Constructing Connections

 

 

 

Resource Guide - Start-up Phase

MONEY NEEDED DURING THIS STAGE: Equity 

Phase in Staffing and Children

The Start-up phase is the time to launch the program, or the expanded services, once the facility project is complete. 

If the business is just starting, or if it is just completed an expansion, it is important to remember that the program will need to build capacity. In other words, you won't start with a full staff or full enrollment the day you open.

One way to encourage enrollment early is to start up in either early fall (August/September) or January, because these are the times of year when parents are most likely to make changes in care arrangements since they correlate with breaks in the school schedule.

Make sure that you create parent/provider contracts in order to lay out in advance all expectations and responsibilities for both you and the parents whose children are enrolled in your child care program.

As enrollment builds up it is imperative to maintain your program’s image and publicity even after the facility is up and running. For example, bring business cards with you whenever you go out with the children, make T-shirts for the children to wear on field trips, and make sure your services are well known throughout the community.

If the program does reach full enrollment, a waiting list should be established because child care enrollment can fluctuate easily and you will want to fill vacancies as quickly as you can to ensure regular cash flow.

Program Sustainability

Even after the facility project is complete, it is essential to maintain relationships with funders and build relationships with new funders consistently. This is important even when you don't need money, because down the road it will be easier to raise money based upon preexisting, or maintained relationships rather than on new ones.

To ensure sustainability of a program:

  • Establish an operating reserves budget so that you are prepared for unexpected expenses and cash flow inconsistencies.
  • Be realistic about the fees you charge and adjust them over time as your expenses change, but always give parents advance warning of these changes.

Above all, balance your service obligations with your business obligations. If you don't attend to the business matters of your child care program you won't be able to provide high quality services.

Though the financial piece plays a particularly large role in the facilities development process, without maintaining and continuing to develop the financial side of a child care program once it is up and running, it won’t survive as a viable business.

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