to begin seeing an operational net profit in month nine of the 1st year, while increasing enrollment by 32% monthly for the first 8 months and gradually thereafter, until our maximum allowed capacity is reached.
The following table and chart give a run-down on forecasted sales. A detailed spreadsheet is also included in the appendix of this business plan.
For the first eight months of operation, Kid’s Community College® has assumed a conservative enrollment due to the fact that school, aftercare and child care placement has already taken place for the school year and most parents will be comfortable with their current arrangements. Consequently, we expect initial enrollment to be far less than anticipated future year levels.
A sales increase of approximately 32% each month is expected until the start of the next school term, in August. While this forecasted increase seems large by industry standards, it is a good estimate based on initial enrollment. Going into years 2 and 3, we expect that our presence will be known, convenience factor considered and we will then be a considered as a choice in August 2003. In fiscal years 2004 and 2005, 80% and 90% of full enrollment is assumed respectively.
We expect to be open for business on January 1, 2003, starting with an initial enrollment of 13 students:
7 Full-time students at $115 each per week. 6 After-school students at $60 each per week and Drop-in revenue of approximately $100 per month.
Sales Forecast | |||
Year 1 | Year 2 | Year 3 | |
Unit Sales | |||
Full-time Couples | 199 | 455 | 512 |
After School Care | 141 | 220 | 248 |
Summer Camp | 26 | 29 | 31 |
Part-time Workers/Drop-Ins | 12 | 14 | 16 |
Total Unit Sales | 378 | 718 | 807 |
Unit Prices | Year 1 | Year 2 | Year 3 |
Full-time Couples | $460.00 | $460.00 | $460.00 |
After School Care | $240.00 | $240.00 | $240.00 |
Summer Camp | $460.00 | $460.00 | $460.00 |
Part-time Workers/Drop-Ins | $100.00 | $100.00 | $100.00 |
Sales | |||
Full-time Couples | $91,540 | $209,300 | $235,520 |
After School Care | $33,840 | $52,800 | $59,400 |
Summer Camp | $11,960 | $13,340 | $14,352 |
Part-time Workers/Drop-Ins | $1,200 | $1,380 | $1,587 |
Total Sales | $138,540 | $276,820 | $310,859 |
Direct Unit Costs | Year 1 | Year 2 | Year 3 |
Full-time Couples | $13.34 | $13.82 | $13.82 |
After School Care | $4.56 | $4.75 | $4.75 |
Summer Camp | $13.80 | $13.80 | $13.80 |
Part-time Workers/Drop-Ins | $0.00 | $0.00 | $0.00 |
Direct Cost of Sales | |||
Full-time Couples | $2,655 | $6,288 | $7,076 |
After School Care | $643 | $1,045 | $1,176 |
Summer Camp | $359 | $400 | $431 |
Part-time Workers/Drop-Ins | $0 | $0 | $0 |
Subtotal Direct Cost of Sales | $3,656 | $7,733 | $8,682 |
Sales programs will include incentives for obtaining quarterly financial and enrollment goals, probationary period completion, passing county inspections and maintaining perfect attendance.
Customer service awards will be provided for those employees who best exemplify the mission of Kid’s Community College® and exceed customers’ expectations.
The accompanying table highlights important start-up milestones, with dates, completion status, responsible parties and budgets for each. The milestone schedule indicates our emphasis on planning for implementation.
What the table doesn’t show is the commitment behind it. Our business plan includes complete provisions for plan-vs.-actual analysis, and we will hold monthly follow-up meetings to discuss the variance and course corrections.
Milestones | |||||
Milestone | Start Date | End Date | Budget | Manager | Department |
Business Plan | 8/1/2002 | 9/30/2002 | $200 | Tim Kilpatrick | Department |
Lease RFP | 7/15/2002 | 7/30/2002 | $0 | Tim Kilpatrick | Department |
Site Selection | 8/1/2002 | 9/15/2002 | $0 | Tim Kilpatrick | Department |
Architect Design | 9/15/2002 | 10/1/2002 | $0 | Zimmer | Department |
Secure Additional Funding | 10/1/2002 | 10/30/2002 | $500 | Tim Kilpatrick | Department |
Sign Lease | 10/15/2002 | 10/30/2002 | $4,500 | Tim Kilpatrick | Department |
Personnel Plan | 10/1/2002 | 10/30/2002 | $0 | Tim Kilpatrick | Department |
Curriculum Development | 10/1/2002 | 12/31/2002 | $500 | Candice Harris | Department |
County Certification Req. | 9/20/2002 | 12/31/2002 | $100 | Tim Kilpatrick | Department |
Licensing | 12/1/2002 | 12/31/2002 | $0 | Tim Kilpatrick | Department |
Totals | $5,800 |
As mentioned previously, Kid’s Community College® will form professional alliances with Impact Fitness to offer Drop-In child care services while parents work out. We will also partner with Family Pediatrics to provide referrals of their existing customers. A discounted rate will be offered in both cases.
The Kid’s Community College® website will be the virtual business card and portfolio for the college, as well as its online “home.”
It will showcase the campus, curriculum and activity calendar for the school. It will also provide for an Internet background of the instructors, online projects posted by the students, the campus newsletter and online enrollment.
The Kid’s Community College® website will be simple, yet classy and well designed, but at the same time, in keeping with the latest trends in user interface design. A site that is too flashy, or tries to use too much of the latest technology can be over-done, and may not be supported by all browsers.
The key to the website strategy will be presenting a very well designed and informative Web presence that will market the Kid’s Community College® image, service offerings and community commitment.
The Kid’s Community College® website will embody the mission of the college. It will not only offer visitors the opportunity to “look around” the campus, but it will give them a good idea of the level of quality and service they can come to expect from the college.
Mostly informative in nature, the website will be a digital representation of our physical self.
The Kid’s Community College® website will be developed by the college founder, Timothy B. Kilpatrick, Sr., who has over 17 years of Information Technology experience. Formation Technologies will host the site.
The site will be developed using Macromedia Dreamweaver 4, which will allow for support outside of Mr. Kilpatrick’s involvement. The initial maintenance of the site will be done by Mr. Kilpatrick.
The opening management team of Kid’s Community College® will consist of the founder, a silent partner, a campus director and administrative assistant.
As the college grows, gradual investments in the instructional staff will be made over the next 3 years – beginning in June 2003 or as otherwise dictated by enrollment.
Kid’s Community College® depends on the founder, silent partner, Campus Director and VP of Education Operations for management in the following roles:
Owner/President – Timothy B. Kilpatrick, Sr. The Owner/President will have overall fiscal responsibility, ensuring that the business is financially sound and attains its planned goals.
Industry Consultant – Carolyn Steverson. The Industry Consultant will be relied upon for her industry expertise, providing valuable insight to rules, regulations and governmental programs that may benefit the college.
Campus Director – Candice Harris. The Campus Director will be responsible for daily operations, curriculum oversight and management of all instructors, caregivers and tutors.
VP of Education Operations – Nitika Steverson-Kilpatrick
The present team requires Child Care Development Associate credentials to support our value proposition and preparation for 2004 Florida child care requirements. Currently, the Campus Director and Industry Consultant are the only members of the management team who have these credentials.
The Owner/President and VP of Education Operations will be enrolling in January 2003 to complete the six-month course required to obtain these credentials. Education for these two can’t begin in this area until that time since it is a requirement that the college be open for business before the course work can begin. Long-term, all full-time instructors will be required by the college (not the State) to obtain this credential.
Regarding financial administration, we will retain a strong CPA to help the owner guard cash flow. While the owner is well versed in the worries of cash flow, he also has the sense to listen to reason and deal with constraints, as guided by the CPA.
The following table summarizes our personnel expenditures for the first three years, with compensation increasing from approximately $57K the first year to about $113K in the third. We believe this plan is a fair compromise between fairness and expedience, and meets the commitment of our mission statement.
The yearly figures in the second and third year are assumptions for the Lake St. Charles campus only. The numbers reflect 100% enrollment, a full staff of instructors and a 5% payroll increase each year – which will include tuition reimbursement, pay increases, vacation pay, bonuses and state required certifications.
Personnel Plan | |||
Year 1 | Year 2 | Year 3 | |
Campus Director | $23,877 | $25,071 | $26,324 |
F/T Instructors | $21,760 | $61,440 | $64,512 |
P/T Instructors | $11,400 | $21,600 | $22,680 |
Total People | 5 | 8 | 8 |
Total Payroll | $57,037 | $108,111 | $113,516 |
The Kid’s Community College® financial plan depends on important assumptions, most of which are shown in the following table as annual assumptions. The monthly assumptions are included in the appendices. From the beginning, it is recognized that total enrollment is critical, which is a factor that must be influenced immediately. Interest rates, tax rates, and personnel burden are based on conservative assumptions.
