search START YOUR BUSINESS FINANCE YOUR BUSINESS MANAGE YOUR BUSINESS

BUSINESS IDEAS

How to Start a Kindergarten Business

By: Andra Picincu
Reviewed by: Jayne Thompson, LL.B., LL.M.
Updated October 31, 2019

ljubaphoto/E+/GettyImages

Opening a kindergarten can be a rewarding career path for those who

enjoy working with children. This type of business will allow you to shape
young minds and make a difference in your community. Plus, it can be a
profitable venture, considering that more than 422,000 children were
enrolled in private kindergartens in 2017.

TL;DR (Too Long; Didn't Read)

RELATED Research the market and the legal requirements for opening a
kindergarten in your state. Look at what other kindergartens around the
What Are the
Requirements to world offer and use them for inspiration. Determine whether you want to
Start a Spa implement your own business model or purchase a preschool franchise.
Business?

LEARN MORE →
Research the Market
Kindergartens play a crucial role in children's transition from home to
school. This type of education usually starts at age 5 and lasts for one
year. Children are encouraged to play together and learn basic activities
like subtraction, addition and skip counting. They have access to
educational resources such as picture books, toys, board games and
more.

If you're planning to start a kindergarten business, research the market

thoroughly. Study the different types of kindergartens in the United States
and other countries so you can come up with a unique business model.
If you offer the same facilities as everyone else, you'll find it difficult to
attract clients. Analyze your competitors, learn from them and seek areas
of improvement.

Read materials on how kindergarten looks around the world. For example,
some facilities in Canada and Germany use parks and other outdoor
areas as classrooms. Those in China emphasize singing, dancing and
physical education. Kindergartens in the United Kingdom assign one
teacher to every eight students, which allows children to work closely with
their supervisors and receive personalized attention.

Choose Your Niche

Children who attend kindergarten develop skills that they can apply to all
parts of their life. They learn the difference between right and wrong, build
connections and make decisions independently. They also learn how to
use words to express their needs and wants rather than screaming or
throwing things. Kindergarten also instills a sense of curiosity in children,
giving them an opportunity to play, learn and try new activities.

Try to find your niche before opening a kindergarten business. Again, it's
important to come up with something new to make your business stand
out. For example, you could launch a kindergarten for gifted children or
one that specializes in arts and crafts. Another option is to create
playgroups that offer specific classes such as drama, painting, foreign
languages or yoga.

Research kindergarten programs in your area and across borders for

inspiration. Focus on those that help children develop literacy, numeracy
and language skills, emotional skills, social skills and self-awareness. Try
to incorporate outdoor activities in the curriculum. Seek ways to expose
students to new ideas and concepts so they can broaden their horizons.

Assess the Costs Involved

Opening a kindergarten isn't cheap. You'll need to pay for business
licenses and permits, buy or rent a building, set up classrooms and
purchase educational materials. On top of that, it's necessary to hire an
accountant, teachers, janitors and administrative staff. You may also need
to hire web designers to create a website for your kindergarten.

The exact costs will depend largely on how you choose to operate your
business. Consider the rent and utilities as well as salaries and employee
benefits. The average cost of starting a child care center, which is similar
to a kindergarten, is around $95,485. The primary expenses include:

• Child care cost (toys, books and other educational supplies): $4,715

• Indoor furniture: $19,780

• Outdoor equipment: $10,810

• Office furniture: $2,300

• Fencing: $3,795

• Insurance: $3,450

• Working capital for eight months: $31,280

• Licensing: $575

How much you'll pay depends on the location of your business. Licensing
fees, for example, vary from one state to another. Renovations can
significantly increase your startup costs. If you purchase the building, you
may need to pay for electrical work, plumbing, building and inspection
permits, site improvements, landscaping and more.

Look for Kindergarten Franchising

Opportunities
As a startup founder, you may not have enough money to open a
kindergarten. Sure, you may apply for grants and loans, but you may still
lack the experience needed to operate this kind of business.
Kindergarten franchising opportunities abound and can make it easier
to get your business off the ground.

Lightbridge Academy, for instance, provides franchisees with 134 hours

of training and ongoing support through a dedicated business coach. Its
facilities are equipped with cutting-edge technology, from iPads and
whiteboards to internet monitoring. The company has had 10% revenue
growth every year since 1999. The initial investment ranges between
$730,000 and $5 million, which isn't cheap, but you'll receive ongoing
training and access to a proven business model.

