Work From Home: How to Start a Home Daycare Business

Learn what it takes to start and operate a home daycare business!
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Instructed by Bracy ,MBA Business / Home Business
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  • Lectures 29
  • Length 2.5 hours
  • Skill Level Beginner Level
  • Languages English
  • Includes Lifetime access
    30 day money back guarantee!
    Available on iOS and Android
    Certificate of Completion
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About This Course

Published 1/2014 English

Course Description

In this course, LaDonna will teach you how to start and operate a home daycare business. You will learn how to set up your business, market your services, track your finances, and operate efficiently. You will have access to tools and resources every childcare provider needs. If you have a love for children and are looking for a way to work from home, the childcare business is for you!

What are the requirements?

  • Adobe, Microsoft Word are needed. No other prerequisites required.

What am I going to get from this course?

  • Learn how to set up your business legally and physically
  • Learn how to maintain compliance with regulatory agencies
  • Establish processes and procedures for efficient operations
  • Learn how to keep track of income and expenses
  • Have access to resources every childcare provider should use

Who is the target audience?

  • People who love children and would like to work from home
  • Those that are thinking about starting a daycare business, but don't know how
  • Those who already operate a home daycare business, but need help with infrastructure

What you get with this course?

Not for you? No problem.
30 day money back guarantee.

Forever yours.
Lifetime access.

Learn on the go.
Desktop, iOS and Android.

Get rewarded.
Certificate of completion.


Section 1: Welcome!

If you love children and you're looking for a way to earn money by working from home, learn how to set up and operate a home daycare business! You'll learn:

  • How to set up a daycare business
  • How to maintain compliance with regulatory agencies
  • How to keep track of income and expenses
  • How to access resources
  • How to set your business apart from the competition
  • How to navigate the licensing process

Operating a childcare business can be a rewarding experience. LaDonna will show you how to set your business up for success!

Section 2: Self Assessment

In this lecture discuss some things to consider before starting a daycare business. We'll talk about childcare experience, business experience, and family support.

Types of Childcare Providers
6 pages

Use the Childcare Assessment Checklist to assess your readiness for the childcare business.

Section 3: The Licensing Process

Some daycare providers choose to forego the licensing process. These providers are known as "license-exempt" and they can only care for a limited amount of children at time. This is a personal choice. You know what will work for you. In this section, learn the pros and cons to having a childcare license and not having one.


The Daycare Licensing Checklist will help to guide you through the licensing process. Keep in mind that the process may be different in each state. Check with your local Childcare Licensing agency to determine the process you will actually have to follow.

Section 4: Competitive Advantage
Research the Market

The SWOT Analysis will help you identify the strengths, weaknesses, opportunities, and threats for your business as well as for your competitors. Using a SWOT Analysis is a great way to determine what your competitive advantage will be. Use the SWOT Analysis to compare your business to your competitors and figure out what you can offer to make your business stand out in the crowd.

3 pages

Learn how to identify Unique Selling Points or USPs for your daycare and use them to brand your business.

Section 5: Set Up Your Daycare Business

Your daycare business will be set up legally and physically. Use the Set Up Your Daycare handout as a guide to get your house in order.

Section 6: Operations

Policies and procedures are the infrastructure of your business. Having these in place will help you operate in an efficient manner and maintain compliance with regulatory agencies. All policies and procedures should be in alignment with daycare licensing standards.


I've included a copy of the Parent Handbook I used in my daycare business. The handbook included a mission statement, daycare schedule, scheduled closings/holidays, policies, and a contract. You can use it as a guide to craft your own handbook. Be sure to check with your local Childcare Resource and Referral agency for guidance. Also check your daycare licensing standards, as a handbook may be required.


This lecture teaches you how to set your tuition prices. There are various methods to use. The most important thing to remember is to set your prices in a way that covers your fixed expenses and your salary. You may have to make some adjustments periodically, but never "low-ball" yourself. Doing that will train people to undervalue what you do.