The most important underlying assumption is that there is a strong need for the business in the Lake St. Charles community.
General Assumptions | |||
Year 1 | Year 2 | Year 3 | |
Plan Month | 1 | 2 | 3 |
Current Interest Rate | 7.00% | 7.00% | 7.00% |
Long-term Interest Rate | 7.00% | 7.00% | 7.00% |
Tax Rate | 30.00% | 30.00% | 30.00% |
Other | 0 | 0 | 0 |
The following benchmark chart indicates the key financial indicators for the first three years. We foresee a gradual growth in sales (enrollment) and operating expenses into the second and third year.
It is projected that the raw gross margin will remain stable for the first three years since expenses are relatively indirect in the service based course work industry. Operating expenses increase gradually as enrollment increases.
Enrollment is very important. We must maintain an average weekly enrollment of 34 students for fixed cost coverage.
For the break-even analysis, start-up monthly running costs assumptions are shown in the the table below, including a three person payroll, rent, utilities and an estimation of other running costs. Payroll, at median market averages, was presented previously in the Personnel table.
Based on these assumptions, the chart below shows the enrollment of students per month needed to break-even. This represents about 46% of our allowable monthly enrollment based on state and county course work guidelines.
Break-even Analysis | |
Monthly Units Break-even | 34 |
Monthly Revenue Break-even | $12,350 |
Assumptions: | |
Average Per-Unit Revenue | $366.51 |
Average Per-Unit Variable Cost | $9.67 |
Estimated Monthly Fixed Cost | $12,024 |
Our projected profit and loss is shown on the following table, with sales increasing from the first year to the third.
In years two and three, we are projecting full enrollment regarding cost of sales and gross margin. The investment return in these years supports the goal of opening another campus at the end of the second year and begin the franchise offering by the end of the third year. Profit from the additional campuses and income from franchising are not included in this business plan.
The detailed monthly projections are included in the appendices.
Pro Forma Profit and Loss | |||
Year 1 | Year 2 | Year 3 | |
Sales | $138,540 | $276,820 | $310,859 |
Direct Cost of Sales | $3,656 | $7,733 | $8,682 |
Hidden Row | $0 | $0 | $0 |
Total Cost of Sales | $3,656 | $7,733 | $8,682 |
Gross Margin | $134,884 | $269,087 | $302,177 |
Gross Margin % | 97.36% | 97.21% | 97.21% |
Expenses | |||
Payroll | $57,037 | $108,111 | $113,516 |
Sales and Marketing and Other Expenses | $2,200 | $3,500 | $3,500 |
Depreciation | $0 | $0 | $0 |
Rent | $58,800 | $59,500 | $60,000 |
Utilities | $10,500 | $10,500 | $10,500 |
Insurance | $7,200 | $7,200 | $7,200 |
Payroll Taxes | $8,556 | $16,217 | $17,027 |
Other | $0 | $0 | $0 |
Total Operating Expenses | $144,293 | $205,027 | $211,744 |
Profit Before Interest and Taxes | ($9,409) | $64,059 | $90,433 |
EBITDA | ($9,409) | $64,059 | $90,433 |
Interest Expense | $3,819 | $3,144 | $2,440 |
Taxes Incurred | $0 | $18,275 | $26,398 |
Net Profit | ($13,228) | $42,641 | $61,595 |
Net Profit/Sales | -9.55% | 15.40% | 19.81% |
The following cash flow projections show the annual amounts only, significant for the first year mainly in the amounts projected in cash sales and payables.
Cash flow projections are critical to the success of Kid’s Community College®. The monthly cash flow is shown in the illustration, with one bar representing the cash flow per month and the other the monthly cash balance. The annual cash flow figures are included here and the more important detailed monthly numbers are included in the appendices.
Pro Forma Cash Flow | |||
Year 1 | Year 2 | Year 3 | |
Cash Received | |||
Cash from Operations | |||
Cash Sales | $138,540 | $276,820 | $310,859 |
Subtotal Cash from Operations | $138,540 | $276,820 | $310,859 |
Additional Cash Received | |||
Sales Tax, VAT, HST/GST Received | $0 | $0 | $0 |
New Current Borrowing | $0 | $0 | $0 |
New Other Liabilities (interest-free) | $0 | $0 | $0 |
New Long-term Liabilities | $0 | $0 | $0 |
Sales of Other Current Assets | $0 | $0 | $0 |
Sales of Long-term Assets | $0 | $0 | $0 |
New Investment Received | $0 | $0 | $0 |
Subtotal Cash Received | $138,540 | $276,820 | $310,859 |
Expenditures | Year 1 | Year 2 | Year 3 |
Expenditures from Operations | |||
Cash Spending | $57,037 | $108,111 | $113,516 |
Bill Payments | $86,777 | $123,660 | $134,952 |
Subtotal Spent on Operations | $143,814 | $231,771 | $248,468 |
Additional Cash Spent | |||
Sales Tax, VAT, HST/GST Paid Out | $0 | $0 | $0 |
Principal Repayment of Current Borrowing | $0 | $0 | $0 |
Other Liabilities Principal Repayment | $0 | $0 | $0 |
Long-term Liabilities Principal Repayment | $10,057 | $10,057 | $10,057 |
Purchase Other Current Assets | $0 | $0 | $0 |
Purchase Long-term Assets | $0 | $0 | $0 |
Dividends | $0 | $0 | $0 |
Subtotal Cash Spent | $153,871 | $241,828 | $258,525 |
Net Cash Flow | ($15,331) | $34,992 | $52,334 |
Cash Balance | $50,219 | $85,211 | $137,545 |
The balance sheet in the following table shows managed but sufficient growth of net worth, and a gradually sufficient healthy financial position. The monthly estimates are included in the appendices.
Pro Forma Balance Sheet | |||
Year 1 | Year 2 | Year 3 | |
Assets | |||
Current Assets | |||
Cash | $50,219 | $85,211 | $137,545 |
Other Current Assets | $14,130 | $14,130 | $14,130 |
Total Current Assets | $64,349 | $99,341 | $151,675 |
Long-term Assets | |||
Long-term Assets | $0 | $0 | $0 |
Accumulated Depreciation | $0 | $0 | $0 |
Total Long-term Assets | $0 | $0 | $0 |
Total Assets | $64,349 | $99,341 | $151,675 |
Liabilities and Capital | Year 1 | Year 2 | Year 3 |
Current Liabilities | |||
Accounts Payable | $7,954 | $10,362 | $11,157 |
Current Borrowing | $0 | $0 | $0 |
Other Current Liabilities | $0 | $0 | $0 |
Subtotal Current Liabilities | $7,954 | $10,362 | $11,157 |
Long-term Liabilities | $49,943 | $39,886 | $29,829 |
Total Liabilities | $57,897 | $50,248 | $40,986 |
Paid-in Capital | $59,130 | $59,130 | $59,130 |
Retained Earnings | ($39,450) | ($52,678) | ($10,037) |
Earnings | ($13,228) | $42,641 | $61,595 |
Total Capital | $6,452 | $49,093 | $110,688 |
Total Liabilities and Capital | $64,349 | $99,341 | $151,675 |
Net Worth | $6,452 | $49,093 | $110,688 |
The following table shows the projected businesses ratios for our industry: Child Day Care services, SIC code 8351. Kid’s Community College® expects to maintain healthy ratios for profitability, risk, and return.