A more affordable option is Kiddie Academy. Franchisees need $250,000

to $500,000 in liquid capital, a net worth of $740,000 to $1 million and a
credit score of 650. The staff at Kiddie Academy can help you design a
kindergarten business plan, prepare loan applications and choose one
that meets your needs. Training starts from day one, making it easier to
learn the ins and outs of this business model.

Make a Kindergarten Business Plan

Next, write a kindergarten business plan that covers your vision, goals,
financial projections and other key aspects. Start an executive summary
followed by a brief overview of the preschool industry. The executive
summary should describe your mission statement, objectives and strategy
in a few paragraphs. Keep it short and to the point.

A kindergarten business plan should include the financial, legal and

organizational aspects of running this type of business. Outline your
goals and describe how you're planning to achieve them. Also, provide an
overview of your competitors and target customers and offer information
on the company's ownership and management as well as its location,
facilities, services and technology. Brainstorm marketing strategies and
seek creative ways to get your message across and attract clients.

If you're not sure where to start, look for preschool business plan
templates online. Use them for inspiration and tailor them according to
your needs. Consider forming a planning committee to discuss what it
takes to start this kind of business and make a plan. At the very least, this
document should include the following:

• Executive summary

• Market overview

• Competitive comparison

• Target audience

• Company description

• Management team

• Mission

• Short-term and long-term goals

• Products, services and facilities

• Operating policies and procedures

• Strengths, weaknesses, opportunities and threats (SWOT analysis)

• Funding needs, pricing strategy and financial projections

• Legal requirements

• Marketing strategy

• Expansion strategies

Satisfy the Legal Requirements

Like any other business, opening a kindergarten involves several legal
steps. First, you'll need to brainstorm kindergarten school names and
choose one that reflects your vision. Register it with your state and then
choose a business structure, such as a limited liability company or a
partnership. Apply for an employer identification number online through
the IRS website so you can open a bank account, get business licenses
and pay your taxes.

Be aware that each state has different guidelines and requirements

regarding education. Contact a child care licensing agency in your state
to determine what business licenses and permits are needed for opening
a kindergarten.

In addition to business licenses, you will need an insurance plan. Ideally,

reach out to a company that offers policies designed for kindergartens and
day care centers. Contact the insurance department in your state to find
an agent who can help you. Discuss your licensing and insurance needs
with an attorney or a state representative to make sure your facility
complies with the law.

References
Resources
About the Author

Related Articles

What Are the Requirements to Start a

Spa Business?

How to Start a Nursing Home

How to Manage a Day Care Center

CITE THIS ARTICLE Did you find this page helpful? 👍 👎

BUSINESS PLAN

What Are the Requirements to Start a Spa

Business?
By: Andra Picincu
Reviewed by: Jayne Thompson, LLB, LLM
Updated November 21, 2018

PeopleImages/E+/GettyImages

More people are realizing the benefits of a healthy lifestyle, with many
opting to go to a spa for relaxing massages or beauty treatments. In 2015,
the spa industry generated $16.3 billion in the U.S. and $99 billion
worldwide. The demand for these services is rapidly increasing. If you plan
to start a spa business, now is a good time. Before getting started, make
sure you know what's needed to succeed.

Choose a Business Model

RELATED
Research the spa market to determine what services are in high demand.
How to Start an
Assisted Living
Check your competitors as well. There are different types of spas, and
Facility in Florida each has unique characteristics. Depending on your budget and expertise,
you can choose one or more of the following business models:
LEARN MORE →
• Day spa

• Bootcamp spa

• Ayurvedic spa

• Medical spa

• Destination spa

• Mobile spa

• Dental spa

• Club spa

A dental spa, for example, appeals to those who prefer a holistic approach
to dentistry. In general, it doesn't provide traditional spa services like body
wraps, mud baths or facials. As a business owner, you will need to hire
licensed dentists and purchase dental equipment. Therefore, the costs
may be higher compared to those associated with a day spa.

If you specialize in massage, beauty treatments or other procedures that

don't require a lot of equipment, you can launch a mobile spa. This kind of
business caters to those who wish to enjoy a relaxing experience in the
comfort and privacy of their own home. You will need only a car or van,
beauty products, massage oils and other basic supplies.