Next to the licensing standards, the contract will be the most important document in your daycare business. It is a written agreement between you and parents that gives details as to the service you agree to provide and what parents agree to pay. Refer to Lecture 11 for an example of a service contract that is included in the Parent Handbook.


I've included a job description that I used for staff in my daycare. When your business grows to a point in which you need to hire staff, be sure to review the job description with them. Your staff are an extension of you. It's important to ensure that they follow your example of leadership. You can customize this job description according to your daycare business needs. Include the sentence "Other duties as assigned" to cover anything that is related that you may have forgotten to list.


The United States Department of Agriculture administers the Child and Adult Care Food Program. This program reimburses childcare providers for the nutritious meals that are served in their programs. One major requirement of the program is that only licensed providers can participate.


As a childcare provider, you will be required to interact with several regulatory agencies. You will be audited or inspected periodically. Learn how you can ensure that your daycare business is in compliance with agency standards.

Section 7: Sales and Marketing

You can have the best daycare program in the country, but if no one knows about you, the business will not be successful! Learn how to attract clients.


In this lecture, we'll discuss ways to turn prospects into paying clients. Learn how to interview potential clients and close the deal.

Section 8: Daycare Finances

In this lecture, I give a realistic picture of what you will need to start your daycare business and how much it could cost. Use this section to develop a start up budget for the business.


In this lecture, we discuss what you could potentially earn as a daycare provider. Keep in mind that you may not always be at full capacity. Client's life situations change all the time. You should have an idea of what you can potentially make and have a plan to reach full capacity as much as possible.

As a side note: ALWAYS SAVE MONEY. You never know when situation will change ...and they will change. You want to establish a cushion that will carry you in the slower times.


Keeping up with the money you earn and spend will be a key part of your business. I know you love the kids, but this is a business! Using a profit and loss statement will help you to understand how money is flowing through your business. It will also help you make adjustments, as needed.


In case you're wondering... yes, the title is my homage to the television show "Breaking Bad". Get to know what it takes to operate your business. How will you know if you are operating at a loss? How will you know if you are truly making a profit? Discovering your breakeven point and "sweat factor" will bring clarity and help you make business decisions.

Section 9: Professional Development

In this lecture, we discuss the importance of professional development and where you can find these opportunities.


Mentorship is important in any career. Learn the benefits of having a business mentor. As stated in the introduction, I will definitely help to mentor you through this process.

Section 10: Work/Home Balance

Operating a business from your home presents a unique set of opportunities and challenges. In this section, we'll discuss ways to present your self as a professional and support your family.


In this lecture, I'll share some tips I've learned along the way that helped me to maintain my sanity!

Section 11: Resources

Here are some valuable resources you will need to be successful:

National Association for the Education of Young Children ,

Red Leaf Press,

The Fieldtrip Factory

Teacher supply stores in your area

Family Childcare Environmental Rating Scale

Section 12: Course Wrap Up

Thanks for joining me. It has been my pleasure to share this information with you. Feel free to ask questions as I will check the forum on a weekly basis. You can do it. You got this! I'll be with you each step of the way!

If you need additional support, you can visit my website,

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Instructor Biography

Bracy ,MBA, CEO Lake Park Consulting

LaDonna Bracy teaches low-income individuals how to reinvent themselves by starting a business. LaDonna has earned a Bachelor of Science degree from Western Illinois University and a Master of Business Administration degree from the University of Phoenix.She owned and operated a home daycare business and taught others to do the same.</span> </p> </p>

LaDonna contributes articles as the Chicago Childcare Examiner for LaDonna has over 10 years of experience in helping low-income individuals develop plans to achieve goals and objectives.LaDonna continues to teach others as an online instructor, author, speaker, and through her popular blog “ The Legacy Builders”.She is a member of the National Association of Professional Women.<?xml:namespace prefix = "o" ns = "urn:schemas-microsoft-com:office:office" /> </span> </p> </p>

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