Ratio Analysis | ||||
Year 1 | Year 2 | Year 3 | Industry Profile | |
Sales Growth | n.a. | 99.81% | 12.30% | 6.98% |
Percent of Total Assets | ||||
Other Current Assets | 21.96% | 14.22% | 9.32% | 30.21% |
Total Current Assets | 100.00% | 100.00% | 100.00% | 60.28% |
Long-term Assets | 0.00% | 0.00% | 0.00% | 39.72% |
Total Assets | 100.00% | 100.00% | 100.00% | 100.00% |
Current Liabilities | 12.36% | 10.43% | 7.36% | 27.78% |
Long-term Liabilities | 77.61% | 40.15% | 19.67% | 24.23% |
Total Liabilities | 89.97% | 50.58% | 27.02% | 52.01% |
Net Worth | 10.03% | 49.42% | 72.98% | 47.99% |
Percent of Sales | ||||
Sales | 100.00% | 100.00% | 100.00% | 100.00% |
Gross Margin | 97.36% | 97.21% | 97.21% | 100.00% |
Selling, General & Administrative Expenses | 113.51% | 78.74% | 72.22% | 81.45% |
Advertising Expenses | 0.00% | 0.00% | 0.00% | 0.88% |
Profit Before Interest and Taxes | -6.79% | 23.14% | 29.09% | 1.52% |
Main Ratios | ||||
Current | 8.09 | 9.59 | 13.59 | 1.96 |
Quick | 8.09 | 9.59 | 13.59 | 1.56 |
Total Debt to Total Assets | 89.97% | 50.58% | 27.02% | 60.93% |
Pre-tax Return on Net Worth | -205.01% | 124.08% | 79.50% | 2.47% |
Pre-tax Return on Assets | -20.56% | 61.32% | 58.01% | 6.32% |
Additional Ratios | Year 1 | Year 2 | Year 3 | |
Net Profit Margin | -9.55% | 15.40% | 19.81% | n.a |
Return on Equity | -205.01% | 86.86% | 55.65% | n.a |
Activity Ratios | ||||
Accounts Payable Turnover | 11.91 | 12.17 | 12.17 | n.a |
Payment Days | 27 | 27 | 29 | n.a |
Total Asset Turnover | 2.15 | 2.79 | 2.05 | n.a |
Debt Ratios | ||||
Debt to Net Worth | 8.97 | 1.02 | 0.37 | n.a |
Current Liab. to Liab. | 0.14 | 0.21 | 0.27 | n.a |
Liquidity Ratios | ||||
Net Working Capital | $56,396 | $88,979 | $140,517 | n.a |
Interest Coverage | -2.46 | 20.37 | 37.06 | n.a |
Additional Ratios | ||||
Assets to Sales | 0.46 | 0.36 | 0.49 | n.a |
Current Debt/Total Assets | 12% | 10% | 7% | n.a |
Acid Test | 8.09 | 9.59 | 13.59 | n.a |
Sales/Net Worth | 21.47 | 5.64 | 2.81 | n.a |
Dividend Payout | 0.00 | 0.00 | 0.00 | n.a |
Sales Forecast | |||||||||||||
Month 1 | Month 2 | Month 3 | Month 4 | Month 5 | Month 6 | Month 7 | Month 8 | Month 9 | Month 10 | Month 11 | Month 12 | ||
Unit Sales | |||||||||||||
Full-time Couples | 0% | 6 | 8 | 10 | 12 | 12 | 10 | 10 | 20 | 27 | 27 | 27 | 30 |
After School Care | 0% | 6 | 6 | 6 | 6 | 6 | 8 | 8 | 15 | 20 | 20 | 20 | 20 |
Summer Camp | 0% | 0 | 0 | 0 | 0 | 0 | 13 | 13 | 0 | 0 | 0 | 0 | 0 |
Part-time Workers/Drop-Ins | 0% | 1 | 1 | 1 | 1 | 1 | 1 | 1 | 1 | 1 | 1 | 1 | 1 |
Total Unit Sales | 13 | 15 | 17 | 19 | 19 | 32 | 32 | 36 | 48 | 48 | 48 | 51 | |
Unit Prices | Month 1 | Month 2 | Month 3 | Month 4 | Month 5 | Month 6 | Month 7 | Month 8 | Month 9 | Month 10 | Month 11 | Month 12 | |
Full-time Couples | $460.00 | $460.00 | $460.00 | $460.00 | $460.00 | $460.00 | $460.00 | $460.00 | $460.00 | $460.00 | $460.00 | $460.00 | |
After School Care | $240.00 | $240.00 | $240.00 | $240.00 | $240.00 | $240.00 | $240.00 | $240.00 | $240.00 | $240.00 | $240.00 | $240.00 | |
Summer Camp | $460.00 | $460.00 | $460.00 | $460.00 | $460.00 | $460.00 | $460.00 | $460.00 | $460.00 | $460.00 | $460.00 | $460.00 | |
Part-time Workers/Drop-Ins | $100.00 | $100.00 | $100.00 | $100.00 | $100.00 | $100.00 | $100.00 | $100.00 | $100.00 | $100.00 | $100.00 | $100.00 | |
Sales | |||||||||||||
Full-time Couples | $2,760 | $3,680 | $4,600 | $5,520 | $5,520 | $4,600 | $4,600 | $9,200 | $12,420 | $12,420 | $12,420 | $13,800 | |
After School Care | $1,440 | $1,440 | $1,440 | $1,440 | $1,440 | $1,920 | $1,920 | $3,600 | $4,800 | $4,800 | $4,800 | $4,800 | |
Summer Camp | $0 | $0 | $0 | $0 | $0 | $5,980 | $5,980 | $0 | $0 | $0 | $0 | $0 | |
Part-time Workers/Drop-Ins | $100 | $100 | $100 | $100 | $100 | $100 | $100 | $100 | $100 | $100 | $100 | $100 | |
Total Sales | $4,300 | $5,220 | $6,140 | $7,060 | $7,060 | $12,600 | $12,600 | $12,900 | $17,320 | $17,320 | $17,320 | $18,700 | |
Direct Unit Costs | Month 1 | Month 2 | Month 3 | Month 4 | Month 5 | Month 6 | Month 7 | Month 8 | Month 9 | Month 10 | Month 11 | Month 12 | |
Full-time Couples | 2.90% | $13.34 | $13.34 | $13.34 | $13.34 | $13.34 | $13.34 | $13.34 | $13.34 | $13.34 | $13.34 | $13.34 | $13.34 |
After School Care | 1.90% | $4.56 | $4.56 | $4.56 | $4.56 | $4.56 | $4.56 | $4.56 | $4.56 | $4.56 | $4.56 | $4.56 | $4.56 |
Summer Camp | 3.00% | $13.80 | $13.80 | $13.80 | $13.80 | $13.80 | $13.80 | $13.80 | $13.80 | $13.80 | $13.80 | $13.80 | $13.80 |
Part-time Workers/Drop-Ins | 0.00% | $0.00 | $0.00 | $0.00 | $0.00 | $0.00 | $0.00 | $0.00 | $0.00 | $0.00 | $0.00 | $0.00 | $0.00 |
Direct Cost of Sales | |||||||||||||
Full-time Couples | $80 | $107 | $133 | $160 | $160 | $133 | $133 | $267 | $360 | $360 | $360 | $400 | |
After School Care | $27 | $27 | $27 | $27 | $27 | $36 | $36 | $68 | $91 | $91 | $91 | $91 | |
Summer Camp | $0 | $0 | $0 | $0 | $0 | $179 | $179 | $0 | $0 | $0 | $0 | $0 | |
Part-time Workers/Drop-Ins | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | |
Subtotal Direct Cost of Sales | $107 | $134 | $161 | $187 | $187 | $349 | $349 | $335 | $451 | $451 | $451 | $491 |
Personnel Plan | |||||||||||||
Month 1 | Month 2 | Month 3 | Month 4 | Month 5 | Month 6 | Month 7 | Month 8 | Month 9 | Month 10 | Month 11 | Month 12 | ||
Campus Director | 0% | $1,833 | $1,833 | $1,833 | $2,042 | $2,042 | $2,042 | $2,042 | $2,042 | $2,042 | $2,042 | $2,042 | $2,042 |
F/T Instructors | 0% | $1,280 | $1,280 | $1,280 | $1,280 | $1,280 | $1,280 | $1,280 | $2,560 | $2,560 | $2,560 | $2,560 | $2,560 |
P/T Instructors | 0% | $600 | $600 | $600 | $600 | $600 | $1,200 | $1,200 | $1,200 | $1,200 | $1,200 | $1,200 | $1,200 |
Total People | 3 | 3 | 3 | 3 | 3 | 4 | 4 | 5 | 5 | 5 | 5 | 5 | |
Total Payroll | $3,713 | $3,713 | $3,713 | $3,922 | $3,922 | $4,522 | $4,522 | $5,802 | $5,802 | $5,802 | $5,802 | $5,802 |
General Assumptions | |||||||||||||
Month 1 | Month 2 | Month 3 | Month 4 | Month 5 | Month 6 | Month 7 | Month 8 | Month 9 | Month 10 | Month 11 | Month 12 | ||
Plan Month | 1 | 2 | 3 | 4 | 5 | 6 | 7 | 8 | 9 | 10 | 11 | 12 | |
Current Interest Rate | 7.00% | 7.00% | 7.00% | 7.00% | 7.00% | 7.00% | 7.00% | 7.00% | 7.00% | 7.00% | 7.00% | 7.00% | |
Long-term Interest Rate | 7.00% | 7.00% | 7.00% | 7.00% | 7.00% | 7.00% | 7.00% | 7.00% | 7.00% | 7.00% | 7.00% | 7.00% | |
Tax Rate | 30.00% | 30.00% | 30.00% | 30.00% | 30.00% | 30.00% | 30.00% | 30.00% | 30.00% | 30.00% | 30.00% | 30.00% | |
Other | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 |
Pro Forma Profit and Loss | |||||||||||||
Month 1 | Month 2 | Month 3 | Month 4 | Month 5 | Month 6 | Month 7 | Month 8 | Month 9 | Month 10 | Month 11 | Month 12 | ||
Sales | $4,300 | $5,220 | $6,140 | $7,060 | $7,060 | $12,600 | $12,600 | $12,900 | $17,320 | $17,320 | $17,320 | $18,700 | |
Direct Cost of Sales | $107 | $134 | $161 | $187 | $187 | $349 | $349 | $335 | $451 | $451 | $451 | $491 | |
Hidden Row | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | |
Total Cost of Sales | $107 | $134 | $161 | $187 | $187 | $349 | $349 | $335 | $451 | $451 | $451 | $491 | |
Gross Margin | $4,193 | $5,086 | $5,979 | $6,873 | $6,873 | $12,251 | $12,251 | $12,565 | $16,869 | $16,869 | $16,869 | $18,209 | |
Gross Margin % | 97.50% | 97.43% | 97.38% | 97.35% | 97.35% | 97.23% | 97.23% | 97.40% | 97.39% | 97.39% | 97.39% | 97.37% | |
Expenses | |||||||||||||
Payroll | $3,713 | $3,713 | $3,713 | $3,922 | $3,922 | $4,522 | $4,522 | $5,802 | $5,802 | $5,802 | $5,802 | $5,802 | |
Sales and Marketing and Other Expenses | $0 | $200 | $200 | $200 | $200 | $200 | $200 | $200 | $200 | $200 | $200 | $200 | |