Detox spas are popular, too. Customers usually spend three days or more
at these resorts. Most facilities provide meditation and yoga classes,
combined with juicing, raw diets and other holistic practices. In general,
detox spas are located in remote areas that offer peace and tranquility.

Check the Legal Requirements

Starting a spa business requires more than just renting a facility and
promoting your services. You will need to hire and train staff, research
new products and order supplies, invest in cutting-edge equipment and
more. In some cases, you may need to continue your education and get
licensed.

For example, if you plan to work as a massage therapist at your spa, it's
legally required to first obtain a license. The State of Washington, for
instance, requires applicants to complete and graduate from an approved
massage program and undergo 24 hours of continuing education every
two years. They must also apply for a massage therapist license and
renew it every year.

These requirements vary among states, so make sure you check the laws
in your area. Also, consider joining the International Spa and Body Wrap
Association (ISBWA) and other organizations that regulate this industry.
This will allow you to connect with other professionals, build lasting
relations and strengthen your brand.

Depending on what services you offer, you may need to obtain licenses
and permits from the local health department and other institutions. Head
over to SBA.gov to find out more about the legal requirements for starting
a spa business in your state. Take the steps needed to form a company,
register for taxes and get insured.

Make a Business Plan

Create a business plan that outlines your potential earnings and
expenses, marketing efforts, target audience and other key aspects.
Consider the location of your spa and estimate the cost of rent. Search for
companies that sell wholesale skincare and beauty products. Get multiple
estimates and try to negotiate.

Your business plan should include these things along with your company's
mission and goals. Think of it as a roadmap to success. Cover every
aspect of running a spa business, from legal requirements to financing
and advertising. Make sure you also research popular spas to see what
makes them successful, what services they offer and how they promote
themselves.

References
About the Author

Related Articles

What Are the Requirements to Start a

Spa Business?

How to Start a Nursing Home

How to Manage a Day Care Center

BUSINESS PLAN

How to Start a Nursing Home

By: Andra Picincu
Reviewed by: Jayne Thompson, LL.B., LL.M.
Updated November 15, 2019

aydinmutlu/iStock/GettyImages

About 14.5% of Americans and 8.5% of people worldwide were age 65 or

older in 2016. It's estimated that approximately 23.5% of U.S. adults will
reach age 65 by 2060. Many seniors suffer from chronic diseases,
disabilities and other health problems affecting their independence and
quality of life. If you enjoy helping people and want to make a difference in
your community, consider opening a nursing home.

RELATED
TL;DR (Too Long; Didn't Read)
Research the different types of nursing home facilities, choose your
How to Open a
Nursing Home in niche and obtain the necessary business licenses and permits. Make
Florida sure your staff is fully licensed and has experience working with elderly
adults, especially those with special needs.
LEARN MORE →

Research the Nursing Home Industry

Start by researching the nursing home industry and its evolution over the
years. There are about 31,900 nursing care facilities in the U.S., with an
annual revenue of $139 billion. The industry had a 2.1% growth rate per
year between 2014 and 2019, as reported by IBISWorld. The number of
older adults is expected to increase over the next decades, so the demand
for nursing care facilities will grow as well.

Approximately 88% of adults who live in nursing facilities are over 65

years old. About 45% are older than 85. About 60% of the elderly
population has two or more chronic disorders, such as diabetes, heart
disease, Alzheimer’s or cancer, according to the Office of Disease
Prevention and Health Promotion. Therefore, nursing homes must be
properly equipped to provide medical services and emergency care.

Make sure you have a good understanding of the different types of nursing
homes. Several business models exist, including hospice centers,
nonprofit skilled nursing facilities, nonprofit nursing homes, for-profit
nursing homes and more. About 70% of all facilities are operated by for-
profit companies. Golden Living, Genesis HealthCare Corporation, HCR
ManorCare and Kindred Healthcare Inc. are among the top providers in
the U.S.

Find Your Niche

Decide what type of nursing home you want to open and what services it
will provide. Nursing homes are facilities that provide 24/7 care to their
residents. Some patients have special needs and require permanent
monitoring and medical services. For example, some nursing home
facilities offer medical care to seniors with Alzheimer's disease and other
forms of dementia. Skilled nursing facilities will provide different services
than a retirement home with nursing care.

