Sample Business Plan on Day Care Center Business Plan

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I. Overview



Your Name Daycare (or the Daycare Center) is a not-for-profit company endeavoring to open a Christian Daycare Center in Your City. The Daycare Center will offer qualified and certified Childcare and preschool services throughout the Orleans area to children from 2-6 years of age. We plan on focusing on teaching the arts so that we can inspire creativity in the minds of children.


The Daycare Center will be associated with Your Name. The church has been in existence since 1987 and prior to Hurricane Katrina it had 400 members. Today, there are 120 regular attendees and attendance is growing as displaced members return to the Your City area to restart their lives. The church’s mission is to bring restoration to Your City which was destroyed due to the devastation of Hurricane Katrina as well as Hurricane Rita.


Your Name Daycare expects to handle up to 150 children within a very short period of time. Management has determined the size of the market, amounts of budgeted advertising and promotional dollars, and the very important community need that the Daycare Center will fulfill.


In its first twelve months, the Daycare Center will increase its enrollment form a start of 36 children to a maximum of 150 children. This will generate income of $540,000 in that twelve month period. By its fifth year, Your Name Daycare will achieve over $923,000 in income and more than $207,000 of net surplus.


The Market and Opportunity


The need for child day care centers in Your City has been growing rapidly over the last year. Many parents and child guardians seek qualified and responsible professionals to teach and care for their young. There is a large opportunity to build a dominant and respected certified Christian Childcare center in this market space.


Rebuilding Your City


As Your City slowly sank beneath the brackish floodwaters unleashed by Hurricane Katrina, the nation watched in horror and wondered what the future held for the dying city. Now, over a year and a half later, Your City is in the midst of a slow recovery. Five or ten years from now, Your City will most likely be what it was before the storm hit.


Before the city’s tragic flooding, the city population of Your City was approximately 462,000; on July 2006 the Census Bureau reported an estimated population of 223,000. As of April 2007, the population is unknown. But, it should be understood, an amazing recovery is taking place in this region of the U.S. According to an earlier prediction by the Rand Corporation, Your City’ population was not expected to reach 247,000 until September 2008. Pre-Katrina, metropolitan residents numbered over 1.3 million; post-Katrina, resident population is approximately 1.1 million.


Despite everything, Your City continues to make great progress in its amazing comeback. Many areas, including the French Quarter, Central Business District, Warehouse and Arts District, Magazine Street, Garden District, Audubon Park and Zoo and St. Charles Avenue, not only remain intact, both physically and spiritually, but are thriving. Statistics from the Louisiana Department of Economic Development shows there were 81,000 pre-Katrina local businesses in the 10 parish metropolitan area. Today 62,300 have reopened. 1, 2


Anne Konigsmark, staff writer for USA Today said, “An estimated 900 houses of worship in the Gulf region were damaged, destroyed or unusable after the hurricanes, according to Religion News Service. The damage has been so great that the Bush-Clinton Katrina Fund, headed by former presidents George H.W. Bush and Bill Clinton, announced in December that $20 million of the $90 million it will spend in the region will go to churches and other houses of worship, which are not eligible for public rebuilding funds.” Former congressman from Philadelphia, William Gray said, “Without faith institutions you can't have a community. Their history is the history of the community." 3


According to The Christian Science Monitor, 80% of Your City’ churches were destroyed.  Rev. Dwight Webster, founder of Churches Supporting Churches (CSC), said, “We need to bring neighborhoods back.” Rev. C. T. Vivian agrees, saying he believes churches hold the key to restoring Your City’ neighborhoods, adding “African-American churches historically have been the heart and soul of black communities.” Many people believe that success in Your City will serve as a model for other parts of the Gulf Coast. 4


A U.S. Congregational Life Survey provided a unique look at what works in the areas of evangelism and church growth. Responses from samples of fast-growing churches helped us debunk common myths. 5


A Strong Congregation:

• Provides a sense of community

• Seeks to educate worshipers about the faith

• Shares their faith with others

• Serves others

• Conveys the sense that life has meaning


Positive Predictors:

Caring for Children and Youth

• Welcoming New People

• Participating in the Congregation


Not Related:

• Other strengths

• Size of congregation

• Faith group

• Average age of worshipers

• Average income of worshipers

• Population growth


Child Care


In 2005, the United States’ child-rearing expense estimates ranged between $9,840 and $10,900, for a child in a two-child, married-couple family in the middle-income group. One concern parents face today is where to obtain affordable, quality child day care for their children especially those under the age 5. There are many sources where Childcare needs are met, including:


Ø      Care in a child’s home

o       Babysitter, nanny or relative

Ø      Care in an organized Childcare center

Ø      Care in a provider’s home (also known as family child care)


The child day care industry is one of the fastest growing in the U. S. economy due to the increasing number of households in which both parents work full time. Today, the majority of mothers in the United States work outside the home. Consequently, every weekday approximately 13 million young children in the United States, representing three-out-of-five infants, toddlers and preschoolers, spend part of the day being cared for by someone other than their parents. Childcare demands have increased significantly during the last few decades of the twentieth century.


Both not-for-profit and for-profit entities provide childcare. Quality center-based Childcare facilities often stimulate child development as well as raise immunization rates. Another benefit of a day care center is they encourage nutrition. Out-of-home Childcare centers also provide venues for teaching health-promotion and disease-prevention behaviors, such as hand washing and exercise. The industry consists of establishments that provide paid care for infants, toddlers, preschool children, or older children in before- and after-school programs.


Nonprofit child day care organizations may provide services in churches, YMCAs and other social and recreation centers, colleges, public schools, social service agencies, and worksites. The for-profit sector of this industry includes centers that operate

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