Depreciation | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | |
Rent | $4,900 | $4,900 | $4,900 | $4,900 | $4,900 | $4,900 | $4,900 | $4,900 | $4,900 | $4,900 | $4,900 | $4,900 | |
Utilities | $875 | $875 | $875 | $875 | $875 | $875 | $875 | $875 | $875 | $875 | $875 | $875 | |
Insurance | $600 | $600 | $600 | $600 | $600 | $600 | $600 | $600 | $600 | $600 | $600 | $600 | |
Payroll Taxes | 15% | $557 | $557 | $557 | $588 | $588 | $678 | $678 | $870 | $870 | $870 | $870 | $870 |
Other | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | |
Total Operating Expenses | $10,645 | $10,845 | $10,845 | $11,085 | $11,085 | $11,775 | $11,775 | $13,247 | $13,247 | $13,247 | $13,247 | $13,247 | |
Profit Before Interest and Taxes | ($6,452) | ($5,759) | ($4,866) | ($4,213) | ($4,213) | $475 | $475 | ($683) | $3,621 | $3,621 | $3,621 | $4,961 | |
EBITDA | ($6,452) | ($5,759) | ($4,866) | ($4,213) | ($4,213) | $475 | $475 | ($683) | $3,621 | $3,621 | $3,621 | $4,961 | |
Interest Expense | $345 | $340 | $335 | $330 | $326 | $321 | $316 | $311 | $306 | $301 | $296 | $291 | |
Taxes Incurred | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | |
Net Profit | ($6,797) | ($6,099) | ($5,201) | ($4,543) | ($4,538) | $155 | $160 | ($993) | $3,315 | $3,320 | $3,325 | $4,670 | |
Net Profit/Sales | -158.08% | -116.84% | -84.71% | -64.35% | -64.28% | 1.23% | 1.27% | -7.70% | 19.14% | 19.17% | 19.20% | 24.97% |
Pro Forma Cash Flow | |||||||||||||
Month 1 | Month 2 | Month 3 | Month 4 | Month 5 | Month 6 | Month 7 | Month 8 | Month 9 | Month 10 | Month 11 | Month 12 | ||
Cash Received | |||||||||||||
Cash from Operations | |||||||||||||
Cash Sales | $4,300 | $5,220 | $6,140 | $7,060 | $7,060 | $12,600 | $12,600 | $12,900 | $17,320 | $17,320 | $17,320 | $18,700 | |
Subtotal Cash from Operations | $4,300 | $5,220 | $6,140 | $7,060 | $7,060 | $12,600 | $12,600 | $12,900 | $17,320 | $17,320 | $17,320 | $18,700 | |
Additional Cash Received | |||||||||||||
Sales Tax, VAT, HST/GST Received | 0.00% | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 |
New Current Borrowing | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | |
New Other Liabilities (interest-free) | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | |
New Long-term Liabilities | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | |
Sales of Other Current Assets | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | |
Sales of Long-term Assets | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | |
New Investment Received | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | |
Subtotal Cash Received | $4,300 | $5,220 | $6,140 | $7,060 | $7,060 | $12,600 | $12,600 | $12,900 | $17,320 | $17,320 | $17,320 | $18,700 | |
Expenditures | Month 1 | Month 2 | Month 3 | Month 4 | Month 5 | Month 6 | Month 7 | Month 8 | Month 9 | Month 10 | Month 11 | Month 12 | |
Expenditures from Operations | |||||||||||||
Cash Spending | $3,713 | $3,713 | $3,713 | $3,922 | $3,922 | $4,522 | $4,522 | $5,802 | $5,802 | $5,802 | $5,802 | $5,802 | |
Bill Payments | $246 | $7,392 | $7,607 | $7,630 | $7,681 | $7,685 | $7,923 | $7,924 | $8,095 | $8,203 | $8,198 | $8,194 | |
Subtotal Spent on Operations | $3,959 | $11,105 | $11,320 | $11,552 | $11,603 | $12,207 | $12,445 | $13,726 | $13,897 | $14,005 | $14,000 | $13,996 | |
Additional Cash Spent | |||||||||||||
Sales Tax, VAT, HST/GST Paid Out | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | |
Principal Repayment of Current Borrowing | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | |
Other Liabilities Principal Repayment | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | |
Long-term Liabilities Principal Repayment | $838 | $838 | $838 | $838 | $838 | $838 | $838 | $838 | $838 | $838 | $838 | $838 | |
Purchase Other Current Assets | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | |
Purchase Long-term Assets | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | |
Dividends | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | |
Subtotal Cash Spent | $4,797 | $11,943 | $12,158 | $12,390 | $12,441 | $13,045 | $13,283 | $14,564 | $14,735 | $14,843 | $14,838 | $14,834 | |
Net Cash Flow | ($497) | ($6,723) | ($6,018) | ($5,330) | ($5,381) | ($445) | ($683) | ($1,664) | $2,585 | $2,477 | $2,482 | $3,866 | |
Cash Balance | $65,053 | $58,330 | $52,312 | $46,982 | $41,601 | $41,156 | $40,473 | $38,809 | $41,394 | $43,871 | $46,353 | $50,219 |
Pro Forma Balance Sheet | |||||||||||||
Month 1 | Month 2 | Month 3 | Month 4 | Month 5 | Month 6 | Month 7 | Month 8 | Month 9 | Month 10 | Month 11 | Month 12 | ||
Assets | Starting Balances | ||||||||||||
Current Assets | |||||||||||||
Cash | $65,550 | $65,053 | $58,330 | $52,312 | $46,982 | $41,601 | $41,156 | $40,473 | $38,809 | $41,394 | $43,871 | $46,353 | $50,219 |
Other Current Assets | $14,130 | $14,130 | $14,130 | $14,130 | $14,130 | $14,130 | $14,130 | $14,130 | $14,130 | $14,130 | $14,130 | $14,130 | $14,130 |
Total Current Assets | $79,680 | $79,183 | $72,460 | $66,442 | $61,112 | $55,731 | $55,286 | $54,603 | $52,939 | $55,524 | $58,001 | $60,483 | $64,349 |
Long-term Assets | |||||||||||||
Long-term Assets | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 |
Accumulated Depreciation | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 |
Total Long-term Assets | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 |
Total Assets | $79,680 | $79,183 | $72,460 | $66,442 | $61,112 | $55,731 | $55,286 | $54,603 | $52,939 | $55,524 | $58,001 | $60,483 | $64,349 |
Liabilities and Capital | Month 1 | Month 2 | Month 3 | Month 4 | Month 5 | Month 6 | Month 7 | Month 8 | Month 9 | Month 10 | Month 11 | Month 12 | |
Current Liabilities | |||||||||||||
Accounts Payable | $0 | $7,138 | $7,353 | $7,374 | $7,425 | $7,420 | $7,659 | $7,654 | $7,822 | $7,929 | $7,925 | $7,920 | $7,954 |
Current Borrowing | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 |
Other Current Liabilities | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 |
Subtotal Current Liabilities | $0 | $7,138 | $7,353 | $7,374 | $7,425 | $7,420 | $7,659 | $7,654 | $7,822 | $7,929 | $7,925 | $7,920 | $7,954 |
Long-term Liabilities | $60,000 | $59,162 | $58,324 | $57,486 | $56,648 | $55,810 | $54,972 | $54,134 | $53,295 | $52,457 | $51,619 | $50,781 | $49,943 |
Total Liabilities | $60,000 | $66,300 | $65,677 | $64,860 | $64,073 | $63,230 | $62,631 | $61,788 | $61,117 | $60,387 | $59,544 | $58,701 | $57,897 |
Paid-in Capital | $59,130 | $59,130 | $59,130 | $59,130 | $59,130 | $59,130 | $59,130 | $59,130 | $59,130 | $59,130 | $59,130 | $59,130 | $59,130 |
Retained Earnings | ($39,450) | ($39,450) | ($39,450) | ($39,450) | ($39,450) | ($39,450) | ($39,450) | ($39,450) | ($39,450) | ($39,450) | ($39,450) | ($39,450) | ($39,450) |
Earnings | $0 | ($6,797) | ($12,897) | ($18,098) | ($22,641) | ($27,179) | ($27,024) | ($26,865) | ($27,858) | ($24,543) | ($21,223) | ($17,898) | ($13,228) |
Total Capital | $19,680 | $12,883 | $6,783 | $1,582 | ($2,961) | ($7,499) | ($7,344) | ($7,185) | ($8,178) | ($4,863) | ($1,543) | $1,782 | $6,452 |
Total Liabilities and Capital | $79,680 | $79,183 | $72,460 | $66,442 | $61,112 | $55,731 | $55,286 | $54,603 | $52,939 | $55,524 | $58,001 | $60,483 | $64,349 |
Net Worth | $19,680 | $12,883 | $6,783 | $1,582 | ($2,961) | ($7,499) | ($7,344) | ($7,185) | ($8,178) | ($4,863) | ($1,543) | $1,782 | $6,452 |
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In case you wish to start a daycare or kid’s nursery venture, you must create a business plan with financial projections to be able to properly plan a successful launch, and eventually impress interested investors.