Nursing homes typically appeal to elderly adults who can no longer live
independently. Their residents have access to medical care and
specialized staff who assist them with bathing, housekeeping, reading,
exercise and other daily activities. Assisted-living programs, on the
other hand, are ideal for seniors who don't need medical care and
assistance around the clock.

Another option is enriched housing, a type of adult care facility that

offers long-term residential services and personal care to seniors. Their
services may include one to three daily meals, recreational activities,
housekeeping and more. These establishments are licensed by the State
Department of Health. Once you've decided on a business model, analyze
the local market and your competition as well as any potential
opportunities and threats.

Write a Business Plan

Make sure you have a solid business plan before opening a nursing home.
Providing quality care requires skilled staff and modern equipment, which
involves a large investment. Every detail matters, from beds and
furnishings to information systems. Therefore, you need to consider the
legal, financial and operational aspects of running this kind of business.

Draft a business plan that offers an in-depth overview of the industry and
outlines your vision. Describe your short- and long-term goals, mission
statement, target audience and competition. The financial part should
include your revenue streams, startup costs, fixed and variable costs,
financial projections and funding needs. You also need to develop a
marketing strategy, which may include promotional activities like hosting
an open house, launching online campaigns, setting up a referral
marketing plan and so on.

Determine what services you will provide and who will be in charge of
what. Make a list of suppliers that sell medical beds, wheelchairs, office
supplies, bedding supplies and assistive devices; contact them and
request multiple quotes. Include everything in your business plan and then
assess the costs involved. Decide whether you need financing and reach
out to investors, banks and state agencies offering grants and small
business loans.

Requirements for Opening a Nursing

Home
Next, register your nursing care business with the state. Ideally, form a
limited liability company or a partnership. An LLC protects your personal
assets, meaning that if you ever get sued or file for bankruptcy, you won't
lose your home and other personal belongings. Furthermore, there is no
limit on the number of members, and it's not necessary to form a board of
directors as is the case with corporations.

Once you've decided on a business structure, file the necessary

paperwork and prepare an operating agreement. Depending on the state
of incorporation, you'll pay anywhere between $45 and $520 to register
your LLC.

As soon as you complete this step, apply for a federal tax ID number
online. Also, it's necessary to register your company with your state's
revenue office so you can pay state and local taxes.

Get a Business License

All states require nursing home facilities to hold a valid license. The
exact requirements vary from one state to another. For example, if you're
planning to open a nursing home in Florida, you'll need a Nursing Home
Administrator license from the state's Board of Nursing Home
Administrators. A nursing home facility based in Texas will require a
license from the state's Health and Human Services department, and all
applications must be approved by the HHS Architectural Unit.

In addition to a business license, you may need to obtain certain permits

before opening a nursing home. Fire department permits, signage permits
and health department permits are just a few examples. Nursing home
facilities provide their residents with daily meals and snacks. Therefore,
they are legally required to obtain a permit from the local health
department.

Make sure your staff is licensed too. Before hiring nurses,

physiotherapists and other medical professionals, check their background
and professional experience.

Start Bringing in Patients

A well-thought-out marketing plan is crucial, especially for nursing care
facilities located in big cities. As a small business, you may lack the
resources to hire a large PR agency. However, there are plenty of ways to
promote your services on a budget. Start by setting up a website and
listing your business on Google, Yelp, Bing, Yellow Pages, Apple Maps,
Foursquare and other online directories.

Nearly 70% of adults ages 50 to 64 and 40% of those ages 65 and older
use at least one social media platform. Therefore, it's worth advertising
your services on Facebook, Twitter, YouTube and other social networks.
Make videos and take photos of your facility, share relevant content
related to assisted living and connect with prospective clients in local chat
rooms, forums and Facebook groups.

Focus on building professional relationships in your community by

networking with health care providers, physical therapists and social
workers and letting them know about your facility. Send out press releases
in local newspapers whenever you're launching a new service or hosting
events at your nursing home. Attend medical conferences and other local
events to promote your services and connect with potential clients and
health care professionals.

References
Resources
About the Author

Start Your Business About Us

Finance Your Business Accessibility

Manage Your Business Terms of Use

Copyright 2020 Leaf Group Ltd. / Leaf Group Media, All Rights Reserved.

Privacy Policy

Copyright Policy

Contact Us

Careers

Manage Preferences