To fulfill this objective, our ready-made daycare business plan package is your most cost-effective solution. It includes a pre-written business plan in Word and an automatic financial plan spreadsheet in Excel tailored to the children daycare business. The good news is that you can easily customize these documents based on your own project.
Save tons of time and money and download our investor-grade daycare business plan template, no advanced financial or accounting expertise is required.
Our ready-made Daycare business plan template is in Word format and includes 23 pages. The document is divided into multiple sections. Each section contains the essential points that are necessary to effectively present your Daycare project. Each section and sub-section offer you a sample text that you can easily customize to make your business plan unique. Below is a small excerpt from your pre-written daycare business plan in Word.
Our pre-populated financial model is in Excel format and includes multiples worksheets. You can easily edit the model’s inputs including changing costs and revenue assumptions to generate pro-forma financial forecasts including P&L, Cash flows and Balance Sheets. Below is a small extract from your pre-made daycare financial plan in Excel.
Clarifying goals and objectives: Planning your business forces you to think through your goals and objectives for your daycare project. By doing so, you can better understand what you want to achieve and develop a clear plan for how to get there.
Identifying potential challenges: A business plan can help you identify potential challenges and risks that you may face when starting and operating a daycare business. By identifying these challenges early on, you can develop strategies to mitigate them and ensure the long-term success of your business.
Understanding your market and competition: A daycare business plan requires you to research and analyze your market and competition. This information allows you to better understand your target customers and develop a competitive advantage in your local market.
Creating a roadmap for growth: Consider your business plan as a roadmap for the growth and development of your daycare business. By outlining specific strategies for growth and expansion, you can ensure that your business is well-positioned to capitalize on new opportunities and navigate any challenges that may arise.
Securing funding: Finally, a well-written daycare business plan can be a critical tool for securing funding from investors or lenders. It demonstrates that you have a clear vision for your business and a plan for how to achieve your goals, which can increase your chances of getting funding.
Executive summary.
Our Daycare business plan template starts with a compelling Executive Summary. This key section is very important as it summarizes in 1 page your Daycare concept. It will introduce your business model, the key people behind the project as well as the unique selling proposition offered by your daycare concept. This section will also mention how market conditions and consumer trends are favorable for launching your project.
Next, your ready-made daycare business plan will list a number of problems experienced by your prospects in your target market and will show how this presents a unique opportunity for your daycare. These can include issues such as the lack of good daycares in a certain location, undifferentiated offering by current actors in the market…etc.
This section explains how your daycare will take advantage of the current problems in the market and will detail your innovative solutions.
Your mission will explain in a couple of sentences your Daycare’s reason for existence. In other words, it will summarize your unique value proposition and will explain how you are different than the competition. Your vision will explain the long-term plans for your Daycare project. Are you planning to start with one branch today and expand to a multi-branch business model? Are you looking to transform your Daycare business into a franchise model?…etc.
This section details your Daycare project using the business model canvas method. In a visually appealing table, we will detail your Daycare’s key partners, activities, resources, value proposition, customer segments, customer relationship plan, marketing channels, cost structure and revenue streams.
Next, we will talk in detail about your offering including your childcare services for toddlers, infants and preschoolers as well as your seasonal activities (summer camps, winter camps…etc.). We will also include your tuition fees.
This important section describes the various market statistics and consumer trends in the childcare and explains how they support your own Daycare concept. The purpose of this section is to show that the market conditions are favorable for launching your new Daycare.
In this sub-section of the market analysis, we will discuss the latest general market trends in the childcare industry. We will look at the global industry size, growth rate, growth diving factors and consumer trends.
This sub-section explains the local market trends that are relevant to your specific Daycare business.
In this section, we will describe your various customer profiles by providing information about their demographics, behavior and purchasing habits.
We will analyze key competitors active in your target market and provide insights about their strengths and weaknesses.
After looking at the competitive landscape, we will then show how your Daycare business is differentiating itself from the competition through a number of key advantages.
This section features a 4-quadrant table with explanations about how your Daycare intends to leverage its key strengths, mitigate weaknesses, capture opportunities and thwart any future threats.
This chapter provides detailed information about your go-to-market strategy. It includes a detailed action plan to help you build brand awareness and generate sales.
We will describe in this sub-section your choice of key marketing channels to build branding and awareness.
We will describe in this sub-section your choice of key marketing channels to acquire customers and increase sales.
This chapter provides information about your Daycare’s opening hours, internal processes and describes the interactions between various key departments and teams.
It is very important to present the key people behind your Daycare project and thus we have dedicated a section for this very purpose. It is also important to talk here about the founder’s vision, his past education and professional experience.
No business can succeed without having on board the right team. This section lists all the key positions you plan to hire with information about their salaries and expected start dates.
To be able to launch and execute your Daycare project, you need to follow a set of actionable tasks with target deadlines. This section serves this purpose.
Without a robust financial plan, your Daycare business plan would be an incomplete document. This important section provides crucial information about your pro-forma financial projections and shows that you have really done your homework. The data mentioned in this and the following sections will be provided by the dynamic Excel financial model accompanying your Daycare business plan.
This module shows your Daycare’s revenue projections over the next three years.
This module shows your Daycare’s income statement (also called profit and loss statement) over the next three years. Your income statement includes detailed projections about your sales and expenses and shows how your Daycare’s revenue is converted into a net profit.
This module shows your Daycare’s cash flow projections over the next three years. The first year of operation is even detailed on a monthly basis. Your cash flow statement will detail the various cash inflows your Daycare will generate from its day to day operations and from funding sources, as well as the various cash outflows required to pay for operating expenses and business investments.
This module shows your Daycare’s balance sheet projections over the next three years. The balance sheet will provide a summary of your Daycare’s short term and long term assets in addition to your short term and long term liabilities and capital.
In this section, we will provide information about your gross margin, net margin and discuss the profitability of your Daycare business.
This module states the amount of funding your need to be able to comfortably launch your Daycare business. It also describes the planned allocation of the funds between Opex and Capex.
Finally, we will conclude your business plan by recapitulating the key points that make your Daycare project compelling and reiterate the rationale behind your business opportunity.
If you have any question regarding our ready-made Daycare business plan package, do not hesitate to contact us , we are here to help.
As a lot of toddlers turn to preschool age, the number of enrollees in daycare also increases. As a businessman, you should see this as an opportunity. Parents spend a great deal of time selecting the best daycare for their sons or daughters. Composing a daycare business plan will keep you one step ahead of your competitors.
1. daycare business plan template.
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A daycare business plan is a written document that enumerates the goals of a childcare business and specifies the methods to accomplish them. It also includes the marketing strategy to promote the daycare and a framework detailing how they can set their daycare apart from similar businesses. This business plan prioritizes services that focus on teaching and securing the safety of the children.
Preschool parents are hard to impress. They are very critical in scrutinizing every daycare they come across. To hook these parents, devise an impressive daycare business plan that would make them choose your daycare. Taking care of children is a significant task. To make sure you can cater to the children’s needs, be careful in creating your business plan.
Start your plan outline by including a list of your goals and the corresponding procedure you plan to follow in achieving them. Your outline would serve as your draft. That said, you can list everything that comes to mind and come back to review and omit the items that don’t contribute to the effectiveness of your plan. There are available sample outline formats and templates online.
The people you’re offering your services to are both the children and their parents. You should focus on that fact the entire process of your plan-making. You should always ask yourself, “will it be the best for the children?”, “will it satisfy the parents?”. The best way of data-gathering is by conducting an interview and through market research .
Aside from your market, also research your daycare competitions. What are their strengths? What about their weaknesses, opportunities, and threats? You will find out by conducting a competitor SWOT analysis on them. The data you can gather will help you to find out what your advantage and disadvantages over them are.
In creating your marketing strategy plan , it is advisable to appeal more to the parents because they are the ones who would decide on the final call regarding their daycare choice. Despite that, it is essential to keep your content strategy and designs child-friendly. Some marketing strategies you can try out are posting a flyer or creating an infomercial about your daycare business.
The title page, executive summary , marketing strategy plan, business description, competition analysis, operation plan, design plan, and business budget are the parts of a business plan. Each segment of this document is necessary for ensuring the accomplishment of your objectives. Tailor your business plan depending on the nature of your business.
Promoting your daycare on social media is a clever way of spreading awareness about your daycare. Another way is to depend on peer-to-peer (P2P) marketing. This type of marketing entails asking your existing customers to recommend your daycare to other parents they know. Parents tend to trust other parents more when they see good results.
The types of business plans vary on their purpose and on the mediums used in creating them. The miniplan, the first type, is like a summary of the whole business plan. It focuses on the top priorities of the business. The second type of plan is the presentation plan, which uses PowerPoint presentations. The third one is the working plan, and the last one is the what-if plan.
Parents want the best for their children. Now, your job is to prove that you are the best, and they would naturally pick your daycare. Proving to be the top in offering childcare services is not fun and games. It requires the best daycare business plan. Win the hearts of the parents and prepare to receive several daycare application forms by the start of the enrollment period.
Text prompt
Create a study plan for final exams in high school
Develop a project timeline for a middle school science fair.
Writing a business plan is a crucial step in starting a daycare. Not only does it provide structure and guidance for the future, but it also helps to create funding opportunities and attract potential investors. For aspiring daycare business owners, having access to a sample daycare business plan can be especially helpful in providing direction and gaining insight into how to draft their own daycare business plan.
Download our Ultimate Daycare Business Plan Template
Having a thorough business plan in place is critical for any successful daycare venture. It will serve as the foundation for your operations, setting out the goals and objectives that will help guide your decisions and actions. A well-written business plan can give you clarity on realistic financial projections and help you secure financing from lenders or investors. A daycare business plan example can be a great resource to draw upon when creating your own plan, making sure that all the key components are included in your document.
The daycare business plan sample below will give you an idea of what one should look like. It is not as comprehensive and successful in raising capital for your daycare as Growthink’s Ultimate Daycare Business Plan Template , but it can help you write a daycare business plan of your own.
Table of contents, executive summary, company overview, industry analysis, customer analysis, competitive analysis, marketing plan, operations plan, management team, financial plan.
At TinySteps Playhouse, we are committed to providing exceptional childcare services in the vibrant city of Denver, CO. Our daycare center is designed to offer a safe, educational, and nurturing environment for children ranging from infants to pre-kindergarteners. Our comprehensive curriculum is tailored to meet the developmental needs of each age group, fostering growth and learning through play. With a passionate and experienced team at the helm, TinySteps Playhouse is dedicated to supporting the families in our community by offering flexible care options that accommodate the diverse needs of modern families. Our location in Denver positions us perfectly to serve a growing demographic of parents seeking quality childcare solutions.
Our success at TinySteps Playhouse is anchored in our commitment to providing a nurturing environment that supports the holistic development of children. We have successfully established a reputation for quality care, thanks to our experienced and passionate team, comprehensive curriculum, and flexible childcare solutions. To date, we have achieved several milestones, including the successful launch of our center, consistent positive feedback from families, and a growing enrollment. Our dedication to fostering a supportive and engaging learning environment sets us apart and drives our continued success.
The childcare industry is witnessing significant growth, driven by increasing demand from working parents seeking reliable and quality daycare services. In Denver, CO, this trend is particularly pronounced, with a rising number of families requiring childcare solutions that offer both educational and emotional support. The industry’s expansion is further fueled by growing awareness of the importance of early childhood education, prompting parents to seek out establishments that provide more than just basic care. In response, daycare centers are evolving to offer comprehensive curriculums that encourage cognitive, social, and emotional development. This shift towards more holistic childcare services is reshaping the industry, making it an opportune time for TinySteps Playhouse to establish and expand its presence in Denver.
Our target customers at TinySteps Playhouse are working parents in Denver, CO, who value both the emotional and educational development of their children. These parents are looking for more than just a daycare; they seek a partner in nurturing their child’s growth. They are typically well-educated, middle to upper-middle-income earners who understand the importance of early childhood education and are willing to invest in quality childcare services. Our customer base values the flexible care options we provide, which cater to the diverse needs of modern families. By understanding and addressing the specific needs and preferences of this demographic, TinySteps Playhouse aims to become the go-to childcare solution in our community.
Top Competitors:
Our Competitive Advantages: TinySteps Playhouse stands out in the competitive landscape of Denver, CO, by offering a uniquely tailored curriculum that promotes holistic development. Our passionate and experienced team is dedicated to providing personalized attention to each child, ensuring their emotional, social, and educational needs are met. Furthermore, our flexible childcare solutions cater to the diverse needs of modern families, making us a preferred choice for parents in the area.
TinySteps Playhouse will implement a comprehensive promotional strategy to attract and retain customers in Denver, CO. Our approach includes a robust online marketing campaign leveraging social media platforms like Facebook, Instagram, and Twitter to connect with potential clients by sharing engaging content, testimonials, and educational tips. We will also employ SEO techniques and Google Ads to enhance our visibility online. Additionally, email marketing will keep us in direct contact with interested parents, sharing updates, events, and special promotions. Beyond digital efforts, we will engage in community outreach by partnering with local businesses and schools, sponsor events, and offer special promotions to establish ourselves as a trusted community member. Open houses and free trial days will allow parents and children to experience our daycare firsthand, building trust and demonstrating our high level of care. Word-of-mouth, encouraged through referral discounts, will further amplify our reach. Together, these strategies are designed to establish TinySteps Playhouse as the premier choice for daycare services in Denver.
Our operations at TinySteps Playhouse are centered around key processes that ensure the provision of high-quality childcare services. These include rigorous staff training, implementation of our comprehensive curriculum, and maintaining a safe and nurturing environment for the children. We have outlined several milestones to guide our growth, such as expanding our facility to accommodate more children, achieving specific enrollment goals, and obtaining additional certifications that reflect our commitment to excellence. These operational milestones are integral to our strategy for providing exceptional childcare and education services in Denver, CO.
The leadership at TinySteps Playhouse is comprised of individuals with extensive experience in early childhood education and business management. Our team includes a Director with over a decade of experience in childcare management, an Educational Coordinator who specializes in curriculum development, and a Business Manager skilled in operations and finance. Together, our management team brings a wealth of knowledge and passion for childcare, driving TinySteps Playhouse towards achieving its mission of providing outstanding childcare services in Denver, CO.
Welcome to TinySteps Playhouse, a new Day Care/Daycare that has recently opened its doors to serve our fellow residents in Denver, CO. As a local daycare center, we are acutely aware of the lack of high-quality daycare options within our community. With this in mind, we have stepped forward to fill this crucial gap, providing a nurturing and educational environment for the children in our care.
At TinySteps Playhouse, we offer a comprehensive range of services designed to meet the needs of busy families and their children. Our offerings include childcare, early education programs, nutritious meals and snacks, and ample opportunities for outdoor play and physical activities. We understand the importance of a balanced approach to child development, and our programs are crafted to foster growth, learning, and fun in a safe and welcoming environment.
Located in the heart of Denver, CO, TinySteps Playhouse is perfectly positioned to serve the local community. We are committed to becoming a cornerstone of support for Denver families, providing peace of mind to parents and caregivers while their children are in our care.
Our ability to succeed in this competitive market is grounded in several key factors. Firstly, our founder brings a wealth of experience from previously running a successful daycare, ensuring that TinySteps Playhouse is built on a foundation of proven practices and passion for child care. Additionally, we pride ourselves on offering superior childcare services compared to our competitors, supported by a team of highly experienced staff. This unique combination of experience, passion, and quality positions us to become the preferred choice for daycare services in Denver, CO.
Since our founding on January 5, 2024, as a S Corporation, we have achieved several significant milestones. We have developed our brand identity, including designing our logo and finalizing our company name, which resonates with our mission and values. Furthermore, we have secured an ideal location for our daycare, ensuring that we are accessible and convenient for the families we serve. These accomplishments serve as the foundation for our future growth and success, as we continue to build our reputation and expand our offerings to meet the needs of our community.
The Day Care/Daycare industry in the United States is a significant and growing market. Currently, the industry generates over $56 billion in revenue annually, with an average growth rate of 3.9% over the past five years. This indicates a strong demand for daycare services across the country, making it a lucrative industry for new businesses to enter.
One of the key trends in the Day Care/Daycare industry is the increasing number of working parents in the United States. With more parents entering the workforce, the demand for reliable and high-quality daycare services is on the rise. This trend bodes well for TinySteps Playhouse, as it positions itself to cater to the needs of busy families in Denver, CO. By offering convenient and flexible daycare options, TinySteps Playhouse is well-positioned to capitalize on this growing market.
Another trend in the Day Care/Daycare industry is the focus on early childhood education and development. Parents are increasingly looking for daycare providers that offer more than just basic childcare services, but also enriching educational experiences for their children. TinySteps Playhouse can differentiate itself in the market by emphasizing its educational curriculum and dedicated staff, attracting parents who prioritize their child’s learning and development. With the industry expected to continue growing in the coming years, TinySteps Playhouse has a promising future ahead.
Below is a description of our target customers and their core needs.
TinySteps Playhouse will target local residents primarily, focusing on families with young children in need of daycare services. The community within Denver has a significant portion of dual-income households where both parents work full-time jobs. This demographic is in dire need of reliable and nurturing childcare solutions, making them a primary customer segment for TinySteps Playhouse.
The daycare will also cater to single-parent families seeking a supportive and engaging environment for their children during work hours. Denver’s diverse population includes a notable number of single parents who require affordable, high-quality daycare services. By offering flexible hours and a curriculum that promotes early childhood development, TinySteps Playhouse will meet the specific needs of this customer group.
Moreover, TinySteps Playhouse will tailor its services to attract parents who prioritize educational content in their childcare selection. With an emphasis on learning and development, the daycare plans to integrate educational programs into its daily schedule. This approach will appeal to parents interested in providing their children with a head start in education, further broadening the daycare’s customer base.
TinySteps Playhouse steps in to meet the critical need for high-quality daycare services that Denver parents desperately seek. Parents expect a safe, nurturing environment where their children can learn, play, and grow under the supervision of caring and professional staff. This establishment ensures that every child receives personalized attention, fostering a sense of belonging and security.
Moreover, TinySteps Playhouse recognizes the importance of convenience for working parents. It offers flexible hours to accommodate the varying schedules of Denver’s diverse workforce. By doing so, parents can maintain their professional responsibilities without compromising their child’s care and well-being.
In addition to basic caregiving, TinySteps Playhouse provides an educational curriculum designed to stimulate young minds and prepare them for future academic success. Parents can rest assured that their children are not only cared for but also engaged in meaningful learning activities. This comprehensive approach to daycare fulfills a critical need for developmental support beyond mere supervision.
TinySteps Playhouse’s competitors include the following companies:
Kiddie Academy of Denver-Boulevard One offers a comprehensive child care program that focuses on early childhood education and development. Their services include infant care, toddler care, preschool, and pre-kindergarten programs. The academy emphasizes a Life Essentials® curriculum, which supports the physical, emotional, intellectual, and social development of children. Price points vary based on the program and age of the child, but they generally fall within the mid to high range of daycare services in the Denver area. Kiddie Academy of Denver-Boulevard One operates primarily in the Boulevard One neighborhood of Denver, catering to families residing in or near this area. They target middle to upper-middle-class families looking for a blend of education and care for their children. A key strength of Kiddie Academy is its national reputation and standardized curriculum. However, its location-specific weakness may be its higher price point, which could be a barrier for some families.
Crestmoor Learning Center provides early childhood education with a focus on creating a nurturing and safe environment for children to learn and grow. Services include infant care, preschool programs, and after-school care for older children. The center adopts a personalized approach to learning, tailoring activities to the developmental needs of each child. Pricing information is typically customized based on the specific needs and schedule of the family, aligning with industry standards in the Denver area. Serving the Crestmoor neighborhood and surrounding areas, Crestmoor Learning Center appeals to families seeking a more intimate and personalized daycare experience. The center’s strengths lie in its community-focused approach and flexible scheduling options. However, its smaller size and limited capacity could be viewed as a weakness, potentially limiting availability for new enrollments.
The Learning Experience – Westminster operates in the broader Denver metro area, with a specific focus on the Westminster location. This center offers educational childcare programs for children ages six weeks to six years, including toddler care, preschool, and kindergarten prep. Their proprietary L.E.A.P. (Learning Experience Academic Program) curriculum is designed to promote cognitive, social, and physical development. While The Learning Experience – Westminster has a competitive pricing structure that aims to be accessible to a wide range of families, they also offer premium features such as a mobile app for parents. This center serves a diverse customer base, including families from various socioeconomic backgrounds. Their key strength is the blend of affordability and technology-enhanced services. A potential weakness is the reliance on a franchise model, which may result in variability in service quality across locations.
At TinySteps Playhouse, we pride ourselves on offering superior child care services that set us apart from our competitors. Our commitment to providing a nurturing and educational environment ensures that every child in our care receives the attention and support they need to grow and thrive. We understand the importance of early childhood development, and our programs are designed to stimulate learning and creativity in a safe and welcoming setting. Our approach is not just about watching over children; it’s about engaging them in activities that promote their social, emotional, and intellectual development.
Another significant competitive advantage we have is our team of highly experienced staff. Each member of our team brings a wealth of knowledge and expertise in child care, early childhood education, and child psychology. This experience allows us to create a supportive and enriching environment for the children we serve. Our staff’s dedication to continuous learning and improvement means that we are always at the forefront of best practices in child care. Parents can trust that their children are in capable and caring hands, receiving the best possible care and education. This level of service and expertise distinguishes us in the Denver area, making us a preferred choice for discerning parents.
Our marketing plan, included below, details our products/services, pricing and promotions plan.
TinySteps Playhouse offers a comprehensive suite of services designed to meet the needs of busy families while providing a nurturing and educational environment for children. At the core of its offerings is Childcare, a service that ensures children are cared for in a safe, engaging, and supportive setting. Parents can expect to pay an average of $250 per week for full-time childcare, which includes a range of activities aimed at promoting the physical, emotional, and cognitive development of children.
Understanding the importance of early education, TinySteps Playhouse provides Early Education Programs tailored to different age groups. These programs are designed to lay a strong foundation for lifelong learning by incorporating elements of play, discovery, and structured learning. The cost of these programs is included in the weekly childcare fee, ensuring that every child has access to quality early education without additional financial burden on the families.
Nutrition plays a crucial role in the development and well-being of children, which is why TinySteps Playhouse offers Nutritious Meals and Snacks as part of its services. These meals and snacks are prepared with children’s dietary needs in mind, ensuring they receive balanced and healthy food throughout the day. This service is also included in the weekly fee, providing peace of mind to parents that their children are not only cared for but also receive proper nutrition.
Recognizing the importance of physical activity in children’s growth, TinySteps Playhouse incorporates Outdoor Play and Physical Activities into its daily schedule. This ensures that children have ample opportunity to engage in physical exercise, enjoy fresh air, and develop their motor skills. Like the other services, this is included in the overall childcare fee, offering a comprehensive approach to child development and care.
In summary, TinySteps Playhouse stands out by offering an all-inclusive package that covers childcare, early education, nutritious meals, and physical activities. With a focus on holistic development and a commitment to providing high-quality services, TinySteps Playhouse is positioned as a premier choice for families seeking the best care and education for their children in Denver, CO.
TinySteps Playhouse will utilize a comprehensive promotional strategy to attract customers in Denver, CO. At the heart of this strategy lies a robust online marketing campaign. The daycare will leverage social media platforms, such as Facebook, Instagram, and Twitter, to connect with potential clients. Through these channels, TinySteps Playhouse will share engaging content, including day-to-day activities, testimonials from satisfied parents, and educational tips for children. This approach not only builds a community around the daycare but also showcases the quality and care provided. Furthermore, the daycare will implement search engine optimization (SEO) techniques to improve its visibility in search engine results. By targeting keywords related to daycare services in Denver, TinySteps Playhouse will attract parents actively searching for childcare options. Additionally, the daycare will use Google Ads to reach a wider audience, ensuring that parents searching for daycare services in the area encounter TinySteps Playhouse at the top of their search results. Email marketing will also play a crucial role in the promotional strategy. TinySteps Playhouse will collect email addresses from interested parents through its website and social media channels. The daycare will then send out regular newsletters featuring updates, events, and special promotions. This direct line of communication will keep TinySteps Playhouse top-of-mind for parents considering daycare options. Beyond online marketing, TinySteps Playhouse will engage in community outreach. The daycare will collaborate with local businesses and schools to sponsor events and offer special promotions. These partnerships will not only increase visibility but also establish TinySteps Playhouse as a trusted community member invested in the well-being of local families. To further attract customers, TinySteps Playhouse will host open houses and free trial days. These events will allow parents and children to experience the daycare firsthand, meet the staff, and see the facilities. Such experiences are invaluable in building trust and demonstrating the high level of care and education that TinySteps Playhouse provides. Word-of-mouth will also be a vital component of the promotional strategy. Satisfied parents are the best advocates for TinySteps Playhouse. The daycare will encourage referrals by offering discounts or special offers to families that bring new clients. This approach not only rewards current customers but also harnesses the power of personal recommendations. In conclusion, TinySteps Playhouse will deploy a multifaceted promotional strategy to attract customers. By combining online marketing, community outreach, and word-of-mouth, the daycare will establish a strong presence in Denver, CO. These efforts will ensure that TinySteps Playhouse becomes a preferred choice for parents seeking quality daycare services.
Our Operations Plan details:
To ensure the success of TinySteps Playhouse, there are several key day-to-day operational processes that we will perform.
TinySteps Playhouse expects to complete the following milestones in the coming months in order to ensure its success:
TinySteps Playhouse management team, which includes the following members, has the experience and expertise to successfully execute on our business plan:
Mason Clark, President, brings a wealth of experience and a proven track record of success to TinySteps Playhouse. With a strong background in early childhood education and management, Mason has previously steered a daycare center towards operational excellence and growth. His expertise lies in strategic planning, staff leadership, and implementing innovative programs that enhance the learning and development of young children. Mason’s ability to drive business success, coupled with his passion for creating nurturing and educational environments for children, positions him as a key asset in guiding TinySteps Playhouse towards achieving lasting success.
TinySteps Playhouse requires significant funding to reach our growth goals and fulfill our mission of providing top-tier childcare services in Denver, CO. Our financial plan outlines the need for investment in facility expansion, curriculum development, marketing efforts, and operational enhancements to support our increasing enrollment and ensure the highest level of care. By securing the necessary funding, we will be able to implement our strategic plan, achieve our operational milestones, and continue to serve the families in our community with excellence.
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Download our Daycare Business Plan PDF here. This is a free daycare business plan example to help you get started on your own daycare plan.
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Planning activities for kids offers a captivating experience for both organizers and children to enjoy an amazing day. In a similar manner, getting to plan your daycare business plan attracts more caution towards approaching the posterity of any daycare plan future. A suitable business plan on this occasion helps in organizing ideas in a coherent fashion before launching your final plan. We have the best daycare business plans you might want to use. Take a look!
1. what is a daycare business plan, 2. what is the purpose of a daycare business plan, 3. what details need to be included in a daycare business plan.
5. how do you write a daycare business plan.
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Remi. September 4, 2024. Business Plan. Creating a comprehensive business plan is crucial for launching and running a successful daycare. This plan serves as your roadmap, detailing your vision, operational strategies, and financial plan. It helps establish your daycare's identity, navigate the competitive market, and secure funding for growth.
How To Write a Daycare Business Plan & Example. Below are links to each section of your daycare business plan template: Executive Summary - This is a brief overview of your daycare business plan. The executive summary should be no more than 2 pages long, with brief summaries of other sections of the plan. Company Overview - This is where ...
Sample from Growthink's Ultimate Daycare Business Plan Template: [Company Name], located at [insert location here] is a new, upscale daycare focusing on offering a safe, play-based, nurturing environment to promote the physical, social, emotional, cognitive, and creative development of children and infants through five years of age.
Your local government will have rules and regulations you'll need to follow as a small business owner and childcare provider. Start by reviewing the for your state and city. Once you're clear on licensing guidelines, you're ready to start writing your childcare business plan. The purpose of a business plan is to help secure funding.
Cash at End of Period. $139,493. $168,779. $190,402. Download This Plan. Explore a real-world day care business plan example and download a free template with this information to start writing your own business plan.
A well-crafted daycare business plan is essential as it helps you add substantial value to your business at every stage. Here's how it can make a difference: 1. Gives you clear direction. Starting and growing a daycare involves making several decisions, from choosing a location to deciding on the services you'll offer.
Asking for free months shows you're a competent negotiator who takes his business seriously and has a long-term profit goal in mind. Another thing to watch out for with monthly rent is all the added costs. Say your price is $20 per square-foot and your building is 5,000 square-feet. This adds up to $100,000.
Daycare Business Plan Template. Updated July 31, 2023. A daycare business plan is a written document outlining the mission, objectives, and strategy of a child care business. The plan can be used to guide internal operational plans as well as inform prospective investors or lenders. Typically, a daycare business plan should include an executive ...
How To Write a Business Plan for a Childcare Business. A childcare business plan should include 10 sections as follows: Executive Summary. Company Overview. Industry Analysis. Customer Analysis. Competitive Analysis. Marketing Plan. Operations Plan.
Marketing Plan. Traditionally, a marketing plan includes the four P's: Product, Price, Place, and Promotion. For a child care business plan, you should include the following: Product: in the product section, you should reiterate the type of daycare that you documented in your Company Analysis.
1. Don't worry about finding an exact match. We have over 550 sample business plan templates. So, make sure the plan is a close match, but don't get hung up on the details. Your business is unique and will differ from any example or template you come across. So, use this example as a starting point and customize it to your needs.
Daycare business plan template + PDF. This guide presents a groundbreaking AI Business Plan Generator template, specifically tailored for entrepreneurs looking to start or expand their daycare operations. It's important to emphasize that the names and financial forecasts included in this example are solely for illustrative purposes, acting as ...
A daycare business plan template walks you through the steps to build a proper path forward. Every successful business is planned correctly, not as you go along. A sample daycare business plan pdf or Word document lays it out for you. You can learn how to put it together and what you must include. Many business plans help you understand what ...
Daycare Business Plan Creation [Includes Template ...
(Example 1) - The company's mission is to provide top notch child care services to our clients and their children. (Example 2) - [Company Name] will pride itself on being a place of learning, development, and safety for child care age children. The company's mission is to provide the best child care services in the area. Vision
Here is a sample Day Care business plan; A Sample Daycare Center Business Plan Template 1. Industry Overview. Day care business is one of the easy businesses that just about anyone who has a flare for kids could readily start. There is no doubt that as the zeal to make more money heightens with parents, then the need for newer and more seasoned ...
One daycare business plan example - a positioning statement for a 24-hour childcare center in Austin, Texas may look like this: "For the Austin-based family who is seeking childcare around the clock, Jenny's 24-Hour Daycare is a safe option for young children with nutritional meals, best-in-industry sleeping arrangements, a clean outdoor ...
Daycare Free Business Plan Template. Our free daycare business plan template is the perfect tool to help you get started. This comprehensive guide will walk you through the process of creating a solid business plan that will set you up for success. With our customizable template, you'll be able to tailor your plan to your unique vision and ...
Services. Kid's Community College® offers upscale child care services and an advanced collegiate based curriculum designed for kids ages 4 months to 5 years and 1st through 5th grades. Normal operating hours will be 6:45am to 6:30pm, Monday through Friday - with observance of all major legal holidays.
Our Daycare business plan template starts with a compelling Executive Summary. This key section is very important as it summarizes in 1 page your Daycare concept. It will introduce your business model, the key people behind the project as well as the unique selling proposition offered by your daycare concept. This section will also mention how ...
Taking care of children is a significant task. To make sure you can cater to the children's needs, be careful in creating your business plan. 1. Make a Plan Outline. Start your plan outline by including a list of your goals and the corresponding procedure you plan to follow in achieving them. Your outline would serve as your draft.
A well-written business plan can give you clarity on realistic financial projections and help you secure financing from lenders or investors. A daycare business plan example can be a great resource to draw upon when creating your own plan, making sure that all the key components are included in your document. The daycare business plan sample ...
The daycare business plan example template will help you in writing a marketing plan for child day care schemes. It has a very neat design with bullet points to mark the important and mandatory details that need to be included in the plan. Download Now. Daycare Business Plan Template Free Download.